81_FR_6513 81 FR 6488 - Defense Federal Acquisition Regulation Supplement: DFARS Case 2016-D017, Independent Research and Development Expenses

81 FR 6488 - Defense Federal Acquisition Regulation Supplement: DFARS Case 2016-D017, Independent Research and Development Expenses

DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System

Federal Register Volume 81, Issue 25 (February 8, 2016)

Page Range6488-6489
FR Document2016-02396

DoD is seeking information that will assist in the development of a revision to the DFARS to ensure that substantial future independent research and development (IR&D) expenses as a means to reduce evaluated bid prices in competitive source selections are evaluated in a uniform way during competitive source selections. In addition to the request for written comments on this proposed rulemaking, DoD will hold a public meeting to hear the views of interested parties.

Federal Register, Volume 81 Issue 25 (Monday, February 8, 2016)
[Federal Register Volume 81, Number 25 (Monday, February 8, 2016)]
[Proposed Rules]
[Pages 6488-6489]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-02396]


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DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

48 CFR Parts 215 and 252

RIN 0750-AI84


Defense Federal Acquisition Regulation Supplement: DFARS Case 
2016-D017, Independent Research and Development Expenses

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

ACTION: Advance notice of proposed rulemaking.

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

SUMMARY: DoD is seeking information that will assist in the development 
of a revision to the DFARS to ensure that substantial future 
independent research and development (IR&D) expenses as a means to 
reduce evaluated bid prices in competitive source selections are 
evaluated in a uniform way during competitive source selections. In 
addition to the request for written comments on this proposed 
rulemaking, DoD will hold a public meeting to hear the views of 
interested parties.

DATES: Submission of comments: Interested parties should submit written 
comments to the address shown below on or before April 8, 2016, to be 
considered in the development of any proposed DFARS rule.
    Public meeting: A public meeting will be held in the General 
Services Administration (GSA), Central Office Auditorium, 1800 F Street 
NW., Washington DC, 20405, on March 3, 2016, from 12:00 p.m. to 4:00 
p.m., local time. The GSA Auditorium is located on the main floor of 
the building.
    Individuals wishing to attend the public meeting should register by 
February 25, 2016, to ensure adequate accommodations, to facilitate 
entry into the building, and to create an attendee list for secure 
entry to the GSA building for anyone who is not a Federal Government 
employee with a Government badge. Interested parties may register at 
the Web site, http://www.acq.osd.mil/dpap/dars/IR&D.html, by providing 
the following information:
     Company or organization name;
     Names, telephone numbers and email addresses of persons 
planning to attend;
     Last four digits of social security number for each 
attendee (non-Federal employees only); and
     Identify if company or organization desires to make a 
presentation; limit to one presentation per company or organization. 
Presentations will be limited to approximately 10 minutes as time 
permits.
    One valid, government-issued photo identification card will be 
required to enter the building. Non-U.S. citizens may use their valid 
passport as photo identification. Attendees are encouraged to arrive at 
least 30 minutes early to accommodate security procedures.
    Special Accommodations: The public meeting location is physically 
accessible to persons with disabilities. Requests for sign language 
interpretation or other auxiliary aids should be directed to Mr. Mark 
Gomersall, telephone 703-602-0302, at least 10 working days prior to 
the meeting date.

ADDRESSES: Submit comments identified by DFARS Case 2016-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 2016-D017'' 
under the heading ``Enter keyword or ID'' and selecting ``Search.'' 
Select the link ``Submit a Comment'' that corresponds with ``DFARS Case 
2016-D017.'' Follow the instructions provided at the ``Submit a 
Comment'' screen. Please include your name, company name (if any), and 
``DFARS Case 2016-D017'' on your attached document.
    [cir] Email: [email protected]. Include DFARS Case 2016-D017 in 
the subject line of the message.
    [cir] Fax: 571-372-6099.
    [cir] Mail: Defense Acquisition Regulations System, Attn: Mr. Mark 
Gomersall, 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 
(allow 30 days for posting of comments submitted by mail).

FOR FURTHER INFORMATION CONTACT: Mr. Mark Gomersall, telephone 571-372-
6099; facsimile 571-372-6101.

SUPPLEMENTARY INFORMATION: 

I. Background

    As expressed in the ``Implementation Directive for Better Buying 
Power 3.0--Achieving Dominant Capabilities Through Technical Excellence 
and Innovation,'' dated April 9, 2015, the Under Secretary of Defense 
for Acquisition, Technology and Logistics noted a concern when 
``promised future IRAD [Independent Research and Development] 
expenditures are used to substantially reduce the bid price on 
competitive procurements. In these cases, development price proposals 
are reduced by using a separate source of government funding (allowable 
IRAD overhead expenses spread across the total business) to gain a 
price advantage in a specific competitive bid. This is not the intended 
purpose of making IRAD an allowable cost.''
    DoD is considering a proposed approach whereby solicitations would 
require offerors to describe in detail the nature and value of 
prospective IR&D projects on which the offeror would rely to perform 
the resultant contract. Then, as a standard approach, DoD would 
evaluate proposals in a manner that would take into account that 
reliance by adjusting the total evaluated price to the Government, for 
evaluation purposes only, to include the value of related future IR&D 
projects.

II. Solicitation of Public Comment

    DoD is seeking comments on this planned approach in order to assist 
in the development of a proposed DFARS rule. Specifically, the 
Department is interested in understanding whether the planned approach 
would achieve the objective of treating the proposed use of substantial 
future IR&D expenses as a

[[Page 6489]]

means to reduce evaluated bid prices in competitive source selections 
in a uniform manner that is consistent with the objective of making 
IR&D an allowable cost.

List of Subjects in 48 CFR Parts 215 and 252

    Government procurement.

Jennifer L. Hawes,
Editor, Defense Acquisition Regulations System.
[FR Doc. 2016-02396 Filed 2-5-16; 8:45 am]
BILLING CODE 5001-06-P



                                                      6488                   Federal Register / Vol. 81, No. 25 / Monday, February 8, 2016 / Proposed Rules

                                                        • Does not provide EPA with the                       comments to the address shown below                      Æ Email: osd.dfars@mail.mil. Include
                                                      discretionary authority to address, as                  on or before April 8, 2016, to be                     DFARS Case 2016–D017 in the subject
                                                      appropriate, disproportionate human                     considered in the development of any                  line of the message.
                                                      health or environmental effects, using                  proposed DFARS rule.                                     Æ Fax: 571–372–6099.
                                                      practicable and legally permissible                        Public meeting: A public meeting will                 Æ Mail: Defense Acquisition
                                                      methods, under Executive Order 12898                    be held in the General Services                       Regulations System, Attn: Mr. Mark
                                                      (59 FR 7629, February 16, 1994).                        Administration (GSA), Central Office                  Gomersall, OUSD (AT&L) DPAP/DARS,
                                                        The SIP is not approved to apply on                   Auditorium, 1800 F Street NW.,                        Room 3B941, 3060 Defense Pentagon,
                                                      any Indian reservation land or in any                   Washington DC, 20405, on March 3,                     Washington, DC 20301–3060.
                                                      other area where EPA or an Indian tribe                 2016, from 12:00 p.m. to 4:00 p.m., local                Comments received generally will be
                                                      has demonstrated that a tribe has                       time. The GSA Auditorium is located on                posted without change to http://
                                                      jurisdiction. In those areas of Indian                  the main floor of the building.                       www.regulations.gov, including any
                                                      country, the proposed rule does not                        Individuals wishing to attend the                  personal information provided. To
                                                      have tribal implications and will not                   public meeting should register by                     confirm receipt of your comment(s),
                                                      impose substantial direct costs on tribal               February 25, 2016, to ensure adequate                 please check www.regulations.gov,
                                                      governments or preempt tribal law as                    accommodations, to facilitate entry into              approximately two to three days after
                                                      specified by Executive Order 13175 (65                  the building, and to create an attendee               submission to verify posting (allow 30
                                                      FR 67249, November 9, 2000).                            list for secure entry to the GSA building             days for posting of comments submitted
                                                      List of Subjects in 40 CFR Part 52                      for anyone who is not a Federal                       by mail).
                                                                                                              Government employee with a                            FOR FURTHER INFORMATION CONTACT: Mr.
                                                        Environmental protection, Air                         Government badge. Interested parties                  Mark Gomersall, telephone 571–372–
                                                      pollution control, Incorporation by                     may register at the Web site, http://                 6099; facsimile 571–372–6101.
                                                      reference, Intergovernmental relations,                 www.acq.osd.mil/dpap/dars/IR&D.html,
                                                      Interstate transport of pollution,                                                                            SUPPLEMENTARY INFORMATION:
                                                                                                              by providing the following information:
                                                      Nitrogen dioxide, Ozone, Reporting and                     • Company or organization name;                    I. Background
                                                      recordkeeping requirements, Visibility.                    • Names, telephone numbers and                       As expressed in the ‘‘Implementation
                                                         Authority: 42 U.S.C. 7401 et seq.                    email addresses of persons planning to                Directive for Better Buying Power 3.0—
                                                        Dated: January 26, 2016.                              attend;                                               Achieving Dominant Capabilities
                                                      Ron Curry,
                                                                                                                 • Last four digits of social security              Through Technical Excellence and
                                                                                                              number for each attendee (non-Federal                 Innovation,’’ dated April 9, 2015, the
                                                      Regional Administrator, Region 6.
                                                                                                              employees only); and                                  Under Secretary of Defense for
                                                      [FR Doc. 2016–02310 Filed 2–5–16; 8:45 am]
                                                                                                                 • Identify if company or organization              Acquisition, Technology and Logistics
                                                      BILLING CODE 6560–50–P
                                                                                                              desires to make a presentation; limit to              noted a concern when ‘‘promised future
                                                                                                              one presentation per company or                       IRAD [Independent Research and
                                                                                                              organization. Presentations will be                   Development] expenditures are used to
                                                      DEPARTMENT OF DEFENSE                                   limited to approximately 10 minutes as                substantially reduce the bid price on
                                                                                                              time permits.                                         competitive procurements. In these
                                                      Defense Acquisition Regulations                            One valid, government-issued photo
                                                      System                                                                                                        cases, development price proposals are
                                                                                                              identification card will be required to               reduced by using a separate source of
                                                                                                              enter the building. Non-U.S. citizens                 government funding (allowable IRAD
                                                      48 CFR Parts 215 and 252                                may use their valid passport as photo                 overhead expenses spread across the
                                                      RIN 0750–AI84                                           identification. Attendees are encouraged              total business) to gain a price advantage
                                                                                                              to arrive at least 30 minutes early to                in a specific competitive bid. This is not
                                                      Defense Federal Acquisition                             accommodate security procedures.                      the intended purpose of making IRAD
                                                      Regulation Supplement: DFARS Case                          Special Accommodations: The public                 an allowable cost.’’
                                                      2016–D017, Independent Research and                     meeting location is physically accessible               DoD is considering a proposed
                                                      Development Expenses                                    to persons with disabilities. Requests for            approach whereby solicitations would
                                                      AGENCY: Defense Acquisition                             sign language interpretation or other                 require offerors to describe in detail the
                                                      Regulations System, Department of                       auxiliary aids should be directed to Mr.              nature and value of prospective IR&D
                                                      Defense (DoD).                                          Mark Gomersall, telephone 703–602–                    projects on which the offeror would rely
                                                      ACTION: Advance notice of proposed
                                                                                                              0302, at least 10 working days prior to               to perform the resultant contract. Then,
                                                      rulemaking.                                             the meeting date.                                     as a standard approach, DoD would
                                                                                                              ADDRESSES: Submit comments                            evaluate proposals in a manner that
                                                      SUMMARY:   DoD is seeking information                   identified by DFARS Case 2016–D017,                   would take into account that reliance by
                                                      that will assist in the development of a                using any of the following methods:                   adjusting the total evaluated price to the
                                                      revision to the DFARS to ensure that                       Æ Regulations.gov: http://                         Government, for evaluation purposes
                                                      substantial future independent research                 www.regulations.gov. Submit comments                  only, to include the value of related
                                                      and development (IR&D) expenses as a                    via the Federal eRulemaking portal by                 future IR&D projects.
                                                      means to reduce evaluated bid prices in                 entering ‘‘DFARS Case 2016–D017’’
asabaliauskas on DSK5VPTVN1PROD with PROPOSALS




                                                      competitive source selections are                       under the heading ‘‘Enter keyword or                  II. Solicitation of Public Comment
                                                      evaluated in a uniform way during                       ID’’ and selecting ‘‘Search.’’ Select the               DoD is seeking comments on this
                                                      competitive source selections. In                       link ‘‘Submit a Comment’’ that                        planned approach in order to assist in
                                                      addition to the request for written                     corresponds with ‘‘DFARS Case 2016–                   the development of a proposed DFARS
                                                      comments on this proposed rulemaking,                   D017.’’ Follow the instructions provided              rule. Specifically, the Department is
                                                      DoD will hold a public meeting to hear                  at the ‘‘Submit a Comment’’ screen.                   interested in understanding whether the
                                                      the views of interested parties.                        Please include your name, company                     planned approach would achieve the
                                                      DATES: Submission of comments:                          name (if any), and ‘‘DFARS Case 2016–                 objective of treating the proposed use of
                                                      Interested parties should submit written                D017’’ on your attached document.                     substantial future IR&D expenses as a


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                                                                             Federal Register / Vol. 81, No. 25 / Monday, February 8, 2016 / Proposed Rules                                             6489

                                                      means to reduce evaluated bid prices in                 FOR FURTHER INFORMATION CONTACT:                      to the Fishery Management Plan for
                                                      competitive source selections in a                      Mark Wildman, Office of International                 Groundfish of the Bering Sea and
                                                      uniform manner that is consistent with                  Affairs and Seafood Inspection;                       Aleutian Islands Management Area
                                                      the objective of making IR&D an                         telephone: (301) 427–8350.                            (FMP). If approved, this proposed rule
                                                      allowable cost.                                         SUPPLEMENTARY INFORMATION: On                         would amend regulations governing the
                                                                                                              December 29, 2015, NMFS published a                   Western Alaska Community
                                                      List of Subjects in 48 CFR Parts 215 and
                                                                                                              proposed rule (80 FR 81251) to integrate              Development Quota (CDQ) Program to
                                                      252
                                                                                                              three currently paper-based seafood                   support increased participation in the
                                                         Government procurement.                              trade monitoring programs within the                  groundfish CDQ fisheries (primarily
                                                      Jennifer L. Hawes,                                      scope of electronic data collection                   Pacific cod) by catcher vessels less than
                                                                                                              through the U.S. government-wide                      or equal to 46 feet (ft) (14.0 meters (m))
                                                      Editor, Defense Acquisition Regulations
                                                      System.                                                 International Trade Data System.                      length overall (LOA) using hook-and-
                                                                                                              Background information on the                         line gear. Specifically, this proposed
                                                      [FR Doc. 2016–02396 Filed 2–5–16; 8:45 am]
                                                                                                              proposed rule is provided at: http://                 rule would exempt operators of
                                                      BILLING CODE 5001–06–P
                                                                                                              www.regulations.gov/                                  registered catcher vessels greater than
                                                                                                              #!docketDetail;D=NOAA-NMFS-2009-                      32 ft (9.8 m) LOA and less than or equal
                                                                                                              0124. The purpose of the meeting is to                to 46 ft LOA using hook-and-line gear
                                                      DEPARTMENT OF COMMERCE                                  inform the public of the proposed                     from the requirement to obtain and
                                                                                                              requirements for filing entries and                   carry a License Limitation Program
                                                      National Oceanic and Atmospheric                        exports within the International Trade                license when groundfish CDQ fishing.
                                                      Administration                                          Data System. Following the presentation               The proposed rule also would reduce
                                                                                                              of the proposed rule, a question and                  observer coverage requirements for
                                                      50 CFR Parts 216 and 300                                answer session will be accommodated                   catcher vessels less than or equal to 46
                                                                                                              as time allows. Public comment on the                 ft LOA when groundfish CDQ fishing,
                                                      RIN 0648–AX63
                                                                                                              proposed rule should be submitted by                  and implement new in-season
                                                      Trade Monitoring Procedures for                         February 29, 2016 through                             management and catch accounting
                                                      Fishery Products; International Trade                   www.regulations.gov by accessing                      requirements to properly account for the
                                                      in Seafood; Permit Requirements for                     docket NOAA–NMFS–2009–0124.                           harvest of groundfish and halibut and
                                                      Importers and Exporters; Public                                                                               the accrual of halibut prohibited species
                                                                                                              Special Accommodations                                catch in these fisheries. In addition to
                                                      Meeting
                                                                                                                The meeting is physically accessible                the proposed regulations necessary to
                                                      AGENCY:  National Marine Fisheries                      to people with disabilities. Requests for             implement Amendment 109, NMFS
                                                      Service (NMFS), National Oceanic and                    sign language interpretation or other                 proposes to remove a table in the
                                                      Atmospheric Administration (NOAA),                      auxiliary aids should be directed to                  regulations because it is no longer
                                                      Commerce.                                               Mark Wildman at (301) 427–8350 at                     necessary. This action is intended to
                                                      ACTION: Notice of public meeting.                       least 5 days prior to the meeting date.               facilitate increased participation by
                                                                                                                Dated: February 2, 2016.                            residents of CDQ communities in the
                                                      SUMMARY:   The National Marine                                                                                groundfish fisheries in the Bering Sea
                                                      Fisheries Service will hold a public                    Steven Wilson,
                                                                                                                                                                    and Aleutian Islands Management Area,
                                                      webinar to present details of a                         Acting Director, Office for International
                                                                                                              Affairs and Seafood Inspection, National
                                                                                                                                                                    and to support economic development
                                                      previously issued proposed rule (which                                                                        in western Alaska. This action is
                                                                                                              Marine Fisheries Service.
                                                      published December 29, 2015) for                                                                              necessary to promote the goals of the
                                                                                                              [FR Doc. 2016–02418 Filed 2–5–16; 8:45 am]
                                                      electronic filing of seafood trade                                                                            CDQ Program, and to promote the goals
                                                      documents and will allow time for                       BILLING CODE 3510–22–P
                                                                                                                                                                    and objectives of the FMP, the
                                                      questions from the public.                                                                                    Magnuson-Stevens Fishery
                                                      DATES: The meeting will be held                         DEPARTMENT OF COMMERCE                                Conservation and Management Act, and
                                                      Wednesday, September, 17, 2016, from                                                                          other applicable laws.
                                                      3 p.m. until 4 p.m. eastern standard                    National Oceanic and Atmospheric                      DATES:Submit comments on or before
                                                      time. Written comments on the                           Administration                                        March 9, 2016.
                                                      proposed rule (December 29, 2015; 80
                                                      FR 81251) must be received by February                  50 CFR Part 679                                       ADDRESSES:   You may submit comments
                                                      29, 2016.                                                                                                     on this document, identified by NOAA–
                                                                                                              [Docket No. 150430410–6046–01]                        NMFS–2015–0060, by any of the
                                                      ADDRESSES: For information about
                                                      connecting and system requirements to                   RIN 0648–BF05                                         following methods:
                                                      attend the webinar, visit: http://                                                                              • Electronic Submission: Submit all
                                                      www.nmfs.noaa.gov/ia/slider_stories/                    Fisheries of the Exclusive Economic                   electronic public comments via the
                                                      2015/12/itds_proposed_rule.html.                        Zone Off Alaska; Western Alaska                       Federal eRulemaking Portal. Go to
                                                      Participants are encouraged to use their                Community Development Quota                           www.regulations.gov/
                                                      telephone for the audio portion of the                  Program                                               #!docketDetail;D=NOAA-NMFS-2015-
asabaliauskas on DSK5VPTVN1PROD with PROPOSALS




                                                      meeting. Instructions for audio access                  AGENCY:  National Marine Fisheries                    0060, click the ‘‘Comment Now!’’ icon,
                                                      will be on the Web page referenced                      Service (NMFS), National Oceanic and                  complete the required fields, and enter
                                                      above and will be shown on the screen                   Atmospheric Administration (NOAA),                    or attach your comments.
                                                      before joining the webinar.                             Commerce.                                               • Mail: Submit written comments to
                                                         Public comment on the proposed rule                  ACTION: Proposed rule; request for                    Glenn Merrill, Assistant Regional
                                                      should be submitted by February 29,                     comments.                                             Administrator, Sustainable Fisheries
                                                      2016 through www.regulations.gov by                                                                           Division, Alaska Region NMFS, Attn:
                                                      accessing docket NOAA–NMFS–2009–                        SUMMARY:  NMFS issues a proposed rule                 Ellen Sebastian. Mail comments to P.O.
                                                      0124.                                                   that would implement Amendment 109                    Box 21668, Juneau, AK 99802–1668.


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Document Created: 2016-02-06 00:24:42
Document Modified: 2016-02-06 00:24:42
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
ActionAdvance notice of proposed rulemaking.
DatesSubmission of comments: Interested parties should submit written
ContactMr. Mark Gomersall, telephone 571-372- 6099; facsimile 571-372-6101.
FR Citation81 FR 6488 
RIN Number0750-AI84
CFR Citation48 CFR 215
48 CFR 252

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