80_FR_58858 80 FR 58669 - Defense Federal Acquisition Regulation Supplement: Clauses With Alternates-Small Business Programs (DFARS Case 2015-D017)

80 FR 58669 - Defense Federal Acquisition Regulation Supplement: Clauses With Alternates-Small Business Programs (DFARS Case 2015-D017)

DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System

Federal Register Volume 80, Issue 189 (September 30, 2015)

Page Range58669-58671
FR Document2015-24787

DoD is proposing to amend the Defense Federal Acquisition Regulation Supplement (DFARS) to clarify clauses and their prescriptions for small business programs and to create a basic and alternate clause structured in a manner to facilitate use of automated contract writing systems. The rule also includes the full text of the alternate, rather than only providing the paragraphs that differ from the basic clause. The rule also clarifies one clause that is an alternate to a Federal Acquisition Regulation (FAR) clause.

Federal Register, Volume 80 Issue 189 (Wednesday, September 30, 2015)
[Federal Register Volume 80, Number 189 (Wednesday, September 30, 2015)]
[Proposed Rules]
[Pages 58669-58671]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-24787]


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DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

48 CFR Parts 219 and 252

[Docket No. DARS 2015-0044]
RIN 0750-AI68


Defense Federal Acquisition Regulation Supplement: Clauses With 
Alternates--Small Business Programs (DFARS Case 2015-D017)

AGENCY: Defense Acquisition Regulations System, Department of Defense 
(DoD).

ACTION: Proposed rule.

-----------------------------------------------------------------------

SUMMARY: DoD is proposing to amend the Defense Federal Acquisition 
Regulation Supplement (DFARS) to clarify clauses and their 
prescriptions for small business programs and to create a basic and 
alternate clause structured in a manner to facilitate use of automated 
contract writing systems. The rule also includes the full text of the 
alternate, rather than only providing the paragraphs that differ from 
the basic clause. The rule also clarifies one clause that is an 
alternate to a Federal Acquisition Regulation (FAR) clause.

DATES: Comments on the proposed rule should be submitted in writing to 
the address shown below on or before November 30, 2015, to be 
considered in the formation of a final rule.

ADDRESSES: Submit comments identified by DFARS Case 2015-D017, 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-D017'' 
under the heading ``Enter keyword or ID'' and selecting ``Search.'' 
Select the link ``Submit a Comment'' that corresponds with ``DFARS Case 
2015-D017.'' Follow the instructions provided at the ``Submit a 
Comment'' screen. Please include your name, company name (if any), and 
``DFARS Case 2015-D017'' on your attached document.
    [cir] Email: [email protected]. Include DFARS Case 2015-D017 in 
the subject line of the message.
    [cir] Fax: 571-372-6094.
    [cir] Mail: Defense Acquisition Regulations System, Attn: Ms. Julie 
Hammond, 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. Julie Hammond, telephone 571-372-
6174.

SUPPLEMENTARY INFORMATION: 

I. Background

    DoD is issuing this proposed rule to clarify, in the small business 
programs clause prescriptions, the appropriate use of the basic clause 
and its alternate clause. This rule does not substantively change the 
text of any clause (basic or alternate) nor does it change the 
requirement for use of any clause.

II. Discussion and Analysis

    This proposed rule addresses one DFARS part 219 clause that has an 
alternate and one clause that is an alternate to a FAR clause. The 
affected clauses are 252.219-7003, Small Business Subcontracting Plan 
(DoD Contracts), with one alternate, and 252.219-7010, Alternate A.
    This proposed rule provides a basic clause in full text and the 
alternate to the basic clause in full text for DFARS clause 252.219-
7003 instead of only providing the paragraphs that are changed in the 
alternate. Each clause (basic and alternate) will have a separate 
prescription, stating the applicability of the clause. A separate DFARS 
clause has been modified to incorporate FAR clause 52.219-18 and its 
two alternates into 252.219-7010, now titled

[[Page 58670]]

``Notification of Competition Limited to Eligible 8(a) Concerns--
Partnership Agreement.''
    The proposed rule does not change the clause prescriptions, and 
only clarifies for contracting officers the applicability of the clause 
(basic and alternate). The introductory text for the alternate clause 
will continue to explain what portions of the alternate are different 
from the basic clause.

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., 
because it merely revises the prescriptions for clarity and use of 
provisions and clauses in solicitation and contracts. The clauses with 
alternates are revised to include full text of the basic clause and the 
alternate clause for ease of use for the small businesses. However, an 
initial regulatory flexibility analysis has been performed and is 
summarized as follows: DFARS 252.219-7003 Small Business Subcontracting 
Plan (DoD Contracts) and its alternate are prescribed to be used with 
FAR 52.210-9 and its alternates. FAR 52.219-9 does not apply to small 
business concerns. Therefore there is no burden on any small business 
from this rule relative to the DFARS 252.219-7003 basic and alternate 
clauses.
    DFARS 252.219-7010, Alternate A, is the alternate for FAR 52.219-
18, Notification of Competition Limited to Eligible 8(a) Concerns. 
DFARS 252.219-7010 will affect only those 8(a) concerns when competing 
for an 8(a) award. Currently there are approximately 8,567 active small 
business concerns in the 8(a) program. However, these entities should 
not be economically impacted by the changes addressed in this proposed 
rule, since nothing substantive will change in solicitations or 
contracts for potential offerors, and only the appearance of how clause 
alternates are presented in solicitations and contracts will be 
changed. This rule should result in potential benefits to offerors, 
including small businesses, resulting in offerors expending less time 
to review and understand the solicitation and contract. The rule 
anticipates saving contractors' time by making all paragraph 
substitutions from the basic clause and by not requiring offerors to 
read inapplicable paragraphs contained in the basic clauses where 
alternates are also included in the solicitations and contracts.
    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-D017), 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 219 and 252

    Government procurement.

Jennifer L. Hawes,
Editor, Defense Acquisition Regulations System.

    Therefore, 48 CFR parts 219 and 252 are proposed to be amended as 
follows:

0
1. The authority citation for parts 202 and 252 continues to read as 
follows:

    Authority:  41 U.S.C. 1303 and 48 CFR chapter 1.

PART 219--SMALL BUSINESS PROGRAMS

0
2. In section 219.708, revise paragraph (b)(1)(A) to read as follows:


219.708   Contract clauses.

    (b)(1)(A) Use the basic or alternate clause at 252.219-7003, Small 
Business Subcontracting Plan (DoD Contracts), in solicitations and 
contracts, including solicitations and contracts using FAR part 12 
procedures for the acquisition of commercial items, that contain the 
clause at FAR 52.219-9, Small Business Subcontracting Plan.
    (1) Use the basic clause at 252.219-7003, when using the basic, 
alternate I, or alternate II of FAR 52.219-9.
    (2) Use the alternate I clause at 252.219-7003, when using 
Alternate III of FAR 52.219-9.
* * * * *
0
3. In section 219.811-3, revise paragraph (2) to read as follows:


219.811-3   Contract clauses.

* * * * *
    (2) Use the clause at 252.219-7010, Notification of Competition 
Limited to Eligible 8(a) Concerns--Partnership Agreement, in lieu of 
the clause at FAR 52.219-18, Notification of Competition Limited to 
Eligible 8(a) Concerns, in competitive solicitations and contracts when 
the acquisition is accomplished using the procedures of FAR 19.805 and 
processed in accordance with the PA cited in 219.800.
* * * * *

PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
4. Amend section 252.219-7003 by--
0
a. Revising the introductory text, clause title, and date;
0
b. In paragraph (c)(2), removing ``Section'' and adding ``section'' in 
its place; and
0
c. Revising Alternate I.
    The revisions read as follows:


252.219-7003   Small Business Subcontracting Plan (DoD Contracts).

    Basic. As prescribed in 219.708(b)(1)(A) and (b)(1)(A)(1), use the 
following clause:

Small Business Subcontracting Plan (DOD Contracts)--Basic (Date)

* * * * *
    Alternate I. As prescribed in 219.708(b)(1)(A) and (b)(1)(A)(2), 
use the following clause, which uses a different paragraph (f) than the 
basic clause.

Small Business Subcontracting Plan (DOD Contracts)--Alternate I (Date)

    This clause supplements the Federal Acquisition Regulation 
52.219-9, Small Business Subcontracting Plan, clause of this 
contract.
    (a) Definitions. Summary Subcontract Report (SSR) Coordinator, 
as used in this clause, means the individual at the department or 
agency level who is registered in eSRS and is responsible for 
acknowledging receipt or rejecting SSRs in eSRS for the department 
or agency.
    (b) Subcontracts awarded to workshops approved by the Committee 
for Purchase from People Who are Blind or Severely Disabled (41 
U.S.C. 8502-8504), may be counted toward the Contractor's small 
business subcontracting goal.
    (c) A mentor firm, under the Pilot Mentor-Protege Program 
established under section

[[Page 58671]]

831 of Public Law 101-510, as amended, may count toward its small 
disadvantaged business goal, subcontracts awarded to--
    (1) Protege firms which are qualified organizations employing 
the severely disabled; and
    (2) Former protege firms that meet the criteria in section 
831(g)(4) of Public Law 101-510.
    (d) The master plan is approved by the Contractor's cognizant 
contract administration activity.
    (e) In those subcontracting plans which specifically identify 
small businesses, the Contractor shall notify the Administrative 
Contracting Officer of any substitutions of firms that are not small 
business firms, for the small business firms specifically identified 
in the subcontracting plan. Notifications shall be in writing and 
shall occur within a reasonable period of time after award of the 
subcontract. Contractor-specified formats shall be acceptable.
    (f)(1) For DoD, the Contractor shall submit reports in eSRS as 
follows:
    (i) The Standard Form 294, Subcontracting Report for Individual 
Contracts, shall be submitted in accordance with the instructions on 
that form.
    (ii) An SSR for other than a commercial subcontracting plan, or 
construction and related maintenance repair contracts, shall be 
submitted in eSRS to the department or agency within DoD that 
administers the majority of the Contractor's individual 
subcontracting plans. An example would be Defense Finance and 
Accounting Service or Missile Defense Agency.
    (2) For DoD, the authority to acknowledge receipt or reject 
reports in eSRS is as follows:
    (i) Except as provided in paragraph (f)(2)(ii) of this clause, 
the authority to acknowledge receipt or reject SSRs in eSRS resides 
with the SSR Coordinator at the department or agency that 
administers the majority of the Contractor's individual 
subcontracting plans.
    (ii) The authority to acknowledge receipt or reject SSRs for 
construction and related maintenance and repair contracts resides 
with the SSR Coordinator for each department or agency.


(End of clause)
0
5. Revise section 252.219-7010 to read as follows:


252.219-7010   Notification of Competition Limited to Eligible 8(a) 
Concerns--Partnership Agreement.

    As prescribed in 219.811-3(2), use the following clause:

Notification of Competition Limited to Eligible 8(a) Concerns--
Partnership Agreement (Date)

    (a) Offers are solicited only from small business concerns 
expressly certified by the Small Business Administration (SBA) for 
participation in the SBA's 8(a) Program and which meet the following 
criteria at the time of submission of offer:
    (1) The Offeror is in conformance with the 8(a) support 
limitation set forth in its approved business plan.
    (2) The Offeror is in conformance with the Business Activity 
Targets set forth in its approved business plan or any remedial 
action directed by the SBA.
    (3) If the competition is to be limited to 8(a) concerns within 
one or more specific SBA regions or districts, then the offeror's 
approved business plan is on the file and serviced by _____.

[Contracting Officer completes by inserting the appropriate SBA 
District and/or Regional Office(s) as identified by the SBA.]
    (b) By submission of its offer, the Offeror represents that it 
meets all of the criteria set forth in paragraph (a) of this clause.
    (c) Any award resulting from this solicitation will be made 
directly by the Contracting Officer to the successful 8(a) offeror 
selected through the evaluation criteria set forth in this 
solicitation.
    (d)(1) Agreement. A small business concern submitting an offer 
in its own name shall furnish, in performing the contract, only end 
items manufactured or produced by small business concerns in the 
United States or its outlying areas, unless--
    (i) The Small Business Administration has determined that there 
are no small business manufactures or processors in the Federal 
market place in accordance with FAR 19.502-2(c);
    (ii) The acquisition is processed under simplified acquisition 
procedures and the total amount of this contract does not exceed 
$25,000, in which case a small business concern may furnish the 
product of any domestic firm; or
    (iii) The acquisition is a construction or service contract.
    (2) The _____ [insert name of SBA's contractor] will notify the 
_____ [insert name of contracting agency] Contracting Officer in 
writing immediately upon entering an agreement (either oral or 
written) to transfer all or part of its stock or other ownership 
interest to any other party.


(End of clause)

[FR Doc. 2015-24787 Filed 9-29-15; 8:45 am]
 BILLING CODE 5001-06-P



                                                                      Federal Register / Vol. 80, No. 189 / Wednesday, September 30, 2015 / Proposed Rules                                          58669

                                                    Subpart H—Administrative Appeals                        ■ 43. In § 2.66, revise paragraph (a) to                 Æ Regulations.gov: http://
                                                                                                            read as follows:                                      www.regulations.gov. Submit comments
                                                    § 2.57   [Amended]                                                                                            via the Federal eRulemaking portal by
                                                    ■  37. Amend § 2.57 by:                                 § 2.66   What are public liaisons?                    entering ‘‘DFARS Case 2015–D017’’
                                                    ■  a. In paragraph (a)(5), adding the                     (a) Each bureau has a FOIA Public                   under the heading ‘‘Enter keyword or
                                                    words ‘‘or you have been placed in the                  Liaison who can assist requesters who                 ID’’ and selecting ‘‘Search.’’ Select the
                                                    wrong fee category’’ after the word                     have concerns about the service they                  link ‘‘Submit a Comment’’ that
                                                    ‘‘calculated’’; and                                     received when seeking records or who                  corresponds with ‘‘DFARS Case 2015–
                                                    ■ b. In paragraph (a)(6), adding the                    are seeking assistance under § 2.3(d) or              D017.’’ Follow the instructions provided
                                                    words ‘‘your request for’’ after the word               § 2.37(i) of this part.                               at the ‘‘Submit a Comment’’ screen.
                                                    ‘‘denied’’.                                             *     *      *     *    *                             Please include your name, company
                                                    § 2.59   [Amended]
                                                                                                                                                                  name (if any), and ‘‘DFARS Case 2015–
                                                                                                            § 2.70   [Amended]
                                                                                                                                                                  D017’’ on your attached document.
                                                    ■ 38. In § 2.59(a), the first sentence,                 ■  44. Amend § 2.70 by:                                  Æ Email: osd.dfars@mail.mil. Include
                                                    remove the Web site address ‘‘http://                   ■  a. In the definition of Bureau,                    DFARS Case 2015–D017 in the subject
                                                    www.doi.gov/foia/appeals.cfm’’ and add                  removing the Web site address ‘‘http://               line of the message.
                                                    in its place the Web site address ‘‘http://             www.doi.gov/foia/contacts.cfm’’ and                      Æ Fax: 571–372–6094.
                                                    www.doi.gov/foia/appeals’’.                             adding in its place the Web site address                 Æ Mail: Defense Acquisition
                                                    ■ 39. Revise § 2.60 to read as follows:                 http://www.doi.gov/foia/contacts; and                 Regulations System, Attn: Ms. Julie
                                                                                                            ■ b. In the definition of Multitrack                  Hammond, OUSD(AT&L)DPAP/DARS,
                                                    § 2.60   Who makes decisions on appeals?
                                                                                                            processing, the second sentence, adding               Room 3B941, 3060 Defense Pentagon,
                                                      (a) The FOIA Appeals Officer is the                   the word ‘‘ordinarily’’ after the word
                                                    deciding official for FOIA appeals that                                                                       Washington, DC 20301–3060.
                                                                                                            ‘‘are’’.                                                 Comments received generally will be
                                                    do not appeal a decision of the Office                  [FR Doc. 2015–24703 Filed 9–29–15; 8:45 am]
                                                    of the Inspector General.                                                                                     posted without change to http://
                                                      (b) The General Counsel is the
                                                                                                            BILLING CODE 4310–10–P                                www.regulations.gov, including any
                                                    deciding official for FOIA appeals that                                                                       personal information provided. To
                                                    appeal a decision of the Office of the                                                                        confirm receipt of your comment(s),
                                                    Inspector General.                                      DEPARTMENT OF DEFENSE                                 please check www.regulations.gov,
                                                      (c) When necessary, the appropriate                                                                         approximately two to three days after
                                                                                                            Defense Acquisition Regulations                       submission to verify posting (except
                                                    deciding official for FOIA appeals will                 System
                                                    consult other appropriate offices,                                                                            allow 30 days for posting of comments
                                                    including the Office of the Solicitor or                                                                      submitted by mail).
                                                                                                            48 CFR Parts 219 and 252                              FOR FURTHER INFORMATION CONTACT: Ms.
                                                    Office of General Counsel for denials of
                                                    records and fee waivers.                                [Docket No. DARS 2015–0044]                           Julie Hammond, telephone 571–372–
                                                      (d) The deciding official for FOIA                    RIN 0750–AI68
                                                                                                                                                                  6174.
                                                    appeals normally will not make a                                                                              SUPPLEMENTARY INFORMATION:
                                                    decision on an appeal if the request                    Defense Federal Acquisition
                                                    becomes a matter of FOIA litigation.                    Regulation Supplement: Clauses With                   I. Background
                                                    ■ 40. Revise § 2.62 to read as follows:                 Alternates—Small Business Programs                       DoD is issuing this proposed rule to
                                                                                                            (DFARS Case 2015–D017)                                clarify, in the small business programs
                                                    § 2.62 When can you expect a decision on
                                                    your appeal?                                                                                                  clause prescriptions, the appropriate use
                                                                                                            AGENCY:  Defense Acquisition                          of the basic clause and its alternate
                                                       (a) The basic time limit for responding              Regulations System, Department of                     clause. This rule does not substantively
                                                    to an appeal is 20 workdays after receipt               Defense (DoD).                                        change the text of any clause (basic or
                                                    of an appeal meeting the requirements                   ACTION: Proposed rule.                                alternate) nor does it change the
                                                    of § 2.59 of this subpart.
                                                                                                                                                                  requirement for use of any clause.
                                                       (b) If the Department is unable to                   SUMMARY:    DoD is proposing to amend
                                                    reach a decision on your appeal within                  the Defense Federal Acquisition                       II. Discussion and Analysis
                                                    the given time limit for response, the                  Regulation Supplement (DFARS) to                         This proposed rule addresses one
                                                    appropriate deciding official for FOIA                  clarify clauses and their prescriptions               DFARS part 219 clause that has an
                                                    appeals will notify you of your statutory               for small business programs and to                    alternate and one clause that is an
                                                    right to seek review in a United States                 create a basic and alternate clause                   alternate to a FAR clause. The affected
                                                    District Court.                                         structured in a manner to facilitate use              clauses are 252.219–7003, Small
                                                                                                            of automated contract writing systems.                Business Subcontracting Plan (DoD
                                                    § 2.63   [Amended]                                      The rule also includes the full text of
                                                    ■ 41. In § 2.63, paragraphs (b) and (c),                                                                      Contracts), with one alternate, and
                                                                                                            the alternate, rather than only providing             252.219–7010, Alternate A.
                                                    remove the words ‘‘FOIA Appeals                         the paragraphs that differ from the basic
                                                    Officer’’ and add in their place the                                                                             This proposed rule provides a basic
                                                                                                            clause. The rule also clarifies one clause            clause in full text and the alternate to
                                                    words ‘‘appropriate deciding official for               that is an alternate to a Federal
                                                    FOIA appeals’’.                                                                                               the basic clause in full text for DFARS
                                                                                                            Acquisition Regulation (FAR) clause.                  clause 252.219–7003 instead of only
mstockstill on DSK4VPTVN1PROD with PROPOSALS




                                                                                                            DATES: Comments on the proposed rule                  providing the paragraphs that are
                                                    Subpart I—General Information
                                                                                                            should be submitted in writing to the                 changed in the alternate. Each clause
                                                    § 2.65   [Amended]                                      address shown below on or before                      (basic and alternate) will have a separate
                                                    ■  42. In § 2.65, the first sentence,                   November 30, 2015, to be considered in                prescription, stating the applicability of
                                                    remove the Web site address ‘‘http://                   the formation of a final rule.                        the clause. A separate DFARS clause has
                                                    www.doi.gov/foia/libraries.cfm’’ and                    ADDRESSES: Submit comments                            been modified to incorporate FAR
                                                    add in its place the Web site address                   identified by DFARS Case 2015–D017,                   clause 52.219–18 and its two alternates
                                                    ‘‘http://www.doi.gov/foia/libraries’’.                  using any of the following methods:                   into 252.219–7010, now titled


                                               VerDate Sep<11>2014   17:54 Sep 29, 2015   Jkt 235001   PO 00000   Frm 00034   Fmt 4702   Sfmt 4702   E:\FR\FM\30SEP1.SGM   30SEP1


                                                    58670             Federal Register / Vol. 80, No. 189 / Wednesday, September 30, 2015 / Proposed Rules

                                                    ‘‘Notification of Competition Limited to                should not be economically impacted by                  (2) Use the alternate I clause at
                                                    Eligible 8(a) Concerns—Partnership                      the changes addressed in this proposed                252.219–7003, when using Alternate III
                                                    Agreement.’’                                            rule, since nothing substantive will                  of FAR 52.219–9.
                                                       The proposed rule does not change                    change in solicitations or contracts for              *     *     *     *    *
                                                    the clause prescriptions, and only                      potential offerors, and only the                      ■ 3. In section 219.811–3, revise
                                                    clarifies for contracting officers the                  appearance of how clause alternates are               paragraph (2) to read as follows:
                                                    applicability of the clause (basic and                  presented in solicitations and contracts
                                                    alternate). The introductory text for the               will be changed. This rule should result              219.811–3    Contract clauses.
                                                    alternate clause will continue to explain               in potential benefits to offerors,                    *      *    *     *     *
                                                    what portions of the alternate are                      including small businesses, resulting in                 (2) Use the clause at 252.219–7010,
                                                    different from the basic clause.                        offerors expending less time to review                Notification of Competition Limited to
                                                    III. Executive Orders 12866 and 13563                   and understand the solicitation and                   Eligible 8(a) Concerns—Partnership
                                                                                                            contract. The rule anticipates saving                 Agreement, in lieu of the clause at FAR
                                                       Executive Orders (E.O.s) 12866 and                   contractors’ time by making all                       52.219–18, Notification of Competition
                                                    13563 direct agencies to assess all costs               paragraph substitutions from the basic                Limited to Eligible 8(a) Concerns, in
                                                    and benefits of available regulatory                    clause and by not requiring offerors to               competitive solicitations and contracts
                                                    alternatives and, if regulation is                      read inapplicable paragraphs contained                when the acquisition is accomplished
                                                    necessary, to select regulatory                         in the basic clauses where alternates are             using the procedures of FAR 19.805 and
                                                    approaches that maximize net benefits                   also included in the solicitations and                processed in accordance with the PA
                                                    (including potential economic,                          contracts.                                            cited in 219.800.
                                                    environmental, public health and safety                   DoD will also consider comments
                                                    effects, distributive impacts, and                                                                            *      *    *     *     *
                                                                                                            from small entities concerning the
                                                    equity). E.O. 13563 emphasizes the                      existing regulations in subparts affected             PART 252—SOLICITATION
                                                    importance of quantifying both costs                    by this rule in accordance with 5 U.S.C.              PROVISIONS AND CONTRACT
                                                    and benefits, of reducing costs, of                     610. Interested parties must submit such              CLAUSES
                                                    harmonizing rules, and of promoting                     comments separately and should cite 5
                                                    flexibility. This is not a significant                  U.S.C. 610 (DFARS Case 2015–D017), in                 ■  4. Amend section 252.219–7003 by—
                                                    regulatory action and, therefore, was not               correspondence.                                       ■  a. Revising the introductory text,
                                                    subject to review under section 6(b) of                                                                       clause title, and date;
                                                    E.O. 12866, Regulatory Planning and                     V. Paperwork Reduction Act                            ■ b. In paragraph (c)(2), removing
                                                    Review, dated September 30, 1993. This                    The rule does not contain any                       ‘‘Section’’ and adding ‘‘section’’ in its
                                                    rule is not a major rule under 5 U.S.C.                 information collection requirements that              place; and
                                                    804.                                                    require the approval of the Office of                 ■ c. Revising Alternate I.

                                                    IV. Regulatory Flexibility Act                          Management and Budget under the                          The revisions read as follows:
                                                                                                            Paperwork Reduction Act (44 U.S.C.
                                                       DoD does not expect this proposed                    chapter 35).                                          252.219–7003 Small Business
                                                    rule to have a significant economic                                                                           Subcontracting Plan (DoD Contracts).
                                                    impact on a substantial number of small                 List of Subjects in 48 CFR Parts 219 and                Basic. As prescribed in
                                                    entities within the meaning of the                      252                                                   219.708(b)(1)(A) and (b)(1)(A)(1), use
                                                    Regulatory Flexibility Act, 5 U.S.C. 601,                 Government procurement.                             the following clause:
                                                    et seq., because it merely revises the                                                                        Small Business Subcontracting Plan
                                                                                                            Jennifer L. Hawes,
                                                    prescriptions for clarity and use of                                                                          (DOD Contracts)—Basic (Date)
                                                    provisions and clauses in solicitation                  Editor, Defense Acquisition Regulations
                                                                                                            System.                                               *     *    *     *     *
                                                    and contracts. The clauses with
                                                    alternates are revised to include full text               Therefore, 48 CFR parts 219 and 252                   Alternate I. As prescribed in
                                                    of the basic clause and the alternate                   are proposed to be amended as follows:                219.708(b)(1)(A) and (b)(1)(A)(2), use
                                                    clause for ease of use for the small                    ■ 1. The authority citation for parts 202             the following clause, which uses a
                                                    businesses. However, an initial                         and 252 continues to read as follows:                 different paragraph (f) than the basic
                                                    regulatory flexibility analysis has been                  Authority: 41 U.S.C. 1303 and 48 CFR                clause.
                                                    performed and is summarized as                          chapter 1.                                            Small Business Subcontracting Plan
                                                    follows: DFARS 252.219–7003 Small                                                                             (DOD Contracts)—Alternate I (Date)
                                                    Business Subcontracting Plan (DoD                       PART 219—SMALL BUSINESS
                                                    Contracts) and its alternate are                        PROGRAMS                                                 This clause supplements the Federal
                                                    prescribed to be used with FAR 52.210–                                                                        Acquisition Regulation 52.219–9, Small
                                                                                                            ■ 2. In section 219.708, revise paragraph             Business Subcontracting Plan, clause of this
                                                    9 and its alternates. FAR 52.219–9 does                 (b)(1)(A) to read as follows:                         contract.
                                                    not apply to small business concerns.                                                                            (a) Definitions. Summary Subcontract
                                                    Therefore there is no burden on any                     219.708    Contract clauses.                          Report (SSR) Coordinator, as used in this
                                                    small business from this rule relative to                 (b)(1)(A) Use the basic or alternate                clause, means the individual at the
                                                    the DFARS 252.219–7003 basic and                        clause at 252.219–7003, Small Business                department or agency level who is registered
                                                    alternate clauses.                                      Subcontracting Plan (DoD Contracts), in               in eSRS and is responsible for acknowledging
                                                       DFARS 252.219–7010, Alternate A, is                  solicitations and contracts, including                receipt or rejecting SSRs in eSRS for the
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                                                    the alternate for FAR 52.219–18,                        solicitations and contracts using FAR                 department or agency.
                                                    Notification of Competition Limited to                  part 12 procedures for the acquisition of                (b) Subcontracts awarded to workshops
                                                    Eligible 8(a) Concerns. DFARS 252.219–                                                                        approved by the Committee for Purchase
                                                                                                            commercial items, that contain the                    from People Who are Blind or Severely
                                                    7010 will affect only those 8(a) concerns               clause at FAR 52.219–9, Small Business                Disabled (41 U.S.C. 8502–8504), may be
                                                    when competing for an 8(a) award.                       Subcontracting Plan.                                  counted toward the Contractor’s small
                                                    Currently there are approximately 8,567                   (1) Use the basic clause at 252.219–                business subcontracting goal.
                                                    active small business concerns in the                   7003, when using the basic, alternate I,                 (c) A mentor firm, under the Pilot Mentor-
                                                    8(a) program. However, these entities                   or alternate II of FAR 52.219–9.                      Protege Program established under section



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                                                                      Federal Register / Vol. 80, No. 189 / Wednesday, September 30, 2015 / Proposed Rules                                         58671

                                                    831 of Public Law 101–510, as amended, may              approved business plan or any remedial                attachments accessible via the Product
                                                    count toward its small disadvantaged                    action directed by the SBA.                           Deficiency Reporting and Evaluation
                                                    business goal, subcontracts awarded to—                    (3) If the competition is to be limited to         Program to record and track warranty
                                                       (1) Protege firms which are qualified                8(a) concerns within one or more specific
                                                                                                                                                                  data and source of repair information for
                                                    organizations employing the severely                    SBA regions or districts, then the offeror’s
                                                    disabled; and                                           approved business plan is on the file and             serialized items.
                                                       (2) Former protege firms that meet the               serviced by lllll.                                    DATES: Comments on the proposed rule
                                                    criteria in section 831(g)(4) of Public Law             [Contracting Officer completes by inserting           should be submitted in writing to the
                                                    101–510.                                                the appropriate SBA District and/or Regional          address shown below on or before
                                                       (d) The master plan is approved by the               Office(s) as identified by the SBA.]                  November 30, 2015, to be considered in
                                                    Contractor’s cognizant contract                            (b) By submission of its offer, the Offeror        the formation of a final rule.
                                                    administration activity.                                represents that it meets all of the criteria set
                                                       (e) In those subcontracting plans which                                                                    ADDRESSES: Submit comments
                                                                                                            forth in paragraph (a) of this clause.
                                                    specifically identify small businesses, the                                                                   identified by DFARS Case 2014–D026,
                                                                                                               (c) Any award resulting from this
                                                    Contractor shall notify the Administrative              solicitation will be made directly by the             using any of the following methods:
                                                    Contracting Officer of any substitutions of             Contracting Officer to the successful 8(a)               Æ Regulations.gov: http://
                                                    firms that are not small business firms, for            offeror selected through the evaluation               www.regulations.gov. Submit comments
                                                    the small business firms specifically                   criteria set forth in this solicitation.              via the Federal eRulemaking portal by
                                                    identified in the subcontracting plan.                     (d)(1) Agreement. A small business                 entering ‘‘DFARS Case 2014–D026’’
                                                    Notifications shall be in writing and shall
                                                    occur within a reasonable period of time after
                                                                                                            concern submitting an offer in its own name           under the heading ‘‘Enter keyword or
                                                                                                            shall furnish, in performing the contract,            ID’’ and selecting ‘‘Search.’’ Select the
                                                    award of the subcontract. Contractor-
                                                                                                            only end items manufactured or produced by            link ‘‘Submit a Comment’’ that
                                                    specified formats shall be acceptable.
                                                                                                            small business concerns in the United States          corresponds with ‘‘DFARS Case 2014–
                                                       (f)(1) For DoD, the Contractor shall submit
                                                                                                            or its outlying areas, unless—
                                                    reports in eSRS as follows:
                                                                                                               (i) The Small Business Administration has
                                                                                                                                                                  D026.’’ Follow the instructions provided
                                                       (i) The Standard Form 294, Subcontracting                                                                  at the ‘‘Submit a Comment’’ screen.
                                                                                                            determined that there are no small business
                                                    Report for Individual Contracts, shall be                                                                     Please include your name, company
                                                                                                            manufactures or processors in the Federal
                                                    submitted in accordance with the                                                                              name (if any), and ‘‘DFARS Case 2014–
                                                                                                            market place in accordance with FAR
                                                    instructions on that form.
                                                       (ii) An SSR for other than a commercial              19.502–2(c);                                          D026’’ on your attached document.
                                                    subcontracting plan, or construction and                   (ii) The acquisition is processed under               Æ Email: osd.dfars@mail.mil. Include
                                                    related maintenance repair contracts, shall be          simplified acquisition procedures and the             DFARS Case 2014–D026 in the subject
                                                    submitted in eSRS to the department or                  total amount of this contract does not exceed         line of the message.
                                                    agency within DoD that administers the                  $25,000, in which case a small business                  Æ Fax: 571–372–6094.
                                                    majority of the Contractor’s individual                 concern may furnish the product of any                   Æ Mail: Defense Acquisition
                                                                                                            domestic firm; or
                                                    subcontracting plans. An example would be                                                                     Regulations System, Attn: Ms. Kyoung
                                                    Defense Finance and Accounting Service or                  (iii) The acquisition is a construction or
                                                                                                            service contract.                                     Lee, OUSD(AT&L)DPAP/DARS, Room
                                                    Missile Defense Agency.                                                                                       3B941, 3060 Defense Pentagon,
                                                       (2) For DoD, the authority to acknowledge               (2) The lllll [insert name of SBA’s
                                                                                                            contractor] will notify the lllll [insert             Washington, DC 20301–3060.
                                                    receipt or reject reports in eSRS is as follows:
                                                       (i) Except as provided in paragraph (f)(2)(ii)       name of contracting agency] Contracting                  Comments received generally will be
                                                    of this clause, the authority to acknowledge            Officer in writing immediately upon entering          posted without change to http://
                                                    receipt or reject SSRs in eSRS resides with             an agreement (either oral or written) to              www.regulations.gov, including any
                                                    the SSR Coordinator at the department or                transfer all or part of its stock or other            personal information provided. To
                                                    agency that administers the majority of the             ownership interest to any other party.                confirm receipt of your comment(s),
                                                    Contractor’s individual subcontracting plans.           (End of clause)                                       please check www.regulations.gov,
                                                       (ii) The authority to acknowledge receipt or                                                               approximately two to three days after
                                                                                                            [FR Doc. 2015–24787 Filed 9–29–15; 8:45 am]
                                                    reject SSRs for construction and related                                                                      submission to verify posting (except
                                                    maintenance and repair contracts resides                BILLING CODE 5001–06–P
                                                    with the SSR Coordinator for each
                                                                                                                                                                  allow 30 days for posting of comments
                                                    department or agency.                                                                                         submitted by mail).
                                                                                                            DEPARTMENT OF DEFENSE                                 FOR FURTHER INFORMATION CONTACT: Ms.
                                                    (End of clause)                                                                                               Kyoung Lee, telephone 571–372–6093.
                                                    ■ 5. Revise section 252.219–7010 to                     Defense Acquisition Regulations                       SUPPLEMENTARY INFORMATION:
                                                    read as follows:                                        System
                                                                                                                                                                  I. Background
                                                    252.219–7010 Notification of Competition
                                                    Limited to Eligible 8(a) Concerns—                      48 CFR Parts 246 and 252                                 On June 8, 2011, DoD published a
                                                    Partnership Agreement.                                  [Docket No. DARS–2015–0054]                           final rule in the Federal Register (76 FR
                                                      As prescribed in 219.811–3(2), use the                                                                      33166) to establish the requirements and
                                                    following clause:                                       RIN 0750–AI39                                         formats for tracking warranties for items
                                                                                                                                                                  subject to Item Unique Identification
                                                    Notification of Competition Limited to                  Defense Federal Acquisition
                                                                                                                                                                  (IUID) in the IUID registry in the
                                                    Eligible 8(a) Concerns—Partnership                      Regulation Supplement: Warranty
                                                                                                                                                                  DFARS. The rule added the provision at
                                                    Agreement (Date)                                        Tracking of Serialized Items (DFARS
                                                                                                                                                                  DFARS 252.246–7005, Notice of
                                                                                                            Case 2014–D026)
                                                      (a) Offers are solicited only from small                                                                    Warranty Tracking of Serialized Items,
                                                    business concerns expressly certified by the                                                                  and the clause at DFARS 252.246–7006,
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                                                                                                            AGENCY:  Defense Acquisition
                                                    Small Business Administration (SBA) for                 Regulations System, Department of                     Warranty Tracking of Serialized Items,
                                                    participation in the SBA’s 8(a) Program and                                                                   with standard contract attachments and
                                                                                                            Defense (DoD).
                                                    which meet the following criteria at the time
                                                                                                            ACTION: Proposed rule.                                instructions for reporting data necessary
                                                    of submission of offer:
                                                      (1) The Offeror is in conformance with the                                                                  to track warranty information for each
                                                    8(a) support limitation set forth in its                SUMMARY:  DoD is proposing to amend                   serialized item.
                                                    approved business plan.                                 the Defense Federal Acquisition                          On April 12, 2012, the Director,
                                                      (2) The Offeror is in conformance with the            Regulation Supplement (DFARS) to                      Defense Procurement Acquisition Policy
                                                    Business Activity Targets set forth in its              require use of the electronic contract                (DPAP), issued a memorandum entitled


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Document Created: 2015-12-15 09:31:36
Document Modified: 2015-12-15 09:31:36
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionProposed rule.
DatesComments on the proposed rule should be submitted in writing to
ContactMs. Julie Hammond, telephone 571-372- 6174.
FR Citation80 FR 58669 
RIN Number0750-AI68
CFR Citation48 CFR 219
48 CFR 252

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