Defense Federal Acquisition Regulation Supplement: Report on Waiver of Prohibition on Acquisition From Communist Chinese Military Companies (DFARS Case 2012-D023), 30365-30366 [2012-11561]
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Federal Register / Vol. 77, No. 99 / Tuesday, May 22, 2012 / Rules and Regulations
as appropriate, security accreditation and a
need-to-know; and
(2) Nongovernmental U.S. entities
registered with the Department of State and
eligible to export defense articles under U.S.
law and regulation, including their
employees, with, as appropriate, security
accreditation and a need-to-know.
U.S. DoD Treaty-eligible requirements
means any defense article acquired by DoD
for use in a combined military or
counterterrorism operation, cooperative
research, development, production, or
support program, or DoD end use, as
described in Article 3 of the Treaty and
Sections 2 and 3 of the Implementing
Arrangement.
(b) All contract line items in this contract,
except any identified in this paragraph, are
intended to satisfy U.S. DoD Treaty-eligible
requirements. Specific defense articles
exempt from Treaty eligibility will be
identified in those contract line items that are
otherwise Treaty-eligible.
CONTRACT LINE ITEMS NOT INTENDED
TO SATISFY U.S. DoD TREATY-ELIGIBLE
REQUIREMENTS:
lllllllllllllllllllll
[Enter Contract Line Item Number(s) or enter
‘‘None’’]
(c) Subject to the other terms and
conditions of this contract that affect the
acceptability of foreign sources or foreign end
products, components, parts, or materials,
Approved Community members are
permitted, but not required, to use the Treaty
for exports or transfers of qualifying defense
articles in performance of the contract.
(d) Any conduct by the Contractor that falls
outside the scope of the Treaty, the
Implementing Arrangement, and 22 CFR
126.17(g) is subject to all applicable ITAR
requirements, including any criminal, civil,
and administrative penalties or sanctions, as
well as all other United States statutory and
regulatory requirements outside of ITAR,
including, but not limited to, regulations
issued by the Bureau of Alcohol, Tobacco,
Firearms and Explosives found at 27 CFR
Parts 447, 478, and 479, which are unaffected
by the Treaty.
(e) If the Contractor is an Approved
Community member, the Contractor agrees
that—
(1) The Contractor shall comply with the
requirements of the Treaty, the Implementing
Arrangement, the ITAR, and corresponding
regulations of the U.S. Government and the
government of the United Kingdom; and
(2) Prior to the export or transfer of a
qualifying defense article, the Contractor—
(i) Shall mark, identify, transmit, store, and
handle any defense articles provided for the
purpose of responding to such solicitations,
as well as any defense articles provided with
or developed pursuant to their responses to
such solicitations, in accordance with the
Treaty, the Implementing Arrangement, and
corresponding United States Government and
the government of the United Kingdom
regulations including, but not limited to, the
marking and classification requirements
described in the applicable regulations;
(ii) Shall comply with the re-transfer or reexport provisions of the Treaty, this
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17:23 May 21, 2012
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Implementing Arrangement, and
corresponding United States Government and
the government of the United Kingdom
regulations, including, but not limited to, the
re-transfer and re-export requirements
described in the applicable regulations; and
(iii) Shall acknowledge that any conduct
that falls outside or in violation of the Treaty,
Implementing Arrangement, and
implementing regulations of the applicable
government including, but not limited to,
unauthorized re-transfer or re-export in
violation of the procedures established in the
applicable Implementing Arrangement and
implementing regulations, remains subject to
applicable licensing requirements of the
government of the United Kingdom and the
United States Government, including any
criminal, civil, and administrative penalties
or sanctions contained therein.
(f) The contractor shall include the
substance of this clause, including this
paragraph (f), in all subcontracts that may
require exports or transfers of qualifying
defense articles in connection with deliveries
under the contract.
(End of clause)
[FR Doc. 2012–11560 Filed 5–21–12; 8:45 am]
BILLING CODE 5001–06–P
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations
System
48 CFR Part 225
RIN 0750–AH68
Defense Federal Acquisition
Regulation Supplement: Report on
Waiver of Prohibition on Acquisition
From Communist Chinese Military
Companies (DFARS Case 2012–D023)
Defense Acquisition
Regulations System, Department of
Defense (DoD).
ACTION: Final rule.
AGENCY:
DoD is issuing a final rule
amending the Defense Federal
Acquisition Regulation Supplement
(DFARS) to implement the requirement
in the National Defense Authorization
Act for Fiscal Year 2012 to report to the
congressional defense committees
before issuing a waiver of the
prohibition on acquisition of United
States Munitions List items from
Communist Chinese military
companies.
SUMMARY:
Effective Date: May 22, 2012.
Ms.
Amy G. Williams, Defense Acquisition
Regulations System, OUSD (AT&L)
DPAP/DARS, Room 3B855, 3060
Defense Pentagon, Washington, DC
20301–3060. Telephone 571–372–6106;
facsimile 571–372–6094.
DATES:
FOR FURTHER INFORMATION CONTACT:
PO 00000
Frm 00011
Fmt 4701
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30365
SUPPLEMENTARY INFORMATION:
I. Background
Section 1243 of the National Defense
Authorization Act for Fiscal Year 2012
(Pub. L. 112–81) requires a report to the
congressional defense committees not
less than 15 days before issuing a waiver
to the requirements of section 1211 of
the National Defense Authorization Act
for Fiscal Year 2006 (Pub. L. 109–163),
implemented at DFARS 225.770,
Prohibition on acquisition of United
States Munitions List items from
Communist Chinese military
companies. The prior requirement was
for a report within 30 days after the date
of the waiver. The final rule also adds
the requirement to send a copy of the
report to Defense Procurement and
Acquisition Policy.
II. Publication of This Final Rule for
Public Comment Is Not Required by
Statute
‘‘Publication of proposed
regulations,’’ 41 U.S.C. 1707, is the
statute which applies to the publication
of the Federal Acquisition Regulation.
Paragraph (a)(1) of the statute 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 the rule merely alters
the timing of the report to the
congressional defense committees when
issuing a waiver of the prohibition on
acquisition of United States Munitions
List items from Communist Chinese
military companies, adds the
requirement to send a copy of the report
to Defense Procurement and Acquisition
Policy, and further specifies the
required contents of the report. These
requirements affect only the internal
operating procedures of the
Government.
III. 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
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30366
Federal Register / Vol. 77, No. 99 / Tuesday, May 22, 2012 / Rules and Regulations
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.
This final 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).
List of Subjects in 48 CFR Part 225
Government procurement.
Ynette R. Shelkin,
Editor, Defense Acquisition Regulations
System.
Therefore, 48 CFR part 225 is
amended as follows:
PART 225—FOREIGN ACQUISITION
1. The authority citation for 48 CFR
part 225 continues to read as follows:
■
Authority: 41 U.S.C. 1303 and 48 CFR
chapter 1.
[Amended]
2. Section 225.770 is amended in the
first sentence to remove ‘‘Section 1211’’
and add ‘‘section 1211’’ in its place and
add ‘‘and section 1243 of the National
Defense Authorization Act for Fiscal
Year 2012 (Pub. L. 112–81)’’ at the end
of the sentence.
■ 3. Section 225.770–5 is amended by
revising paragraph (c) to read as follows:
■
Waiver of prohibition.
srobinson on DSK4SPTVN1PROD with RULES2
*
*
*
*
(c)(1) The official granting a waiver
shall submit a report to the
congressional defense committees, with
a copy to the Director of Defense
Procurement and Acquisition Policy
(see PGI 225.770–5), not less than 15
days before issuing the waiver.
(2) In the report, the official shall—
(i) Identify the specific reasons for the
waiver; and
(ii) Include recommendations as to
what actions may be taken to develop
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DEPARTMENT OF DEFENSE
Defense Acquisition Regulations
System
II. Publication of This Final Rule for
Public Comment Is Not Required by
Statute
DoD is issuing a final rule
amending the Defense Federal
Acquisition Regulation Supplement
(DFARS) to require additional planning,
monitoring, and executing activities for
contract closeouts when the contracts
are awarded for performance in
contingency areas.
DATES: Effective Date: May 22, 2012.
FOR FURTHER INFORMATION CONTACT:
Meredith Murphy, telephone 571–372–
6098.
SUPPLEMENTARY INFORMATION:
‘‘Publication of proposed
regulations,’’ 41 U.S.C. 1707, is the
statute which applies to the publication
of the Federal Acquisition Regulation.
Paragraph (a)(1) of the statute 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 this amendment does
not relate to the expenditure of
appropriated funds, and has neither a
significant effect beyond the internal
operating procedures of DoD, or a
significant cost or administrative impact
on contractors or offerors. These
requirements affect only the internal
operating procedures of the
Government.
III. Executive Orders 12866 and 13563
DoD is amending the Defense Federal
Acquisition Regulation Supplement
(DFARS) to implement a
recommendation made by the
Government Accountability Office
(GAO)report 11–891, ‘‘CONTINGENCY
CONTRACTING: Improved Planning
and Management Oversight Needed to
Address Challenges with Closing
Contracts,’’ dated August 23, 2011. The
GAO recommended that DoD improve
contract closeouts when the contracts
are awarded for performance in
contingency areas. The GAO
recommended revising contract
guidance to enhance advance planning
for contingency contract closeouts.
Additionally, the GAO advocated
including a requirement that senior
contracting officials monitor and assess
the progress of contract closeout
activities throughout the contingency
operation.
The DFARS is amended at 204.804 to
implement key elements proposed by
the GAO. The head of the contracting
activity is required to assign the highest
priority to contracts performed in a
contingency area in order to reduce
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.
RIN 0750–AH71
Defense Federal Acquisition
Regulation Supplement: Contingency
Contract Closeout (DFARS Case 2012–
D014)
Defense Acquisition
Regulations System, Department of
Defense (DoD).
ACTION: Final rule.
AGENCY:
V. Paperwork Reduction Act
*
BILLING CODE 5001–06–P
48 CFR Part 204
The Regulatory Flexibility Act does
not apply to this rule because this final
rule does not constitute a significant
DFARS revision within the meaning of
FAR 1.501–1 and 41 U.S.C. 1707 does
not require publication for public
comment.
225.770–5
[FR Doc. 2012–11561 Filed 5–21–12; 8:45 am]
potential backlogs. Heads of contracting
activities are responsible for supervising
the progress of contingency contract
closeout activities and taking
appropriate steps if a backlog occurs.
I. Background
IV. Regulatory Flexibility Act
225.770
alternative sourcing capabilities in the
future.
SUMMARY:
PO 00000
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Fmt 4701
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IV. Regulatory Flexibility Act
The Regulatory Flexibility Act does
not apply to this rule because this final
rule does not constitute a significant
DFARS revision within the meaning of
FAR 1.501–1 and 41 U.S.C. 1707 does
not require publication for public
comment.
E:\FR\FM\22MYR2.SGM
22MYR2
]]>Agencies
[Federal Register Volume 77, Number 99 (Tuesday, May 22, 2012)]
[Rules and Regulations]
[Pages 30365-30366]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-11561]
-----------------------------------------------------------------------
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System
48 CFR Part 225
RIN 0750-AH68
Defense Federal Acquisition Regulation Supplement: Report on
Waiver of Prohibition on Acquisition From Communist Chinese Military
Companies (DFARS Case 2012-D023)
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 the requirement
in the National Defense Authorization Act for Fiscal Year 2012 to
report to the congressional defense committees before issuing a waiver
of the prohibition on acquisition of United States Munitions List items
from Communist Chinese military companies.
DATES: Effective Date: May 22, 2012.
FOR FURTHER INFORMATION CONTACT: Ms. Amy G. Williams, Defense
Acquisition Regulations System, OUSD (AT&L) DPAP/DARS, Room 3B855, 3060
Defense Pentagon, Washington, DC 20301-3060. Telephone 571-372-6106;
facsimile 571-372-6094.
SUPPLEMENTARY INFORMATION:
I. Background
Section 1243 of the National Defense Authorization Act for Fiscal
Year 2012 (Pub. L. 112-81) requires a report to the congressional
defense committees not less than 15 days before issuing a waiver to the
requirements of section 1211 of the National Defense Authorization Act
for Fiscal Year 2006 (Pub. L. 109-163), implemented at DFARS 225.770,
Prohibition on acquisition of United States Munitions List items from
Communist Chinese military companies. The prior requirement was for a
report within 30 days after the date of the waiver. The final rule also
adds the requirement to send a copy of the report to Defense
Procurement and Acquisition Policy.
II. Publication of This Final Rule for Public Comment Is Not Required
by Statute
``Publication of proposed regulations,'' 41 U.S.C. 1707, is the
statute which applies to the publication of the Federal Acquisition
Regulation. Paragraph (a)(1) of the statute 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 the rule merely alters the timing of the report to the
congressional defense committees when issuing a waiver of the
prohibition on acquisition of United States Munitions List items from
Communist Chinese military companies, adds the requirement to send a
copy of the report to Defense Procurement and Acquisition Policy, and
further specifies the required contents of the report. These
requirements affect only the internal operating procedures of the
Government.
III. 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
[[Page 30366]]
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.
IV. Regulatory Flexibility Act
The Regulatory Flexibility Act does not apply to this rule because
this final rule does not constitute a significant DFARS revision within
the meaning of FAR 1.501-1 and 41 U.S.C. 1707 does not require
publication for public comment.
V. Paperwork Reduction Act
This final 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).
List of Subjects in 48 CFR Part 225
Government procurement.
Ynette R. Shelkin,
Editor, Defense Acquisition Regulations System.
Therefore, 48 CFR part 225 is amended as follows:
PART 225--FOREIGN ACQUISITION
0
1. The authority citation for 48 CFR part 225 continues to read as
follows:
Authority: 41 U.S.C. 1303 and 48 CFR chapter 1.
225.770 [Amended]
0
2. Section 225.770 is amended in the first sentence to remove ``Section
1211'' and add ``section 1211'' in its place and add ``and section 1243
of the National Defense Authorization Act for Fiscal Year 2012 (Pub. L.
112-81)'' at the end of the sentence.
0
3. Section 225.770-5 is amended by revising paragraph (c) to read as
follows:
225.770-5 Waiver of prohibition.
* * * * *
(c)(1) The official granting a waiver shall submit a report to the
congressional defense committees, with a copy to the Director of
Defense Procurement and Acquisition Policy (see PGI 225.770-5), not
less than 15 days before issuing the waiver.
(2) In the report, the official shall--
(i) Identify the specific reasons for the waiver; and
(ii) Include recommendations as to what actions may be taken to
develop alternative sourcing capabilities in the future.
[FR Doc. 2012-11561 Filed 5-21-12; 8:45 am]
BILLING CODE 5001-06-P
