Defense Federal Acquisition Regulation Supplement: Modification of DFARS Clause “Surge Option” (DFARS Case 2018-D025), 62502-62503 [2018-26307]

Download as PDF 62502 Federal Register / Vol. 83, No. 233 / Tuesday, December 4, 2018 / Rules and Regulations prior to requesting another agency to conduct an acquisition on its behalf, to make a determination that the use of an interagency acquisition represents the best procurement approach. The requirement for a best procurement approach determination is implemented at Federal Acquisition Regulations (FAR) 17.502–1(a). Removal of the requirement from the FAR, in accordance with section 875, is being accomplished under FAR case 2018– 015. This rule removes supplemental text from DFARS 217.502–1 that advises contracting officers, when providing acquisition assistance to deployed DoD units or personnel from another DoD Component, to obtain the determination from the requiring DoD unit or personnel. II. Applicability to Contracts at or Below the Simplified Acquisition Threshold and for Commercial Items, Including Commercially Available Offthe-Shelf Items This rule only impacts the internal operating procedures of the agency. As such, the rule does not impose any new requirements on contracts at or below the simplified acquisition threshold or for commercial items, including commercially available off-the-shelf items. III. Executive Orders 12866 and 13563 Executive Order (E.O.) 12866, Regulatory Planning and Review; and E.O. 13563, Improving Regulation and Regulatory Review, 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. The Office of Management and Budget, Office of Information and Regulatory Affairs (OIRA), has determined that this is not a significant regulatory action as defined under section 3(f) of E.O. 12866 and, therefore, was not subject to review under section 6(b). This rule is not a major rule as defined at 5 U.S.C. 804(2). IV. Executive Order 13771 This final rule is not an E.O. 13771 regulatory action, because this rule is not significant under E.O. 12866. VerDate Sep<11>2014 16:14 Dec 03, 2018 Jkt 247001 V. Publication of This Final Rule for Public Comment Is Not Required by Statute The statute that applies to the publication of the Federal Acquisition Regulation (FAR) is Office of Federal Procurement Policy statute (codified at title 41 of the United States Code). Specifically, 41 U.S.C. 1707(a)(1) 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 it only impacts determination and documentation processes that are internal to the agency. VI. Regulatory Flexibility Act Because a notice of proposed rulemaking and an opportunity for public comment are not required to be given for this rule under 41 U.S.C. 1707(a)(1) (see section V. of this preamble), the analytical requirements of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) are not applicable. Accordingly, no regulatory flexibility analysis is required and none has been prepared. VII. 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 217 Government procurement. Jennifer Lee Hawes, Regulatory Control Officer, Defense Acquisition Regulations System. Therefore, 48 CFR part 217 is amended as follows: PART 217—SPECIAL CONTRACTING METHODS 1. The authority citation for 48 CFR part 217 continues to read as follows: ■ Authority: 41 U.S.C. 1303 and 48 CFR chapter 1. 2. Revise section 217.502–1 to read as follows: ■ PO 00000 Frm 00054 Fmt 4700 Sfmt 4700 217.502–1 General. (a) Written agreement on responsibility for management and administration— (1) Assisted acquisitions. Follow the procedures at PGI 217.502–1(a)(1), when a contracting activity from a DoD Component provides acquisition assistance to deployed DoD units or personnel from another DoD Component. [FR Doc. 2018–26309 Filed 12–3–18; 8:45 am] BILLING CODE 5001–06–P DEPARTMENT OF DEFENSE Defense Acquisition Regulations System 48 CFR Parts 217 and 252 [Docket DARS–2018–D036] RIN 0750–AJ87 Defense Federal Acquisition Regulation Supplement: Modification of DFARS Clause ‘‘Surge Option’’ (DFARS Case 2018–D025) 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 revise a clause to reflect current terminology and industry practices, pursuant to action taken by the DoD Regulatory Reform Task Force. DATES: Effective December 4, 2018. FOR FURTHER INFORMATION CONTACT: Ms. Carrie Moore, telephone 571–372–6093. SUPPLEMENTARY INFORMATION: SUMMARY: I. Background DoD published a proposed rule in the Federal Register at 83 FR 30659 on June 29, 2018, to modify DFARS clause 252.217–7001, Surge Option, to replace the term ‘‘Production Surge Plan (DI– MGMT–80969)’’ with ‘‘Capabilities Analysis Plan (CAP)’’ and add text to permit the option increase of supplies or services called for under the clause to be expressed as a specific number. The associated clause prescription at DFARS 217.208–70(b) is amended to reflect that the option increase of supplies or services may also be expressed as a specific number. This rule supports a recommendation from the DoD Regulatory Reform Task Force under Executive Order (E.O.) 13777, Enforcing the Regulatory Reform Agenda. One respondent submitted a public comment in response to the proposed E:\FR\FM\04DER1.SGM 04DER1 Federal Register / Vol. 83, No. 233 / Tuesday, December 4, 2018 / Rules and Regulations rule. The comment is outside the scope of this case and no changes are made in the final rule. II. Applicability to Contracts at or Below the Simplified Acquisition Threshold and for Commercial Items, Including Commercially Available Offthe-Shelf Items This rule does not propose to create any new provisions or clauses. The proposed changes to DFARS clause 252.217–7001, Surge Option, are minimal and reflect only updates required to mirror current industry terminology and practice for support that may be required for industrial planning for selected essential military items in the event of an emergency. The rule continues to apply to contracts below the simplified acquisition threshold, however, the rule does not apply to commercial items, including commercially available off-the-shelf items. III. Executive Orders 12866 and 13563 E.O. 12866, Regulatory Planning and Review; and E.O. 13563, Improving Regulation and Regulatory Review, 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. The Office of Management and Budget, Office of Information and Regulatory Affairs (OIRA), has determined that this is not a significant regulatory action as defined under section 3(f) of E.O. 12866 and, therefore, was not subject to review under section 6(b). This rule is not a major rule as defined at 5 U.S.C. 804(2). IV. Executive Order 13771 This final rule is not subject to E.O. 13771, because this rule is not significant under E.O. 12866. VerDate Sep<11>2014 16:14 Dec 03, 2018 Jkt 247001 improve the flexibility offered to contractors submitting pricing for surge options by giving them the option to quote prices by percentage or quantity increases, and to update the terminology used from ‘‘Production Surge Plan’’ to ‘‘Capability Analysis Plan’’ (CAP), since this is the most current and accurate term for this type of plan. The modification of this DFARS text supports a recommendation from the DoD Regulatory Reform Task Force under E.O. 13777, Enforcing the Regulatory Reform Agenda. No public comments were received in response to the initial regulatory flexibility analysis. This rule is not expected 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 scope of the rule limits the application of the reporting requirement to a small number of service contracts. Based on fiscal year 2017 data from the Federal Procurement Data System, the Government issued approximately 78 contract actions that used mobilization or essential research and development as the reason for other than full and open competition. Of the 78 contract actions, approximately 33 awards were made to 24 unique small entities. This rule does not include any new reporting, recordkeeping, or other compliance requirements for small businesses. There are no known significant alternative approaches to the rule that would meet the proposed objectives. PART 217—SPECIAL CONTRACTING METHODS VI. Paperwork Reduction Act 49 CFR Parts 383 and 384 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 Parts 217 and 252 V. Regulatory Flexibility Act A final regulatory flexibility analysis (FRFA) has been prepared consistent with the Regulatory Flexibility Act, 5 U.S.C. 601, et seq. The FRFA is summarized as follows: The Department of Defense is amending the Defense Federal Acquisition Regulation Supplement (DFARS) to revise a clause to reflect current terminology and industry practices. The objective of this rule is to 62503 Government procurement. Jennifer Lee Hawes, Regulatory Control Officer, Defense Acquisition Regulations System. Therefore, 48 CFR parts 217 and 252 are amended as follows: 1. The authority citation for parts 217 and 252 continues to read as follows: Authority: 41 U.S.C. 1303 and 48 CFR chapter 1. PO 00000 Frm 00055 Fmt 4700 Sfmt 4700 217.208–70 [Amended] 2. In section 217.208–70, amend paragraph (b)(1), by removing ‘‘percentage’’ and adding ‘‘percentage or quantity’’ in its place. ■ PART 252—SOLICITATION PROVISIONS AND CONTRACT CLAUSES 3. Amend section 252.217–7001 by— a. Removing the clause date of ‘‘(AUG 1992)’’ and adding ‘‘(DEC 2018)’’ in its place; ■ b. Revising paragraph (a)(1); ■ c. In paragraph (b)(1), removing ‘‘Production Surge Plan (DI–MGMT 80969)’’ and adding ‘‘Capabilities Analysis Plan (CAP)’’ in its place; and ■ d. In paragraph (b)(2), removing ‘‘Production Surge Plan’’ and adding ‘‘CAP’’ in its place. The revision reads as follows: ■ ■ 252.217–7001. Surge option. * * * * * (a) * * * (1) Increase the quantity of supplies or services called for under this contract by no more than llpercent or ll[insert quantity and description of services or supplies to be increased]; and/or * * * * * [FR Doc. 2018–26307 Filed 12–3–18; 8:45 am] BILLING CODE 5001–06–P DEPARTMENT OF TRANSPORTATION Federal Motor Carrier Safety Administration [Docket No. FMCSA–2001–11117] RIN 2126–AA70 Limitations on the Issuance of Commercial Driver’s Licenses With a Hazardous Materials Endorsement Federal Motor Carrier Safety Administration (FMCSA), DOT. ACTION: Interim rules; re-opening of the comment period. AGENCY: In May 2003 and April 2005, FMCSA published interim final rules (IFR) regarding the limitations on the issuance of commercial driver’s licenses with a hazardous materials endorsement. The comment period for the May 2003 IFR closed on July 7, 2003; there was no comment period for the April 2005 IFR. The Agency received over 50 comments on the 2003 SUMMARY: E:\FR\FM\04DER1.SGM 04DER1

Agencies

[Federal Register Volume 83, Number 233 (Tuesday, December 4, 2018)]
[Rules and Regulations]
[Pages 62502-62503]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-26307]


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DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

48 CFR Parts 217 and 252

[Docket DARS-2018-D036]
RIN 0750-AJ87


Defense Federal Acquisition Regulation Supplement: Modification 
of DFARS Clause ``Surge Option'' (DFARS Case 2018-D025)

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 revise a clause to reflect 
current terminology and industry practices, pursuant to action taken by 
the DoD Regulatory Reform Task Force.

DATES: Effective December 4, 2018.

FOR FURTHER INFORMATION CONTACT: Ms. Carrie Moore, telephone 571-372-
6093.

SUPPLEMENTARY INFORMATION: 

I. Background

    DoD published a proposed rule in the Federal Register at 83 FR 
30659 on June 29, 2018, to modify DFARS clause 252.217-7001, Surge 
Option, to replace the term ``Production Surge Plan (DI-MGMT-80969)'' 
with ``Capabilities Analysis Plan (CAP)'' and add text to permit the 
option increase of supplies or services called for under the clause to 
be expressed as a specific number. The associated clause prescription 
at DFARS 217.208-70(b) is amended to reflect that the option increase 
of supplies or services may also be expressed as a specific number. 
This rule supports a recommendation from the DoD Regulatory Reform Task 
Force under Executive Order (E.O.) 13777, Enforcing the Regulatory 
Reform Agenda.
    One respondent submitted a public comment in response to the 
proposed

[[Page 62503]]

rule. The comment is outside the scope of this case and no changes are 
made in the final rule.

II. Applicability to Contracts at or Below the Simplified Acquisition 
Threshold and for Commercial Items, Including Commercially Available 
Off-the-Shelf Items

    This rule does not propose to create any new provisions or clauses. 
The proposed changes to DFARS clause 252.217-7001, Surge Option, are 
minimal and reflect only updates required to mirror current industry 
terminology and practice for support that may be required for 
industrial planning for selected essential military items in the event 
of an emergency. The rule continues to apply to contracts below the 
simplified acquisition threshold, however, the rule does not apply to 
commercial items, including commercially available off-the-shelf items.

III. Executive Orders 12866 and 13563

    E.O. 12866, Regulatory Planning and Review; and E.O. 13563, 
Improving Regulation and Regulatory Review, 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. 
The Office of Management and Budget, Office of Information and 
Regulatory Affairs (OIRA), has determined that this is not a 
significant regulatory action as defined under section 3(f) of E.O. 
12866 and, therefore, was not subject to review under section 6(b). 
This rule is not a major rule as defined at 5 U.S.C. 804(2).

IV. Executive Order 13771

    This final rule is not subject to E.O. 13771, because this rule is 
not significant under E.O. 12866.

V. Regulatory Flexibility Act

    A final regulatory flexibility analysis (FRFA) has been prepared 
consistent with the Regulatory Flexibility Act, 5 U.S.C. 601, et seq. 
The FRFA is summarized as follows:
    The Department of Defense is amending the Defense Federal 
Acquisition Regulation Supplement (DFARS) to revise a clause to reflect 
current terminology and industry practices. The objective of this rule 
is to improve the flexibility offered to contractors submitting pricing 
for surge options by giving them the option to quote prices by 
percentage or quantity increases, and to update the terminology used 
from ``Production Surge Plan'' to ``Capability Analysis Plan'' (CAP), 
since this is the most current and accurate term for this type of plan. 
The modification of this DFARS text supports a recommendation from the 
DoD Regulatory Reform Task Force under E.O. 13777, Enforcing the 
Regulatory Reform Agenda.
    No public comments were received in response to the initial 
regulatory flexibility analysis.
    This rule is not expected 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 scope of 
the rule limits the application of the reporting requirement to a small 
number of service contracts. Based on fiscal year 2017 data from the 
Federal Procurement Data System, the Government issued approximately 78 
contract actions that used mobilization or essential research and 
development as the reason for other than full and open competition. Of 
the 78 contract actions, approximately 33 awards were made to 24 unique 
small entities.
    This rule does not include any new reporting, recordkeeping, or 
other compliance requirements for small businesses.
    There are no known significant alternative approaches to the rule 
that would meet the proposed objectives.

VI. 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 Parts 217 and 252

    Government procurement.

Jennifer Lee Hawes,
Regulatory Control Officer, Defense Acquisition Regulations System.

    Therefore, 48 CFR parts 217 and 252 are amended as follows: 1. The 
authority citation for parts 217 and 252 continues to read as follows:

    Authority:  41 U.S.C. 1303 and 48 CFR chapter 1.

PART 217--SPECIAL CONTRACTING METHODS


217.208-70  [Amended]

0
2. In section 217.208-70, amend paragraph (b)(1), by removing 
``percentage'' and adding ``percentage or quantity'' in its place.

PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
3. Amend section 252.217-7001 by--
0
a. Removing the clause date of ``(AUG 1992)'' and adding ``(DEC 2018)'' 
in its place;
0
b. Revising paragraph (a)(1);
0
c. In paragraph (b)(1), removing ``Production Surge Plan (DI-MGMT 
80969)'' and adding ``Capabilities Analysis Plan (CAP)'' in its place; 
and
0
d. In paragraph (b)(2), removing ``Production Surge Plan'' and adding 
``CAP'' in its place.
    The revision reads as follows:


252.217-7001.   Surge option.

* * * * *
    (a) * * *
    (1) Increase the quantity of supplies or services called for under 
this contract by no more than __percent or __[insert quantity and 
description of services or supplies to be increased]; and/or
* * * * *
[FR Doc. 2018-26307 Filed 12-3-18; 8:45 am]
 BILLING CODE 5001-06-P