Defense Federal Acquisition Regulation Supplement; Utility Rates Established by Regulatory Bodies, 8565-8566 [05-3196]

Download as PDF Federal Register / Vol. 70, No. 34 / Tuesday, February 22, 2005 / Proposed Rules authorities, deviations from FAR requirements, and policies/procedures that have a significant effect beyond the internal operating procedures of DoD or a significant cost or administrative impact on contractors or offerors. Additional information on the DFARS Transformation initiative is available at https://www.acq.osd.mil/dpap/dfars/ transf.htm. This proposed rule is a result of the DFARS Transformation initiative. The proposed changes— • Amend DFARS 239.7401 to update terminology for consistency with the terminology used in the clause at DFARS 252.239–7016; and • Revise DFARS 239.7405 to delete obsolete text and to add text addressing DoD’s authority to enter into contracts for telecommunications services. This rule was not subject to Office of Management and Budget review under Executive Order 12866, dated September 30, 1993. PART 239—ACQUISITION OF INFORMATION TECHNOLOGY B. Regulatory Flexibility Act 48 CFR Part 241 DoD does not expect this rule to have a significant economic impact on a substantial number of small entities within the meaning of the Regulatory Flexibility Act, 5 U.S.C. 601, et seq., because the proposed rule makes no significant change to policy for the acquisition of telecommunications services. Therefore, DoD has not performed an initial regulatory flexibility analysis. DoD invites comments from small businesses and other interested parties. DoD also will consider comments from small entities concerning the affected DFARS subpart in accordance with 5 U.S.C. 610. Such comments should be submitted separately and should cite DFARS Case 2003–D055. [DFARS Case 2003–D096] C. Paperwork Reduction Act The Paperwork Reduction Act does not apply because the rule does not impose any information collection requirements that require the approval of the Office of Management and Budget under 44 U.S.C. 3501, et seq. List of Subjects in 48 CFR Part 239 Government procurement. Michele P. Peterson, Editor, Defense Acquisition Regulations System. Therefore, DoD proposes to amend 48 CFR part 239 as follows: 1. The authority citation for 48 CFR part 239 continues to read as follows: Authority: 41 U.S.C. 421 and 48 CFR chapter 1. VerDate jul<14>2003 12:40 Feb 18, 2005 Jkt 205001 239.7401 [Amended] 2. Section 239.7401 is amended in paragraph (e) by removing ‘‘Security,’’ and adding in its place ‘‘Securing,.’’ 3. Section 239.7405 is revised to read as follows: 239.7405 Delegated authority for telecommunications resources. The contracting officer may enter into a telecommunications service contract on a month-to-month basis or for any longer period or series of periods, not to exceed a total of 10 years. See PGI 239.7405 for documents relating to this contracting authority, which the General Services Administration has delegated to DoD. [FR Doc. 05–3207 Filed 2–18–05; 8:45 am] BILLING CODE 5001–08–P DEPARTMENT OF DEFENSE Defense Federal Acquisition Regulation Supplement; Utility Rates Established by Regulatory Bodies Department of Defense (DoD). Proposed rule with request for comments. AGENCY: ACTION: SUMMARY: DoD is proposing to amend the Defense Federal Acquisition Regulation Supplement (DFARS) to update text pertaining to utility rates established by independent and nonindependent regulatory bodies. This proposed rule is a result of a transformation initiative undertaken by DoD to dramatically change the purpose and content of the DFARS. DATES: Comments on the proposed rule should be submitted in writing to the address shown below on or before April 25, 2005, to be considered in the formation of the final rule. ADDRESSES: You may submit comments, identified by DFARS Case 2003–D096, using any of the following methods: • Federal eRulemaking Portal: https:// www.regulations.gov. Follow the instructions for submitting comments. • Defense Acquisition Regulations Web Site: https://emissary.acq.osd.mil/ dar/dfars.nsf/pubcomm. Follow the instructions for submitting comments. • E-mail: dfars@osd.mil. Include DFARS Case 2003–D096 in the subject line of the message. • Fax: (703) 602–0350. • Mail: Defense Acquisition Regulations Council, Attn: Ms. Michele PO 00000 Frm 00021 Fmt 4702 Sfmt 4702 8565 Peterson, OUSD(AT&L)DPAP(DAR), IMD 3C132, 3062 Defense Pentagon, Washington, DC 20301–3062. • Hand Delivery/Courier: Defense Acquisition Regulations Council, Crystal Square 4, Suite 200A, 241 18th Street, Arlington, VA 22202–3402. All comments received will be posted to https://emissary.acq.osd.mil/dar/ dfars.nsf. FOR FURTHER INFORMATION CONTACT: Ms. Michele Peterson, (703) 602–0311. SUPPLEMENTARY INFORMATION: A. Background DFARS Transformation is a major DoD initiative to dramatically change the purpose and content of the DFARS. The objective is to improve the efficiency and effectiveness of the acquisition process, while allowing the acquisition workforce the flexibility to innovate. The transformed DFARS will contain only requirements of law, DoDwide policies, delegations of FAR authorities, deviations from FAR requirements, and policies/procedures that have a significant effect beyond the internal operating procedures of DoD or a significant cost or administrative impact on contractors or offerors. Additional information on the DFARS Transformation initiative is available at https://www.acq.osd.mil/dpap/dfars/ transf.htm. This proposed rule is a result of the DFARS Transformation initiative. The proposed changes— • Revise DFARS 241.201 to clarify that utility rates established by independent regulatory bodies may be relied upon as fair and reasonable; and • Add DFARS 241.501 to clarify requirements for use of contract clauses addressing changes in rates for regulated and unregulated utility services. This rule was not subject to Office of Management and Budget review under Executive Order 12866, dated September 30, 1993. B. Regulatory Flexibility Act DoD does not expect this rule to have a significant economic impact on a substantial number of small entities within the meaning of the Regulatory Flexibility Act, 5 U.S.C. 601, et seq., because the proposed rule contains clarifying amendments, with no significant change to contracting policy. Therefore, DoD has not performed an initial regulatory flexibility analysis. DoD invites comments from small businesses and other interested parties. DoD also will consider comments from small entities concerning the affected DFARS subparts in accordance with 5 U.S.C. 610. Such comments should be E:\FR\FM\22FEP1.SGM 22FEP1 8566 Federal Register / Vol. 70, No. 34 / Tuesday, February 22, 2005 / Proposed Rules submitted separately and should cite DFARS Case 2003–D096. C. Paperwork Reduction Act The Paperwork Reduction Act does not apply because the rule does not impose any information collection requirements that require the approval of the Office of Management and Budget under 44 U.S.C. 3501, et seq. List of Subjects in 48 CFR Part 241 Government procurement. [DFARS Case 2003–D069] Authority: 41 U.S.C. 421 and 48 CFR Chapter 1. 2. Section 241.201 is revised to read as follows: Policy. (1) DoD, as a matter of comity, generally complies with the current regulations, practices and decisions of independent regulatory bodies. This policy does not extend to nonindependent regulatory bodies. (2) Purchases of utility services outside the United States may use— (i) Formats and technical provisions consistent with local practice; and (ii) Dual language forms and contracts. (3) Rates established by an independent regulatory body— (i) Are considered ‘‘prices set by law or regulation’’; (ii) Are sufficient to set prices without obtaining cost or pricing data (see FAR subpart 15.4); and (iii) Are a valid basis on which prices can be determined fair and reasonable. (4) Compliance with the regulations, practices, and decisions of independent regulatory bodies as a matter of comity is not a substitute for the procedures at FAR 41.202(a). 3. Section 241.501 is added to read as follows: 241.501 Solicitation provision and contract clauses. (d)(1) Use a clause substantially the same as the clause at FAR 52.241–7, Change in Rates or Terms and Conditions of Service for Regulated Services, when the utility services to be provided are subject to an independent regulatory body. (2) Use a clause substantially the same as the clause at FAR 52.241–8, Change Jkt 205001 Defense Federal Acquisition Regulation Supplement; Acquisition of Utility Services Department of Defense (DoD). Proposed rule with request for comments. AGENCY: ACTION: PART 241—ACQUISITION OF UTILITY SERVICES 12:40 Feb 18, 2005 BILLING CODE 5001–08–P 48 CFR Part 241 Therefore, DoD proposes to amend 48 CFR part 241 as follows: 1. The authority citation for 48 CFR part 241 continues to read as follows: VerDate jul<14>2003 [FR Doc. 05–3196 Filed 2–18–05; 8:45 am] DEPARTMENT OF DEFENSE Michele P. Peterson, Editor, Defense Acquisition Regulations System. 241.201 in Rates or Terms and Conditions of Service for Unregulated Services, when the utility services to be provided are not subject to a regulatory body or are subject to a nonindependent regulatory body. SUMMARY: DoD is proposing to amend the Defense Federal Acquisition Regulation Supplement (DFARS) to update text pertaining to the acquisition of utility services. This proposed rule is a result of a transformation initiative undertaken by DoD to dramatically change the purpose and content of the DFARS. DATES: Comments on the proposed rule should be submitted in writing to the address shown below on or before April 25, 2005, to be considered in the formation of the final rule. ADDRESSES: You may submit comments, identified by DFARS Case 2003–D069, using any of the following methods: • Federal eRulemaking Portal: https:// www.regulations.gov. Follow the instructions for submitting comments. • Defense Acquisition Regulations Web Site: https://emissary.acq.osd.mil/ dar/dfars.nsf/pubcomm. Follow the instructions for submitting comments. • E-mail: dfars@osd.mil. Include DFARS Case 2003–D069 in the subject line of the message. • Fax: (703) 602–0350. • Mail: Defense Acquisition Regulations Council, Attn: Ms. Michele Peterson, OUSD(AT&L)DPAP(DAR), IMD 3C132, 3062 Defense Pentagon, Washington, DC 20301–3062. • Hand Delivery/Courier: Defense Acquisition Regulations Council, Crystal Square 4, Suite 200A, 241 18th Street, Arlington, VA 22202–3402. All comments received will be posted to https://emissary.acq.osd.mil/dar/ dfars.nsf. FOR FURTHER INFORMATION CONTACT: Michele Peterson, (703) 602–0311. SUPPLEMENTARY INFORMATION: PO 00000 Frm 00022 Fmt 4702 Sfmt 4702 Ms. A. Background DFARS Transformation is a major DoD initiative to dramatically change the purpose and content of the DFARS. The objective is to improve the efficiency and effectiveness of the acquisition process, while allowing the acquisition workforce the flexibility to innovate. The transformed DFARS will contain only requirements of law, DoDwide policies, delegations of FAR authorities, deviations from FAR requirements, and policies/procedures that have a significant effect beyond the internal operating procedures of DoD or a significant cost or administrative impact on contractors or offerors. Additional information on the DFARS Transformation initiative is available at https://www.acq.osd.mil/dpap/dfars/ transf.htm. This proposed rule is a result of the DFARS Transformation initiative. The proposed changes— • Delete text on use of competitive procedures and delegated authority to acquire utility services at DFARS 241.202 and 241.203, as these issues are adequately addressed in the Federal Acquisition Regulation; • Delete obsolete text on preaward contract reviews at DFARS 241.270; and • Delete procedures and corresponding definitions related to connection charges and award of separate contracts for utility services at DFARS 241.101, 241.202, and 241.205. Text on this subject will be relocated to the new DFARS companion resource, Procedures, Guidance, and Information (PGI), available at https:// www.acq.osd.mil/dpap/dars/pgi. This rule was not subject to Office of Management and Budget review under Executive Order 12866, dated September 30, 1993. B. Regulatory Flexibility Act DoD does not expect this rule to have a significant economic impact on a substantial number of small entities within the meaning of the Regulatory Flexibility Act, 5 U.S.C. 601, et seq., because the rule deletes DFARS text that is obsolete or duplicative of FAR policy or that addresses DoD procedural matters. Therefore, DoD has not performed an initial regulatory flexibility analysis. DoD invites comments from small businesses and other interested parties. DoD also will consider comments from small entities concerning the affected DFARS subpart in accordance with 5 U.S.C. 610. Such comments should be submitted separately and should cite DFARS Case 2003–D069. E:\FR\FM\22FEP1.SGM 22FEP1

Agencies

[Federal Register Volume 70, Number 34 (Tuesday, February 22, 2005)]
[Proposed Rules]
[Pages 8565-8566]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 05-3196]


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DEPARTMENT OF DEFENSE

48 CFR Part 241

[DFARS Case 2003-D096]


Defense Federal Acquisition Regulation Supplement; Utility Rates 
Established by Regulatory Bodies

AGENCY: Department of Defense (DoD).

ACTION: Proposed rule with request for comments.

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

SUMMARY: DoD is proposing to amend the Defense Federal Acquisition 
Regulation Supplement (DFARS) to update text pertaining to utility 
rates established by independent and nonindependent regulatory bodies. 
This proposed rule is a result of a transformation initiative 
undertaken by DoD to dramatically change the purpose and content of the 
DFARS.

DATES: Comments on the proposed rule should be submitted in writing to 
the address shown below on or before April 25, 2005, to be considered 
in the formation of the final rule.

ADDRESSES: You may submit comments, identified by DFARS Case 2003-D096, 
using any of the following methods:
     Federal eRulemaking Portal: https://www.regulations.gov. 
Follow the instructions for submitting comments.
     Defense Acquisition Regulations Web Site: https://
emissary.acq.osd.mil/dar/dfars.nsf/pubcomm. Follow the instructions for 
submitting comments.
     E-mail: dfars@osd.mil. Include DFARS Case 2003-D096 in the 
subject line of the message.
     Fax: (703) 602-0350.
     Mail: Defense Acquisition Regulations Council, Attn: Ms. 
Michele Peterson, OUSD(AT&L)DPAP(DAR), IMD 3C132, 3062 Defense 
Pentagon, Washington, DC 20301-3062.
     Hand Delivery/Courier: Defense Acquisition Regulations 
Council, Crystal Square 4, Suite 200A, 241 18th Street, Arlington, VA 
22202-3402.
    All comments received will be posted to https://
emissary.acq.osd.mil/dar/dfars.nsf.

FOR FURTHER INFORMATION CONTACT: Ms. Michele Peterson, (703) 602-0311.

SUPPLEMENTARY INFORMATION: 

A. Background

    DFARS Transformation is a major DoD initiative to dramatically 
change the purpose and content of the DFARS. The objective is to 
improve the efficiency and effectiveness of the acquisition process, 
while allowing the acquisition workforce the flexibility to innovate. 
The transformed DFARS will contain only requirements of law, DoD-wide 
policies, delegations of FAR authorities, deviations from FAR 
requirements, and policies/procedures that have a significant effect 
beyond the internal operating procedures of DoD or a significant cost 
or administrative impact on contractors or offerors. Additional 
information on the DFARS Transformation initiative is available at 
https://www.acq.osd.mil/dpap/dfars/transf.htm.
    This proposed rule is a result of the DFARS Transformation 
initiative. The proposed changes--
     Revise DFARS 241.201 to clarify that utility rates 
established by independent regulatory bodies may be relied upon as fair 
and reasonable; and
     Add DFARS 241.501 to clarify requirements for use of 
contract clauses addressing changes in rates for regulated and 
unregulated utility services.
    This rule was not subject to Office of Management and Budget review 
under Executive Order 12866, dated September 30, 1993.

B. Regulatory Flexibility Act

    DoD does not expect this rule to have a significant economic impact 
on a substantial number of small entities within the meaning of the 
Regulatory Flexibility Act, 5 U.S.C. 601, et seq., because the proposed 
rule contains clarifying amendments, with no significant change to 
contracting policy. Therefore, DoD has not performed an initial 
regulatory flexibility analysis. DoD invites comments from small 
businesses and other interested parties. DoD also will consider 
comments from small entities concerning the affected DFARS subparts in 
accordance with 5 U.S.C. 610. Such comments should be

[[Page 8566]]

submitted separately and should cite DFARS Case 2003-D096.

C. Paperwork Reduction Act

    The Paperwork Reduction Act does not apply because the rule does 
not impose any information collection requirements that require the 
approval of the Office of Management and Budget under 44 U.S.C. 3501, 
et seq.

List of Subjects in 48 CFR Part 241

    Government procurement.

Michele P. Peterson,
Editor, Defense Acquisition Regulations System.

    Therefore, DoD proposes to amend 48 CFR part 241 as follows:
    1. The authority citation for 48 CFR part 241 continues to read as 
follows:

    Authority: 41 U.S.C. 421 and 48 CFR Chapter 1.

PART 241--ACQUISITION OF UTILITY SERVICES

    2. Section 241.201 is revised to read as follows:


241.201  Policy.

    (1) DoD, as a matter of comity, generally complies with the current 
regulations, practices and decisions of independent regulatory bodies. 
This policy does not extend to nonindependent regulatory bodies.
    (2) Purchases of utility services outside the United States may 
use--
    (i) Formats and technical provisions consistent with local 
practice; and
    (ii) Dual language forms and contracts.
    (3) Rates established by an independent regulatory body--
    (i) Are considered ``prices set by law or regulation'';
    (ii) Are sufficient to set prices without obtaining cost or pricing 
data (see FAR subpart 15.4); and
    (iii) Are a valid basis on which prices can be determined fair and 
reasonable.
    (4) Compliance with the regulations, practices, and decisions of 
independent regulatory bodies as a matter of comity is not a substitute 
for the procedures at FAR 41.202(a).
    3. Section 241.501 is added to read as follows:


241.501  Solicitation provision and contract clauses.

    (d)(1) Use a clause substantially the same as the clause at FAR 
52.241-7, Change in Rates or Terms and Conditions of Service for 
Regulated Services, when the utility services to be provided are 
subject to an independent regulatory body.
    (2) Use a clause substantially the same as the clause at FAR 
52.241-8, Change in Rates or Terms and Conditions of Service for 
Unregulated Services, when the utility services to be provided are not 
subject to a regulatory body or are subject to a nonindependent 
regulatory body.

[FR Doc. 05-3196 Filed 2-18-05; 8:45 am]
BILLING CODE 5001-08-P
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