83 FR 24895 - Defense Federal Acquisition Regulation Supplement: Micro-Purchase Threshold (DFARS Case 2017-D027)

DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System

Federal Register Volume 83, Issue 104 (May 30, 2018)

DoD is issuing a final rule amending the Defense Federal Acquisition Regulation Supplement (DFARS) to implement sections of the National Defense Authorization Act for Fiscal Year 2017 that increase the micro-purchase thresholds for certain Department of Defense acquisitions.

[Federal Register Volume 83, Number 104 (Wednesday, May 30, 2018)]
[Rules and Regulations]
[Pages 24895-24896]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-11349]


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

DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

48 CFR Parts 202 and 252

[Docket DARS-2018-0027]
RIN 0750-AJ34


Defense Federal Acquisition Regulation Supplement: Micro-Purchase 
Threshold (DFARS Case 2017-D027)

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

ACTION: Final rule.

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

SUMMARY: DoD is issuing a final rule amending the Defense Federal 
Acquisition Regulation Supplement (DFARS) to implement sections of the 
National Defense Authorization Act for Fiscal Year 2017 that increase 
the micro-purchase thresholds for certain Department of Defense 
acquisitions.

DATES: Effective May 30, 2018.

FOR FURTHER INFORMATION CONTACT: Ms. Carrie Moore, telephone 571-372-
6093.

SUPPLEMENTARY INFORMATION: 

I. Background

    DoD is amending the DFARS to implement sections 217(a) and 821 of 
the National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2017 
(Pub. L. 114-328). Section 821 increases the micro-purchase threshold 
for the Department of Defense procurements to $5,000. Section 217(a) 
further increases the micro-purchase threshold to $10,000 for purposes 
of DoD basic research programs and for the activities of the DoD 
science and technology reinvention laboratories. Accordingly, DFARS 
section 202.101, Definitions, is amended to add a new micro-purchase 
threshold definition as it relates to DoD procurements, to be used in 
lieu of the definition in the Federal Acquisition Regulation (FAR). To 
align with the addition of the new DoD micro-purchase definition, a 
cross-reference to the definition at FAR 2.101 is revised in DFARS 
clause 252.232-7009, Mandatory Payments by Governmentwide Commercial 
Purchase Card.

II. Applicability to Contracts at or Below the Simplified Acquisition 
Threshold (SAT) and for Commercial Items, Including Commercially 
Available Off-the-Shelf (COTS) Items

    This rule amends DFARS 202.101 to add an alternate definition for 
``micro-purchase threshold'' in lieu of the definition of ``micro-
purchase threshold'' at FAR 2.101. This rule simply clarifies the 
application of the micro-purchase threshold as it relates to DoD 
procurements, and does not apply additional requirements to contracts 
at or below the SAT or for the acquisition of commercial items, 
including COTS items.

III. Publication of This Final Rule for Public Comment Is Not Required 
by Statute

    The statute that applies to the publication of the FAR is the 
Office of Federal Procurement Policy statute (codified at title 41 of 
the United States Code). Specifically, 41 U.S.C. 1707(a)(1) requires 
that a procurement policy, regulation, procedure or form (including an 
amendment or modification thereof) must be published for public comment 
if it relates to the expenditure of appropriated funds, and has either 
a significant effect beyond the internal operating procedures of the 
agency issuing the policy, regulation, procedure or form, or has a 
significant cost or administrative impact on contractors or offerors. 
This final rule is not required to be published for public comment, 
because it clarifies the application of the micro-purchase threshold as 
it relates to DoD procurements, and does not have significant effect 
beyond the internal operating procedures of the agency issuing the 
policy. These requirements affect only the internal operating 
procedures of the Government.

IV. 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.

V. Executive Order 13771

    This rule is not an E.O. 13771, Reducing and Controlling Regulatory 
Costs, regulatory action, because this rule is not significant under 
E.O. 12866.

VII. Regulatory Flexibility Act

    Because a notice of proposed rulemaking and an opportunity for 
public comment are not required to be given for this rule under 41 
U.S.C. 1707(a)(1) (see section III. of this preamble), the analytical 
requirements of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) 
are not applicable. Accordingly, no regulatory flexibility analysis is 
required and none has been prepared.

VIII. 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).

[[Page 24896]]

List of Subjects in 48 CFR Parts 202 and 252

    Government procurement.


Amy G. Williams,
Deputy, Defense Acquisition Regulations System.

    Therefore, 48 CFR parts 202 and 252 are amended as follows:

0
1. The authority citation for 48 CFR parts 202 and 252 continues to 
read as follows:

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

PART 202--DEFINITIONS OF WORDS AND TERMS

0
2. Amend section 202.101 by adding a definition for ``Micro-purchase 
threshold'' in alphabetical order to read as follows:


202.101   Definitions.

* * * * *
    Micro-purchase threshold, for DoD acquisition of supplies or 
services funded by DoD appropriations, in lieu of the definition at FAR 
2.101, means $5,000 (10 U.S.C. 2338), except--
    (1) For DoD acquisition of supplies or services for basic research 
programs and for activities of the DoD science and technology 
reinvention laboratories (https://www.acq.osd.mil/rd/laboratories/labs/list_strl.html), it means $10,000 (10 U.S.C. 2339);
    (2) For acquisitions of construction subject to 40 U.S.C. chapter 
31, subchapter IV, Wage Rate Requirements (Construction), $2,000;
    (3) For acquisitions of services subject to 41 U.S.C. chapter 67, 
Service Contract Labor Standards, $2,500; and
    (4) For acquisitions of supplies or services that, as determined by 
the head of the contracting activity, are to be used to support a 
contingency operation; or to facilitate defense against or recovery 
from cyber, nuclear, biological, chemical or radiological attack; to 
support a request from the Secretary of State or the Administrator of 
the United States Agency for International Development to facilitate 
provision of international disaster assistance pursuant to 22 U.S.C. 
2292 et seq.; or to support response to an emergency, or major disaster 
(42 U.S.C. 5122), as described in 13.201(g)(1), except for construction 
subject to 40 U.S.C. chapter 31, subchapter IV, Wage Rate Requirements 
(Construction) (41 U.S.C. 1903)--
    (i) $20,000 in the case of any contract to be awarded and 
performed, or purchase to be made, inside the United States; and
    (ii) $30,000 in the case of any contract to be awarded and 
performed, or purchase to be made, outside the United States.
* * * * *

PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
3. Amend section 252.232-7009 by--
0
a. Removing the clause date ``(DEC 2006)'' and adding ``(MAY 2018)'' in 
its place;
0
b. In the clause text, removing ``Part 2 of the Federal Acquisition 
Regulation'' and adding ``part 202 of the Defense Federal Acquisition 
Regulation Supplement'' in its place.

[FR Doc. 2018-11349 Filed 5-29-18; 8:45 am]
 BILLING CODE 5001-06-P