Defense Federal Acquisition Regulation Supplement; Acquisition of Utility Services, 8566-8567 [05-3198]
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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
Federal Register / Vol. 70, No. 34 / Tuesday, February 22, 2005 / Proposed Rules
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 241.101 is amended by
removing the definitions of ‘‘Definite
term contract’’, ‘‘Dual service area’’, and
‘‘Indefinite term contract’’, and by
revising the definition of ‘‘Service
power procurement officer’’ to read as
follows:
241.101
Definitions.
*
*
*
*
*
Service power procurement officer
means for the—
(1) Army, the Chief of Engineers;
(2) Navy, the Commander, Naval
Facilities Engineering Command;
(3) Air Force, the head of a
contracting activity; and
(4) Defense Logistics Agency, the head
of a contracting activity.
VerDate jul<14>2003
12:40 Feb 18, 2005
Jkt 205001
3. Section 241.103 is revised to read
as follows:
241.103
Statutory and delegated authority.
(1) The contracting officer may enter
into a utility service contract related to
the conveyance of a utility system for a
period not to exceed 50 years (10 U.S.C.
2688(c)(3)).
(2) See PGI 241.103 for statutory
authorities and maximum contract
periods for utility and energy contracts.
4. Section 241.202 is revised to read
as follows:
241.202
Procedures.
(1) Connection and service charges.
The Government may pay a connection
charge when required to cover the cost
of the necessary connecting facilities. A
connection charge based on the
estimated labor cost of installing and
removing the facility shall not include
salvage cost. A lump-sum connection
charge shall be no more than the agreed
cost of the connecting facilities less net
salvage. The order of precedence for
contractual treatment of connection and
service charges is—
(i) No connection charge.
(ii) Termination liability. Use when
an obligation is necessary to secure the
required services. The obligation must
be not more than the agreed connection
charge, less any net salvage material
costs. Use of a termination liability
instead of a connection charge requires
the approval of the service power
procurement officer or designee.
(iii) Connection charge, refundable.
Use a refundable connection charge
when the supplier refuses to provide the
facilities based on lack of capital or
PO 00000
Frm 00023
Fmt 4702
Sfmt 4702
8567
published rules which prohibit
providing up-front funding. The
contract should provide for refund of
the connection charge within five years
unless a longer period or omission of
the refund requirement is authorized by
the service power procurement officer
or designee.
(iv) Connection and service charges,
nonrefundable. The Government may
pay certain nonrefundable, nonrecurring
charges including service initiation
charges, a contribution in aid of
construction, membership fees, and
charges required by the supplier’s rules
and regulations to be paid by the
customer. If possible, consider sharing
with other than Government users the
use of (and costs for) facilities when
large nonrefundable charges are
required.
(2) Construction and labor
requirements. Follow the procedures at
PGI 241.202(2) for construction and
labor requirements associated with
connection and service charges.
241.203
[Removed]
5. Section 241.203 is removed.
6. Section 241.205 is revised to read
as follows:
241.205
Separate contracts.
Follow the procedures at PGI 241.205
when acquiring utility services by
separate contract.
241.270
[Removed]
7. Section 241.270 is removed.
[FR Doc. 05–3198 Filed 2–18–05; 8:45 am]
BILLING CODE 5001–08–P
E:\FR\FM\22FEP1.SGM
22FEP1
]]>Agencies
[Federal Register Volume 70, Number 34 (Tuesday, February 22, 2005)]
[Proposed Rules]
[Pages 8566-8567]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 05-3198]
-----------------------------------------------------------------------
DEPARTMENT OF DEFENSE
48 CFR Part 241
[DFARS Case 2003-D069]
Defense Federal Acquisition Regulation Supplement; Acquisition of
Utility Services
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 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: 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--
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.
[[Page 8567]]
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 241.101 is amended by removing the definitions of
``Definite term contract'', ``Dual service area'', and ``Indefinite
term contract'', and by revising the definition of ``Service power
procurement officer'' to read as follows:
241.101 Definitions.
* * * * *
Service power procurement officer means for the--
(1) Army, the Chief of Engineers;
(2) Navy, the Commander, Naval Facilities Engineering Command;
(3) Air Force, the head of a contracting activity; and
(4) Defense Logistics Agency, the head of a contracting activity.
3. Section 241.103 is revised to read as follows:
241.103 Statutory and delegated authority.
(1) The contracting officer may enter into a utility service
contract related to the conveyance of a utility system for a period not
to exceed 50 years (10 U.S.C. 2688(c)(3)).
(2) See PGI 241.103 for statutory authorities and maximum contract
periods for utility and energy contracts.
4. Section 241.202 is revised to read as follows:
241.202 Procedures.
(1) Connection and service charges. The Government may pay a
connection charge when required to cover the cost of the necessary
connecting facilities. A connection charge based on the estimated labor
cost of installing and removing the facility shall not include salvage
cost. A lump-sum connection charge shall be no more than the agreed
cost of the connecting facilities less net salvage. The order of
precedence for contractual treatment of connection and service charges
is--
(i) No connection charge.
(ii) Termination liability. Use when an obligation is necessary to
secure the required services. The obligation must be not more than the
agreed connection charge, less any net salvage material costs. Use of a
termination liability instead of a connection charge requires the
approval of the service power procurement officer or designee.
(iii) Connection charge, refundable. Use a refundable connection
charge when the supplier refuses to provide the facilities based on
lack of capital or published rules which prohibit providing up-front
funding. The contract should provide for refund of the connection
charge within five years unless a longer period or omission of the
refund requirement is authorized by the service power procurement
officer or designee.
(iv) Connection and service charges, nonrefundable. The Government
may pay certain nonrefundable, nonrecurring charges including service
initiation charges, a contribution in aid of construction, membership
fees, and charges required by the supplier's rules and regulations to
be paid by the customer. If possible, consider sharing with other than
Government users the use of (and costs for) facilities when large
nonrefundable charges are required.
(2) Construction and labor requirements. Follow the procedures at
PGI 241.202(2) for construction and labor requirements associated with
connection and service charges.
241.203 [Removed]
5. Section 241.203 is removed.
6. Section 241.205 is revised to read as follows:
241.205 Separate contracts.
Follow the procedures at PGI 241.205 when acquiring utility
services by separate contract.
241.270 [Removed]
7. Section 241.270 is removed.
[FR Doc. 05-3198 Filed 2-18-05; 8:45 am]
BILLING CODE 5001-08-P
