Defense Federal Acquisition Regulation Supplement: Flowdown of Specialty Metals Restrictions (DFARS Case 2014-D011), 35507-35509 [2014-14590]
Download as PDF
Federal Register / Vol. 79, No. 120 / Monday, June 23, 2014 / Proposed Rules
[Alternative A]
the Code of Federal Regulations as
follows:
§ 371.4 What definitions apply to this
program?
PART 369—VOCATIONAL
REHABILITATION SERVICE
PROJECTS
*
1. The authority citation for part 369
continues to read as follows:
■
Authority: 29 U.S.C. 7011(c), 732, 750,
777(a)(1), 777b, 777f and 795g, unless
otherwise noted.
2. Section 369.4(b) is amended by
revising the definition of ‘‘Reservation’’
to read as follows:
■
[Alternative A]
§ 369.4 What definitions apply to these
programs?
*
*
*
*
*
(b) * * *
Reservation means a Federal or State
Indian reservation; public domain
Indian allotment; former Indian
reservation in Oklahoma; land held by
incorporated Native groups, regional
corporations, and village corporations
under the provisions of the Alaska
Native Claims Settlement Act; or a
defined area of land recognized by a
State or the Federal Government where
there is a concentration of tribal
members and on which the tribal
government is providing structured
activities and services.
*
*
*
*
*
*
*
*
*
(b) * * *
Reservation means a Federal or State
Indian reservation; public domain
Indian allotment; former Indian
reservation in Oklahoma; land held by
incorporated Native groups, regional
corporations, and village corporations
under the provisions of the Alaska
Native Claims Settlement Act; or a
defined area of land recognized by a
State or the Federal Government where
there is a concentration of tribal
members and on which the tribal
government is providing structured
activities and services.
*
*
*
*
*
[Alternative B]
§ 371.4 What definitions apply to this
program?
*
*
*
*
*
(b) * * *
Reservation means only a Federal or
State Indian reservation, public domain
Indian allotment, former Indian
reservation in Oklahoma, and land held
by incorporated Native groups, regional
corporations, and village corporations
under the provisions of the Alaska
Native Claims Settlement Act.
*
*
*
*
*
[FR Doc. 2014–14387 Filed 6–20–14; 8:45 am]
BILLING CODE 4000–01–P
[Alternative B]
§ 369.4 What definitions apply to this
program?
DEPARTMENT OF DEFENSE
*
Defense Acquisition Regulations
System
*
*
*
*
(b) * * *
Reservation means only a Federal or
State Indian reservation, public domain
Indian allotment, former Indian
reservation in Oklahoma, and land held
by incorporated Native groups, regional
corporations, and village corporations
under the provisions of the Alaska
Native Claims Settlement Act.
*
*
*
*
*
pmangrum on DSK3VPTVN1PROD with PROPOSALS
PART 371—VOCATIONAL
REHABILITATION SERVICES
PROJECTS FOR AMERICAN INDIANS
WITH DISABILITIES
3. The authority citation for part 371
continues to read as follows:
■
Authority: 29 U.S.C. 709(c) and 741,
unless otherwise noted.
4. Section 371.4(b) is amended by
revising the definition of ‘‘Reservation’’
to read as follows:
■
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14:41 Jun 20, 2014
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48 CFR Part 252
RIN 0750–AI30
Defense Federal Acquisition
Regulation Supplement: Flowdown of
Specialty Metals Restrictions (DFARS
Case 2014–D011)
Defense Acquisition
Regulations System, Department of
Defense (DoD).
ACTION: Proposed rule.
AGENCY:
DoD is proposing to amend
the Defense Federal Acquisition
Regulation Supplement (DFARS) to
clarify the flowdown requirements for
the DFARS clause entitled ‘‘Restriction
on Acquisition of Certain Articles
Containing Specialty Metals.’’
DATES: Comment date: Comments on the
proposed rule should be submitted in
writing to the address shown below on
SUMMARY:
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35507
or before August 22, 2014, to be
considered in the formation of a final
rule.
ADDRESSES: Submit comments
identified by DFARS Case 2014–D011,
using any of the following methods:
Æ Regulations.gov: https://
www.regulations.gov. Submit comments
via the Federal eRulemaking portal by
entering ‘‘DFARS Case 2014–D011’’
under the heading ‘‘Enter keyword or
ID’’ and selecting ‘‘Search.’’ Select the
link ‘‘Submit a Comment’’ that
corresponds with ‘‘DFARS Case 2014–
D011.’’ Follow the instructions provided
at the ‘‘Submit a Comment’’ screen.
Please include your name, company
name (if any), and ‘‘DFARS Case 2014–
D011’’ on your attached document.
Æ Email: osd.dfars@mail.mil. Include
DFARS Case 2014–D011 in the subject
line of the message.
Æ Fax: 571–372–6094.
Æ Mail: Defense Acquisition
Regulations System, Attn: Ms. Amy G.
Williams, OUSD(AT&L)DPAP/DARS,
Room 3B941, 3060 Defense Pentagon,
Washington, DC 20301–3060.
Comments received generally will be
posted without change to https://
www.regulations.gov, including any
personal information provided. To
confirm receipt of your comment(s),
please check www.regulations.gov,
approximately two to three days after
submission to verify posting (except
allow 30 days for posting of comments
submitted by mail).
FOR FURTHER INFORMATION CONTACT: Ms.
Amy G. Williams, Defense Acquisition
Regulations System,
OUSD(AT&L)DPAP/DARS, Room
3B941, 3060 Defense Pentagon,
Washington, DC 20301–3060.
Telephone 571–372–6106.
SUPPLEMENTARY INFORMATION:
I. Background
The clause at DFARS 252.225–7009,
Restriction on Acquisition of Certain
Articles Containing Specialty Metals, as
prescribed at DFARS 225.7003–5(a)(2),
implements 10 U.S.C. 2533b. This
clause is used in solicitations and
contracts, including solicitations and
contracts using FAR part 12 procedures
for the acquisition of commercial items,
that exceed the simplified acquisition
threshold and require the delivery of the
following items, if such items contain
specialty metals: Aircraft, missile or
space systems, ships, tank or automotive
systems, weapon systems, or
ammunition, and components thereof.
Except as provided in paragraph (c) of
the clause, any specialty metals
incorporated in items delivered under
the contract shall be melted or produced
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35508
Federal Register / Vol. 79, No. 120 / Monday, June 23, 2014 / Proposed Rules
in the United States, its outlying areas,
or a qualifying country.
DoD is proposing to revise paragraph
(e) of this clause to clarify the
requirement to flow this clause down to
subcontracts.
II. Discussion and Analysis
In order to prevent misinterpretation
of the current flowdown requirement to
insert the ‘‘substance of the clause’’ in
subcontracts, the flowdown requirement
has been rewritten to specify that the
only modifications allowed when
flowing down the clause are as follows:
• Exclude and reserve paragraph (d)
of the clause.
• Modify paragraph (c)(6) of the
clause only as necessary to facilitate
management of the allowance for up to
2 percent otherwise noncompliant
specialty metal content in the end
product, while recognizing that the
minimal content exception does not
apply to specialty metals contained in
high-performance magnets.
• Not further alter the clause, other
than to identify the appropriate parties.
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
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.
pmangrum on DSK3VPTVN1PROD with PROPOSALS
IV. 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 it is a clarification of an existing
requirement. However, an initial
regulatory flexibility analysis has been
performed and is summarized as
follows:
The reason for issuance of this
proposed rule is to clarify the flowdown
requirements for DFARS clause
252.225–7009, Restriction on
Acquisition of Certain Articles
Containing Specialty Metals.
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14:41 Jun 20, 2014
Jkt 232001
The objective of the rule is to more
fully implement the requirements of 10
U.S.C. 2533b, which restricts the
acquisition of specialty metals not
melted in the United States, its outlying
areas, or a qualifying country, in order
to strengthen the United States
industrial base.
This rule applies to DoD contractors
and subcontractors that are providing
aircraft, missile or space systems, ships,
tank or automotive items, weapon
systems, ammunition, or components
thereof that contain specialty metals.
Based on FY 2013 data in the Federal
Procurement Data System (FPDS), DoD
awarded 1,566 contracts that exceeded
the simplified acquisition threshold for
aircraft, missile or space systems, ships,
tank or automotive items, weapon
systems, ammunition, or components
thereof. Of those awards, 642 were to
533 unique small business entities.
FPDS does not contain data on
subcontracts. If we estimate an average
of 20 subcontracts per contract for items
containing specialty metals, and that 35
percent of those subcontracts are
awarded to small businesses, 2
subcontracts per small entity, then this
rule may apply to approximately 6,123
small business entities subject to
DFARS 52.225–7009.
(1,566 × 20 = 31,320 × .35 = 10,962 ×
.5 = 5,481 small business
subcontractors + 642 small business
prime contractors = 6,123)
There are no reporting or
recordkeeping requirements associated
with this rule. With some exceptions,
the rule requires contractors to provide
certain end products containing
specialty metals melted or produced in
the United States, its outlying areas, or
a qualifying country. However, end
items may contain a minimal amount of
otherwise noncompliant specialty
metals, if the total weight of such
noncompliant metals does not exceed 2
percent of the total of all specialty
metals in the end item. Therefore, the
contractor has some discretion in
flowing down the requirement to
subcontractors to the extent necessary to
ensure compliance of the end products
the contractor will deliver to the
Government.
The rule does not duplicate, overlap,
or conflict with any other Federal rules.
DoD did not identify any alternatives
to this rule that would reduce burdens
on small entities and meet the objective
of the rule. This rule does not impose
any significant new burdens on small
entities, because it only clarifies what
was intended by the conventional
statement to insert ‘‘the substance of the
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Fmt 4702
Sfmt 4702
clause’’ in subcontracts for items
containing specialty metals.
DoD invites comments from small
business concerns and other interested
parties on the expected impact of this
rule on small entities.
DoD will also consider comments
from small entities concerning the
existing regulations in subparts affected
by this rule in accordance with 5 U.S.C.
610. Interested parties must submit such
comments separately and should cite 5
U.S.C 610 (DFARS Case 2014–D011), in
correspondence.
V. Paperwork Reduction Act
The 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 252
Government procurement.
Amy G. Williams,
Deputy, Defense Acquisition Regulations
System.
Therefore, 48 CFR part 252 is
proposed to be amended as follows:
PART 252—SOLICITATION
PROVISIONS AND CONTRACT
CLAUSES
1. The authority citation for 48 CFR
part 252 continues to read as follows:
■
Authority: 41 U.S.C. 1303 and 48 CFR
chapter 1.
2. Amend section 252.225–7009 by—
a. Removing the clause date ‘‘(JUN
2013)’’ and adding ‘‘(DATE)’’ in its
place; and
■ b. Revising paragraph (e) to read as
follows:
■
■
252.225–7009 Restriction on Acquisition
of Certain Articles Containing Specialty
Metals
*
*
*
*
*
(e) Subcontracts.
(1) The Contractor shall exclude and
reserve paragraph (d) and this paragraph
(e)(1) when flowing down this clause to
subcontracts.
(2) The Contractor shall insert
paragraphs (a) through (c) and this
paragraph (e)(2) of this clause in
subcontracts, including subcontracts for
commercial items, that are for items
containing specialty metals to ensure
compliance of the end products that the
Contractor will deliver to the
Government. When inserting this clause
in subcontracts, the Contractor shall—
(i) Modify paragraph (c)(6) of this
clause only as necessary to facilitate
management of the minimal content
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23JNP1
Federal Register / Vol. 79, No. 120 / Monday, June 23, 2014 / Proposed Rules
exception at the prime contract level.
The minimal content exception does not
apply to specialty metals contained in
high-performance magnets; and
(ii) Not further alter the clause other
than to identify the appropriate parties.
[FR Doc. 2014–14590 Filed 6–20–14; 8:45 am]
BILLING CODE 5001–06–P
DEPARTMENT OF THE INTERIOR
Fish and Wildlife Service
50 CFR Part 17
[Docket No. FWS–R8–ES–2014–0023;
4500030113]
Endangered and Threatened Wildlife
and Plants; 12-Month Finding on a
Petition To List the Humboldt Marten
as Endangered or Threatened
Fish and Wildlife Service,
Interior.
ACTION: Notice of initiation of scoping
and request for information.
AGENCY:
We, the U.S. Fish and
Wildlife Service (Service), are gathering
information to prepare a 12-month
finding under the Endangered Species
Act of 1973, as amended (Act), on a
petition to list the current classification
of Humboldt marten (Martes caurina
humboldtensis) as an endangered or
threatened species. We provide this
notice to summarize the uncertainty
regarding the subspecies taxonomic
classification (based on current genetics
information) and, therefore, our intent
to conduct an evaluation of a potential
distinct population segment (DPS) of
martens in coastal northern California
and coastal Oregon relative to the full
species classification level. We will
submit a 12-month finding on the
petition to the Federal Register by April
1, 2015.
DATES: We request that we receive
information on or before August 7, 2014.
Information submitted electronically
using the Federal eRulemaking Portal
(see ADDRESSES section, below) must be
received by 11:59 p.m. Eastern Time on
the closing date.
ADDRESSES: You may submit
information by one of the following
methods:
(1) Electronically: Go to the Federal
eRulemaking Portal: https://
www.regulations.gov. In the Search box,
enter FWS–R8–ES–2014–0023. You may
submit information by clicking on
‘‘Comment Now!’’
(2) By hard copy: Submit by U.S. mail
or hand delivery to: Public Comments
Processing, Attn: FWS–R8–ES–2014–
pmangrum on DSK3VPTVN1PROD with PROPOSALS
SUMMARY:
VerDate Mar<15>2010
14:41 Jun 20, 2014
Jkt 232001
0023; Division of Policy and Directives
Management; U.S. Fish and Wildlife
Service; 4401 N. Fairfax Drive, MS
2042–PDM; Arlington, VA 22203.
We request that you send information
only by the methods described above.
We will post all information we receive
on https://www.regulations.gov. This
generally means that we will post any
personal information you provide us
(see the Information Requested section
below for more information).
FOR FURTHER INFORMATION CONTACT:
Bruce Bingham, Field Supervisor, U.S.
Fish and Wildlife Service, Arcata Fish
and Wildlife Office, 1655 Heindon
Road, Arcata, CA 95521; telephone 707–
822–7201; or facsimile 707–822–8411.
Persons who use a telecommunications
device for the deaf (TDD) may call the
Federal Information Relay Service
(FIRS) at 800–877–8339.
SUPPLEMENTARY INFORMATION:
Background
In a petition dated September 28,
2010 (Center for Biological Diversity
(CBD) and Environmental Protection
Information Center (EPIC) 2010), the
petitioners requested that we consider
for listing the (then-classified)
subspecies Humboldt marten (Martes
americana humboldtensis), or the (nowrecognized) subspecies Humboldt
marten (M. caurina humboldtensis), or
the Humboldt marten Distinct
Population Segment (DPS) of the Pacific
marten (M. caurina). The petitioners
further stipulated that, based on recent
genetic analyses indicating that
populations of marten from coastal
Oregon are more closely related to M. a.
humboldtensis than to M. a. caurina in
the Cascades of Oregon (citing Dawson
2008, Slauson et al. 2009), the range of
the subspecies or DPS of the Humboldt
marten should be expanded to include
coastal Oregon populations. On January
12, 2012, we published a substantial 90day finding on the petition to list the
Humboldt marten as an endangered or
threatened species under the Act (77 FR
1900). For purposes of the 90-day
finding, the common name Humboldt
marten referred to the then-classified
American marten (M. americana)
populations in coastal northern
California and coastal Oregon.
The American marten (Martes
americana) was originally described as
a single species by Turton (1806; entire),
based on specimens from eastern North
America. In 1890, Merriam (1890;
entire) considered a new species, M.
caurina, as those martens found west of
the Rocky Mountains. In 1926, the
Humboldt [Pine] marten (M. c.
humboldtensis) was described as a
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Fmt 4702
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35509
subspecies of M. caurina (Grinnel and
Dixon 1926, entire); historically, this
subspecies was distributed throughout
the coastal, fog-influenced coniferous
forests of northern California from
northwestern Sonoma County north to
the Oregon border (Grinnel and Dixon
1926, entire). In 1953, Wright (1953;
entire) described one species, the
American marten (M. americana),
which included as subspecies both the
Humboldt [Pine] marten subspecies (M.
a. humboldtensis), and the former
western marten species (M. caurina),
classified as M. a. caurina.
As noted above, at the time of our 90day finding (77 FR 1900; January 12,
2012), the Humboldt marten was
classified as Martes americana
humboldtensis. Subsequently, Dawson
and Cook (2012, entire) split the
American marten, recognizing the
Pacific marten (M. caurina) for all
martens occurring west of the Rocky
Mountain crest, based on genetic and
morphological differences. While this
split changed the species-level name of
all martens occurring west of the Rocky
Mountain crest from M. americana to M.
caurina, subspecies epithets were not
changed. Therefore, the current
classification of the Humboldt marten in
coastal northern California is M. c.
humboldtensis, and the marten
populations occurring in adjacent
coastal Oregon are M. c. caurina. In
addition, as currently recognized,
populations of martens in the Oregon
Cascades northward through the State of
Washington and into British Columbia,
Canada, are also M. c. caurina.
Ongoing genetic research indicates
uncertainty in the Pacific marten
subspecies delineations in California
and Oregon. Specifically, the best
available data indicate that the Martes
caurina humboldtensis population in
coastal northern California (Humboldt,
Siskiyou, and Del Norte Counties) and
the two M. c. caurina populations in
coastal Oregon (Curry, Coos, coastal
portion of Douglas, coastal portion of
Lane, Lincoln, and Tillamook Counties)
may be a single evolutionary unit
(clade) (Slauson et al. 2009, p. 1,340;
Schwartz et al., in prep) (available for
review at https://www.regulations.gov,
Docket No. FWS–R8–ES–2014–0023).
Although questions regarding the
taxonomy of marten subspecies in
northern California and Oregon are not
new (i.e., both the petition we received
(CBD and EPIC 2010) and our 90-day
finding (January 12, 2012; 77 FR 1900)
identified ongoing genetic research and
taxonomic uncertainty), the best
available information indicates that the
original designation of two separate
marten subspecies occurring in coastal
E:\FR\FM\23JNP1.SGM
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Agencies
[Federal Register Volume 79, Number 120 (Monday, June 23, 2014)]
[Proposed Rules]
[Pages 35507-35509]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-14590]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System
48 CFR Part 252
RIN 0750-AI30
Defense Federal Acquisition Regulation Supplement: Flowdown of
Specialty Metals Restrictions (DFARS Case 2014-D011)
AGENCY: Defense Acquisition Regulations System, Department of Defense
(DoD).
ACTION: Proposed rule.
-----------------------------------------------------------------------
SUMMARY: DoD is proposing to amend the Defense Federal Acquisition
Regulation Supplement (DFARS) to clarify the flowdown requirements for
the DFARS clause entitled ``Restriction on Acquisition of Certain
Articles Containing Specialty Metals.''
DATES: Comment date: Comments on the proposed rule should be submitted
in writing to the address shown below on or before August 22, 2014, to
be considered in the formation of a final rule.
ADDRESSES: Submit comments identified by DFARS Case 2014-D011, using
any of the following methods:
[cir] Regulations.gov: https://www.regulations.gov. Submit comments
via the Federal eRulemaking portal by entering ``DFARS Case 2014-D011''
under the heading ``Enter keyword or ID'' and selecting ``Search.''
Select the link ``Submit a Comment'' that corresponds with ``DFARS Case
2014-D011.'' Follow the instructions provided at the ``Submit a
Comment'' screen. Please include your name, company name (if any), and
``DFARS Case 2014-D011'' on your attached document.
[cir] Email: osd.dfars@mail.mil. Include DFARS Case 2014-D011 in
the subject line of the message.
[cir] Fax: 571-372-6094.
[cir] Mail: Defense Acquisition Regulations System, Attn: Ms. Amy
G. Williams, OUSD(AT&L)DPAP/DARS, Room 3B941, 3060 Defense Pentagon,
Washington, DC 20301-3060.
Comments received generally will be posted without change to https://www.regulations.gov, including any personal information provided. To
confirm receipt of your comment(s), please check www.regulations.gov,
approximately two to three days after submission to verify posting
(except allow 30 days for posting of comments submitted by mail).
FOR FURTHER INFORMATION CONTACT: Ms. Amy G. Williams, Defense
Acquisition Regulations System, OUSD(AT&L)DPAP/DARS, Room 3B941, 3060
Defense Pentagon, Washington, DC 20301-3060. Telephone 571-372-6106.
SUPPLEMENTARY INFORMATION:
I. Background
The clause at DFARS 252.225-7009, Restriction on Acquisition of
Certain Articles Containing Specialty Metals, as prescribed at DFARS
225.7003-5(a)(2), implements 10 U.S.C. 2533b. This clause is used in
solicitations and contracts, including solicitations and contracts
using FAR part 12 procedures for the acquisition of commercial items,
that exceed the simplified acquisition threshold and require the
delivery of the following items, if such items contain specialty
metals: Aircraft, missile or space systems, ships, tank or automotive
systems, weapon systems, or ammunition, and components thereof. Except
as provided in paragraph (c) of the clause, any specialty metals
incorporated in items delivered under the contract shall be melted or
produced
[[Page 35508]]
in the United States, its outlying areas, or a qualifying country.
DoD is proposing to revise paragraph (e) of this clause to clarify
the requirement to flow this clause down to subcontracts.
II. Discussion and Analysis
In order to prevent misinterpretation of the current flowdown
requirement to insert the ``substance of the clause'' in subcontracts,
the flowdown requirement has been rewritten to specify that the only
modifications allowed when flowing down the clause are as follows:
Exclude and reserve paragraph (d) of the clause.
Modify paragraph (c)(6) of the clause only as necessary to
facilitate management of the allowance for up to 2 percent otherwise
noncompliant specialty metal content in the end product, while
recognizing that the minimal content exception does not apply to
specialty metals contained in high-performance magnets.
Not further alter the clause, other than to identify the
appropriate parties.
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 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
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 it is a
clarification of an existing requirement. However, an initial
regulatory flexibility analysis has been performed and is summarized as
follows:
The reason for issuance of this proposed rule is to clarify the
flowdown requirements for DFARS clause 252.225-7009, Restriction on
Acquisition of Certain Articles Containing Specialty Metals.
The objective of the rule is to more fully implement the
requirements of 10 U.S.C. 2533b, which restricts the acquisition of
specialty metals not melted in the United States, its outlying areas,
or a qualifying country, in order to strengthen the United States
industrial base.
This rule applies to DoD contractors and subcontractors that are
providing aircraft, missile or space systems, ships, tank or automotive
items, weapon systems, ammunition, or components thereof that contain
specialty metals.
Based on FY 2013 data in the Federal Procurement Data System
(FPDS), DoD awarded 1,566 contracts that exceeded the simplified
acquisition threshold for aircraft, missile or space systems, ships,
tank or automotive items, weapon systems, ammunition, or components
thereof. Of those awards, 642 were to 533 unique small business
entities. FPDS does not contain data on subcontracts. If we estimate an
average of 20 subcontracts per contract for items containing specialty
metals, and that 35 percent of those subcontracts are awarded to small
businesses, 2 subcontracts per small entity, then this rule may apply
to approximately 6,123 small business entities subject to DFARS 52.225-
7009.
(1,566 x 20 = 31,320 x .35 = 10,962 x .5 = 5,481 small business
subcontractors + 642 small business prime contractors = 6,123)
There are no reporting or recordkeeping requirements associated
with this rule. With some exceptions, the rule requires contractors to
provide certain end products containing specialty metals melted or
produced in the United States, its outlying areas, or a qualifying
country. However, end items may contain a minimal amount of otherwise
noncompliant specialty metals, if the total weight of such noncompliant
metals does not exceed 2 percent of the total of all specialty metals
in the end item. Therefore, the contractor has some discretion in
flowing down the requirement to subcontractors to the extent necessary
to ensure compliance of the end products the contractor will deliver to
the Government.
The rule does not duplicate, overlap, or conflict with any other
Federal rules.
DoD did not identify any alternatives to this rule that would
reduce burdens on small entities and meet the objective of the rule.
This rule does not impose any significant new burdens on small
entities, because it only clarifies what was intended by the
conventional statement to insert ``the substance of the clause'' in
subcontracts for items containing specialty metals.
DoD invites comments from small business concerns and other
interested parties on the expected impact of this rule on small
entities.
DoD will also consider comments from small entities concerning the
existing regulations in subparts affected by this rule in accordance
with 5 U.S.C. 610. Interested parties must submit such comments
separately and should cite 5 U.S.C 610 (DFARS Case 2014-D011), in
correspondence.
V. Paperwork Reduction Act
The 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 252
Government procurement.
Amy G. Williams,
Deputy, Defense Acquisition Regulations System.
Therefore, 48 CFR part 252 is proposed to be amended as follows:
PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
0
1. The authority citation for 48 CFR part 252 continues to read as
follows:
Authority: 41 U.S.C. 1303 and 48 CFR chapter 1.
0
2. Amend section 252.225-7009 by--
0
a. Removing the clause date ``(JUN 2013)'' and adding ``(DATE)'' in its
place; and
0
b. Revising paragraph (e) to read as follows:
252.225-7009 Restriction on Acquisition of Certain Articles Containing
Specialty Metals
* * * * *
(e) Subcontracts.
(1) The Contractor shall exclude and reserve paragraph (d) and this
paragraph (e)(1) when flowing down this clause to subcontracts.
(2) The Contractor shall insert paragraphs (a) through (c) and this
paragraph (e)(2) of this clause in subcontracts, including subcontracts
for commercial items, that are for items containing specialty metals to
ensure compliance of the end products that the Contractor will deliver
to the Government. When inserting this clause in subcontracts, the
Contractor shall--
(i) Modify paragraph (c)(6) of this clause only as necessary to
facilitate management of the minimal content
[[Page 35509]]
exception at the prime contract level. The minimal content exception
does not apply to specialty metals contained in high-performance
magnets; and
(ii) Not further alter the clause other than to identify the
appropriate parties.
[FR Doc. 2014-14590 Filed 6-20-14; 8:45 am]
BILLING CODE 5001-06-P