Defense Federal Acquisition Regulation Supplement: Restrictions on Acquisitions From Foreign Sources (DFARS Case 2017-D011); Correction, 34533-34535 [2020-11756]
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Federal Register / Vol. 85, No. 109 / Friday, June 5, 2020 / Rules and Regulations
a. In paragraph (c)(3)(A) removing
‘‘PGI 215.403–1(c)(3)(A)’’ and adding
‘‘PGI 215.403–1(c)(3)’’ in its place;
■ b. Removing paragraph (c)(3)(B);
■ c. Redesignating paragraph (c)(3)(C) as
paragraph (c)(3)(B); and
■ d. Revising paragraph (c)(4)(B).
The revision reads as follows:
■
215.403–1 Prohibition on obtaining
certified cost or pricing data (10 U.S.C.
2306a and 41 U.S.C. chapter 35).
*
*
*
*
*
(c) * * *
(4) * * *
(B) By November 30th of each year,
departments and agencies shall provide
a report to the Director, Defense Pricing
and Contracting, Pricing and
Contracting Initiatives (DPC/PCI), of all
waivers granted under FAR 15.403–
1(b)(4), during the previous fiscal year,
for any contract, subcontract, or
modification expected to have a value of
$19.5 million or more. See PGI 215.403–
1(c)(4)(B) for the format and guidance
for the report.
*
*
*
*
*
[FR Doc. 2020–11749 Filed 6–4–20; 8:45 am]
BILLING CODE 5001–06–P
SUPPLEMENTARY INFORMATION:
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations
System
48 CFR Part 225
[Docket DARS–2018–0004]
RIN 0750–AJ22
Defense Federal Acquisition
Regulation Supplement: Restrictions
on Acquisitions From Foreign Sources
(DFARS Case 2017–D011); Correction
Defense Acquisition
Regulations System, Department of
Defense (DoD).
ACTION: Correcting amendments.
AGENCY:
On December 21, 2018, DoD
published a final rule to implement
sections of the National Defense
Authorization Act for Fiscal Year 2017,
including a section that added Australia
and the United Kingdom to the
definition of the ‘‘National Technology
and Industrial Base.’’ This action
corrects several sections of the
regulations where the revised definition
of the ‘‘National Technology and
Industrial Base’’ was inadvertently not
implemented. This document corrects
the final regulations in order to acquire
from Australia or the United Kingdom,
without waiver, certain naval vessel
components.
SUMMARY:
DATES:
I. Background
DoD published a proposed rule in the
Federal Register at 83 FR 42828 on
August 24, 2018, that included
implementation of section 881(b) of the
National Defense Authorization Act
(NDAA) for Fiscal Year (FY) 2017. The
final rule was published in the Federal
Register at 83 FR 65560 on December
21, 2018. Section 881(b) amends 10
U.S.C. 2500(1) by adding Australia and
the United Kingdom of Great Britain
and Northern Ireland to the United
States and Canada, as countries within
which the activities of the national
technology and industrial base are
conducted. Title 10 U.S.C. 2534 requires
that DoD only procure certain items, if
the manufacturer of the items is part of
the national technology and industrial
base, unless a waiver is granted by the
Secretary of Defense (previously
delegated to the Under Secretary of
Defense (Acquisition, Technology, and
Logistics); now the Under Secretary of
Defense (Acquisition and Sustainment).
The Under Secretary of Defense
(Acquisition, Technology and Logistics)
had granted annual waivers for certain
naval vessel components from the
United Kingdom. Such waivers are no
longer required now that the United
Kingdom is part of the national
technology and industrial base.
II. Discussion and Analysis
Effective June 5, 2020.
Ms.
Amy G. Williams, telephone 571–372–
6106.
FOR FURTHER INFORMATION CONTACT:
lotter on DSK9F5VC42PROD with RULES
34533
At the time of the final rule, the
DFARS addressed the following
restrictions of 10 U.S.C. 25234:
Citation
Item
Waiver
Action taken
225.7004 ........................
Foreign buses .....................................................
No .....................
225.7006, 252.225–
7037, and 252.225–
7038.
Air circuit breakers for naval vessels .................
Yes—U.K. .........
225.7010 ........................
Certain naval vessel components: gyrocompasses, electronic navigation chart systems, steering controls, pumps, propulsion
and machinery control systems, totally enclosed lifeboats.
Yes—U.K. .........
Added Australia and U.K. at 225.7004–1 and
225.7004–3.
Added Australia and U.K. at 225.7006–1.
Added Australia at 252.225–7037(b) and
252.225–7038. Removed the information regarding the U.K. waiver at 225.7006–3(b) and
225.7006–4(a)(2).
Inadvertently, no action taken.
The actions comparable to those that
were taken with regard to the air circuit
breakers for naval vessels should have
been taken for the other naval vessel
components. These naval vessel
components are listed in a separate
section, because 10 U.S.C. 2534(h)
prohibits the use of contract clauses or
certifications to implement this
restriction. Australia and the United
Kingdom should have been added to the
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16:46 Jun 04, 2020
Jkt 250001
list of countries in the national
technology and industrial base at
DFARS 225.7010–1 and paragraph (b)
addressing the waiver for items from the
U.K. at 225.7010–3 should have been
removed. Because of the existing waiver
for certain naval vessel components
from the United Kingdom, this lack of
action has only impacted the acquisition
of these naval vessel components from
Australia.
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Fmt 4700
Sfmt 4700
In addition, there is a section at
DFARS 225.7008 that addresses the
waiver of restrictions of 10 U.S.C. 2534
in general. For consistency with the new
definition of ‘‘national technology and
industrial base,’’ Australia and the
United Kingdom should have been
added to the discussions of satisfactory
quality, only one source, and
unreasonable costs at DFARS
225.7008(a)(2)(ii) and (iii) and (a)(3)
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05JNR1
34534
Federal Register / Vol. 85, No. 109 / Friday, June 5, 2020 / Rules and Regulations
respectively; and 225.7008(b) that
addresses the waiver of the restrictions
of 10 U.S.C. 2534(a) for certain items
manufactured in the United Kingdom
should have been deleted as no longer
necessary. There have been no requests
for waiver of 10 U.S.C. 2534 since the
final rule was issued.
lotter on DSK9F5VC42PROD with RULES
III. Publication of This Final Rule
Correction for Public Comment Is Not
Required by Statute
The statute that applies to the
publication of the Federal Acquisition
Regulation (FAR) is 41 U.S.C. 1707
entitled ‘‘Publication of Proposed
Regulations.’’ 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
correction is not required to be
published for public comment, because
the public received notice and
opportunity to comment on the
proposed rule, which stated that—
• The rule was implementing section
881(b) of the NDAA for FY 2017, that
Australia and the United Kingdom were
now included as the countries within
which the activities of the national
technology and industrial base are
conducted;
• Title 10 U.S.C. 2534 requires that
DoD only procure certain items if the
manufacturer of the items is part of the
national technology and industrial base;
and
• DFARS sections that implement the
restrictions of 10 U.S.C. 2534 are being
modified to allow acquisitions from
Australia and the United Kingdom.
In addition, the proposed rule
mentioned that annual waivers
authorizing purchases from the United
Kingdom cover air circuit breakers for
naval vessels and certain other naval
vessel components.
Immediate correction of the error is
necessary, because the new definition of
national technology and industrial base
has been in effect since December 2,
2019, and this correction is necessary in
order to avoid inconsistent
implementation of the restrictions of 10
U.S.C. 2534.
VerDate Sep<11>2014
16:46 Jun 04, 2020
Jkt 250001
IV. Applicability to Contracts at or
Below the Simplified Acquisition
Threshold and for Commercial Items,
Including Commercially Available Offthe-Shelf Items
This final rule correction does not
impact any provisions or clauses.
V. 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.
VI. Executive Order 13771
This final rule correction rule is not
an E.O. 13771 regulatory action, because
this rule is not significant under E.O.
12866.
VII. 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 III. 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.
VIII. Paperwork Reduction Act
The final rule correction 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.
Jennifer Lee Hawes,
Regulatory Control Officer, 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:
■
PO 00000
Frm 00042
Fmt 4700
Sfmt 4700
Authority: 41 U.S.C. 1303 and 48 CFR
chapter 1.
2. Amend section 225.7008 by—
a. Removing paragraph (b).
■ b. Redesignating paragraph (a)(2) and
(3) as paragraphs (b) and (c),
respectively;
■ c. Redesignating paragraphs (a)
introductory text and (a)(1)(i) through
(iv) as undesignated introductory text
and paragraphs (a)(1) through (4),
respectively;
■ d. In the newly redesignated
paragraph (a)(1) introductory text,
removing ‘‘(Acquisition, Technology,
and Logistics) (USD(AT&L))’’ and
adding ‘‘(Acquisition and Sustainment)
(USD(A&S))’’ in its place;
■ e. Further redesignating newly
redesignated paragraphs (a)(1)(A) and
(B) as paragraphs (a)(1)(i) and (ii),
respectively;
■ f. Further redesignating newly
redesignated paragraphs (a)(4)(A) and
(B) as paragraphs (a)(4)(i) and (ii),
respectively;
■ g. Further redesignating newly
redesignated paragraphs (b)(i) through
(v) as paragraphs (b)(1) through (5),
respectively; and
■ h. Revising newly redesignated
paragraphs (b)(2) and (3) and (c).
The revisions read as follows:
■
■
225.7008 Waiver of restrictions of 10
U.S.C. 2534.
*
*
*
*
*
(b) * * *
(2) Satisfactory quality items
manufactured in the United States,
Australia, or Canada, or the United
Kingdom are not available.
(3) Application of the restriction
would result in the existence of only
one source for the item in the United
States, Australia, or Canada, or the
United Kingdom.
*
*
*
*
*
(c) A restriction is waived when it
would cause unreasonable costs. The
cost of an item of U.S., Australian,
Canadian, or United Kingdom origin is
unreasonable if it exceeds 150 percent
of the offered price, inclusive of duty, of
items that are not of U.S., Australian,
Canadian, or United Kingdom origin.
225.7010–1
[Amended]
3. Amend section 225.7010–1
introductory text by removing ‘‘United
States or Canada’’ and adding ‘‘United
States, Australia, Canada, or the United
Kingdom’’ in its place.
■
4. Revise section 225.7010–3 to read
as follows:
■
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05JNR1
Federal Register / Vol. 85, No. 109 / Friday, June 5, 2020 / Rules and Regulations
225.7010–3
Waiver.
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 create any new
provisions or clauses. The rule simply
updates legal and DFARS citations in
the clause and removes unnecessary
information. This rule does not change
the applicability of the affected clause,
which does not apply to contracts
valued at or below the simplified
acquisition threshold, or commercial or
commercially available off-the-shelf
items.
The waiver criteria at 225.7008(a)
apply to this restriction.
[FR Doc. 2020–11756 Filed 6–4–20; 8:45 am]
BILLING CODE 5001–06–P
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations
System
48 CFR Parts 249 and 252
[Docket DARS–2019–0060]
RIN 0750–AK56
Defense Federal Acquisition
Regulation Supplement: Modification
of DFARS Clause ‘‘Notification of
Anticipated Contract Termination or
Reduction’’ (DFARS Case 2019–D019)
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 update legal and DFARS
citations in an existing DFARS clause,
conform the clause text to the current
DFARS convention regarding the use of
dollar thresholds in contract clauses;
and remove clause text that is no longer
needed to implement the underlying
statutory language. The rule is pursuant
to action taken by the DoD Regulatory
Reform Task Force.
DATES: Effective June 5, 2020.
FOR FURTHER INFORMATION CONTACT: Ms.
Carrie Moore, telephone 571–372–6093.
SUPPLEMENTARY INFORMATION:
SUMMARY:
lotter on DSK9F5VC42PROD with RULES
I. Background
DoD published a proposed rule in the
Federal Register at 84 FR 58366 on
October 31, 2019, to identify the dollar
thresholds of the implementing statute
(10 U.S.C. 2501 note) for DFARS 249.70
and DFARS clause 252.249–7002,
Notification of Anticipated Contract
Termination or Reduction, in
accordance with current DFARS
drafting conventions, and update the
clause to reflect the current statute
under which employee and training
opportunities apply under the clause.
No public comments were received in
response to the proposed rule. Minor
editorial changes are made in the final
rule to a cross-reference at DFARS
252.249–7002(c)(2) and the formats of
the statutory references.
VerDate Sep<11>2014
16:46 Jun 04, 2020
Jkt 250001
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. Executive Order 13771
This rule is not subject to E.O. 13771,
because this rule is not a significant
regulatory action 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 modify the text of DFARS
clause 252.249–7002, Notification of
Anticipated Contract Termination or
Reduction, to: (1) Update legal and
DFARS citations in the clause; (2)
remove text that is no longer necessary
to implement 10 U.S.C. 2501 note; and
(3) conform the clause text to the
current DFARS convention for
referencing dollar thresholds in a
clause. The objective of this rule is to
provide accurate and up-to-date
information to contractors and maintain
consistency within the DFARS clause
text. The modification of this DFARS
text and clause is pursuant to action
PO 00000
Frm 00043
Fmt 4700
Sfmt 4700
34535
taken by the Regulatory Reform Task
Force under Executive Order 13777,
Enforcing the Regulatory Reform
Agenda.
No public comments were received in
response to the initial regulatory
flexibility analysis.
DoD does not collect data on the
number of small businesses that have
been awarded contracts under a major
defense programs and have also
received notice of contract termination
or a substantial reduction in funding
resulting from an Appropriations Act.
Senior DoD Program Acquisition
officials estimate that such notification
of the termination or substantial
reduction in a major defense program
occurs, on average, no more than once
or twice per year. This rule is not
expected to have a significant impact on
small business entities, as it does not
impose any new requirements or change
any existing requirements for small
business entities.
This rule does not include any new
reporting, recordkeeping, or other
compliance requirements for small
businesses.
DoD did not identify any significant
alternatives that would minimize or
reduce the significant economic impact,
because there is no significant impact
on small entities.
VI. Paperwork Reduction Act
The Paperwork Reduction Act (44
U.S.C. chapter 35) does apply; however,
the changes to DFARS 252.249–7002 do
not impose additional information
collection requirements to the
paperwork burden previously approved
under OMB Control Number 0704–0533,
titled: DFARS Subpart 249—
Termination of Contracts.
List of Subjects in 48 CFR Parts 249 and
252
Government procurement.
Jennifer Lee Hawes,
Regulatory Control Officer, Defense
Acquisition Regulations System.
Therefore, 48 CFR parts 249 and 252
are amended as follows:
PART 249—TERMINATION OF
CONTRACTS
1. The authority citation for part 249
is revised to read as follows:
■
Authority: 41 U.S.C. 1303 and 48 CFR
chapter 1.
2. Amend section 249.7003 by—
a. In paragraph (a), removing ‘‘Section
824’’ and ‘‘Job Training Partnership Act
(29 U.S.C. 1661 and 1662)’’ and adding
‘‘section 824’’ and ‘‘Workforce
Innovation and Opportunity Act (29
■
■
E:\FR\FM\05JNR1.SGM
05JNR1
]]>Agencies
[Federal Register Volume 85, Number 109 (Friday, June 5, 2020)]
[Rules and Regulations]
[Pages 34533-34535]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-11756]
-----------------------------------------------------------------------
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System
48 CFR Part 225
[Docket DARS-2018-0004]
RIN 0750-AJ22
Defense Federal Acquisition Regulation Supplement: Restrictions
on Acquisitions From Foreign Sources (DFARS Case 2017-D011); Correction
AGENCY: Defense Acquisition Regulations System, Department of Defense
(DoD).
ACTION: Correcting amendments.
-----------------------------------------------------------------------
SUMMARY: On December 21, 2018, DoD published a final rule to implement
sections of the National Defense Authorization Act for Fiscal Year
2017, including a section that added Australia and the United Kingdom
to the definition of the ``National Technology and Industrial Base.''
This action corrects several sections of the regulations where the
revised definition of the ``National Technology and Industrial Base''
was inadvertently not implemented. This document corrects the final
regulations in order to acquire from Australia or the United Kingdom,
without waiver, certain naval vessel components.
DATES: Effective June 5, 2020.
FOR FURTHER INFORMATION CONTACT: Ms. Amy G. Williams, telephone 571-
372-6106.
SUPPLEMENTARY INFORMATION:
I. Background
DoD published a proposed rule in the Federal Register at 83 FR
42828 on August 24, 2018, that included implementation of section
881(b) of the National Defense Authorization Act (NDAA) for Fiscal Year
(FY) 2017. The final rule was published in the Federal Register at 83
FR 65560 on December 21, 2018. Section 881(b) amends 10 U.S.C. 2500(1)
by adding Australia and the United Kingdom of Great Britain and
Northern Ireland to the United States and Canada, as countries within
which the activities of the national technology and industrial base are
conducted. Title 10 U.S.C. 2534 requires that DoD only procure certain
items, if the manufacturer of the items is part of the national
technology and industrial base, unless a waiver is granted by the
Secretary of Defense (previously delegated to the Under Secretary of
Defense (Acquisition, Technology, and Logistics); now the Under
Secretary of Defense (Acquisition and Sustainment). The Under Secretary
of Defense (Acquisition, Technology and Logistics) had granted annual
waivers for certain naval vessel components from the United Kingdom.
Such waivers are no longer required now that the United Kingdom is part
of the national technology and industrial base.
II. Discussion and Analysis
At the time of the final rule, the DFARS addressed the following
restrictions of 10 U.S.C. 25234:
----------------------------------------------------------------------------------------------------------------
Citation Item Waiver Action taken
----------------------------------------------------------------------------------------------------------------
225.7004......................... Foreign buses............ No...................... Added Australia and U.K.
at 225.7004-1 and
225.7004-3.
225.7006, 252.225-7037, and Air circuit breakers for Yes--U.K................ Added Australia and U.K.
252.225-7038. naval vessels. at 225.7006-1. Added
Australia at 252.225-
7037(b) and 252.225-
7038. Removed the
information regarding
the U.K. waiver at
225.7006-3(b) and
225.7006-4(a)(2).
225.7010......................... Certain naval vessel Yes--U.K................ Inadvertently, no action
components: taken.
gyrocompasses,
electronic navigation
chart systems, steering
controls, pumps,
propulsion and machinery
control systems, totally
enclosed lifeboats.
----------------------------------------------------------------------------------------------------------------
The actions comparable to those that were taken with regard to the
air circuit breakers for naval vessels should have been taken for the
other naval vessel components. These naval vessel components are listed
in a separate section, because 10 U.S.C. 2534(h) prohibits the use of
contract clauses or certifications to implement this restriction.
Australia and the United Kingdom should have been added to the list of
countries in the national technology and industrial base at DFARS
225.7010-1 and paragraph (b) addressing the waiver for items from the
U.K. at 225.7010-3 should have been removed. Because of the existing
waiver for certain naval vessel components from the United Kingdom,
this lack of action has only impacted the acquisition of these naval
vessel components from Australia.
In addition, there is a section at DFARS 225.7008 that addresses
the waiver of restrictions of 10 U.S.C. 2534 in general. For
consistency with the new definition of ``national technology and
industrial base,'' Australia and the United Kingdom should have been
added to the discussions of satisfactory quality, only one source, and
unreasonable costs at DFARS 225.7008(a)(2)(ii) and (iii) and (a)(3)
[[Page 34534]]
respectively; and 225.7008(b) that addresses the waiver of the
restrictions of 10 U.S.C. 2534(a) for certain items manufactured in the
United Kingdom should have been deleted as no longer necessary. There
have been no requests for waiver of 10 U.S.C. 2534 since the final rule
was issued.
III. Publication of This Final Rule Correction for Public Comment Is
Not Required by Statute
The statute that applies to the publication of the Federal
Acquisition Regulation (FAR) is 41 U.S.C. 1707 entitled ``Publication
of Proposed Regulations.'' 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 correction is not required to be published for public
comment, because the public received notice and opportunity to comment
on the proposed rule, which stated that--
The rule was implementing section 881(b) of the NDAA for
FY 2017, that Australia and the United Kingdom were now included as the
countries within which the activities of the national technology and
industrial base are conducted;
Title 10 U.S.C. 2534 requires that DoD only procure
certain items if the manufacturer of the items is part of the national
technology and industrial base; and
DFARS sections that implement the restrictions of 10
U.S.C. 2534 are being modified to allow acquisitions from Australia and
the United Kingdom.
In addition, the proposed rule mentioned that annual waivers
authorizing purchases from the United Kingdom cover air circuit
breakers for naval vessels and certain other naval vessel components.
Immediate correction of the error is necessary, because the new
definition of national technology and industrial base has been in
effect since December 2, 2019, and this correction is necessary in
order to avoid inconsistent implementation of the restrictions of 10
U.S.C. 2534.
IV. Applicability to Contracts at or Below the Simplified Acquisition
Threshold and for Commercial Items, Including Commercially Available
Off-the-Shelf Items
This final rule correction does not impact any provisions or
clauses.
V. 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.
VI. Executive Order 13771
This final rule correction rule is not an E.O. 13771 regulatory
action, because this rule is not significant under E.O. 12866.
VII. 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 III. 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.
VIII. Paperwork Reduction Act
The final rule correction 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.
Jennifer Lee Hawes,
Regulatory Control Officer, 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.
0
2. Amend section 225.7008 by--
0
a. Removing paragraph (b).
0
b. Redesignating paragraph (a)(2) and (3) as paragraphs (b) and (c),
respectively;
0
c. Redesignating paragraphs (a) introductory text and (a)(1)(i) through
(iv) as undesignated introductory text and paragraphs (a)(1) through
(4), respectively;
0
d. In the newly redesignated paragraph (a)(1) introductory text,
removing ``(Acquisition, Technology, and Logistics) (USD(AT&L))'' and
adding ``(Acquisition and Sustainment) (USD(A&S))'' in its place;
0
e. Further redesignating newly redesignated paragraphs (a)(1)(A) and
(B) as paragraphs (a)(1)(i) and (ii), respectively;
0
f. Further redesignating newly redesignated paragraphs (a)(4)(A) and
(B) as paragraphs (a)(4)(i) and (ii), respectively;
0
g. Further redesignating newly redesignated paragraphs (b)(i) through
(v) as paragraphs (b)(1) through (5), respectively; and
0
h. Revising newly redesignated paragraphs (b)(2) and (3) and (c).
The revisions read as follows:
225.7008 Waiver of restrictions of 10 U.S.C. 2534.
* * * * *
(b) * * *
(2) Satisfactory quality items manufactured in the United States,
Australia, or Canada, or the United Kingdom are not available.
(3) Application of the restriction would result in the existence of
only one source for the item in the United States, Australia, or
Canada, or the United Kingdom.
* * * * *
(c) A restriction is waived when it would cause unreasonable costs.
The cost of an item of U.S., Australian, Canadian, or United Kingdom
origin is unreasonable if it exceeds 150 percent of the offered price,
inclusive of duty, of items that are not of U.S., Australian, Canadian,
or United Kingdom origin.
225.7010-1 [Amended]
0
3. Amend section 225.7010-1 introductory text by removing ``United
States or Canada'' and adding ``United States, Australia, Canada, or
the United Kingdom'' in its place.
0
4. Revise section 225.7010-3 to read as follows:
[[Page 34535]]
225.7010-3 Waiver.
The waiver criteria at 225.7008(a) apply to this restriction.
[FR Doc. 2020-11756 Filed 6-4-20; 8:45 am]
BILLING CODE 5001-06-P
