Federal Acquisition Regulation; Iran Threat Reduction, 73516-73520 [2012-29639]

Agencies

• DEPARTMENT OF DEFENSE
• General Services Administration
• National Aeronautics and Space Administration

[Federal Register Volume 77, Number 237 (Monday, December 10, 2012)]
[Rules and Regulations]
[Pages 73516-73520]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-29639]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Parts 4, 25, and 52

[FAC 2005-63; FAR Case 2012-030; Docket 2012-0030, Sequence 1]
RIN 9000-AM44


Federal Acquisition Regulation; Iran Threat Reduction

AGENCY: Department of Defense (DoD), General Services Administration 
(GSA), and National Aeronautics and Space Administration (NASA).

ACTION: Interim rule.

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SUMMARY: DoD, GSA, and NASA are issuing an interim rule amending the 
Federal Acquisition Regulation (FAR) to require certifications that 
implement the expansion of sanctions relating to the energy sector of 
Iran and sanctions with respect to Iran's Revolutionary Guard Corps, as 
contained in Titles II and III of the Iran Threat Reduction and Syria 
Human Rights Act of 2012.

DATES: Effective Date: December 10, 2012.
    Comment Date: Interested parties should submit written comments to 
the Regulatory Secretariat on or before February 8, 2013 to be 
considered in the formulation of a final rule.

ADDRESSES: Submit comments identified by FAC 2005-63, FAR Case 2012-
030, by any of the following methods:
     Regulations.gov: https://www.regulations.gov. Submit 
comments via the Federal eRulemaking portal by searching ``FAR Case 
2012-030'' select the link ``Submit a Comment'' that corresponds with 
``FAR Case 2012-030.'' Follow the instructions provided at the ``Submit 
a Comment'' screen. Please include your name, company name (if any), 
and ``FAR Case 2012-030'' on your attached document.
     Fax: 202-501-4067.
     Mail: General Services Administration, Regulatory 
Secretariat (MVCB), ATTN: Hada Flowers, 1275 First Street NE., 7th 
Floor, Washington, DC 20417.
    Instructions: Please submit comments only and cite FAC 2005-63, FAR 
Case 2012-030, in all correspondence related to this case. All comments 
received will be posted without change to https://www.regulations.gov, 
including any

[[Page 73517]]

personal and/or business confidential information provided.

FOR FURTHER INFORMATION CONTACT: Ms. Cecelia L. Davis, Procurement 
Analyst, at 202-219-0202, for clarification of content. For information 
pertaining to status or publication schedules, contact the Regulatory 
Secretariat at 202-501-4755. Please cite FAC 2005-63, FAR Case 2012-
030.

SUPPLEMENTARY INFORMATION:

I. Background

    DoD, GSA, and NASA are issuing an interim rule amending the Federal 
Acquisition Regulation (FAR), to implement sections of Titles II and 
III of the Iran Threat Reduction and Syria Human Rights Act of 2012 
(Pub. L. 112-158), enacted August 10, 2012.
    Sections 201 and 202 expand sanctions in the Iran Sanctions Act of 
1996 (Pub. L. 104-72, 50 U.S.C. 1701 note) with respect to the energy 
sector of Iran and impose sanctions with respect to transport of crude 
oil from Iran and evasion of sanctions by shipping companies. Section 
203 expands sanctions with respect to development by Iran of weapons of 
mass destruction.
    Section 302 imposes sanctions with respect to persons that support 
or conduct certain transactions with Iran's Revolutionary Guard Corps 
or other sanctioned persons.
    Section 311 expands the procurement prohibitions of the Iran 
Sanctions Act as follows:
     Section 311 amends section 6(b)(1) of the Iran Sanctions 
Act to require, in addition to the certification relating to activities 
described in section 5 of the Iran Sanctions Act, a certification from 
each prospective contractor that it, and any person owned and 
controlled by the prospective contractor, does not knowingly engage in 
a significant transaction or transactions with Iran's Revolutionary 
Guard Corps or any of its officials, agents or affiliates.
     In addition, section 311 amends the remedies and waiver 
provisions at section 6(b)(2) and (5), which are applicable to both 
certifications now required by section 6(b)(1).
    The exception for eligible products from designated countries under 
the Trade Agreements Act is specified at section 302(f), which makes 
section 5(f) of the Iran Sanctions Act applicable to the new sanctions 
relating to transactions with Iran's Revolutionary Guard Corps, and 
section 6(b)(3) of the Iran Sanctions Act, which relates to the 
certification requirement.

II. Discussion and Analysis

    This interim rule amends the FAR to address the new sanctions and 
certification requirement as follows:
     Certification relating to activities described in section 
5 of the Iran Sanctions Act (FAR 25.703-2(a)(1))--Replaces the list 
summarizing the activities subject to sanctions with a more top-level 
description of the types of activities subject to sanctions, because 
numerous activities that may be subject to sanctions have been added to 
section 5 of the Iran Sanctions Act by sections 201-203 of this new 
Act.
     Certification relating to transactions with Iran's 
Revolutionary Guard Corps (FAR 25.703-2(a)(2))--Adds a new 
certification requirement to implement section 311(a) of this new Act. 
Specifies that a significant transaction, for purposes of this rule, is 
any transaction that exceeds $3,000, and uses the $3,000 threshold 
throughout the rule.
     Remedies (FAR 25.703-2(b))--Amends paragraph (b)(3) to 
require debarment period to be at least 2 years to implement section 
311(b)(1)(B)(i)(II) of this new Act.
     Exceptions (25.703-2(c) and 25.703-3(c))--Simplifies and 
clarifies the exception for acquisitions subject to trade agreements.
     Waiver (FAR 25.703-4)--Amends the waiver requirement to 
implement changes required by section 311(b)(1)(C) of this new Act. 
Waivers of the 25.703-2 certification requirements must be ``essential 
to the national security interest of the United States.''
     Solicitation provisions (FAR 52.212-3(o) and 52.225-25)--
Adds the new certification requirement to implement section 311(a) of 
this new Act to add the condition that, by submission of its offer, the 
offeror certifies that it, and any person owned or controlled by it, 
does not knowingly engage in any transaction that exceeds $3,000 with 
Iran's Revolutionary Guard Corps or any of its officials, agents, or 
affiliates.
     Annual Representations and Certifications (FAR 4.1202 and 
FAR 52.204-8)--Makes conforming changes to revise references to title 
and date of FAR 52.225-25.

III. Determinations

    The Federal Acquisition Regulatory (FAR) Council has made the 
following determinations with respect to the rule's application of 
titles II and III of the Iran Threat Reduction and Syria Human Rights 
Act of 1012 (Pub. L. 112-158) to contracts in amounts not greater than 
the simplified acquisition threshold (SAT), contracts for the 
acquisition of commercial items, and contracts for the acquisition of 
commercially available off-the-shelf (COTS) items.

 A. Applicability to Contracts at or Below the Simplified Acquisition 
Threshold

    41 U.S.C. 1905 governs the applicability of laws to contracts or 
subcontracts in amounts not greater than the SAT. It is intended to 
limit the applicability of laws to them. If a provision of law contains 
criminal or civil penalties, or if the FAR Council makes a written 
determination that it is not in the best interest of the Federal 
Government to exempt contracts or subcontracts at or below the SAT, the 
law will apply to them. Therefore, given that the requirements of 
titles II and III of the Iran Threat Reduction and Syria Human Rights 
Act of 2012 were enacted to widen the sanctions against Iran, the FAR 
Council has determined that it is in the best interest of the Federal 
Government to apply this rule to all acquisitions including contracts 
at or below the SAT, as defined at FAR 2.101. An exception for 
acquisitions at or below the SAT would exclude a significant portion of 
Federal contracting and the contractors who provide these products and 
services, thereby undermining the overarching public policy purpose of 
the law.

 B. Applicability to Contracts for the Acquisition of Commercial Items

    41 U.S.C. 1906 governs the applicability of laws to contracts for 
the acquisition of commercial items, and is intended to limit the 
applicability of laws to contracts for the acquisition of commercial 
items. If a provision of law contains criminal or civil penalties, or 
if the FAR Council makes a written determination that it is not in the 
best interest of the Federal Government to exempt commercial item 
contracts, the provision of law will apply to contracts for the 
acquisition of commercial items. Therefore, given that the requirements 
of titles II and III of the Iran Threat Reduction and Syria Human 
Rights Act of 2012 were enacted to widen the sanctions against Iran, 
the FAR Council has determined that it is in the best interest of the 
Federal Government to apply the rule to contracts for the acquisition 
of commercial items, as defined at FAR 2.101. An exception for 
contracts for the acquisition of commercial items would exclude a 
significant portion of Federal contracting and the contractors who 
provide these products and services, thereby undermining the 
overarching public policy purpose of the law.

[[Page 73518]]

 C. Applicability to Contracts for the Acquisition of Commercially 
Available Off-the-Shelf Items

    41 U.S.C. 1907 governs the applicability of laws to contracts for 
the acquisition of COTS items, and is intended to limit the 
applicability of laws to them. If a provision of law contains criminal 
or civil penalties, or if the Administrator for Federal Procurement 
Policy makes a written determination that it is not in the best 
interest of the Federal Government to exempt contracts for the 
acquisition of COTS items, the provision of law will apply. Therefore, 
given that the requirements of titles II and III of the Iran Threat 
Reduction and Syria Human Rights Act of 2012 were enacted to widen the 
sanctions against Iran, the Administrator for Federal Procurement 
Policy has determined that it is in the best interest of the Federal 
Government to apply the rule to contracts for the acquisition of COTS 
items, as defined at FAR 2.101. An exception for contracts for the 
acquisition of COTS items would exclude a significant portion of 
Federal contracting and the contractors who provide these products and 
services, thereby undermining the overarching public policy purpose of 
the law.

IV. Executive Order 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 importance of quantifying both costs and benefits, 
of reducing costs, of harmonizing rules, and of promoting flexibility. 
This is a significant regulatory action and, therefore, was 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.

V. Regulatory Flexibility Act

    The Department of Defense, the General Services Administration, and 
the National Aeronautics and Space Administration do not expect this 
interim 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 this rule will only have 
significant impact on an offeror that is engaging in an activity for 
which sanctions may be imposed under section 5 of the Iran Sanctions 
Act or certain transactions with Iran's Revolutionary Guard Corps. 
Domestic entities generally do not engage in activity that would cause 
them to be subject to the procurement bans described in this rule due 
to current restrictions on trade with Iran (see, e.g., Department of 
Treasury Office of Foreign Assets Control regulations at 31 CFR part 
560). Accordingly, it is expected that the number of domestic entities 
significantly impacted by this rule will be minimal, if any. The 
Regulatory Flexibility Act is for the protection of United States small 
entities, not foreign entities. Therefore, an Initial Regulatory 
Flexibility Analysis has not been performed. DoD, GSA, and NASA invite 
comments from small business concerns and other interested parties on 
the expected impact of this rule on small entities.
    DoD, GSA, and NASA will also consider comments from small entities 
concerning the existing regulations in subparts affected by the rule in 
accordance with 5 U.S.C. 610. Interested parties must submit such 
comments separately and should cite 5 U.S.C. 610 (FAC 2005-63, FAR Case 
2012-030), in correspondence.

VI. Paperwork Reduction Act

    The interim 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).

VII. Determination To Issue an Interim Rule

    A determination has been made under the authority of the Secretary 
of Defense (DoD), the Administrator of General Services (GSA), and the 
Administrator of the National Aeronautics and Space Administration 
(NASA) that urgent and compelling reasons exist to promulgate this 
interim rule without prior opportunity for public comment. This action 
is necessary because the rule implements titles II and III of the Iran 
Threat Reduction and Syria Human Rights Act of 2012 (Pub. L. 112-158), 
which was signed on August 10, 2012. The certification requirement of 
section 311 becomes effective 120 days after enactment (December 8, 
2012). Implementation of these economic sanctions through a 
certification requirement is part of a comprehensive policy directed 
towards the goal of compelling Iran to abandon efforts to acquire a 
nuclear weapons capability and other threatening activities. This is 
consistent with the objective of the President and Congress to prevent 
Iran from getting a nuclear weapon. However, pursuant to 41 U.S.C. 1707 
and FAR 1.501-3(b), DoD, GSA, and NASA will consider public comments 
received in response to this interim rule in the formation of the final 
rule.

List of Subjects in 48 CFR Parts 4, 25 and 52

    Government procurement.

    Dated: December 3, 2012.
Laura Auletta,
Director, Office of Governmentwide Acquisition Policy, Office of 
Acquisition Policy, Office of Governmentwide Policy.

    Therefore, DoD, GSA, and NASA amend 48 CFR parts 4, 25 and 52 as 
set forth below:

0
1. The authority citation for 48 CFR parts 4, 25, and 52 is revised to 
read as follows:

    Authority:  40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 51 
U.S.C. 20113).

PART 4--ADMINISTRATIVE MATTERS

0
2. Amend section 4.1202 by revising paragraph (y) to read as follows:


4.1202   Solicitation provision and contract clause.

* * * * *
    (y) 52.225-25, Prohibition on Contracting with Entities Engaging in 
Certain Activities or Transactions Relating to Iran--Representation and 
Certifications.
* * * * *

PART 25--FOREIGN ACQUISITION

0
3. Amend section 25.700 by revising paragraphs (c) and (d) to read as 
follows:


25.700   Scope of subpart.

* * * * *
    (c) The Iran Sanctions Act of 1996 (Iran Sanctions Act) (Pub. L. 
104-172; 50 U.S.C. 1701 note), including amendments by the Iran Freedom 
Support Act (Pub. L. 109-293), section 102 of the Comprehensive Iran 
Sanctions, Accountability, and Divestment Act of 2010 (Pub. L. 111-
195), and Titles II and III of the Iran Threat Reduction Act and Syria 
Human Rights Act of 2012 (Pub. L. 112-158); and
    (d) Prohibition against contracting with entities that export 
sensitive technologies to Iran (22 U.S.C. 8515).

0
4. Amend section 25.703 by revising the section heading to read as 
follows:


25.703   Prohibition on contracting with entities that engage in 
certain activities or transactions relating to Iran.

* * * * *

[[Page 73519]]


0
5. Revise section 25.703-2 to read as follows:


25.703-2   Iran Sanctions Act.

    (a) Certification--(1) Certification relating to activities 
described in section 5 of the Iran Sanctions Act. As required by 
section 6(b)(1)(A) of the Iran Sanctions Act (50 U.S.C. 1701 note), 
unless an exception applies in accordance with paragraph (c) of this 
subsection, or a waiver is granted in accordance with 25.703-4, each 
offeror must certify that the offeror, and any person owned or 
controlled by the offeror, does not engage in any activity for which 
sanctions may be imposed under section 5 of the Iran Sanctions Act. 
Such activities, which are described in detail in section 5 of the Iran 
Sanctions Act, relate to the energy sector of Iran and development by 
Iran of weapons of mass destruction or other military capabilities.
    (2) Certification relating to transactions with Iran's 
Revolutionary Guard Corps. As required by section 6(b)(1)(B) of the 
Iran Sanctions Act (50 U.S.C. 1701 note), unless an exception applies 
in accordance with paragraph (c) of this subsection, or a waiver is 
granted in accordance with 25.703-4, each offeror must certify that the 
offeror, and any person owned or controlled by the offeror, does not 
knowingly engage in any significant transaction (i.e., a transaction 
that exceeds $3,000) with Iran's Revolutionary Guard Corps or any of 
its officials, agents, or affiliates, the property and interests in 
property of which are blocked pursuant to the International Emergency 
Economic Powers Act (50 U.S.C. 1701 et seq.) (see OFAC's Specially 
Designated Nationals and Blocked Persons List at https://www.treasury.gov/ofac/downloads/t11sdn.pdf).
    (b) Remedies. Upon the determination of a false certification under 
paragraph (a) of this subsection, the agency shall take one or more of 
the following actions:
    (1) The contracting officer terminates the contract in accordance 
with procedures in part 49, or for commercial items, see 12.403.
    (2) The suspending official suspends the contractor in accordance 
with the procedures in subpart 9.4.
    (3) The debarring official debars the contractor for a period of at 
least two years in accordance with the procedures in subpart 9.4.
    (c) Exception for trade agreements. The certification requirements 
of paragraph (a) of this subsection do not apply if the acquisition is 
subject to trade agreements and the offeror certifies that all the 
offered products are designated country end products or designated 
country construction material (see subpart 25.4).

0
6. Amend section 25.703-3 by revising the section heading, and 
paragraphs (a) and (c) to read as follows:


25.703-3   Prohibition on contracting with entities that export 
sensitive technology to Iran.

    (a) The head of an executive agency may not enter into or extend a 
contract for the procurement of goods or services with a person that 
exports certain sensitive technology to Iran, as determined by the 
President and listed on the Excluded Parties List System via https://www.acquisition.gov (22 U.S.C. 8515).
* * * * *
    (c) Exception for trade agreements. The representation requirement 
of paragraph (b) of this subsection does not apply if the acquisition 
is subject to trade agreements and the offeror certifies that all the 
offered products are designated country end products or designated 
country construction material (see subpart 25.4).

0
7. Revise section 25.703-4 to read as follows:


25.703-4   Waiver.

    (a) An agency or contractor seeking a waiver of the requirements of 
25.703-2 or 25.703-3, consistent with section 6(b)(5) of the Iran 
Sanctions Act or 22 U.S.C. 8551(b), respectively, and the Presidential 
Memorandum of September 23, 2010 (75 FR 67025), shall submit the 
request to the Office of Federal Procurement Policy, allowing 
sufficient time for review and approval.
    (b) Agencies may request a waiver on an individual or class basis; 
however, waivers are not indefinite and can be cancelled, if warranted.
    (1) A class waiver may be requested only when the class of supplies 
or equipment is not available from any other source and it is in the 
national interest.
    (2) Prior to submitting the waiver request, the request must be 
reviewed and cleared by the agency head.
    (c) In general, all waiver requests should include the following 
information:
    (1) Agency name, complete mailing address, and point of contact 
name, telephone number, and email address.
    (2) Offeror's name, complete mailing address, and point of contact 
name, telephone number, and email address.
    (3) Description/nature of product or service.
    (4) The total cost and length of the contract.
    (5) Justification, with market research demonstrating that no other 
offeror can provide the product or service and stating why the product 
or service must be procured from this offeror.
    (i) If the offeror exports sensitive technology to the government 
of Iran or any entities or individuals owned or controlled by, or 
acting on behalf or at the direction of, the government of Iran, 
provide rationale why it is in the national interest for the President 
to waive the prohibition on contracting with this offeror, as required 
by 22 U.S.C. 8551(b).
    (ii) If the offeror conducts activities for which sanctions may be 
imposed under section 5 of the Iran Sanctions Act or engages in any 
transaction that exceeds $3,000 with Iran's Revolutionary Guard Corps 
or any of its officials, agents, or affiliates, the property and 
interests in property of which are blocked pursuant to the 
International Emergency Economic Powers Act, provide rationale why it 
is essential to the national security interests of the United States 
for the President to waive the prohibition on contracting with this 
offeror, as required by section 6(b)(5) of the Iran Sanctions Act.
    (6) Documentation regarding the offeror's past performance and 
integrity (see the Past Performance Information Retrieval System and 
the Federal Awardee Performance Information and Integrity System at 
www.ppirs.gov, and any other relevant information).
    (7) Information regarding the offeror's relationship or connection 
with other firms that--
    (i) Export sensitive technology to the government of Iran or any 
entities or individuals owned or controlled by, or acting on behalf or 
at the direction of, the government of Iran;
    (ii) Conduct activities for which sanctions may be imposed under 
section 5 of the Iran Sanctions Act; or
    (iii) Conduct any transaction that exceeds $3,000 with Iran's 
Revolutionary Guard Corps or any of its officials, agents, or 
affiliates, the property and interests in property of which are blocked 
pursuant to the International Emergency Economic Powers Act.
    (8) Describe-- (i) The sensitive technology and the entity or 
individual to which it was exported (i.e., the government of Iran or an 
entity or individual owned or controlled by, or acting on behalf or at 
the direction of, the government of Iran);
    (ii) The activities in which the offeror is engaged for which 
sanctions may be imposed under section 5 of the Iran Sanctions Act; or

[[Page 73520]]

    (iii) The transactions that exceed $3,000 with Iran's Revolutionary 
Guard Corps or any of its officials, agents, or affiliates, the 
property and interests in property of which are blocked pursuant to the 
International Emergency Economic Powers Act.

0
8. Amend section 25.1103 by revising paragraph (e) to read as follows:


25.1103   Other provisions and clauses.

* * * * *
    (e) The contracting officer shall include in all solicitations the 
provision at 52.225-25, Prohibition on Contracting with Entities 
Engaging in Certain Activities or Transactions Relating to Iran--
Representation and Certifications.

PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
9. Amend section 52.204-8 by revising the date of the provision and 
paragraph (c)(1)(xx) to read as follows:


52.204-8   Annual Representations and Certifications.

* * * * *

ANNUAL REPRESENTATIONS AND CERTIFICATIONS (DEC 2012)

* * * * *
    (c)(1) * * *
    (xx) 52.225-25, Prohibition on Contracting with Entities 
Engaging in Certain Activities or Transactions Relating to Iran--
Representation and Certifications. This provision applies to all 
solicitations.
* * * * *

0
10. Amend section 52.212-3 by revising the date of the provision and 
paragraph (o) to read as follows:


52.212-3   Offeror Representations and Certifications--Commercial 
Items.

* * * * *

OFFEROR REPRESENTATIONS AND CERTIFICATIONS--COMMERCIAL ITEMS (DEC 2012)

* * * * *
    (o) Prohibition on contracting with entities engaging in certain 
activities or transactions relating to Iran. (1) The offeror shall 
email questions concerning sensitive technology to the Department of 
State at CISADA106@state.gov.
    (2) Representation and certifications. Unless a waiver is 
granted or an exception applies as provided in paragraph (o)(3) of 
this provision, by submission of its offer, the offeror--
    (i) Represents, to the best of its knowledge and belief, that 
the offeror does not export any sensitive technology to the 
government of Iran or any entities or individuals owned or 
controlled by, or acting on behalf or at the direction of, the 
government of Iran;
    (ii) Certifies that the offeror, or any person owned or 
controlled by the offeror, does not engage in any activities for 
which sanctions may be imposed under section 5 of the Iran Sanctions 
Act; and
    (iii) Certifies that the offeror, and any person owned or 
controlled by the offeror, does not knowingly engage in any 
transaction that exceeds $3,000 with Iran's Revolutionary Guard 
Corps or any of its officials, agents, or affiliates, the property 
and interests in property of which are blocked pursuant to the 
International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) 
(see OFAC's Specially Designated Nationals and Blocked Persons List 
at https://www.treasury.gov/ofac/downloads/t11sdn.pdf).
    (3) The representation and certification requirements of 
paragraph (o)(2) of this provision do not apply if--
    (i) This solicitation includes a trade agreements certification 
(e.g., 52.212-3(g) or a comparable agency provision); and
    (ii) The offeror has certified that all the offered products to 
be supplied are designated country end products.
* * * * *

0
11. Amend section 52.225-25 by--
0
a. Revising the section heading and date of the provision; and
0
b. Revising paragraph (c) and the introductory text of paragraph (d) to 
read as follows:


52.225-25  Prohibition on Contracting with Entities Engaging in Certain 
Activities or Transactions Relating to Iran--Representation and 
Certifications.

* * * * *

PROHIBITION ON CONTRACTING WITH ENTITIES ENGAGING IN CERTAIN ACTIVITIES 
OR TRANSACTIONS RELATING TO IRAN--REPRESENTATION AND CERTIFICATIONS 
(DEC 2012)

* * * * *
    (c) Except as provided in paragraph (d) of this provision or if 
a waiver has been granted in accordance with 25.703-4, by submission 
of its offer, the offeror--
    (1) Represents, to the best of its knowledge and belief, that 
the offeror does not export any sensitive technology to the 
government of Iran or any entities or individuals owned or 
controlled by, or acting on behalf or at the direction of, the 
government of Iran;
    (2) Certifies that the offeror, or any person owned or 
controlled by the offeror, does not engage in any activities for 
which sanctions may be imposed under section 5 of the Iran Sanctions 
Act. These sanctioned activities are in the areas of development of 
the petroleum resources of Iran, production of refined petroleum 
products in Iran, sale and provision of refined petroleum products 
to Iran, and contributing to Iran's ability to acquire or develop 
certain weapons or technologies; and
    (3) Certifies that the offeror, and any person owned or 
controlled by the offeror, does not knowingly engage in any 
transaction that exceeds $3,000 with Iran's Revolutionary Guard 
Corps or any of its officials, agents, or affiliates, the property 
and interests in property of which are blocked pursuant to the 
International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) 
(see OFAC's Specially Designated Nationals and Blocked Persons List 
at https://www.treasury.gov/ofac/downloads/t11sdn.pdf).
    (d) Exception for trade agreements. The representation 
requirement of paragraph (c)(1) and the certification requirements 
of paragraphs (c)(2) and (c)(3) of this provision do not apply if--
* * * * *

[FR Doc. 2012-29639 Filed 12-7-12; 8:45 am]
BILLING CODE 6820-EP-P