83 FR 49179 - Defense Federal Acquisition Regulation Supplement: Repeal of DFARS Clause “Indefinite Quantities-No Fixed Charges” (DFARS Case 2018-D034)
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System Federal Register Volume 83, Issue 189 (September 28, 2018)
Defense Acquisition Regulations System
Federal Register Volume 83, Issue 189 (September 28, 2018)
| Page Range | 49179-49180 | |
| FR Document | 2018-20972 |
[Federal Register Volume 83, Number 189 (Friday, September 28, 2018)] [Rules and Regulations] [Pages 49179-49180] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2018-20972] ----------------------------------------------------------------------- DEPARTMENT OF DEFENSE Defense Acquisition Regulations System 48 CFR Parts 247 and 252 [Docket DARS-2018-0045] RIN 0750-AJ96 Defense Federal Acquisition Regulation Supplement: Repeal of DFARS Clause ``Indefinite Quantities--No Fixed Charges'' (DFARS Case 2018-D034) 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 remove a clause that is no longer necessary. DATES: Effective September 28, 2018. FOR FURTHER INFORMATION CONTACT: Ms. Carrie Moore, telephone 571-372- 6093. SUPPLEMENTARY INFORMATION: I. Background DoD is amending the DFARS to remove the DFARS clause 252.247-7005, Indefinite Quantities--No Fixed Charges, and the associated clause prescription at DFARS 247.270-4(e). The DFARS clause is used in indefinite-delivery, indefinite-quantity contracts for stevedoring services to notify the contractor that the minimum value of an order placed under the contract shall not be less than $100. Federal Acquisition Regulation (FAR) clause 52.216-19, Order Limitations, is prescribed for use in all indefinite-delivery contracts and notifies the contractor of the minimum and maximum values of orders to be placed under the contract. In the FAR clause, the minimum and maximum values are blank spaces to be filled-in by the contracting officer prior to solicitation. The FAR clause serves the same purpose as the DFARS clause and can be used to reflect the appropriate ordering limitations for stevedoring services. As such, this DFARS clause is unnecessary and can be removed. The removal of this DFARS clause supports a recommendation from the DoD Regulatory Reform Task Force. On February 24, 2017, the President signed Executive Order (E.O.) 13777, ``Enforcing the Regulatory Reform Agenda,'' which established a Federal policy ``to alleviate unnecessary regulatory burdens'' on the American people. In accordance with E.O. 13777, DoD established a Regulatory Reform Task Force to review and validate DoD regulations, including the DFARS. A public notice of the establishment of the DFARS Subgroup to the DoD Regulatory Reform Task Force, for the purpose of reviewing DFARS provisions and clauses, was published in the Federal Register at 82 FR 35741 on August 1, 2017, and requested public input. No public comments were received on this clause. Subsequently, the DoD Task Force reviewed the requirements of DFARS clause 252.247-7005, Indefinite Quantities--No Fixed Charges, and determined that the DFARS clause was unnecessary and recommended removal. II. Applicability to Contracts at or Below the Simplified Acquisition Threshold and for Commercial Items, Including Commercially Available Off-the-Shelf Items This rule only removes DFARS clause 252.247-7005, Indefinite Quantities--No Fixed Charges, which is obsolete. Therefore, the rule does not impose any new requirements on contracts at or below the simplified acquisition threshold or for commercial items, including commercially available off-the-shelf items. III. Executive Orders 12866 and 13563 E.O. 12866, Regulatory Planning and Review; and E.O. 13563, Improving Regulation and Regulatory Review, 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. The Office of Management and Budget (OMB), Office of Information and Regulatory Affairs (OIRA), has determined that this is not a significant regulatory action as defined under section 3(f) of E.O. 12866 and, therefore, was not subject to review under section 6(b). This rule is not a major rule as defined at 5 U.S.C. 804(2). IV. 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. V. Publication of This Final Rule for Public Comment Is Not Required by Statute The statute that applies to the publication of the FAR is 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 DoD is not issuing a new regulation; rather, this rule merely removes an obsolete requirement from the DFARS. VI. 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 V. 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. VII. Paperwork Reduction Act The rule does not contain any information collection requirements that require the approval of OMB under the Paperwork Reduction Act (44 U.S.C. chapter 35). [[Page 49180]] List of Subjects in 48 CFR Parts 247 and 252 Government procurement. Jennifer Lee Hawes, Regulatory Control Officer, Defense Acquisition Regulations System. Therefore, 48 CFR parts 247 and 252 are amended as follows: 0 1. The authority citation for 48 CFR parts 247 and 252 continues to read as follows: Authority: 41 U.S.C. 1303 and 48 CFR chapter 1. PART 247--TRANSPORTATION 247.270-4 [Amended] 0 2. Amend section 247.270-4 by-- 0 a. Removing paragraph (e); and 0 b. Redesignating paragraph (f) as paragraph (e). PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES 252.247-7005 [Removed and Reserved] 0 3. Remove and reserve section 252.247-7005. 252.247-7007 [Amended] 0 4. Amend section 252.247-7007, in the introductory text, by removing ``247.270-4(f)'' and adding ``247.270-4(e)'' in its place. [FR Doc. 2018-20972 Filed 9-27-18; 8:45 am] BILLING CODE 5001-06-P
![Federal Register / Vol. 83, No. 189 / Friday, September 28, 2018 / Rules and Regulations 49179
PART 247—TRANSPORTATION the minimum and maximum values are flexibility. The Office of Management
blank spaces to be filled-in by the and Budget (OMB), Office of
247.271–3 [Amended] contracting officer prior to solicitation. Information and Regulatory Affairs
■ 2. Amend section 247.271–3 by— The FAR clause serves the same (OIRA), has determined that this is not
■ a. Removing paragraph (n); and purpose as the DFARS clause and can a significant regulatory action as defined
■ b. Redesignating paragraph (o) as be used to reflect the appropriate under section 3(f) of E.O. 12866 and,
paragraph (n). ordering limitations for stevedoring therefore, was not subject to review
services. As such, this DFARS clause is under section 6(b). This rule is not a
PART 252—SOLICITATION unnecessary and can be removed.
PROVISIONS AND CONTRACT major rule as defined at 5 U.S.C. 804(2).
The removal of this DFARS clause
CLAUSES supports a recommendation from the IV. Executive Order 13771
DoD Regulatory Reform Task Force. On
252.247–7020 [Removed and Reserved] This rule is not an E.O. 13771,
February 24, 2017, the President signed
■ 3. Remove and reserve section Executive Order (E.O.) 13777, Reducing and Controlling Regulatory
252.247–7020. ‘‘Enforcing the Regulatory Reform Costs, regulatory action, because this
[FR Doc. 2018–20971 Filed 9–27–18; 8:45 am] Agenda,’’ which established a Federal rule is not significant under E.O. 12866.
BILLING CODE 5001–06–P policy ‘‘to alleviate unnecessary
regulatory burdens’’ on the American V. Publication of This Final Rule for
people. In accordance with E.O. 13777, Public Comment Is Not Required by
DEPARTMENT OF DEFENSE DoD established a Regulatory Reform Statute
Task Force to review and validate DoD The statute that applies to the
Defense Acquisition Regulations regulations, including the DFARS. A
System publication of the FAR is Office of
public notice of the establishment of the
Federal Procurement Policy statute
DFARS Subgroup to the DoD Regulatory
48 CFR Parts 247 and 252 Reform Task Force, for the purpose of (codified at title 41 of the United States
reviewing DFARS provisions and Code). Specifically, 41 U.S.C. 1707(a)(1)
[Docket DARS–2018–0045]
clauses, was published in the Federal requires that a procurement policy,
RIN 0750–AJ96 Register at 82 FR 35741 on August 1, regulation, procedure or form (including
2017, and requested public input. No an amendment or modification thereof)
Defense Federal Acquisition must be published for public comment
public comments were received on this
Regulation Supplement: Repeal of if it relates to the expenditure of
clause. Subsequently, the DoD Task
DFARS Clause ‘‘Indefinite Quantities— Force reviewed the requirements of appropriated funds, and has either a
No Fixed Charges’’ (DFARS Case DFARS clause 252.247–7005, Indefinite significant effect beyond the internal
2018–D034) Quantities—No Fixed Charges, and operating procedures of the agency
AGENCY: Defense Acquisition determined that the DFARS clause was issuing the policy, regulation,
Regulations System, Department of unnecessary and recommended procedure, or form, or has a significant
Defense (DoD). removal. cost or administrative impact on
ACTION: Final rule. II. Applicability to Contracts at or contractors or offerors. This final rule is
Below the Simplified Acquisition not required to be published for public
SUMMARY: DoD is issuing a final rule Threshold and for Commercial Items, comment, because DoD is not issuing a
amending the Defense Federal Including Commercially Available Off- new regulation; rather, this rule merely
Acquisition Regulation Supplement the-Shelf Items removes an obsolete requirement from
(DFARS) to remove a clause that is no the DFARS.
longer necessary. This rule only removes DFARS clause
252.247–7005, Indefinite Quantities— VI. Regulatory Flexibility Act
DATES: Effective September 28, 2018.
No Fixed Charges, which is obsolete.
FOR FURTHER INFORMATION CONTACT: Ms. Therefore, the rule does not impose any Because a notice of proposed
Carrie Moore, telephone 571–372–6093. new requirements on contracts at or rulemaking and an opportunity for
SUPPLEMENTARY INFORMATION: below the simplified acquisition public comment are not required to be
I. Background threshold or for commercial items, given for this rule under 41 U.S.C.
including commercially available off- 1707(a)(1) (see section V. of this
DoD is amending the DFARS to the-shelf items. preamble), the analytical requirements
remove the DFARS clause 252.247– of the Regulatory Flexibility Act (5
7005, Indefinite Quantities—No Fixed III. Executive Orders 12866 and 13563
U.S.C. 601 et seq.) are not applicable.
Charges, and the associated clause E.O. 12866, Regulatory Planning and Accordingly, no regulatory flexibility
prescription at DFARS 247.270–4(e). Review; and E.O. 13563, Improving analysis is required and none has been
The DFARS clause is used in indefinite- Regulation and Regulatory Review,
prepared.
delivery, indefinite-quantity contracts direct agencies to assess all costs and
for stevedoring services to notify the benefits of available regulatory VII. Paperwork Reduction Act
contractor that the minimum value of an alternatives and, if regulation is
order placed under the contract shall necessary, to select regulatory The rule does not contain any
not be less than $100. approaches that maximize net benefits information collection requirements that
require the approval of OMB under the
amozie on DSK3GDR082PROD with RULES2
Federal Acquisition Regulation (FAR) (including potential economic,
clause 52.216–19, Order Limitations, is environmental, public health and safety Paperwork Reduction Act (44 U.S.C.
prescribed for use in all indefinite- effects, distributive impacts, and chapter 35).
delivery contracts and notifies the equity). E.O. 13563 emphasizes the
contractor of the minimum and importance of quantifying both costs
maximum values of orders to be placed and benefits, of reducing costs, of
under the contract. In the FAR clause, harmonizing rules, and of promoting
VerDate Sep<11>2014 19:35 Sep 27, 2018 Jkt 244001 PO 00000 Frm 00003 Fmt 4701 Sfmt 4700 E:\FR\FM\28SER2.SGM 28SER2](https://thefederalregister.org/doc/83_FR_49368/page/1.svg)
![49180 Federal Register / Vol. 83, No. 189 / Friday, September 28, 2018 / Rules and Regulations
List of Subjects in 48 CFR Parts 247 and I. Background 2017, and requested public input. No
252 DoD is amending the DFARS to public comments were received on this
Government procurement. remove the DFARS clause 252.216– clause. Subsequently, the DoD Task
7005, Award Fee, and the associated Force reviewed the requirements of
Jennifer Lee Hawes, DFARS clause 252.216–7005, Award
clause prescription at DFARS
Regulatory Control Officer, Defense 216.406(e)(2). The DFARS clause Fee, and determined that the DFARS
Acquisition Regulations System. clause was unnecessary and
advises contractors that: They may earn
Therefore, 48 CFR parts 247 and 252 an award fee from zero dollars to the recommended removal.
are amended as follows: maximum amount stated in the award II. Applicability to Contracts at or
■ 1. The authority citation for 48 CFR fee plan; an award fee will not be paid Below the Simplified Acquisition
parts 247 and 252 continues to read as for any evaluation period in which the Threshold and for Commercial Items,
follows: Government rates the contractor’s Including Commercially Available Off-
Authority: 41 U.S.C. 1303 and 48 CFR overall cost, schedule, and technical the-Shelf Items
chapter 1. performance below satisfactory; and, the
This rule only removes DFARS clause
contracting officer may unilaterally
252.216–7005, Award Fee, which is
PART 247—TRANSPORTATION revise the award fee plan prior to the
obsolete. Therefore, the rule does not
beginning of a rating period in order to
247.270–4 [Amended] impose any new requirements on
redirect the contractor’s emphasis on
contracts at or below the simplified
■ 2. Amend section 247.270–4 by— performance.
a. Removing paragraph (e); and acquisition threshold and for
■ Federal Acquisition Regulation (FAR)
■ b. Redesignating paragraph (f) as commercial items, including
16.401 prescribes the award fee pool
paragraph (e). commercially available off-the-shelf
percentages that are available to the
items.
contractor and required for use by the
PART 252—SOLICITATION Government in an award fee plan. Like III. Executive Orders 12866 and 13563
PROVISIONS AND CONTRACT the DFARS clause, these percentages
CLAUSES E.O. 12866, Regulatory Planning and
permit the contractor to earn between Review; and E.O. 13563, Improving
252.247–7005 [Removed and Reserved] 0% and 100% of the award fee pool. Regulation and Regulatory Review,
Also like the DFARS clause, the FAR direct agencies to assess all costs and
■ 3. Remove and reserve section requires all award fee plans to prohibit
252.247–7005. benefits of available regulatory
contractors from earning any award fee alternatives and, if regulation is
252.247–7007 [Amended] when the contractor’s overall cost, necessary, to select regulatory
schedule, and technical performance is approaches that maximize net benefits
■ 4. Amend section 252.247–7007, in below satisfactory. While the FAR does
the introductory text, by removing (including potential economic,
not address the unilateral ability to of environmental, public health and safety
‘‘247.270–4(f)’’ and adding ‘‘247.270– the contracting officer to make revisions
4(e)’’ in its place. effects, distributive impacts, and
to the award fee plan, as discussed in equity). E.O. 13563 emphasizes the
[FR Doc. 2018–20972 Filed 9–27–18; 8:45 am] the DFARS clause, the FAR does require importance of quantifying both costs
BILLING CODE 5001–06–P award fee plans to contain reasonable and benefits, of reducing costs, of
and attainable targets that motivate harmonizing rules, and of promoting
contractors and discourage inefficiency flexibility. The Office of Management
DEPARTMENT OF DEFENSE or waste. Finally, DFARS 216.401 and Budget (OMB), Office of
requires the award fee plan to be Information and Regulatory Affairs
Defense Acquisition Regulations
incorporated into the contract. This (OIRA), has determined that this is not
System
action provides contractors with an a significant regulatory action as defined
award fee plan that conveys all of the under section 3(f) of E.O. 12866 and,
48 CFR Parts 216 and 252
FAR information and requirements for therefore, was not subject to review
[Docket DARS–2018–0044] award fee plans. As such, this DFARS under section 6(b). This rule is not a
RIN 0750–AJ99 clause is unnecessary and can be major rule as defined at 5 U.S.C. 804(2).
removed.
Defense Federal Acquisition The removal of this DFARS clause IV. Executive Order 13771
Regulation Supplement: Repeal of supports a recommendation from the This rule is not an E.O. 13771,
DFARS Clause ‘‘Award Fee’’ (DFARS DoD Regulatory Reform Task Force. On Reducing and Controlling Regulatory
Case 2018–D037) February 24, 2017, the President signed Costs, regulatory action, because this
Executive Order (E.O.) 13777, rule is not significant under E.O. 12866.
AGENCY: Defense Acquisition ‘‘Enforcing the Regulatory Reform
Regulations System, Department of Agenda,’’ which established a Federal V. Publication of This Final Rule for
Defense (DoD). policy ‘‘to alleviate unnecessary Public Comment Is Not Required by
ACTION: Final rule. regulatory burdens’’ on the American Statute
people. In accordance with E.O. 13777, The statute that applies to the
SUMMARY: DoD is issuing a final rule DoD established a Regulatory Reform publication of the FAR is Office of
amending the Defense Federal Task Force to review and validate DoD Federal Procurement Policy statute
Acquisition Regulation Supplement
amozie on DSK3GDR082PROD with RULES2
regulations, including the DFARS. A (codified at title 41 of the United States
(DFARS) to remove a clause that is no public notice of the establishment of the Code). Specifically, 41 U.S.C. 1707(a)(1)
longer necessary. DFARS Subgroup to the DoD Regulatory requires that a procurement policy,
DATES: Effective September 28, 2018. Reform Task Force, for the purpose of regulation, procedure or form (including
FOR FURTHER INFORMATION CONTACT: Ms. reviewing DFARS provisions and an amendment or modification thereof)
Carrie Moore, telephone 571–372–6093. clauses, was published in the Federal must be published for public comment
SUPPLEMENTARY INFORMATION: Register at 82 FR 35741 on August 1, if it relates to the expenditure of
VerDate Sep<11>2014 19:35 Sep 27, 2018 Jkt 244001 PO 00000 Frm 00004 Fmt 4701 Sfmt 4700 E:\FR\FM\28SER2.SGM 28SER2](https://thefederalregister.org/doc/83_FR_49368/page/2.svg)
Document Created: 2018-09-28 01:23:45
Document Modified: 2018-09-28 01:23:45
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Rules and Regulations | |
| Action | Final rule. | |
| Dates | Effective September 28, 2018. | |
| Contact | Ms. Carrie Moore, telephone 571-372- 6093. | |
| FR Citation | 83 FR 49179 | |
| RIN Number | 0750-AJ96 | |
| CFR Citation | 48
CFR
247 48 CFR 252 |
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