83_FR_49370 83 FR 49181 - Defense Federal Acquisition Regulation Supplement: Repeal of DFARS Clause “Indefinite Quantities-Fixed Charges” (DFARS Case 2018-D039)

83 FR 49181 - Defense Federal Acquisition Regulation Supplement: Repeal of DFARS Clause “Indefinite Quantities-Fixed Charges” (DFARS Case 2018-D039)

DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System

Federal Register Volume 83, Issue 189 (September 28, 2018)

Page Range49181-49182
FR Document2018-20974

DoD is issuing a final rule amending the Defense Federal Acquisition Regulation Supplement (DFARS) to remove a clause that is no longer necessary.

Federal Register, Volume 83 Issue 189 (Friday, September 28, 2018)
[Federal Register Volume 83, Number 189 (Friday, September 28, 2018)]
[Rules and Regulations]
[Pages 49181-49182]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-20974]


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DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

48 CFR Parts 247 and 252

[Docket DARS-2018-0046]
RIN 0750-AK01


Defense Federal Acquisition Regulation Supplement: Repeal of 
DFARS Clause ``Indefinite Quantities--Fixed Charges'' (DFARS Case 2018-
D039)

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 252.247-7004, 
Indefinite Quantities--Fixed Charges, and the associated clause 
prescription at DFARS 247.270-4(d). When applicable, the DFARS clause 
is used in indefinite-delivery, indefinite-quantity contracts for 
stevedoring services to notify the contractor that the Government is 
obligated to pay the contractor the fixed monthly amount established in 
the contract.
    This notification is not necessary, since line items are 
established in all contracts to describe the items being purchased, as 
well as the pricing, funding, and delivery information for each item. 
The award of the contract is the Government's agreement to pay the 
contractor for the line items, in accordance with the contract; 
therefore, this DFARS clause provides no additional benefit for the 
contractor or the Government. As such, this DFARS clause is unnecessary 
and can be removed.
    The removal of this DFARS text 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 252.247-7004, Indefinite Quantities--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 252.247-7004, Indefinite 
Quantities--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).

[[Page 49182]]

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 Federal 
Acquisition Regulation (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 
notification 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 the OMB under the Paperwork Reduction Act 
(44 U.S.C. chapter 35).

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 (d); and
0
b. Redesignating paragraph (e) as paragraph (d).

PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES


252.247-7004  [Removed and Reserved]

0
3. Remove and reserve section 252.247-7004.


252.247-7007   [Amended]

0
4. Amend section 252.247-7007, in the introductory text, by removing 
``247.270-4(e)'' and adding ``247.270-4(d)'' in its place.

[FR Doc. 2018-20974 Filed 9-27-18; 8:45 am]
 BILLING CODE 5006-01-P



                                                             Federal Register / Vol. 83, No. 189 / Friday, September 28, 2018 / Rules and Regulations                                       49181

                                            appropriated funds, and has either a                    252.216–7005       [Removed and Reserved]             February 24, 2017, the President signed
                                            significant effect beyond the internal                  ■ 3. Remove and reserve section                       Executive Order (E.O.) 13777,
                                            operating procedures of the agency                      252.216–7005.                                         ‘‘Enforcing the Regulatory Reform
                                            issuing the policy, regulation,                                                                               Agenda,’’ which established a Federal
                                                                                                    [FR Doc. 2018–20973 Filed 9–27–18; 8:45 am]
                                            procedure, or form, or has a significant                                                                      policy ‘‘to alleviate unnecessary
                                                                                                    BILLING CODE 5001–06–P
                                            cost or administrative impact on                                                                              regulatory burdens’’ on the American
                                            contractors or offerors. This final rule is                                                                   people. In accordance with E.O. 13777,
                                            not required to be published for public                 DEPARTMENT OF DEFENSE                                 DoD established a Regulatory Reform
                                            comment, because DoD is not issuing a                                                                         Task Force to review and validate DoD
                                            new regulation; rather, this rule merely                Defense Acquisition Regulations                       regulations, including the DFARS. A
                                            removes an obsolete requirement from                    System                                                public notice of the establishment of the
                                            the DFARS.                                                                                                    DFARS Subgroup to the DoD Regulatory
                                            VI. Regulatory Flexibility Act                          48 CFR Parts 247 and 252                              Reform Task Force, for the purpose of
                                                                                                    [Docket DARS–2018–0046]
                                                                                                                                                          reviewing DFARS provisions and
                                              Because a notice of proposed                                                                                clauses, was published in the Federal
                                            rulemaking and an opportunity for                       RIN 0750–AK01                                         Register at 82 FR 35741 on August 1,
                                            public comment are not required to be                                                                         2017, and requested public input. No
                                            given for this rule under 41 U.S.C.                     Defense Federal Acquisition                           public comments were received on this
                                            1707(a)(1) (see section V. of this                      Regulation Supplement: Repeal of                      clause. Subsequently, the DoD Task
                                            preamble), the analytical requirements                  DFARS Clause ‘‘Indefinite Quantities—                 Force reviewed the requirements of
                                            of the Regulatory Flexibility Act (5                    Fixed Charges’’ (DFARS Case 2018–                     DFARS clause 252.247–7004, Indefinite
                                            U.S.C. 601 et seq.) are not applicable.                 D039)
                                                                                                                                                          Quantities—Fixed Charges, and
                                            Accordingly, no regulatory flexibility                                                                        determined that the DFARS clause was
                                                                                                    AGENCY:  Defense Acquisition
                                            analysis is required and none has been                                                                        unnecessary and recommended
                                                                                                    Regulations System, Department of
                                            prepared.                                                                                                     removal.
                                                                                                    Defense (DoD).
                                            VII. Paperwork Reduction Act                            ACTION: Final rule.                                   II. Applicability to Contracts at or
                                              The rule does not contain any                         SUMMARY:  DoD is issuing a final rule                 Below the Simplified Acquisition
                                            information collection requirements that                amending the Defense Federal                          Threshold and for Commercial Items,
                                            require the approval of OMB under the                   Acquisition Regulation Supplement                     Including Commercially Available Off-
                                            Paperwork Reduction Act (44 U.S.C.                      (DFARS) to remove a clause that is no                 the-Shelf Items
                                            chapter 35).                                            longer necessary.                                       This rule only removes DFARS clause
                                            List of Subjects in 48 CFR Parts 216 and                DATES: Effective September 28, 2018.                  252.247–7004, Indefinite Quantities—
                                            252                                                     FOR FURTHER INFORMATION CONTACT: Ms.                  Fixed Charges, which is obsolete.
                                                                                                    Carrie Moore, telephone 571–372–6093.                 Therefore, the rule does not impose any
                                                Government procurement.                             SUPPLEMENTARY INFORMATION:                            new requirements on contracts at or
                                            Jennifer Lee Hawes,                                                                                           below the simplified acquisition
                                                                                                    I. Background
                                            Regulatory Control Officer, Defense                                                                           threshold or for commercial items,
                                            Acquisition Regulations System.                           DoD is amending the DFARS to                        including commercially available off-
                                                                                                    remove the DFARS clause 252.247–                      the-shelf items.
                                              Therefore, 48 CFR parts 216 and 252                   7004, Indefinite Quantities—Fixed
                                            are amended as follows:                                 Charges, and the associated clause                    III. Executive Orders 12866 and 13563
                                                                                                    prescription at DFARS 247.270–4(d).
                                            ■ 1. The authority citation for 48 CFR                                                                           E.O. 12866, Regulatory Planning and
                                                                                                    When applicable, the DFARS clause is
                                            parts 216 and 252 continues to read as                                                                        Review; and E.O. 13563, Improving
                                                                                                    used in indefinite-delivery, indefinite-
                                            follows:                                                                                                      Regulation and Regulatory Review,
                                                                                                    quantity contracts for stevedoring
                                              Authority: 41 U.S.C. 1303 and 48 CFR                  services to notify the contractor that the            direct agencies to assess all costs and
                                            chapter 1.                                              Government is obligated to pay the                    benefits of available regulatory
                                                                                                    contractor the fixed monthly amount                   alternatives and, if regulation is
                                            PART 216—TYPES OF CONTRACTS                             established in the contract.                          necessary, to select regulatory
                                                                                                      This notification is not necessary,                 approaches that maximize net benefits
                                            216.406    [Amended]                                                                                          (including potential economic,
                                                                                                    since line items are established in all
                                            ■ 2. Amend section 216.406 by—                          contracts to describe the items being                 environmental, public health and safety
                                                                                                    purchased, as well as the pricing,                    effects, distributive impacts, and
                                            ■ a. Removing paragraph (e)(2); and                                                                           equity). E.O. 13563 emphasizes the
                                                                                                    funding, and delivery information for
                                            ■ b. Redesignating paragraph (e)(1) as                  each item. The award of the contract is               importance of quantifying both costs
                                            paragraph (e).                                          the Government’s agreement to pay the                 and benefits, of reducing costs, of
                                                                                                    contractor for the line items, in                     harmonizing rules, and of promoting
                                            PART 252—SOLICITATION                                   accordance with the contract; therefore,              flexibility. The Office of Management
                                            PROVISIONS AND CONTRACT                                 this DFARS clause provides no                         and Budget (OMB), Office of
                                            CLAUSES                                                                                                       Information and Regulatory Affairs
amozie on DSK3GDR082PROD with RULES2




                                                                                                    additional benefit for the contractor or
                                            252.216–7004      [Amended]                             the Government. As such, this DFARS                   (OIRA), has determined that this is not
                                                                                                    clause is unnecessary and can be                      a significant regulatory action as defined
                                            ■  3. Amend section 252.216–7004, in                    removed.                                              under section 3(f) of E.O. 12866 and,
                                            the introductory text, by removing                        The removal of this DFARS text                      therefore, was not subject to review
                                            ‘‘216.406’’ and adding ‘‘216.406(e)’’ in                supports a recommendation from the                    under section 6(b). This rule is not a
                                            its place.                                              DoD Regulatory Reform Task Force. On                  major rule as defined at 5 U.S.C. 804(2).


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                                            49182            Federal Register / Vol. 83, No. 189 / Friday, September 28, 2018 / Rules and Regulations

                                            IV. Executive Order 13771                               removes an obsolete notification from                 ■ 1. The authority citation for 48 CFR
                                                                                                    the DFARS.                                            parts 247 and 252 continues to read as
                                              This rule is not an E.O. 13771,                                                                             follows:
                                            Reducing and Controlling Regulatory                     VI. Regulatory Flexibility Act
                                            Costs, regulatory action, because this                                                                          Authority: 41 U.S.C. 1303 and 48 CFR
                                                                                                      Because a notice of proposed
                                                                                                                                                          chapter 1.
                                            rule is not significant under E.O. 12866.               rulemaking and an opportunity for
                                                                                                    public comment are not required to be                 PART 247—TRANSPORTATION
                                            V. Publication of This Final Rule for
                                                                                                    given for this rule under 41 U.S.C.
                                            Public Comment Is Not Required by
                                                                                                    1707(a)(1) (see section V. of this                    247.270–4    [Amended]
                                            Statute
                                                                                                    preamble), the analytical requirements
                                                                                                    of the Regulatory Flexibility Act (5                  ■ 2. Amend section 247.270–4 by—
                                               The statute that applies to the
                                            publication of the Federal Acquisition                  U.S.C. 601 et seq.) are not applicable.               ■ a. Removing paragraph (d); and
                                            Regulation (FAR) is Office of Federal                   Accordingly, no regulatory flexibility                ■ b. Redesignating paragraph (e) as
                                            Procurement Policy statute (codified at                 analysis is required and none has been                paragraph (d).
                                            title 41 of the United States Code).                    prepared.
                                            Specifically, 41 U.S.C. 1707(a)(1)                      VII. Paperwork Reduction Act                          PART 252—SOLICITATION
                                            requires that a procurement policy,                                                                           PROVISIONS AND CONTRACT
                                                                                                      The rule does not contain any
                                            regulation, procedure or form (including                                                                      CLAUSES
                                                                                                    information collection requirements that
                                            an amendment or modification thereof)
                                                                                                    require the approval of the OMB under                 252.247–7004      [Removed and Reserved]
                                            must be published for public comment
                                                                                                    the Paperwork Reduction Act (44 U.S.C.
                                            if it relates to the expenditure of                                                                           ■ 3. Remove and reserve section
                                                                                                    chapter 35).
                                            appropriated funds, and has either a                                                                          252.247–7004.
                                            significant effect beyond the internal                  List of Subjects in 48 CFR Parts 247 and
                                            operating procedures of the agency                      252                                                   252.247–7007      [Amended]
                                            issuing the policy, regulation,                           Government procurement.
                                            procedure, or form, or has a significant                                                                      ■  4. Amend section 252.247–7007, in
                                            cost or administrative impact on                        Jennifer Lee Hawes,                                   the introductory text, by removing
                                            contractors or offerors. This final rule is             Regulatory Control Officer, Defense                   ‘‘247.270–4(e)’’ and adding ‘‘247.270–
                                            not required to be published for public                 Acquisition Regulations System.                       4(d)’’ in its place.
                                            comment, because DoD is not issuing a                     Therefore, 48 CFR parts 247 and 252                 [FR Doc. 2018–20974 Filed 9–27–18; 8:45 am]
                                            new regulation; rather, this rule merely                are amended as follows:                               BILLING CODE 5006–01–P
amozie on DSK3GDR082PROD with RULES2




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Document Created: 2018-09-28 01:23:26
Document Modified: 2018-09-28 01:23:26
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rule.
DatesEffective September 28, 2018.
ContactMs. Carrie Moore, telephone 571-372- 6093.
FR Citation83 FR 49181 
RIN Number0750-AK01
CFR Citation48 CFR 247
48 CFR 252

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