Defense Federal Acquisition Regulation Supplement: Definition of “Commercial Item” (DFARS Case 2018-D066), 6578-6597 [2023-01294]

Download as PDF 6578 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations received. A discussion of the comments is provided, as follows: DEPARTMENT OF DEFENSE Defense Acquisition Regulations System A. Summary of Significant Changes From the Proposed Rule 48 CFR Parts 203, 204, 205, 207, 208, 211, 212, 213, 215, 216, 217, 219, 222, 223, 225, 226, 227, 232, 234, 237, 239, 242, 243, 244, 245, 246, 247, and 252 RIN 0750–AK31 Defense Federal Acquisition Regulation Supplement: Definition of ‘‘Commercial Item’’ (DFARS Case 2018–D066) Defense Acquisition Regulations System, Department of Defense (DoD). ACTION: Final rule. AGENCY: DoD is issuing a final rule to amend the Defense Federal Acquisition Regulation Supplement (DFARS) to implement the revised definition of ‘‘commercial item’’ in accordance with two sections of the John S. McCain National Defense Authorization Act for Fiscal Year 2019. DATES: Effective January 31, 2023. FOR FURTHER INFORMATION CONTACT: Ms. Jeanette Snyder, telephone 703–508– 7524. SUMMARY: SUPPLEMENTARY INFORMATION: khammond on DSKJM1Z7X2PROD with RULES4 I. Background DoD published a proposed rule in the Federal Register at 87 FR 15820 on March 18, 2022, to implement sections 836, 837(b), and 837(c) of the John S. McCain National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2019 (Pub. L. 115–232). Section 836 modified 41 U.S.C. 103 by bifurcating the definition of ‘‘commercial item’’ into ‘‘commercial product’’ and ‘‘commercial service’’ at 41 U.S.C. 103 and 41 U.S.C. 103a, respectively, and made conforming changes to other sections in Title 41. In addition, section 836 made conforming changes to several sections in Title 10. Section 837(b) and (c) implement this revision at 10 U.S.C. 2533a and 2533b (redesignated as 10 U.S.C. 4862 and 4863, respectively). DoD published a correction to the proposed rule at 87 FR 19063 on April 1, 2022, to correct a hyperlink. One respondent submitted public comments in response to the proposed rule. II. Discussion and Analysis DoD reviewed the public comments in the development of the final rule; however, no changes were made to the rule as a result of the comments 19:08 Jan 30, 2023 B. Analysis of Public Comments 1. Exceptions to Implementation [Docket DARS–2022–0004] VerDate Sep<11>2014 No significant changes are made from the proposed rule. Jkt 259001 Comment: The respondent took exception to changing the title of DFARS clause 252.227–7015 from ‘‘Technical Data-Commercial Items’’ to ‘‘Technical Data-Commercial Products and Commercial Services’’. The respondent also took exception to changing ‘‘commercial items’’ to ‘‘commercial products or commercial services’’ within the text of the clause. While the respondent acknowledged that the existing DFARS clause 252.227– 7015 applies to ‘‘commercial items’’, the respondent stated that the current clause does not specifically define ‘‘commercial item’’, nor does it reference the commercial item definition at Federal Acquisition Regulation (FAR) 2.101. The respondent also acknowledged that the prior FAR commercial item definition included services, but indicated that DFARS clause 252.227–7015 has not historically been applied to commercial services. The respondent also asserted that the clause has been applied consistent with DFARS 252.227–7013, Rights in Technical Data—Noncommercial Items, (i.e., to technical data pertaining to items, components, or processes). The respondent asserted that this is an expansion of the coverage of DFARS 252.227–7015 to commercial services and is outside the scope of this rule. The respondent recommended that all references to commercial services in the title and text of the clause be removed. Response: This rule implements sections 836 and 837(b) of the NDAA for FY 2019, which bifurcated the definition of ‘‘commercial item’’ into ‘‘commercial product’’ and ‘‘commercial service’’ at 41 U.S.C. 103 and 103a and at 10 U.S.C. 2533a and 2533b, respectively. The NDAA for FY 2019 does not change the meaning of the terms ‘‘items’’ or ‘‘services’’. The title and text of DFARS clause 252.227–7015, Technical Data-Commercial Items, included the term ‘‘commercial items’’, which means it included commercial products and commercial services in accordance with the prior definition of ‘‘commercial item’’ at FAR 2.101. In addition, paragraph (a)(1) of the clause clarified that the term ‘‘commercial item’’ as used in the clause, excluded commercial computer software; PO 00000 Frm 00002 Fmt 4701 Sfmt 4700 however, it did not exclude commercial services. Furthermore, DFARS part 227 does not include a definition of ‘‘commercial item’’ because the definition at FAR 2.101 is utilized for this part in accordance with FAR part 2. Therefore, changing the term ‘‘commercial items’’ to ‘‘commercial products and commercial services’’ within the clause and title of DFARS clause 252.227–7015 does not change the application or coverage of the clause. Comment: The respondent took exception to the replacement of the term ‘‘noncommercial items’’ with ‘‘other than commercial products or commercial services’’ in the DFARS sections pertaining to data rights because the new verbiage is awkward and wordy. Response: DoD acknowledges the respondent’s concern that the new verbiage is awkward and wordy. This rule amends the DFARS to conform with the FAR final rule for FAR case 2018–018, published on November 4, 2021, at 86 FR 61017, which changed all instances of ‘‘noncommercial items’’ and ‘‘non-commercial items’’ to ‘‘other than commercial products and commercial services’’ or ‘‘other than commercial products or commercial services’’ as appropriate within the context of the FAR. This was an editorial change to utilize a single term consistently throughout the FAR to help the Government, contractors, and offerors understand the regulations. For the same reason, the terms used in the FAR are also used in agency supplements to the FAR, including the DFARS. Therefore, this rule makes the same conforming changes to the DFARS. Comment: The respondent took exception to the replacement of the term ‘‘noncommercial items’’ with ‘‘other than commercial’’ in the DFARS sections pertaining to data rights indicating that this change will drive significant costs into DoD contracts, due to the required data rights markings and legends that will require deliverable technical data to be re-marked. The respondent also indicated that this rule may impact pre-existing technical data marked with prior legends that the contractor may deliver in the future. The respondent indicated that the change in terminology may require contractors to modify internal procedures and guidance for the marking of deliverable data, and that some contractors have invested private funds to automate the application of existing DFARS prescribed legends. In addition, the respondent indicated that DoD customers will reject Contract Data Requirements Lists that include the E:\FR\FM\31JAR4.SGM 31JAR4 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations language ‘‘noncommercial items’’ in document markings. Response: In accordance with FAR 1.108(d), this rule will be applied prospectively; therefore, data markings and legends on data to be delivered under an existing contract will not require re-marking, and the data would not be rejected for this reason. Moreover, the DFARS allows contractors to mark data with the appropriate restrictive legend for which the data qualified under a previous contract (e.g., DFARS clause 252.227– 7013, Rights in Technical Data— Noncommercial Items); therefore, this rule will not increase costs because it does not require re-marking of preexisting data that includes authorized pre-existing markings. Lastly, these changes do not impose additional information collection requirements to the paperwork burden previously approved under OMB Control Number 0704–0369, titled: DFARS Subpart 227.71, Rights in Technical Data, and Subpart 227.72, Rights in Computer Software and Computer Software Documentation, and related provisions and clauses. khammond on DSKJM1Z7X2PROD with RULES4 2. Outside the Scope of the Rule Comment: The respondent recommended removing the coverage for ‘‘services’’ at DFARS part 227 due to the inapplicability of the ‘‘follow the funds’’ test to services. The respondent also indicated that the funding test in DFARS 252.227–7013, Rights in Technical Data-Noncommercial Items, applies to items, components, or processes to which the technical data pertains, not to services. Response: This rule implements sections 836 and 837(b) of the NDAA for FY 2019, which bifurcated the definition of ‘‘commercial item’’ into ‘‘commercial product’’ and ‘‘commercial service’’ at 41 U.S.C. 103 and 103a and at 10 U.S.C. 2533a and 2533b, respectively. This rule does not change the meaning of the terms ‘‘items’’ or ‘‘services’’, nor does it change the application of the funding test; therefore, this is outside the scope of this rule. C. Other Changes The definition of ‘‘Technical information’’ at DFARS 204.7301, 252.204–7009, and 252.204–7012 is amended to remove the phrase ‘‘regardless of whether or not the clause is incorporated in this solicitation or contract’’. DFARS 211.274–2(b)(2) is amended to delete ‘‘or commercial service’’ that was erroneously included in the proposed rule as services cannot be marked with an item unique VerDate Sep<11>2014 19:08 Jan 30, 2023 Jkt 259001 identifier. DFARS 212.102(a)(i)(B) and (iii) are amended to replace ‘‘commercial item’’ with ‘‘commercial product or commercial service’’. The word ‘‘or’’ is changed to ‘‘and’’ at DFARS 212.202 for consistency throughout the DFARS. DFARS 212.504(a) and (b) are amended to add ‘‘or commercial components’’ which was erroneously deleted in the proposed rule. DFARS 215.404–71–5(b)(7) is amended to add ‘‘commercial’’ prior to ‘‘processes’’ for consistency throughout the DFARS. DFARS 225.7503(a) and (b), 227.7102, 252.203–7001(g), and 252.227–7018(k) are amended to replace ‘‘including commercial components’’ with ‘‘commercial components’’ or with ‘‘or commercial components’’ for accuracy and consistency throughout the DFARS. DFARS 234.7002 is amended to remove ‘‘and commercial services’’ as a major weapon system in part 234 is a product. DFARS 234.7002(d)(5) is amended to change ‘‘item’’ to ‘‘commercial product’’ to align with the text of the paragraph. The title of DFARS subpart 244.4 is amended to restore ‘‘and commercial components’’ for accuracy and consistency throughout the DFARS. DFARS 225.215–7010(b)(ii) and (b)(ii)(A) are amended to add ‘‘or commercial service’’ throughout to align with the title of paragraph 225.215– 7010(b)(ii). DFARS 252.215–7013 is amended to correct the reference for the definition of nontraditional defense contractor. DFARS 252.227–7015 is amended by modifying the definition at (a)(1), deleting (a)(4), and renumbering (a)(5) to (a)(4) to align with the revised clause title. III. Applicability To Contract at or Below the Simplified Acquisition Threshold (SAT), for Commercial Products, Including Commercially Available Off-the-Shelf (COTS) Items, and for Commercial Services This rule does not create any new solicitation provisions or contract clauses. It does not impact any existing solicitation provisions, contract clauses, or prescriptions for provisions or clauses or their applicability to contracts valued at or below the simplified acquisition threshold, for commercial products including COTS items, or for commercial services. IV. Expected Impact of the Rule This final rule does not create new requirements or modify any existing requirements. This final rule merely replaces the term ‘‘commercial item’’ with ‘‘commercial product,’’ ‘‘commercial service,’’ ‘‘commercial product or commercial service,’’ or PO 00000 Frm 00003 Fmt 4701 Sfmt 4700 6579 ‘‘commercial product and commercial service’’. In addition, this final rule replaces all instances of ‘‘noncommercial item’’ and ‘‘noncommercial item’’ with ‘‘other than commercial product and commercial service’’ or ‘‘other than commercial product or commercial service’’ as appropriate within the context of DFARS text, including existing solicitation provisions and contract clauses. These revisions do not modify commercial acquisition procedures, nor do they modify Government or industry operations. This final rule is expected to be beneficial to Government and industry, as it resolves an issue the Section 809 Panel cited, which is the inconsistent interpretation of policy and confusion over how to identify eligible commercial products and commercial services. Bifurcating the definition of ‘‘commercial item’’ into ‘‘commercial product’’ and ‘‘commercial service’’ is a way to provide clarity for the acquisition workforce, which may result in greater engagement with the commercial marketplace. Therefore, this final rule is expected to be beneficial to Government and industry. 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. VI. Congressional Review Act As required by the Congressional Review Act (5 U.S.C. 801–808) before an interim or final rule takes effect, DoD will submit a copy of the interim or final rule with the form, Submission of Federal Rules under the Congressional Review Act, to the U.S. Senate, the U.S. House of Representatives, and the Comptroller General of the United States. A major rule under the Congressional Review Act cannot take effect until 60 days after it is published in the Federal Register. The Office of Information and Regulatory Affairs has determined that this rule is not a major rule as defined by 5 U.S.C. 804. E:\FR\FM\31JAR4.SGM 31JAR4 6580 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations khammond on DSKJM1Z7X2PROD with RULES4 VII. Regulatory Flexibility Act A final regulatory flexibility (FRFA) analysis has been prepared consistent with the Regulatory Flexibility Act, 5 U.S.C. 601, et seq. The FRFA is summarized as follows: This final rule is necessary to implement sections 836, 837(b), and 837(c) of the John S. McCain National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2019 (Pub. L. 115–232). Section 836 replaces the definition of ‘‘commercial item’’ at 41 U.S.C. 103 with ‘‘commercial product’’ at 41 U.S.C. 103 and a definition of ‘‘commercial service’’ at 41 U.S.C. 103a. Section 837(b) and (c) implement this revision at 10 U.S.C. 2533a and 2533b. In addition, this rule replaces all instances of ‘‘noncommercial item’’ and ‘‘noncommercial item’’ with ‘‘other than commercial product and commercial service’’ or ‘‘other than commercial product or commercial service’’, as appropriate within the context of the DFARS text. The objective of this proposed rule is to implement sections 836, 837(b), and 837(c) of the John S. McCain NDAA for FY 2019 to align the text of the DFARS with the new statutory definitions of commercial product and commercial service. No significant issues were raised by the public comments received in response to the initial regulatory flexibility analysis; therefore, no changes were made to the proposed rule as a result of public comments. This final rule will apply to all entities that do business with DoD, including the 355,208 small business entities in the System for Award Management. However, DoD does not expect this rule to have a significant economic impact because the rule does not contain any requirements with which small entities must comply. This rule provides clarity for the acquisition workforce by replacing all instances of ‘‘commercial item’’ with ‘‘commercial product’’ and/or ‘‘commercial service’’, as appropriate within the context of the DFARS text. This final 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 on small entities, because there is no significant impact on small entities. VIII. Paperwork Reduction Act The Paperwork Reduction Act (44 U.S.C. chapter 35) applies to this rule. However, these changes to the DFARS do not impose additional information VerDate Sep<11>2014 19:08 Jan 30, 2023 Jkt 259001 collection requirements to the paperwork burden previously approved under OMB Control Number 0704–0369, entitled: DFARS Subpart 227.71, Rights in Technical Data, and Subpart 227.72, Rights in Computer Software and Computer Software Documentation, and related provisions and clauses. List of Subjects in 48 CFR Parts 203, 204, 205, 207, 208, 211, 212, 213, 215, 216, 217, 219, 222, 223, 225, 226, 227, 232, 234,237, 239, 242, 243, 244, 245, 246, 247, and 252 Government procurement. Jennifer D. Johnson, Editor/Publisher, Defense Acquisition Regulations System. Therefore, 48 CFR parts 203, 204, 205, 207, 208, 211, 212, 213, 215, 216, 217, 219, 222, 223, 225, 226, 227, 232, 234, 237, 239, 242, 243, 244, 245, 246, 247, and 252 are amended as follows: ■ 1. The authority citation for 48 CFR parts 203, 204, 205, 207, 208, 211, 212, 213, 215, 216, 217, 219, 222, 223, 225, 226, 227, 232, 234, 237, 239, 242, 243, 244, 245, 246, 247, and 252 continues to read as follows: a. In paragraph (a) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place; and ■ b. In paragraph (b)(2)(ii) by removing ‘‘commercial item’’ and adding ‘‘commercial product or commercial service’’ in its place. ■ PART 204—ADMINISTRATIVE AND INFORMATION MATTERS 204.804–70 [Amended] 7. Amend section 204.804–70 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 204.1705 [Amended] 8. Amend section 204.1705 in paragraph (a)(i) introductory text by removing ‘‘252.204–7023’’ and ‘‘commercial items’’ and adding ‘‘at 252.204–7023’’ and ‘‘commercial products and commercial services’’ in their places, respectively. ■ 9. Revise the heading for subpart 204.21 to read as follows: ■ Authority: 41 U.S.C. 1303 and 48 CFR chapter 1. Subpart 204.21—Prohibition on Contracting for Certain Telecommunications and Video Surveillance Services or Equipment PART 203—IMPROPER BUSINESS PRACTICES AND PERSONAL CONFLICTS OF INTEREST 204.2105 203.171–4 [Amended] 2. Amend section 203.171–4— a. In paragraph (a) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place; and ■ b. In paragraph (b) by removing ‘‘commercial items’’ and ‘‘task and delivery orders’’ and adding ‘‘commercial products and commercial services’’ and ‘‘task orders and delivery orders.’’ in their places, respectively. ■ 3. Revise section 203.570 to read as follows: ■ ■ 203.570 Prohibition on persons convicted of fraud or other defense-contract-related felonies. 203.570–3 [Amended] 4. Amend section 203.570–3 by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. ■ 203.970 [Amended] 5. Amend section 203.970 by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. ■ 203.1004 ■ [Amended] 6. Amend section 203.1004— PO 00000 Frm 00004 Fmt 4701 Sfmt 4700 [Amended] 10. Amend section 204.2105— a. In paragraph (a) by removing ‘‘commercial items and,’’ and ‘‘task and delivery orders’’ and adding ‘‘commercial products and commercial services, and’’ and ‘‘task orders and delivery orders’’ in their places, respectively; and ■ b. In paragraphs (b) and (c), by removing ‘‘commercial items’’ and ‘‘task and delivery orders’’ and adding ‘‘commercial products and commercial services’’ and ‘‘task orders and delivery orders’’ in their places, respectively. ■ ■ 204.7103–1 [Amended] 11. Amend section 204.7103–1 in paragraph (g) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place. ■ 204.7203 [Amended] 12. Amend section 204.7203 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 204.7301 [Amended] 13. Amend section 204.7301 in the definition of ‘‘Technical information’’ by removing ‘‘Non Commercial Items, regardless of whether or not the clause is incorporated in this solicitation’’ and adding ‘‘Other Than Commercial ■ E:\FR\FM\31JAR4.SGM 31JAR4 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations Products and Commercial Services, regardless of whether or not the clause is incorporated in the solicitation’’ in its place. 204.7304 [Amended] 14. Amend section 204.7304 in paragraphs (a), (b), (c), (d), and (e) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 204.7403 b. In newly redesignated paragraph (a) by removing ‘‘related services’’ and ‘‘website at https://www.donimit.navy.mil/esi’’ and adding ‘‘commercial software services’’ and ‘‘https://www.esi.mil/’’ in their places, respectively. ■ 208.7403 [Amended] 21. Amend section 208.7403 by removing ‘‘related services’’ and adding ‘‘commercial software services’’ in its place. ■ [Amended] 15. Amend section 204.7403 in paragraphs (a) and (b) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 16. Amend section 204.7503— ■ a. By revising the introductory text; and ■ b. In paragraphs (a) and (b), by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. The revision reads as follows: ■ 204.7503 Contract clause. Use the clause at 252.204–7021, Contractor Compliance with the Cybersecurity Maturity Model Certification Level Requirement, as follows: * * * * * [Amended] 17. Amend section 205.470 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. [Amended] 18. Amend section 207.102 in paragraph (a)(1) by removing ‘‘commercial item’’ and ‘‘Part 12’’ and adding ‘‘commercial product or commercial service’’ and ‘‘part 12’’ in their places, respectively. PART 208—REQUIRED SOURCES OF SUPPLIES AND SERVICES 19. Amend section 208.7401 in the definition of ‘‘Enterprise software agreement’’ by removing ‘‘related services’’ and adding ‘‘related commercial software services’’ in its place. khammond on DSKJM1Z7X2PROD with RULES4 ■ [Amended] 19:08 Jan 30, 2023 Jkt 259001 [Amended] 24. Amend section 211.274–2 in paragraph (b)(2) introductory text by removing ‘‘commercial item’’ and ‘‘part 12 or part 8’’ and adding ‘‘commercial product’’ and ‘‘part 12 or 8’’ in their places, respectively. [Amended] 25. Amend section 211.274–6 in paragraphs (a)(1) and (c) introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. PART 212—ACQUISITION OF COMMERCIAL PRODUCTS AND COMMERCIAL SERVICES 26. Revise the heading for part 212 to read as set forth above. ■ 27. Revise the heading for subpart 212.1 to read as follows: ■ 28. Amend section 212.102— a. In paragraph (a)(i)(A), by removing ‘‘commercial item’’ and adding ‘‘commercial product or commercial service’’ in its place; ■ b. In paragraph (a)(i)(B) introductory text, by removing ‘‘commercial item’’ and adding ‘‘commercial product or commercial service’’ in its place; ■ ■ 20. Amend section 208.7402— a. By redesignating paragraphs (1) and (2) as paragraphs (a) and (b); and VerDate Sep<11>2014 23. Amend section 211.170— a. In paragraph (1) by removing ‘‘or,’’ and adding ‘‘or’’ in its place; and ■ b. In paragraph (2) by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. ■ ■ Subpart 212.1—Acquisition of Commercial Products and Commercial Services [Amended] ■ ■ [Amended] ■ ■ 208.7402 211.170 211.274–6 PART 207—ACQUISITION PLANNING 208.7401 [Amended] 22. Amend section 211.104 in paragraph (2) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ ■ ■ 207.102 211.104 211.274–2 PART 205—PUBLICIZING CONTRACT ACTIONS 205.470 PART 211—DESCRIBING AGENCY NEEDS PO 00000 Frm 00005 Fmt 4701 Sfmt 4700 6581 c. In paragraph (a)(ii)(A), by removing ‘‘PGI 212.102(a)(iii)(B)(4)’’, ‘‘using commercial item’’, and ‘‘a commercial item’’ and adding ‘‘PGI 212.102(a)(iii)(A)(1)’’, ‘‘using commercial product and commercial service’’, and ‘‘a commercial product or commercial service’’ in their places, respectively; ■ d. In paragraph (a)(ii)(B)(2) introductory text, by removing ‘‘commercial item’’ and adding ‘‘commercial product or commercial service’’ in its place; ■ e. In the heading for paragraph (a)(iii) by removing ‘‘Commercial item’’ and adding ‘‘Commercial product or commercial service’’ in its place; ■ f. In paragraph (a)(iii) introductory text, by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place; ■ g. By revising paragraph (a)(iii)(A); ■ h. In paragraphs (a)(iii)(C) and (D) by removing ‘‘commercial item’’ and adding ‘‘commercial product or commercial service’’ in its place; ■ i. By revising paragraph (a)(iv)(A); ■ j. In paragraph (a)(iv)(B) by removing ‘‘commercial items’’ and adding ‘‘commercial services’’ in its place; and ■ k. In paragraph (a)(iv)(C), by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. The revisions read as follows: ■ 212.102 Applicability. (a) * * * (iii) * * * (A) Determine in writing that the acquisition meets the ‘‘commercial product’’ or ‘‘commercial service’’ definition in FAR 2.101; * * * * * (iv) * * * (A) Except as provided in paragraph (a)(iv)(B) of this section, may treat supplies and services provided by nontraditional defense contractors as commercial products or commercial services. This permissive authority is intended to enhance defense innovation and investment, enable DoD to acquire items that otherwise might not have been available, and create incentives for nontraditional defense contractors to do business with DoD. It is not intended to recategorize current other than commercial products or commercial services; however, when appropriate, contracting officers may consider applying commercial product or commercial service procedures to the procurement of supplies and services from business segments that meet the definition of ‘‘nontraditional defense contractor’’ even though they have been established under traditional defense E:\FR\FM\31JAR4.SGM 31JAR4 6582 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations contractors. The decision to apply commercial product and commercial service procedures to the procurement of supplies and services from nontraditional defense contractors does not require a commercial product or commercial service determination and does not mean the item is commercial; * * * * * ■ 29. Revise the heading for subpart 212.2 to read as follows: 212.270 Major weapon systems as commercial products. The DoD policy for acquiring major weapon systems as commercial products is in subpart 234.70. ■ 35. Revise the heading for section 212.272 to read as follows: 212.272 Preference for certain commercial products and commercial services. * * * * * 36. Revise the heading for subpart 212.3 to read as follows: ■ Subpart 212.2—Special Requirements for the Acquisition of Commercial Products and Commercial Services 212.203 [Amended] 30. Amend section 212.203— a. In the heading by adding a period at the end of the heading; and ■ b. In paragraph (1) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ ■ 212.207 [Amended] 31. Amend section 212.207— a. In paragraph (b) introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place; ■ b. In paragraph (b)(i) by removing ‘‘commercial item’’, ‘‘paragraph (5)’’, ‘‘commercial item’’, and ‘‘(41 U.S.C. 103)’’ and adding ‘‘commercial product’’, ‘‘paragraph (1)’’, ‘‘commercial service’’, and ‘‘(41 U.S.C. 103a)’’ in their places, respectively; and ■ c. In paragraph (b)(iii)(A) by removing ‘‘paragraph (6)’’, ‘‘commercial item’’, and ‘‘(41 U.S.C. 103)’’ and adding ‘‘paragraph (1)’’, ‘‘commercial service’’, and ‘‘(41 U.S.C. 103a)’’ in their places, respectively. ■ ■ 212.209 [Amended] 32. Amend section 212.209— a. In paragraph (a) introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place; ■ b. In paragraph (a)(1) by removing ‘‘systems items’’ and ‘‘commercial items’’ and adding ‘‘systems products’’ and ‘‘commercial products’’ in their places, respectively; and ■ c. In paragraph (b) by removing ‘‘section,’’ and ‘‘commercial items’’ and adding ‘‘section’’ and ‘‘commercial products or commercial services’’ in their places, respectively. khammond on DSKJM1Z7X2PROD with RULES4 ■ ■ 212.211 [Amended] 33. Amend 212.211 by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. ■ 34. Revise section 212.270 to read as follows: ■ VerDate Sep<11>2014 19:08 Jan 30, 2023 Jkt 259001 Subpart 212.3—Solicitation Provisions and Contract Clauses for the Acquisition of Commercial Products and Commercial Services 212.301 [Amended] 37. Amend section 212.301— a. In the section heading and paragraph (f) introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place; ■ b. In paragraph (f)(xii)(A) by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place; ■ c. In paragraph (f)(xii)(B) by removing ‘‘Commercial Items’’ and adding ‘‘Commercial Products and Commercial Services’’ in its place; and ■ d. In paragraph (f)(xviii) by removing ‘‘Commercial Items’’ and adding ‘‘Commercial Products and Commercial Services’’ in its place. ■ ■ 212.302 [Amended] 38. Amend section 212.302 in the section heading by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 39. Revise the heading for subpart 212.5 to read as follows: ■ Subpart 212.5—Applicability of Certain Laws to the Acquisition of Commercial Products, Commercial Services, and Commercially Available Off-the-Shelf Items 212.503 [Amended] 40. Amend section 212.503— a. In the section heading by removing ‘‘executive’’ and ‘‘commercial items’’ and adding ‘‘Executive’’ and ‘‘commercial products and commercial services’’ in their places, respectively; ■ b. In paragraphs (a) introductory text and (a)(vii) by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place; and ■ c. In paragraph (c) introductory text, by removing ‘‘commercial items’’ and ■ ■ PO 00000 Frm 00006 Fmt 4701 Sfmt 4700 adding ‘‘commercial products and commercial services’’ in its place. 212.504 [Amended] 41. Amend section 212.504— a. In the section heading by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place; ■ b. In paragraph (a) introductory text by removing ‘‘commercial items or commercial components’’ and adding ‘‘commercial products, commercial services, or commercial components’’ in its place; ■ c. In paragraph (a)(xiv), by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place; and ■ d. In paragraph (b) introductory text, by removing ‘‘commercial items or commercial components’’ and adding ‘‘commercial products, commercial services, or commercial components’’ in its place. ■ 42. Revise the heading for subpart 212.6 to read as follows: ■ ■ Subpart 212.6—Streamlined Procedures for Evaluation and Solicitation for Commercial Products and Commercial Services PART 213—SIMPLIFIED ACQUISITION PROCEDURES 213.106–2–70 [Amended] 43. Amend section 213.106–2–70 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 213.301 [Amended] 44. Amend section 213.301 in paragraph (2)(i)(B) by removing ‘‘commercial item’’ and adding ‘‘commercial product or commercial service’’ in its place. ■ 213.402 [Amended] 45. Amend section 213.402 in paragraph (a)(i) by removing ‘‘Brandname’’ and adding ‘‘Brand-name commercial product’’ in its place. ■ 46. Revise the heading for subpart 213.5 to read as follows: ■ Subpart 213.5—Simplified Procedures for Certain Commercial Products and Commercial Services PART 215—CONTRACTING BY NEGOTIATION 215.371–6 [Amended] 47. Amend section 215.371–6 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ E:\FR\FM\31JAR4.SGM 31JAR4 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations 215.402 [Amended] 215.403–1 [Amended] 49. Amend section 215.403–1— a. In the heading for paragraph (c)(3), by removing ‘‘items’’ and adding ‘‘products or commercial services’’ in its place; ■ b. In paragraph (c)(3)(A), by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place; and ■ c. In paragraph (c)(3)(B), by removing ‘‘commercial item’’ and adding ‘‘commercial product or commercial service’’ in its place. ■ ■ 215.403–3 [Amended] 50. Amend section 215.403–3 in paragraph (c)— ■ a. In the heading, by removing ‘‘items’’ and adding ‘‘products or commercial services’’ in its place; and ■ b. By removing ‘‘as commercial items’’ and adding ‘‘as commercial products’’ in its place. ■ 215.404–1 [Amended] 51. Amend section 215.404–1— a. In the heading for paragraph (b), by removing ‘‘for commercial and noncommercial items’’; ■ b. In paragraph (b)(ii), by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place; and ■ c. In paragraph (b)(vii), by removing ‘‘commercial item’’ and adding ‘‘commercial product or commercial service determinations’’ in its place. ■ ■ 215.404–71–4 b. In paragraph (2)(i)(B), by removing ‘‘DFARS’’; and ■ c. In paragraphs (2)(ii)(A)(1) introductory text, (2)(ii)(A)(2), (2)(ii)(A)(3)(i), (3), and (5)(i) introductory text, by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 48. Amend section 215.402 in paragraph (a)(ii) by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. ■ [Amended] 52. Amend section 215.404–71–4 in paragraph (g)(3)(i)(A) by removing ‘‘commercial item lines’’ and adding ‘‘commercial product lines’’ in its place. 215.570 [Amended] 55. Amend section 215.570 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ PART 216—TYPES OF CONTRACTS 216.506–70 [Amended] 56. Amend section 216.506–70 in paragraph (b) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 216.601 [Amended] 57. Amend section 216.601— a. In paragraph (d)(i)(B)(3) by removing ‘‘noncommercial items’’ and adding ‘‘other than commercial products or commercial services’’ in its place; and ■ b. In paragraph (e) by removing ‘‘NonCommercial Item’’ and ‘‘noncommercial items’’ and adding ‘‘Other Than Commercial’’ and ‘‘other than commercial products or commercial services’’ in their places, respectively. ■ ■ 217.7302 [Amended] 58. Amend section 217.7302 in paragraph (b)(1) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place. ■ ■ 215.404–71–5 [Amended] khammond on DSKJM1Z7X2PROD with RULES4 215.408 [Amended] 54. Amend section 215.408— a. In paragraphs (2)(i)(A)(1) introductory text and (2)(i)(A)(2), by removing ‘‘DFARS 252.215–7010’’ and ‘‘commercial items’’ and adding ‘‘252.215–7010’’ and ‘‘commercial products and commercial services’’ in their places, respectively; ■ ■ VerDate Sep<11>2014 19:08 Jan 30, 2023 PART 219—SMALL BUSINESS PROGRAMS 219.270–3 Jkt 259001 PART 222—APPLICATION OF LABOR LAWS TO GOVERNMENT ACQUISITIONS 222.7403 59. Amend section 219.270–3 by removing ‘‘commercial items’’ and adding ‘‘commercial services’’ in its place. 219.309 [Amended] 62. Amend section 222.7403 by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. ■ 222.7405 [Amended] 63. Amend section 222.7405 by removing ‘‘task or delivery orders’’ and ‘‘commercial items, including commercially available off-the-shelf items’’ and adding ‘‘task orders or delivery orders’’ and ‘‘commercial products, including commercially available off-the-shelf items, or commercial services’’ in their places, respectively. ■ PART 223—ENVIRONMENT, ENERGY AND WATER EFFICIENCY, RENEWABLE ENERGY TECHNOLOGIES, OCCUPATIONAL SAFETY, AND DRUG-FREE WORKPLACE 223.570–2 [Amended] 64. Amend section 223.570–2 in paragraph (b)(1) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ [Amended] 65. Amend section 223.7201 in paragraph (b)(1) by removing ‘‘commercial item’’ and adding ‘‘commercial product’’ in its place. ■ 223.7306 [Amended] 66. Amend section 223.7306 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ PART 225—FOREIGN ACQUISITION [Amended] ■ 53. Amend section 215.404–71–5 in paragraph (b)(7) by removing ‘‘commercial items and processes’’ and adding ‘‘commercial products or commercial services and commercial processes’’ in its place. ■ products and commercial services’’ in its place. 223.7201 PART 217—SPECIAL CONTRACTING METHODS 6583 [Amended] 60. Amend section 219.309 in paragraph (1) introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. 225.302–6 [Amended] 67. Amend section 225.302–6 in the introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ ■ 219.708 [Amended] 61. Amend section 219.708 in paragraphs (b)(1)(A) introductory text and (b)(1)(B) by removing ‘‘commercial items’’ and adding ‘‘commercial 225.371–5 [Amended] 68. Amend section 225.371–5 in paragraph (a) introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ ■ PO 00000 Frm 00007 Fmt 4701 Sfmt 4700 225.372–2 [Amended] 69. Amend section 225.372–2 in the introductory text by removing ■ E:\FR\FM\31JAR4.SGM 31JAR4 6584 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. 225.771–5 [Amended] 70. Amend section 225.771–5 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 225.772–5 71. Amend section 225.772–5 in paragraph (b) by removing ‘‘including solicitation’’ and ‘‘commercial items’’ and adding ‘‘including solicitations’’ and ‘‘commercial products and commercial services’’ in their places, respectively. 225.7009–5 72. Amend section 225.1101— ■ a. In paragraphs (1) introductory text, (2)(i) introductory text, (5) introductory text, (6) introductory text, (9) introductory text, and (10)(i) introductory text, by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place; and ■ b. In paragraph (10)(ii)(B), by removing ‘‘commercial item’’ and ‘‘Section’’ and adding ‘‘commercial product’’ and ‘‘section’’ in their places, respectively. ■ [Amended] 73. Amend section 225.7002–3 in paragraphs (a), (b), and (c) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ [Amended] 74. Amend section 225.7003–3— ■ a. In paragraph (b)(2)(i)(D)(2) by removing ‘‘commercial item’’ and ‘‘subsection’’ and adding ‘‘commercial product’’ and ‘‘section’’ in their places, respectively; and ■ b. In paragraph (b)(3) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place. ■ 225.7003–5 [Amended] 75. Amend section 225.7003–5— a. In paragraph (a) introductory text by removing ‘‘subsection’’ and adding ‘‘section’’ in its place; ■ b. In paragraphs (a)(1) introductory text and (a)(2) introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place; and ■ c. In paragraph (b) introductory text by removing ‘‘commercial items,’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ khammond on DSKJM1Z7X2PROD with RULES4 ■ VerDate Sep<11>2014 19:08 Jan 30, 2023 Jkt 259001 [Amended] 78. Amend section 225.7009–5— a. In the introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place; and ■ b. In paragraph (a) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place. ■ ■ [Amended] 225.7003–3 [Amended] 77. Amend section 225.7009–3 by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place. adding ‘‘commercial products, commercial services,’’ in its place. 225.7307 [Amended] 86. Amend section 225.7307 in paragraphs (a) and (b) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ ■ [Amended] 225.7002–3 [Amended] 76. Amend section 225.7006–4 in paragraphs (a) introductory text and (b) introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 225.7009–3 ■ 225.1101 225.7006–4 225.7017–4 [Amended] 79. Amend section 225.7017–4 in paragraphs (a)(1) and (2) and (b) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 225.7018–5 [Amended] 80. Amend section 225.7018–5 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 225.7019–4 [Amended] 81. Amend section 225.7019–4 in paragraphs (a) and (b) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 225.7020–5 82. Amend section 225.7020–5 in paragraphs (a) and (b) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. [Amended] 83. Amend section 225.7021–1 in the definition of ‘‘Covered contract’’ by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 225.7022–5 [Amended] 84 Amend section 225.7022–5 in paragraphs (a) and (b) by removing ‘‘commercial items’’ and adding ‘‘commercial products, commercial services,’’ in its place. ■ 225.7202 [Amended] 85. Amend section 225.7202 by removing ‘‘commercial items,’’ and ■ PO 00000 Frm 00008 Fmt 4701 Sfmt 4700 [Amended] 87. Amend section 225.7501 in paragraph (a)(2)(vi) by removing ‘‘commercial item’’ and ‘‘Section’’ and adding ‘‘commercial product’’ and ‘‘section’’ in their places, respectively. ■ 225.7503 [Amended] 88. Amend section 225.7503 in paragraphs (a) introductory text and (b) introductory text by removing ‘‘commercial items or components’’ and adding ‘‘commercial products or commercial components’’ in its place. ■ 225.7605 [Amended] 89. Amend section 225.7605 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 225.7703–4 [Amended] 90. Amend section 225.7703–4 in paragraphs (a), (b), (c) introductory text, and (d) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ PART 226—OTHER SOCIOECONOMIC PROGRAMS 226.104 [Amended] ■ 225.7021–1 225.7501 [Amended] 91. Amend section 226.104 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 226.7203 [Amended] 92. Amend section 226.7203 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ PART 227—PATENTS, DATA, AND COPYRIGHTS 227.7101 [Amended] 93. Amend section 227.7101 in paragraph (b) by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place. ■ 94. Revise section 227.7102 to read as follows: ■ E:\FR\FM\31JAR4.SGM 31JAR4 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations 227.7102 Commercial products, commercial components, commercial services, or commercial processes. 227.7102–1 227.7102–4 [Amended] 95. Amend section 227.7102–1— a. In paragraph (a) introductory text by removing ‘‘commercial item or process’’ and adding ‘‘commercial product, commercial service, or commercial process’’ in its place; ■ b. In paragraph (a)(2) by removing ‘‘commercial items or processes’’ and ‘‘commercial item’’ and adding ‘‘commercial products or commercial processes’’ and ‘‘commercial product’’ in their places, respectively; ■ c. In paragraph (a)(3) by removing ‘‘commercial item or process’’ and adding ‘‘commercial product, commercial service, or commercial process’’ in its place; ■ d. In paragraph (b) introductory text by removing ‘‘subsection’’ and adding ‘‘section’’ in its place; and ■ e. In paragraphs (b)(1) and (2) by removing ‘‘commercial items or processes’’ and adding ‘‘commercial products, commercial services, or commercial processes’’ in its place. ■ ■ 227.7102–2 [Amended] 96. Amend section 227.7102–2 in paragraph (a) by removing ‘‘Commercial Items’’, ‘‘commercial items or processes’’, and ‘‘commercial items’’ and adding ‘‘Commercial Products and Commercial Services’’, ‘‘commercial products, commercial services, or commercial processes’’, and ‘‘commercial products’’ in their places, respectively. ■ 227.7102–3 [Amended] 97. Amend section 227.7102–3— a. In the section heading by removing ‘‘challenge’’ and adding ‘‘challenge,’’ in its place; and ■ b. By removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. ■ 98. Amend section 227.7102–4— ■ a. By revising paragraph (a)(1); ■ b. In paragraph (a)(2) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place; ■ c. In paragraph (b) by removing ‘‘Noncommercial Items’’ and ‘‘commercial item’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ and ‘‘commercial product or commercial service’’ in their places, respectively; and ■ d. In paragraph (c) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. The revision reads as follows: khammond on DSKJM1Z7X2PROD with RULES4 ■ ■ VerDate Sep<11>2014 19:08 Jan 30, 2023 Jkt 259001 Contract clauses. (a)(1) Except as provided in paragraph (b) of this section, use the clause at 252.227–7015, Technical Data— Commercial Products and Commercial Services, in solicitations and contracts, including solicitations and contracts using FAR part 12 procedures for the acquisition of commercial products and commercial services, when the contractor will be required to deliver technical data pertaining to commercial products, commercial components, commercial services, or commercial processes. * * * * * ■ 99. Revise section 227.7103 to read as follows: 227.7103 Other than commercial products, commercial services, or commercial processes. 227.7103–3 [Amended] 100. Amend section 227.7103–3— a. In the section heading by removing ‘‘reproduction’’ and adding ‘‘reproduction,’’ in its place; and ■ b. In paragraph (b) by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place. ■ ■ 227.7103–5 101. Amend section 227.7103–5 in the introductory text by removing ‘‘Noncommercial Items’’ and ‘‘subsection’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ and ‘‘section’’ in their places, respectively. ■ 102. Amend section 227.7103–6— ■ a. By revising paragraph (a); and ■ b. In paragraphs (b)(1) introductory text and (b)(2) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. The revision reads as follows: ■ 227.7103–6 Contract clauses. (a) Use the clause at 252.227–7013, Rights in Technical Data—Other Than Commercial Products and Commercial Services, in solicitations and contracts, including solicitations and contracts using FAR part 12 procedures for the acquisition of commercial products and commercial services, when the successful offeror(s) will be required to deliver to the Government technical data pertaining to other than commercial products or commercial services, or pertaining to commercial products or commercial services for which the Government will have paid for any portion of the development costs (in which case the clause at 252.227– 7013 will govern the technical data PO 00000 Frm 00009 Fmt 4701 Sfmt 4700 pertaining to any portion of a commercial product or commercial service that was developed in any part at Government expense, and the clause at 252.227–7015 will govern the technical data pertaining to any portion of a commercial product or commercial service that was developed exclusively at private expense). Do not use the clause when the only deliverable items are computer software or computer software documentation (see 227.72), commercial products or commercial services developed exclusively at private expense (see 227.7102–4), existing works (see 227.7105), special works (see 227.7106), or when contracting under the Small Business Innovation Research Program (see 227.7104). Except as provided in 227.7107–2, do not use the clause in architect-engineer and construction contracts. * * * * * 227.7103–9 [Amended] 103. Amend section 227.7103–9 in paragraph (a)(1) by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place. ■ 227.7103–10 [Amended] 6585 [Amended] 104. Amend section 227.7103–10 in paragraphs (a)(3) and (b) introductory text by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place. ■ 227.7103–11 [Amended] 105. Amend section 227.7103–11 in paragraph (a) by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place. ■ 227.7103–12 [Amended] 106. Amend section 227.7103–12 in paragraph (a)(1) by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place. ■ 107. Amend section 227.7103–13— ■ a. By revising paragraph (c)(2); and ■ b. In paragraph (d)(4) by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. The revision reads as follows: ■ 227.7103–13 Government right to review, verify, challenge, and validate asserted restrictions. * * * * * (c) * * * (2) Commercial products and commercial services—presumption regarding development exclusively at E:\FR\FM\31JAR4.SGM 31JAR4 6586 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations private expense. 10 U.S.C. 3772(a)(1) and 3784 establish a presumption and procedures regarding validation of asserted restrictions for technical data related to commercial products or commercial services on the basis of development exclusively at private expense. Contracting officers shall presume that a commercial product or commercial service was developed exclusively at private expense whether or not a contractor or subcontractor submits a justification in response to a challenge notice. The contracting officer shall not challenge a contractor’s assertion that a commercial product or commercial service was developed exclusively at private expense unless the Government can specifically state the reasonable grounds to question the validity of the assertion. The challenge notice shall include sufficient information to reasonably demonstrate that the commercial product or commercial service was not developed exclusively at private expense. In order to sustain the challenge, the contracting officer shall provide information demonstrating that the commercial product or commercial service was not developed exclusively at private expense. The challenge notice and all related correspondence shall be subject to handling procedures for classified information and controlled unclassified information. A contractor’s or subcontractor’s failure to respond to the challenge notice cannot be the sole basis for issuing a final decision denying the validity of an asserted restriction. * * * * * 227.7103–15 [Amended] 108. Amend 227.7103–15— a. In paragraph (a) by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place; ■ b. In paragraph (c) introductory text by removing ‘‘non-commercial items’’ and adding ‘‘other than commercial products or commercial services’’ in its place; and ■ c. In paragraphs (c)(1) and (d) by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place. ■ ■ 227.7103–16 [Amended] 109. Amend section 227.7103–16 in paragraph (b) by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place. khammond on DSKJM1Z7X2PROD with RULES4 ■ 227.7103–17 [Amended] 110. Amend section 227.7103–17 in paragraph (a) by removing 19:08 Jan 30, 2023 227.7104 [Amended] 111. Amend section 227.7104 in paragraph (a) by removing ‘‘Noncommercial Technical’’ and adding ‘‘Other Than Commercial Technical’’ in its place. ■ 227.7105–2 [Amended] 112. Amend section 227.7105–2 in paragraph (a) introductory text by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place. ■ 227.7106 [Amended] 113. Amend section 227.7106 in paragraph (a)(1) by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place. ■ 227.7201 [Amended] 114. Amend section 227.7201 in paragraph (b) by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’ in its place. ■ 115. Revise section 227.7203 to read as follows: ■ 227.7203 Other than commercial computer software and other than commercial computer software documentation. 227.7203–2 [Amended] 116. Amend section 227.7203–2 in the section heading by removing ‘‘noncommercial’’ and adding ‘‘other than commercial’’ in its place. ■ 227.7203–3 [Amended] 117. Amend section 227.7203–3— a. In the section heading by removing ‘‘reproduction’’ and adding ‘‘reproduction,’’ in its place; and ■ b. In paragraph (a) by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’ in its place. ■ ■ 227.7203–4 [Amended] 118. Amend section 227.7203–4 in paragraph (b) by removing ‘‘Rights in Noncommercial Computer Software and ■ ■ VerDate Sep<11>2014 ‘‘Noncommercial Items’’ and ‘‘release or’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ and ‘‘release, or’’ in their places, respectively. Jkt 259001 PO 00000 Frm 00010 Fmt 4701 Sfmt 4700 Noncommercial Computer Software Documentation’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’ in its place. 227.7203–5 [Amended] 119. Amend section 227.7203–5— a. In the introductory text by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’ and ‘‘subsection’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’ and ‘‘section’’ in their places, respectively; and ■ b. In paragraph (c)(1) by removing ‘‘noncommercial’’ and adding ‘‘other than commercial’’ in its place. ■ ■ 227.7203–6 [Amended] 120. Amend section 227.7203–6— ■ a. In paragraph (a)(1) by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’, ‘‘commercial items’’, and ‘‘(see 227.7104),’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’, ‘‘commercial products, commercial services’’, and ‘‘(see 227.7104).’’ in their places, respectively; and ■ b. In paragraph (f) by removing ‘‘noncommercial’’ and adding ‘‘other than commercial’’ in its place. ■ 227.7203–9 [Amended] 121. Amend section 227.7203–9— ■ a. In paragraph (a)(1) by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’ in its place; and ■ b. In paragraph (a)(2) by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place. ■ 227.7203–10 [Amended] 122. Amend section 227.7203–10 in paragraphs (a)(3) and (b) introductory text by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’ in its place. ■ E:\FR\FM\31JAR4.SGM 31JAR4 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations 227.7203–11 [Amended] PART 232—CONTRACT FINANCING 123. Amend section 227.7203–11 in paragraph (a) by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’ in its place. ■ 227.7203–12 [Amended] 124. Amend section 227.7203–12 in paragraph (a)(1) by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’ in its place. ■ 227.7203–15 [Amended] 125. Amend section 227.7203–15 in paragraphs (c)(1) and (d) by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’ in its place. ■ 227.7203–16 [Amended] 126. Amend section 227.7203–16 in paragraph (b) by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’ in its place. ■ 227.7203–17 [Amended] 127. Amend section 227.7203–17 in paragraph (a) by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’ in its place. [Amended] 128. Amend section 227.7205 in paragraph (a)(1) by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’ in its place. khammond on DSKJM1Z7X2PROD with RULES4 ■ VerDate Sep<11>2014 19:08 Jan 30, 2023 [Amended] 129. Amend section 232.009–2 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 130. Revise the heading for subpart 232.1 to read as follows: ■ Subpart 232.1—Financing for Other Than a Commercial Purchase 131. Revise the heading for subpart 232.2 to read as follows: ■ Subpart 232.2—Commercial Product and Commercial Service Purchase Financing 232.206 [Amended] 132. Amend section 232.206— a. In paragraph (f) introductory text by removing ‘‘commercial item’’ and adding ‘‘commercial product and commercial service’’ in its place; and ■ b. In the heading for paragraph (g) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 133. Revise the heading for subpart 232.4 to read as follows: ■ ■ Subpart 232.4—Advance Payments for Other Than Commercial Acquisitions 232.908 [Amended] 134. Amend section 232.908 by removing ‘‘commercial items’’ and ‘‘Commercial Items’’ and adding ‘‘commercial products and commercial services’’ and ‘‘Commercial Products and Commercial Services’’ in their places, respectively. ■ 232.1110 [Amended] 135. Amend section 232.1110 in the introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. Jkt 259001 232.7004 [Amended] 136. Amend section 232.7004— a. In paragraph (a) by removing ‘‘contract or task or delivery order’’ and ‘‘commercial items’’ and adding ‘‘contract, task order, or delivery order’’ and ‘‘commercial products and commercial services’’ in their places, respectively; and ■ b. In paragraph (b), by removing ‘‘contracts or task or delivery orders’’ and ‘‘commercial items’’ and adding ‘‘contracts, task orders, or delivery orders’’ and ‘‘commercial products and commercial services’’ in their places, respectively. ■ ■ PO 00000 Frm 00011 Fmt 4701 [Amended] 137. Amend section 232.7102 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ ■ ■ 227.7205 232.009–2 232.7102 6587 Sfmt 4700 PART 234—MAJOR SYSTEM ACQUISITION 138. Revise the heading for subpart 234.70 to read as follows: ■ Subpart 234.70—Acquisition of Major Weapon Systems as Commercial Products 234.7000 [Amended] 139. Amend section 234.7000 in paragraph (b) by removing ‘‘commercial item’’ and adding ‘‘commercial product’’ in its place. ■ 234.7002 [Amended] 140. Amend section 234.7002— a. In paragraph (a)(1) introductory text by removing ‘‘commercial item’’ and ‘‘commercial items’’ and adding ‘‘commercial product’’ and ‘‘commercial products’’ in their places, respectively; ■ b. In paragraph (a)(1)(i)(A) by removing ‘‘commercial item’’ and adding ‘‘commercial product’’ in its place; ■ c. In paragraph (b) introductory text by removing ‘‘commercial item’’ and ‘‘commercial items’’ and adding ‘‘commercial product’’ and ‘‘commercial products’’ in their places, respectively; ■ d. In paragraph (b)(1) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place; ■ e. In paragraph (b)(2) by removing ‘‘commercial item’’ and adding ‘‘commercial product’’ in its place; ■ f. In paragraph (c)(1) introductory text by removing ‘‘commercial item’’ and adding ‘‘commercial product’’ in its place; ■ g. In paragraphs (c)(1)(i)(A) and (B) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place; ■ h. In paragraph (c)(1)(ii) by removing ‘‘commercial item’’ and adding ‘‘commercial product’’ in its place; ■ i. In paragraph (d)(1) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place; and ■ j. In paragraph (d)(5) by removing ‘‘commercial item’’ and ‘‘item’’ adding ‘‘commercial product’’ in their places, respectively. ■ ■ PART 237—SERVICE CONTRACTING 237.171–4 [Amended] 141. Amend section 237.171–4 in the introductory text by removing ‘‘commercial items’’ and adding ■ E:\FR\FM\31JAR4.SGM 31JAR4 6588 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations ‘‘commercial products and commercial services’’ in its place. PART 244—SUBCONTRACTING POLICIES AND PROCEDURES adding ‘‘commercial products and commercial services’’ in its place. 237.173–5 244.303 246.704 [Amended] 142. Amend section 237.173–5 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 237.270 [Amended] 143. Amend section 237.270 in paragraphs (e)(3) and (4) introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ PART 239—ACQUISITION OF INFORMATION TECHNOLOGY 239.101 [Amended] [Amended] 145. Amend section 239.7306 in paragraphs (a) and (b) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 239.7604 [Amended] 146. Amend section 239.7604 in paragraphs (a) and (b) by removing ‘‘commercial item’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ PART 242—CONTRACT ADMINISTRATION AND AUDIT SERVICES 242.7200 [Amended] 147. Amend section 242.7200 by removing from paragraph (b)(1) introductory text ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. ■ 242.7204 [Amended] 148. Amend section 242.7204 in the introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. khammond on DSKJM1Z7X2PROD with RULES4 ■ [Amended] 149. Amend section 242.205–71 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. 19:08 Jan 30, 2023 152. Amend section 244.402— a. In paragraph (a) by removing ‘‘commercial item’’ and adding ‘‘commercial product or commercial service’’ in its place; and ■ b. In paragraph (S–70) by removing ‘‘commercial items’’ and ‘‘commercial item’’ and adding ‘‘commercial products’’ and ‘‘commercial product’’ in their places, respectively. ■ ■ 244.403 [Amended] PART 245—GOVERNMENT PROPERTY 154. Amend section 245.102— a. By revising the introductory text; and ■ b. In paragraph (4)(ii)(C) introductory text by removing ‘‘commercial item’’ and adding ‘‘commercial product’’ in its place. The revision reads as follows: ■ ■ 245.102 Policy. See the policy guidance at PGI 245.102–70. * * * * * PART 246—QUALITY ASSURANCE 246.270–4 [Amended] Jkt 259001 246.370 [Amended] 156. Amend section 246.370 in paragraph (a) introductory text by removing ‘‘commercial items’’ and ■ PO 00000 Frm 00012 Fmt 4701 Sfmt 4700 [Amended] 157. Amend section 246.704 in paragraph (1)(i) by removing ‘‘Commercial items’’ and adding ‘‘Commercial products or commercial services’’ in its place. ■ 246.706 [Amended] 158. Amend section 246.706 in paragraph (b)(5) by removing ‘‘noncommercial items’’ and adding ‘‘other than commercial products’’ in its place. ■ 246.870–3 [Amended] 159. Amend section 246.870–3 in paragraph (b) introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ PART 247—TRANSPORTATION 247.207 [Amended] 160. Amend section 247.207 in paragraphs (1) and (2) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ 247.574 153. Amend section 244.403 by removing ‘‘Commercial Items’’ and ‘‘commercial items’’ and adding ‘‘Commercial Products and Commercial Services’’ and ‘‘commercial products and commercial services’’ in their places, respectively. ■ 155. Amend section 246.270–4 by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ VerDate Sep<11>2014 [Amended] ■ PART 243—CONTRACT MODIFICATIONS 243.205–71 Subpart 244.4—Subcontracts for Commercial Products, Commercial Services, and Commercial Components 244.402 144. Amend section 239.101 in paragraph (1) by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. ■ 239.7306 [Amended] 150. Amend section 244.303 in paragraph (a) by removing ‘‘commercial item’’ and ‘‘definition of ‘‘commercial item’’ in FAR 2.101’’ and adding ‘‘commercial product or commercial service’’ and ‘‘definition of ‘‘commercial product’’ or ‘‘commercial service’’ in FAR 2.101’’ in their places, respectively. ■ 151. Revise the heading for subpart 244.4 to read as follows: ■ [Amended] 161. Amend section 247.574— a. In paragraphs (a)(1) introductory text and (b) introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place; ■ b. In paragraphs (b)(1) introductory text and (b)(2) and (3) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place; and ■ c. In paragraphs (c), (d), and (e) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. ■ ■ PART 252—SOLICITATION PROVISIONS AND CONTRACT CLAUSES 162. Amend section 252.203–7001— a. By revising the clause date; and ■ b. In paragraph (g) by— ■ i. Adding a heading; and ■ ii. Removing ‘‘commercial items or components’’ and adding ‘‘commercial products, commercial services, or commercial components’’ in its place. The revision and addition read as follows: ■ ■ 252.203–7001 Prohibition on Persons Convicted of Fraud or Other DefenseContract-Related Felonies. * E:\FR\FM\31JAR4.SGM * * 31JAR4 * * Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations Prohibition on Persons Convicted of Fraud or Other Defense-ContractRelated Felonies (Jan 2023) * * * * * (g) Subcontracts. * * * * * * * * ■ 163. Amend section 252.203–7004— ■ a. By revising the clause date; and ■ b. In paragraph (d) by removing ‘‘commercial item’’ and adding ‘‘commercial product or commercial service’’ in its place. The revision reads as follows: 252.203–7004 * * * Display of Hotline Posters. * * * * * * * ■ 164. Amend section 252.204–7004— ■ a. By revising the clause heading and the clause date; and ■ b. In paragraph (d) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. The revisions read as follows: * * * Antiterrorism Awareness Training for Contractors (Jan 2023) * * * * * ■ 165. Amend section 252.204–7009— ■ a. By revising the section heading and clause date; ■ b. In paragraph (a), in the definition of ‘‘Technical information’’, by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place; and ■ c. In paragraph (c) by removing ‘‘commercial items’’ and adding ‘‘commercial products and commercial services’’ in its place. The revisions read as follows: * * * * * * * * * 166. Amend section 252.204–7012— a. By revising the section heading; b. In the introductory text by removing ‘‘204.7304c’’ and adding ‘‘204.7304(c)’’ in its place; ■ c. By revising the clause date; ■ d. In paragraph (a), in the definition of ‘‘Technical information’’, by removing ‘‘Noncommercial Items’’ and adding ‘‘Other Than Commercial Products and Commercial Services’’ in its place; and khammond on DSKJM1Z7X2PROD with RULES4 ■ ■ ■ 19:08 Jan 30, 2023 * * * * * * * * 167. Amend section 252.204–7014— ■ a. By revising the clause date; and ■ b. In paragraph (f) by— ■ i. Revising the heading; and ■ ii. Removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. The revisions read as follows: Jkt 259001 252.204–7014 Limitations on the Use or Disclosure of Information by Litigation Support Contractors. * * * * Limitations on the Use or Disclosure of Information by Litigation Support Contractors (Jan 2023) * * * * * (f) Subcontracts. * * * * * * * * ■ 168. Amend section 252.204–7015— ■ a. By revising the clause date; and ■ b. In paragraph (c) by— ■ i. Revising the heading; and ■ ii. Removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. The revisions read as follows: 252.204–7015 Notice of Authorized Disclosure of Information for Litigation Support. * * * * Notice of Authorized Disclosure of Information for Litigation Support (Jan 2023) Limitations on the Use or Disclosure of Third-Party Contractor Reported Cyber Incident Information (Jan 2023) VerDate Sep<11>2014 * Safeguarding Covered Defense Information and Cyber Incident Reporting (Jan 2023) * 252.204–7009 Limitations on the Use or Disclosure of Third-Party Contractor Reported Cyber Incident Information. * * * 252.204–7004 Antiterrorism Awareness Training for Contractors. * 252.204–7012 Safeguarding Covered Defense Information and Cyber Incident Reporting. ■ Display of Hotline Posters (Jan 2023) * e. In paragraph (m)(1) by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. The revisions read as follows: ■ * * * * * (c) Subcontracts. * * * * * * * * ■ 169. Amend section 252.204–7018— ■ a. By revising the clause date; and ■ b. In paragraph (e) by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. The revision reads as follows: 252.204–7018 Prohibition on the Acquisition of Covered Defense Telecommunications Equipment or Services. * PO 00000 * * Frm 00013 * Fmt 4701 * Sfmt 4700 6589 Prohibition on the Acquisition of Covered Defense Telecommunications Equipment or Services (Jan 2023) * * * * * 170. Amend section 252.204–7020— ■ a. By revising the clause date; and ■ b. In paragraph (g)(1) by removing ‘‘commercial items’’ and ‘‘COTS’’ and adding ‘‘commercial products or commercial services’’ and ‘‘commercially available off-the-shelf’’ in their places, respectively. The revision reads as follows: ■ 252.204–7020 NIST SP 800–171 DoD Assessment Requirements. * * * * * NIST SP 800–171 DOD Assessment Requirements (Jan 2023) * * * * * 171. Amend section 252.204–7021— ■ a. By revising the clause date; and ■ b. In paragraph (c)(1), by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. The revision reads as follows: ■ 252.204–7021 Contractor Compliance with the Cybersecurity Maturity Model Certification Level Requirement. * * * * * Contractor Compliance With the Cybersecurity Maturity Model Certification Level Requirement (Jan 2023) * * * * * 172. Amend section 252.211–7003— a. By revising the section heading and clause date; and ■ b. In paragraph (g) by removing ‘‘by contract any items’’ and ‘‘commercial items’’ and adding ‘‘by subcontract any item(s)’’ and ‘‘commercial products or commercial services’’ in their places, respectively. The revisions read as follows: ■ ■ 252.211–7003 Item Unique Identification and Valuation. * * * * * Item Unique Identification and Valuation (Jan 2023) * * * * * 173. Amend section 252.215–7009 by revising the section heading, the date of the provision, and item 18 of the table to read as follows: ■ 252.215–7009 Checklist. * * * Proposal Adequacy * * Proposal Adequacy Checklist (Jan 2023) * E:\FR\FM\31JAR4.SGM * * 31JAR4 * * 6590 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations PROPOSAL ADEQUACY CHECKLIST References Submission item * * 18. FAR 52.215–20 FAR 2.101, ‘‘commercial product’’ or ‘‘commercial service’’. * * * Has the offeror submitted an exception to the submission of certified cost or pricing data for commercial products proposed either at the prime or subcontractor level, in accordance with provision 52.215– 20?. a. Has the offeror specifically identified the type of commercial product claim (FAR 2.101 ‘‘commercial product’’ definition, and the basis on which the commercial product meets the definition?. b. For modified commercial products (FAR 2.101 ‘‘commercial product’’ definition; did the offeror classify the modification(s) as either—. i. A modification of a type customarily available in the commercial marketplace (paragraph (3)(i)); or. ii. A minor modification (paragraph (3)(ii)) of a type not customarily available in the commercial marketplace made to meet Federal Government requirements not exceeding the thresholds in FAR 15.403–1(c)(3)(iii)(B)?. c. For proposed commercial products ‘‘of a type’’, or ‘‘evolved’’ or modified (FAR 2.101 ‘‘commercial product’’ definition), did the contractor provide a technical description of the differences between the proposed item and the comparison item(s)?. * * * * * * * * 174. Amend section 252.215–7010— a. By revising the provision date and paragraph (b)(1)(ii) introductory text; ■ b. In paragraph (b)(1)(ii)(A) by removing ‘‘items’’ and adding ‘‘products or services’’ in its place; and ■ c. In the Alternate I provision— ■ i. By revising the provision date and paragraph (b)(1)(ii) introductory text; and ■ ii. In paragraph (b)(1)(ii)(A) by removing ‘‘items’’ and adding ‘‘products or services’’ in its place. The revisions read as follows: ■ ■ 252.215–7010 Requirements for Certified Cost or Pricing Data and Data Other Than Certified Cost or Pricing Data. * * * * * Requirements for Certified Cost or Pricing Data and Data Other Than Certified Cost or Pricing Data—Basic (Jan 2023) * khammond on DSKJM1Z7X2PROD with RULES4 Proposal page No. * * * * (b) * * * (1) * * * (ii) Commercial product or commercial service exception. For a commercial product or commercial service exception, the Offeror shall submit, at a minimum, information that is adequate for evaluating the reasonableness of the price for this acquisition, including prices at which the same product or service or similar products or services have been sold in VerDate Sep<11>2014 19:08 Jan 30, 2023 Jkt 259001 * * If not provided EXPLAIN (may use continuation pages) * * * * the commercial market. Such information shall include— * * * * * 252.215–7013 Supplies and Services Provided by Nontraditional Defense Contractors. Requirements for Certified Cost or Pricing Data and Data Other Than Certified Cost or Pricing Data— Alternate I (Jan 2023) Supplies and Services Provided by Nontraditional Defense Contractors (Jan 2023) * * * * * * (b) * * * (1) * * * (ii) Commercial product or commercial service exception. For a commercial product or commercial service exception, the Offeror shall submit, at a minimum, information that is adequate for evaluating the reasonableness of the price for this acquisition, including prices at which the same product or service or similar products or services have been sold in the commercial market. Such information shall include— * * * * * 175. Amend section 252.215–7013 by— ■ a. Revising the provision date; and ■ b. Removing ‘‘commercial items’’ and ‘‘commercial item’’ and adding ‘‘commercial products or commercial services’’ and ‘‘commercial product or commercial service’’ in their places, respectively. The revision reads as follows: ■ PO 00000 Frm 00014 Fmt 4701 Sfmt 4700 * * * * * * * * * 176. Amend section 252.216–7000— a. By revising the section heading and clause date; and ■ b. In paragraph (a), in the definition of ‘‘Established price’’, by removing ‘‘commercial item’’ and adding ‘‘commercial product’’ in its place. The revisions read as follows: ■ ■ 252.216–7000 Economic Price Adjustment—Basic Steel, Aluminum, Brass, Bronze, or Copper Mill Products. * * * * * Economic Price Adjustment—Basic Steel, Aluminum, Brass, Bronze, or Copper Mill Products (Jan 2023) * * * * * 177. Amend section 252.216–7001— a. By revising the section heading and clause date; and ■ b. In paragraph (a), in the definition of ‘‘Established price’’, paragraph (1) by removing ‘‘commercial item’’ and adding ‘‘commercial product’’ in its place. The revisions read as follows: ■ ■ E:\FR\FM\31JAR4.SGM 31JAR4 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations 252.216–7001 Economic Price Adjustment–Nonstandard Steel Items. * * * * Prohibition of Hexavalent Chromium (Jan 2023) * * Economic Price Adjustment— Nonstandard Steel Items (Jan 2023) * * * * * 178. Amend section 252.216–7002 by revising the section heading, provision heading, and provision date to read as follows: ■ 252.216–7002 Alternate A, Time-andMaterials/Labor-Hour Proposal Requirements—Other Than Commercial Acquisition with Adequate Price Competition. * * * * * Alternate A, Time-and-Materials/LaborHour Proposal Requirements—Other Than Commercial Acquisition With Adequate Price Competition (Jan 2023) * * * * * 179. Amend section 252.217–7026— a. By revising the provision date; b. In paragraph (b)(2) by removing ‘‘list ‘‘none.’’’’ and adding ‘‘list ‘‘none’’.’’ in its place; and ■ c. In paragraph (b)(3) by removing ‘‘commercial item’’ and adding ‘‘commercial product or commercial service’’ in its place. The revision reads as follows: ■ ■ ■ 252.217–7026 Supply. * * * Identification of Sources of * * * * * * 180. Amend section 252.222–7006— a. By revising the clause date; and b. In paragraph (a), in the definition of ‘‘Covered subcontractor’’, by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. The revision reads as follows: ■ ■ ■ 252.222–7006 Restrictions on the Use of Mandatory Arbitration Agreements. * * * * Restrictions on the Use of Mandatory Arbitration Agreements (Jan 2023) khammond on DSKJM1Z7X2PROD with RULES4 * * * * * ■ 181. Amend section 252.223–7008— ■ a. By revising the clause date; and ■ b. In paragraph (d) by removing ‘‘commercial items’’ and ‘‘supplies,,’’ and adding ‘‘commercial products or commercial services’’ and ‘‘supplies,’’ in their places, respectively. The revision reads as follows: 252.223–7008 Chromium. * * * VerDate Sep<11>2014 252.225–7001 Buy American and Balance of Payments Program. * Prohibition of Hexavalent * 19:08 Jan 30, 2023 * * * Buy American and Balance of Payments Program—Basic (Jan 2023) * * * * * Buy American and Balance of Payments Program—Alternate I(Jan 2023) * * * * 183. Amend section 252.225–7009— a. By revising the clause date; b. In paragraph (a), in the definition of ‘‘Commercially available off-the-shelf item’’, paragraph (i)(A), by removing ‘‘commercial item’’ and ‘‘ ‘‘commercial item’’ ’’ and adding ‘‘commercial product’’ and ‘‘ ‘‘commercial product’’ ’’ in their places, respectively; ■ c. In paragraph (c)(2)(i)(D)(2) by removing ‘‘commercial item’’ and adding ‘‘commercial product’’ in its place; ■ d. In paragraph (c)(3) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place; and ■ e. In paragraph (e)(2) introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place. The revision reads as follows: ■ ■ ■ 252.225–7009 Restriction on Acquisition of Certain Articles Containing Specialty Metals. * ■ Jkt 259001 * * * * Restriction on Acquisition of Certain Articles Containing Specialty Metals (Jan 2023) * * * * * Identification of Sources of Supply (Jan 2023) * * * * * 182. Amend section 252.225–7001— a. By revising the clause date; b. In paragraph (a), in the definition of ‘‘Commercially available off-the-shelf (COTS) item’’, paragraph (1)(i) by removing ‘‘commercial item’’ and ‘‘ ‘‘commercial item’’ ’’ and adding ‘‘commercial product’’ and ‘‘ ‘‘commercial product’’ ’’ in their places, respectively; and ■ c. In the Alternate I clause— ■ i. By revising the clause date; and ■ ii. In paragraph (a), in the definition of ‘‘Commercially available off-the-shelf (COTS) item’’, paragraph (1)(i) by removing ‘‘commercial item’’ and ‘‘ ‘‘commercial item’’ ’’ and adding ‘‘commercial product’’ and ‘‘ ‘‘commercial product’’ ’’ in their places, respectively. The revisions read as follows: ■ ■ ■ * * * * 184. Amend section 252.225–7016— PO 00000 Frm 00015 Fmt 4701 Sfmt 4700 6591 a. By revising the section heading and clause date; ■ b. In paragraph (c)(1) by removing ‘‘a noncommercial end product’’ and adding ‘‘an other than commercial end product’’ in its place; ■ c. In paragraph (c)(2) by removing ‘‘noncommercial components’’ and ‘‘a noncommercial end product’’ and adding ‘‘other than commercial components’’ and ‘‘an other than commercial end product’’ in their places, respectively; ■ d. In paragraph (f) introductory text by adding a heading; and ■ e. In paragraph (f)(1) by removing ‘‘items’’ and adding ‘‘products’’ in its place. The revisions and addition read as follows: ■ 252.225–7016 Restriction on Acquisition of Ball and Roller Bearings. * * * * * Restriction on Acquisition of Ball and Roller Bearings (Jan 2023) * * * * * (f) Subcontracts. * * * * * * * * ■ 185. Amend section 252.225–7021— ■ a. By revising the section heading and clause date; ■ b. In paragraph (a), in the definition of ‘‘Commercially available off-the-shelf (COTS) item’’, paragraph (1)(i) by removing ‘‘commercial item’’ and ‘‘ ‘‘commercial item’’ ’’ and adding ‘‘commercial product’’ and ‘‘ ‘‘commercial product’’ ’’ in their places, respectively; and ■ c. In the Alternate II clause— ■ i. By revising the clause date; and ■ ii. In paragraph (a), in the definition of ‘‘Commercially available off-the-shelf (COTS) item’’, paragraph (1)(i) by removing ‘‘commercial item’’ and ‘‘commercial item’’ and adding ‘‘commercial product’’ and ‘‘ ‘‘commercial product’’ ’’ in their places, respectively. The revisions read as follows: 252.225–7021 * * * Trade Agreements. * * Trade Agreements—Basic (Jan 2023) * * * * * Trade Agreements—Alternate II (Jan 2023) * * * * * 186. Amend section 252.225–7036— a. By revising the clause date; b. In paragraph (a), in the definition of ‘‘ Commercially available off-the-shelf (COTS) item ’’, paragraph (1)(i) by removing ‘‘ commercial item ’’ and ‘‘ commercial item ’’ and adding ■ ■ ■ E:\FR\FM\31JAR4.SGM 31JAR4 6592 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations ‘‘ commercial product ’’ and ‘‘ commercial product ’’ in their places, respectively; ■ c. In the Alternate I clause— ■ i. By revising the clause date; and ■ ii. In paragraph (a), in the definition of ‘‘ Commercially available off-the-shelf (COTS) item ’’, paragraph (1)(i) by removing ‘‘ commercial item ’’ and ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ and ‘‘ commercial product ’’ in their places, respectively; ■ d. In the Alternate II clause— ■ i. By revising the clause date; and ■ ii. In paragraph (a), in the definition of ‘‘ Commercially available off-the-shelf (COTS) item ’’, paragraph (1)(i) by removing ‘‘ commercial item ’’ and ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ and ‘‘ commercial product ’’ in their places, respectively; ■ e. In the Alternate III clause— ■ i. By revising the clause date; and ■ ii. In paragraph (a), in the definition of ‘‘ Commercially available off-the-shelf (COTS) item ’’, paragraph (1)(i) by removing ‘‘ commercial item ’’ and ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ and ‘‘ commercial product ’’ in their places, respectively; ■ f. In the Alternate IV clause— ■ i. By revising the clause date; and ■ ii. In paragraph (a), in the definition of ‘‘ Commercially available off-the-shelf (COTS) item ’’, paragraph (1)(i) by removing ‘‘ commercial item ’’ and ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ and ‘‘ commercial product ’’ in their places, respectively; and ■ g. In the Alternate V clause— ■ i. By revising the clause date; and ■ ii. In paragraph (a), in the definition of ‘‘ Commercially available off-the-shelf (COTS) item ’’, paragraph (1)(i) by removing ‘‘ commercial item ’’ and ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ and ‘‘ commercial product ’’ in their places, respectively. The revisions read as follows: 252.225–7036 Buy American—Free Trade Agreements—Balance of Payments Program. khammond on DSKJM1Z7X2PROD with RULES4 * * * * * Buy American—Free Trade Agreements—Balance of Payments Program—Basic (Jan 2023) * * * * * Buy American—Free Trade Agreements—Balance of Payments Program—Alternate I (Jan 2023) * * * VerDate Sep<11>2014 * * 19:08 Jan 30, 2023 Jkt 259001 Buy American—Free Trade Agreements—Balance of Payments Program—Alternate II (Jan 2023) Balance of Payments Program— Construction Material—Basic (Jan 2023) * * * * * * Buy American—Free Trade Agreements—Balance of Payments Program—Alternate III (Jan 2023) * * * * * * * * Buy American—Free Trade Agreements—Balance of Payments Program—Alternate V (Jan 2023) * * * * * 187. Amend section 252.225–7039— ■ a. By revising the clause date; and ■ b. In paragraph (f) introductory text by removing ‘‘ commercial items ’’ and adding ‘‘ commercial products or commercial services ’’ in its place. The revision reads as follows: ■ 252.225–7039 Defense Contractors Performing Private Security Functions Outside the United States. * * * * * * * Balance of Payments Program— Construction Material—Alternate I (Jan 2023) * * Buy American—Free Trade Agreements—Balance of Payments Program—Alternate IV (Jan 2023) * * * Defense Contractors Performing Private Security Functions Outside the United States (Jan 2023) * * * * * ■ 188. Amend section 252.225–7044— ■ a. By revising the clause date; ■ b. In paragraph (a), in the definition of ‘‘ Commercially available off-the-shelf (COTS) item ’’, paragraph (1)(i) by removing ‘‘ commercial item ’’ and ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ and ‘‘ commercial product ’’ in their places, respectively; ■ c. In paragraph (b)(2) by removing ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ in its place; and ■ d. In the Alternate I clause— ■ i. By revising the clause date; ■ ii. In paragraph (a), in the definition of ‘‘ Commercially available off-the-shelf (COTS) item ’’, paragraph (1)(i) by removing ‘‘ commercial item ’’ and ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ and ‘‘ commercial product ’’ in their places, respectively; and ■ iii. In paragraph (b)(2) by removing ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ in its place. The revisions read as follows: * * * * 189. Amend section 252.225–7045— ■ a. By revising the clause date; ■ b. In paragraph (a), in the definition of ‘‘ Commercially available off-the-shelf (COTS) item ’’, paragraph (1)(i) by removing ‘‘ commercial item ’’ and ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ and ‘‘ commercial product ’’ in their places, respectively; ■ c. In paragraph (c)(2) by removing ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ in its place; ■ d. In the Alternate I clause— ■ i. By revising the clause date; ■ ii. In paragraph (a), in the definition of ‘‘ Commercially available off-the-shelf (COTS) item ’’, paragraph (1)(i) by removing ‘‘ commercial item ’’ and ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ and ‘‘ commercial product ’’ in their places, respectively; and ■ iii. In paragraph (c)(2) by removing ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ in its place; ■ e. In the Alternate II clause— ■ i. By revising the clause date; ■ ii. In paragraph (a), in the definition of ‘‘ Commercially available off-the-shelf (COTS) item ’’, paragraph (1)(i) by removing ‘‘ commercial item ’’ and ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ and ‘‘ commercial product ’’ in their places, respectively; and ■ iii. In paragraph (c)(2) by removing ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ in its place; and ■ f. In the Alternate III clause— ■ i. By revising the clause date; ■ ii. In paragraph (a), in the definition of ‘‘ Commercially available off-the-shelf (COTS) item ’’, paragraph (1)(i) by removing ‘‘ commercial item ’’ and ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ and ‘‘ commercial product ’’ in their places, respectively; and ■ iii. In paragraph (c)(2) by removing ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ in its place. The revisions read as follows: ■ 252.225–7044 Balance of Payments Program—Construction Material. 252.225–7045 Balance of Payments Program—Construction Material Under Trade Agreements. * * PO 00000 * * Frm 00016 * Fmt 4701 * Sfmt 4700 E:\FR\FM\31JAR4.SGM * * 31JAR4 * * Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations Prohibition Regarding Business Operations With the Maduro Regime (Jan 2023) Balance of Payments Program— Construction Material Under Trade Agreements—Basic (Jan 2023) * * * * * * * * * 193. Amend section 252.225–7058— a. By revising the clause date; and b. In paragraph (a), in the definition of ‘‘ Covered contract ’’, by removing ‘‘ commercial items ’’ and adding ‘‘ commercial products and commercial services ’’ in its place. The revision reads as follows: * ■ ■ ■ Balance of Payments Program— Construction Material Under Trade Agreements—Alternate I (Jan 2023) * * * * * Balance of Payments Program— Construction Material Under Trade Agreements—Alternate II (Jan 2023) * * * * 252.225–7058 Postaward Disclosure of Employment of Individuals Who Work in the People’s Republic of China. * Balance of Payments Program— Construction Material Under Trade Agreements—Alternate III (Jan 2023) * * * * * * ■ 190. Amend section 252.225–7052— ■ a. By revising the clause date; ■ b. In paragraph (a), in the definition of ‘‘ Commercially available off-the-shelf item ’’, paragraph (1)(i) by removing ‘‘ commercial item ’’ and ‘‘ commercial item ’’ and adding ‘‘ commercial product ’’ and ‘‘ commercial product ’’ in their places, respectively; and ■ c. In paragraph (d), by removing ‘‘ commercial items ’’ and adding ‘‘ commercial products ’’ in its place. The revision reads as follows: 252.225–7052 Restriction on the Acquisition of Certain Magnets, Tantalum, and Tungsten. * * * * * * * * * * ■ 191. Amend section 252.225–7054— ■ a. By revising the clause date; and ■ b. In paragraph (c) by removing ‘‘ commercial items ’’ and adding ‘‘ commercial products ’’ in its place. The revision reads as follows: * * * khammond on DSKJM1Z7X2PROD with RULES4 * * * * 192. Amend section 252.225–7056— a. By revising the clause date; and b. In paragraph (d) by removing ‘‘ commercial items ’’ and adding ‘‘ commercial products ’’ in its place. The revision reads as follows: ■ ■ ■ 252.225–7056 Prohibition Regarding Business Operations with the Maduro Regime. * * * VerDate Sep<11>2014 * * 19:08 Jan 30, 2023 Jkt 259001 * Postaward Disclosure of Employment of Individuals Who Work In the People’s Republic of China (Jan 2023) 194. Amend section 252.225–7060— a. By revising the clause date; and b. In paragraph (c) by removing ‘‘ commercial items and commercially available off-the-shelf items ’’ and adding ‘‘ commercial products, commercially available off-the-shelf items, and commercial services ’’ in its place. The revision reads as follows: ■ ■ ■ 252.225–7060 Prohibition on Certain Procurements from the Xinjiang Uyghur Autonomous Region. * * * * * 195. Amend section 252.226–7001— a. By revising the section heading and clause date; and ■ b. In paragraph (f)(3) by removing ‘‘ commercial items ’’ and adding ‘‘ commercial products or commercial services ’’ in its place. The revisions read as follows: ■ ■ * Prohibition on Use of Certain Energy Sourced From Inside the Russian Federation (Jan 2023) * * 252.226–7001 Utilization of Indian Organizations, Indian-Owned Economic Enterprises, and Native Hawaiian Small Business Concerns. 252.225–7054 Prohibition on Use of Certain Energy Sourced from Inside the Russian Federation. * * Prohibition on Certain Procurements From the Xinjiang Uyghur Autonomous Region (Jan 2023) Restriction on the Acquisition of Certain Magnets, Tantalum, and Tungsten (Jan 2023) * * * * * * Utilization of Indian Organizations, Indian-Owned Economic Enterprises, and Native Hawaiian Small Business Concerns (Jan 2023) * * * * * 196. Amend section 252.227–7013— a. By revising the section heading, clause heading, and the clause date; ■ b. In paragraph (b) introductory text by removing ‘‘ world-wide ’’ and ‘‘ Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation ’’ and adding ‘‘ worldwide ’’ and ‘‘ Rights in Other ■ ■ PO 00000 Frm 00017 Fmt 4701 Sfmt 4700 6593 Than Commercial Computer Software and Other Than Commercial Computer Software Documentation ’’ in their places, respectively; ■ c. In paragraph (f)(2) by removing ‘‘ to the Government purpose rights ’’ and ‘‘ Rights in Technical Data— Noncommercial Items ’’ and adding ‘‘ to the Government with government purpose rights ’’ and ‘‘ Rights in Technical Data—Other Than Commercial Products or Commercial Services ’’ in their places, respectively; ■ d. In paragraph (f)(3) by removing ‘‘ Rights in Technical Data— Noncommercial Items ’’ and adding ‘‘ Rights in Technical Data—Other Than Commercial Products or Commercial Services ’’ in its place; and ■ e. In paragraph (k)(2) by removing ‘‘ noncommercial items ’’, ‘‘ commercial items ’’, and ‘‘ commercial item ’’ and adding ‘‘ other than commercial products or commercial services ’’, ‘‘ commercial products or commercial services ’’, and ‘‘ commercial product or commercial service ’’ in their places, respectively. The revisions read as follows: 252.227–7013 Rights in Technical Data— Other Than Commercial Products and Commercial Services. * * * * * Rights nn Technical Data—Other Than Commercial Products or Commercial Services (Jan 2023) * * * * * 197. Amend section 252.227–7014— a. By revising the section heading, introductory text, clause heading and date, and paragraphs (a)(14) and (a)(15) introductory text; ■ b. In paragraph (b) introductory text by removing ‘‘ world-wide ’’ and ‘‘ noncommercial computer software ’’ and adding ‘‘ worldwide ’’ and ‘‘ other than commercial computer software ’’ in their places, respectively; ■ c. In paragraphs (b)(3)(i) and (ii) by removing ‘‘ noncommercial computer software ’’ and adding ‘‘ other than commercial computer software ’’ in its place; ■ d. By revising paragraph (b)(4)(i); ■ e. In paragraph (f)(2) by removing ‘‘ Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation ’’ and adding ‘‘ Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation ’’ in its place; ■ f. In paragraph (f)(3) by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’ and adding ‘‘Rights in Other Than Commercial ■ ■ E:\FR\FM\31JAR4.SGM 31JAR4 6594 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations ‘‘commercial product or commercial service’’ in their places, respectively. The revisions read as follows: Computer Software and Other Than Commercial Computer Software Documentation’’ in its place; and ■ g. In paragraph (k)(1) by removing ‘‘noncommercial computer software’’ and adding ‘‘other than commercial computer software’’ in its place. The revisions read as follows: 252.227–7015 Technical Data— Commercial Products and Commercial Services. * 252.227–7014 Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation. khammond on DSKJM1Z7X2PROD with RULES4 As prescribed in 227.7203–6(a)(1), use the following clause: Rights In Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation (Jan 2023) (a) * * * (14) Other than commercial computer software means software that does not qualify as commercial computer software under the definition of ‘‘commercial computer software’’ of this clause. (15) Restricted rights apply only to other than commercial computer software and mean the Government’s rights to— * * * * * (b) * * * (4) * * * (i) The standard license rights granted to the Government under paragraphs (b)(1) through (3) of this clause, including the period during which the Government shall have government purpose rights in computer software, may be modified by mutual agreement to provide such rights as the parties consider appropriate but shall not provide the Government lesser rights in computer software than are enumerated in the definition of ‘‘restricted rights’’ of this clause or lesser rights in computer software documentation than are enumerated in the definition of ‘‘limited rights’’ of the Rights in Technical Data— Other Than Commercial Products and Commercial Services clause of this contract. * * * * * ■ 198. Amend section 252.227–7015— ■ a. By revising the section heading, clause heading, and clause date and paragraph (a)(1); ■ b. By removing paragraph (a)(4); ■ c. By redesignating paragraph (a)(5) as paragraph (a)(4); ■ d. In paragraphs (b)(2)(i) and (ii) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place; and ■ e. In paragraph (e)(2) by removing ‘‘commercial items’’ and ‘‘commercial item’’ and adding ‘‘commercial products or commercial services’’ and VerDate Sep<11>2014 19:08 Jan 30, 2023 Jkt 259001 * * * * Technical Data—Commercial Products and Commercial Services (Jan 2023) * * * * * (a) * * * (1) Commercial product and commercial service includes commercial components and commercial processes but does not include commercial computer software. * * * * * ■ 199. Amend section 252.227–7016 by revising the section heading, clause date, and paragraphs (a) and (c)(2) to read as follows: 252.227–7016 Information. * * * Rights in Bid or Proposal * * Rights In Bid or Proposal Information (Jan 2023) (a) Definitions. (1) For contracts that require the delivery of technical data, the terms ‘‘technical data’’ and ‘‘computer software’’ are defined in the Rights in Technical Data—Other Than Commercial Products and Commercial Services clause of this contract or, if this is a contract awarded under the Small Business Innovation Research Program, the Rights in Other Than Commercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program clause of this contract. (2) For contracts that do not require the delivery of technical data, the term ‘‘computer software’’ is defined in the Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation clause of this contract or, if this is a contract awarded under the Small Business Innovation Research Program, the Rights in Other Than Commercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program clause of this contract. * * * * * (c) * * * (2) The Government’s right to use, modify, reproduce, release, perform, display, or disclose information that is technical data or computer software required to be delivered under this contract are determined by the Rights in Technical Data—Other Than Commercial Products and Commercial PO 00000 Frm 00018 Fmt 4701 Sfmt 4700 Services, Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation, or Rights in Other Than Commercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program clause(s) of this contract. * * * * * ■ 200. Amend section 252.227–7017 by revising the section heading, provision date, and paragraph (a) to read as follows: 252.227–7017 Identification and Assertion of Use, Release, or Disclosure Restrictions. * * * * * Identification and Assertion of Use, Release, or Disclosure Restrictions (Jan 2023) (a) The terms used in this provision are defined in the following clause or clauses contained in this solicitation: (1) If a successful offeror will be required to deliver technical data, the Rights in Technical Data—Other Than Commercial Products and Commercial Services clause, or, if this solicitation contemplates a contract under the Small Business Innovation Research Program, the Rights in Other Than Commercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program clause. (2) If a successful offeror will not be required to deliver technical data, the Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation clause, or, if this solicitation contemplates a contract under the Small Business Innovation Research Program, the Rights in Other Than Commercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program clause. * * * * * ■ 201. Amend section 252.227–7018— ■ a. By revising the section heading, clause heading, clause date, and paragraphs (a)(17) and (a)(18) introductory text; ■ b. In paragraph (b) introductory text by removing ‘‘world-wide’’ and ‘‘noncommercial computer software’’ and adding ‘‘worldwide’’ and ‘‘other than commercial computer software’’ in their places, respectively; ■ c. In paragraph (b)(3) by removing ‘‘noncommercial computer software’’ and adding ‘‘other than commercial computer software’’ in its place; ■ d. In paragraph (f)(2) by removing ‘‘Rights in Noncommercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) E:\FR\FM\31JAR4.SGM 31JAR4 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations Program’’ and adding ‘‘Rights in Other Than Commercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program’’ in its place; ■ e. In paragraph (f)(3) by removing ‘‘Rights in Noncommercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program’’ and adding ‘‘Rights in Other Than Commercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program’’ in its place; ■ f. In paragraph (f)(4) by— ■ i. Revising the heading; and ■ ii. Removing ‘‘Rights in Noncommercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program’’ and adding ‘‘Rights in Other Than Commercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program’’ in its place; and ■ g. By revising paragraph (k)(2). The revisions read as follows: 252.227–7018 Rights in Other Than Commercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program. khammond on DSKJM1Z7X2PROD with RULES4 * * * * * Rights In Other Than Commercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program (Jan 2023) (a) * * * (17) Other than commercial computer software means software that does not qualify as commercial computer software under the definition of ‘‘commercial computer software’’ of this clause. (18) Restricted rights apply only to other than commercial computer software and mean the Government’s rights to— * * * * * (f) * * * (4) SBIR data rights markings. * * * * * * * * (k) * * * (2) Whenever any other than commercial technical data or computer software is to be obtained from a subcontractor or supplier for delivery to the Government under this contract, the Contractor shall use this same clause in the subcontract or other contractual instrument, and require its subcontractors or suppliers to do so, without alteration, except to identify the parties. The Contractor shall use the Technical Data—Commercial Products and Commercial Services clause of this contract to obtain technical data pertaining to commercial products, VerDate Sep<11>2014 19:08 Jan 30, 2023 Jkt 259001 commercial components, commercial services, or commercial processes. No other clause shall be used to enlarge or diminish the Government’s, the Contractor’s, or a higher tier subcontractor’s or supplier’s rights in a subcontractor’s or supplier’s technical data or computer software. * * * * * 202. Amend section 252.227–7019 by revising the section heading, clause date, and paragraph (a)(2) to read as follows: ■ 252.227–7019 Validation of Asserted Restrictions—Computer Software. * * * * * Validation of Asserted Restrictions— Computer Software (Jan 2023) (a) * * * (2) Other terms used in this clause are defined in the Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation clause of this contract. * * * * * 203. Amend section 252.227–7025— a. By revising the clause date; ■ b. In paragraph (a)(1) by removing ‘‘Rights in Technical DataNoncommercial Items’’ and adding ‘‘Rights in Technical Data—Other Than Commercial Products and Commercial Services’’ in its place; ■ c. In paragraph (a)(2) by removing ‘‘Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation’’ and adding ‘‘Rights in Other Than Commercial Computer Software and Other Than Commercial Computer Software Documentation’’ in its place; ■ d. In paragraph (a)(3) by removing ‘‘Rights in Noncommercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program’’ and adding ‘‘Rights in Other Than Commercial Technical Data and Computer Software—Small Business Innovation Research (SBIR) Program’’ in its place; and ■ e. In paragraph (b)(4)(i) by removing ‘‘commercial item’’ and ‘‘commercial items’’ and adding ‘‘commercial product or commercial service’’ and ‘‘commercial products’’ in their places, respectively. The revision reads as follows: ■ ■ Limitations on the Use or Disclosure of Government-Furnished Information Marked With Restrictive Legends (Jan 2023) * * * * * 204. Amend section 252.227–7037— a. By revising the clause date; b. In paragraph (a) by removing ‘‘Rights in Technical Data— Noncommercial Items’’ and adding ‘‘Rights in Technical Data—Other Than Commercial Products and Commercial Services’’ in its place; ■ c. By revising the heading for paragraph (b); ■ d. In paragraph (b) by removing ‘‘commercial item’’ and adding ‘‘commercial product or commercial service’’ in its place; ■ e. In paragraph (e)(1)(i) by removing ‘‘commercial items’’ and ‘‘commercial item’’ and adding ‘‘commercial products or commercial services’’ and ‘‘commercial product or commercial service’’ in their places, respectively; ■ f. In paragraph (f) by removing ‘‘commercial items’’ and ‘‘commercial item’’ and adding ‘‘commercial products or commercial services’’ and ‘‘commercial product or commercial service’’ in their places, respectively; ■ g. In paragraph (g)(2)(i) by removing ‘‘commercial items’’ and ‘‘commercial item’’ and adding ‘‘commercial products or commercial services’’ and ‘‘commercial product or service’’ in their places, respectively; and ■ h. In paragraph (l), by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. The revisions read as follows: ■ ■ ■ 252.227–7037 Validation of Restrictive Markings on Technical Data. * PO 00000 Frm 00019 Fmt 4701 Sfmt 4700 * 252.232–7006 Wide Area WorkFlow Payment Instructions. * * * * * * * (b) Commercial products or commercial services—presumption regarding development exclusively at private expense. * * * * * * * * ■ 205. Amend section 252.232–7006— ■ a. By revising the clause date; and ■ b. In paragraph (f)(1)(v), by removing ‘‘item’’. The revision reads as follows: * * * * * * * Validation of Restrictive Markings on Technical Data (Jan 2023) 252.227–7025 Limitations on the Use or Disclosure of Government-Furnished Information Marked with Restrictive Legends. * 6595 * * * * Wide Area Workflow Payment Instructions (Jan 2023) E:\FR\FM\31JAR4.SGM * * 31JAR4 * * 6596 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations 206. Amend section 252.232–7017— a. By revising the clause date; and b. In paragraph (c) by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. The revision reads as follows: ■ ■ ■ 252.232–7017 Accelerating Payments to Small Business Subcontractors— Prohibition on Fees and Consideration. * * * * * Accelerating Payments to Small Business Subcontractors—Prohibition on Fees and Consideration (Jan 2023) * * * * * 207. Amend section 252.236–7013— a. By revising the section heading and clause date; and ■ b. In paragraph (c) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place. The revisions read as follows: ■ ■ 252.236–7013 Requirement for Competition Opportunity for American Steel Producers, Fabricators, and Manufacturers. * * * * * * * * * ■ 208. Amend section 252.237–7010— ■ a. By revising the section heading and clause date; and ■ b. In paragraph (c) by removing ‘‘commercial items’’ and adding ‘‘commercial services’’ in its place. The revisions read as follows: 252.237–7010 Prohibition on Interrogation of Detainees by Contractor Personnel. * * * Prohibition on Interrogation of Detainees by Contractor Personnel (Jan 2023) * * * * * ■ 209. Amend section 252.237–7019— ■ a. By revising the clause date; and ■ b. In paragraph (c) by removing ‘‘commercial items’’ and adding ‘‘commercial services’’ in its place. The revision reads as follows: 252.237–7019 Training for Contractor Personnel Interacting with Detainees. khammond on DSKJM1Z7X2PROD with RULES4 * * * * * * * Cloud Computing Services. * * Cloud Computing Services (Jan 2023) * * * * * 211. Amend section 252.244–7000— a. By revising the section heading, clause heading, and clause date; and ■ b. In paragraphs (a) and (b) by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place; ■ c. In paragraphs (c)(1) and (2) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place; ■ d. In paragraph (d) by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. The revisions read as follows: ■ ■ 252.244–7000 Subcontracts for Commercial Products or Commercial Services. * * * * * * * * 252.239–7010 Subcontracts for Commercial Products or Commercial Services (Jan 2023) Requirement for Competition Opportunity for American Steel Producers, Fabricators, and Manufacturers (Jan 2023) * The revision reads as follows: * * * * * ■ 212. Amend section 252.246–7003— ■ a. By revising the clause date; and ■ b. In paragraph (f) introductory text, by adding a heading; and ■ c. In paragraph (f)(2) introductory text by removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. The revision and addition read as follows: 252.246–7003 Notification of Potential Safety Issues. * * * * * Notification of Potential Safety Issues (Jan 2023) * * * * * (f) Subcontracts. * * * * * ■ 213. Amend section 252.246–7007— ■ a. By revising the clause date; and ■ b. In paragraph (e) by— ■ i. Adding a heading; and ■ ii. Removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place. The revision and addition read as follows: Training for Contractor Personnel Interacting With Detainees (Jan 2023) 252.246–7007 Contractor Counterfeit Electronic Part Detection and Avoidance System. * * * * * * 210. Amend section 252.239–7010— a. By revising the clause date; and b. In paragraph (l) by removing ‘‘commercial items’’ and adding ‘‘commercial services’’ in its place. ■ ■ ■ VerDate Sep<11>2014 19:08 Jan 30, 2023 Jkt 259001 * * * * Contractor Counterfeit Electronic Part Detection and Avoidance System (Jan 2023) * PO 00000 * * Frm 00020 * Fmt 4701 * Sfmt 4700 (e) Subcontracts. * * * * * * * ■ 214. Amend section 252.246–7008— ■ a. By revising the clause date; and ■ b. In paragraph (e) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place. The revision reads as follows: * 252.246–7008 * * * Sources of Electronic Parts. * * Sources of Electronic Parts (Jan 2023) * * * * * 215. Amend section 252.247–7003— a. By revising the clause date; and b. In paragraph (c) by— i. Adding a heading; and ii. Removing ‘‘commercial items’’ and adding ‘‘commercial products or commercial services’’ in its place. The revision and addition read as follows: ■ ■ ■ ■ ■ 252.247–7003 Pass-Through of Motor Carrier Fuel Surcharge Adjustment to the Cost Bearer. * * * * * Pass-Through of Motor Carrier Fuel Surcharge Adjustment to the Cost Bearer (Jan 2023) * * * * * (c) Subcontracts. * * * * * * * * ■ 216. Amend section 252.247–7023— ■ a. By revising the section heading and clause date; and ■ b. In paragraph (b)(2)(ii)(A) by removing ‘‘Noncommercial items’’ and adding ‘‘Other than commercial products’’ in its place; ■ c. In paragraph (b)(2)(ii)(B) introductory text by removing ‘‘Commercial items’’ and adding ‘‘Commercial products’’ in its place; ■ d. In paragraph (i) introductory text by— ■ i. Adding a heading; and ■ ii. Removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place; ■ e. In the Alternate I clause— ■ i. By revising the clause date; ■ ii. In paragraph (b)(2)(i) by removing ‘‘Noncommercial items’’ and adding ‘‘Other than commercial products’’ in its place; ■ iii. In paragraph (b)(2)(ii) introductory text by removing ‘‘Commercial items’’ and adding ‘‘Commercial products’’ in its place; ■ iv. In paragraph (b)(2)(ii)(B) by removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place; and ■ v. In paragraph (i) introductory text by— E:\FR\FM\31JAR4.SGM 31JAR4 Federal Register / Vol. 88, No. 20 / Tuesday, January 31, 2023 / Rules and Regulations A. Adding a heading; and B. Removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place; and ■ f. In the Alternate II clause— ■ i. By revising the clause date; ■ ii. In paragraph (b)(2)(i) by removing ‘‘Noncommercial items’’ and adding ‘‘Other than commercial products’’ in its place; ■ iii. In paragraph (b)(2)(ii) introductory text by removing ‘‘Commercial items’’ and adding ‘‘Commercial products’’ in its place; and ■ iv. In paragraph (i) introductory text by— ■ A. Adding a heading; and ■ B. Removing ‘‘commercial items’’ and adding ‘‘commercial products’’ in its place. The revisions and additions read as follows: ■ ■ 252.247–7023 by Sea. * * Transportation of Supplies * * * Transportation of Supplies by Sea— Basic (Jan 2023) * * * * * (i) Subcontracts. * * * * * * * * Transportation of Supplies by Sea— Alternate I (Jan 2023) * * * * * (i) Subcontracts. * * * * * * * * Transportation of Supplies By Sea— Alternate II (Jan 2023) * * * * * (i) Subcontracts. * * * * * * * * [FR Doc. 2023–01294 Filed 1–30–23; 8:45 am] BILLING CODE 5001–06–P DEPARTMENT OF DEFENSE Defense Acquisition Regulations System DATES: Effective January 31, 2023. Mr. David E. Johnson, telephone 202–913– 5764. FOR FURTHER INFORMATION CONTACT: SUPPLEMENTARY INFORMATION: I. Background DoD published a proposed rule in the Federal Register at 86 FR 53927 on September 29, 2021, to implement section 824 of the National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2017 (Pub. L. 114–328). Section 824 amends 10 U.S.C. 2372 (redesignated as 10 U.S.C. 3762) to require that regulations may not infringe on the independence of a contractor to choose which technologies to pursue in its independent research and development (IR&D) program if the chief executive officer (CEO) of the contractor determines that IR&D expenditures will advance the needs of the Department of Defense for future technology and advanced capability. Section 824 also decouples IR&D and bid and proposal (B&P) costs by moving the language pertaining to B&P costs out of 10 U.S.C. 2372 and placing it in the new 10 U.S.C. 2372a (redesignated as 10 U.S.C. 3763). This change ensures that regulations pertaining to B&P costs are separated from regulations pertaining to IR&D costs. Five respondents submitted public comments in response to the proposed rule. 48 CFR Parts 225, 231, and 242 II. Discussion and Analysis [Docket DARS–2019–0039] DoD reviewed the public comments in the development of the final rule. A discussion of the comments and the changes made to the rule as a result of those comments is provided, as follows: RIN 0750–AJ27 khammond on DSKJM1Z7X2PROD with RULES4 Acquisition Regulation Supplement (DFARS) to implement a section of the National Defense Authorization Act for Fiscal Year 2017 that makes amendments regarding the treatment of independent research and development expenditures and requires the Defense Contract Audit Agency to provide an annual report to Congress on independent research and development and bid and proposal expenditures associated with awarded DoD contracts for the prior Government fiscal year. Defense Federal Acquisition Regulation Supplement: Treatment of Incurred Independent Research and Development Costs (DFARS Case 2017–D018) Defense Acquisition Regulations System, Department of Defense (DoD). ACTION: Final rule. AGENCY: DoD is issuing a final rule amending the Defense Federal SUMMARY: VerDate Sep<11>2014 19:08 Jan 30, 2023 Jkt 259001 A. Summary of Significant Changes From the Proposed Rule DoD removed the requirement to submit CEO determinations from the final rule, because the statute does not require this submission. DoD removed the proposed clause 252.242–70XX and its prescription from the final rule because they are unnecessary. PO 00000 Frm 00021 Fmt 4701 Sfmt 4700 6597 B. Analysis of Public Comments 1. Support for the rule. Comment: One respondent expressed support for the rule. Response: DoD acknowledges the respondent’s support for the rule. 2. Requirement to make and submit CEO determinations. Comment: Several respondents commented on the requirement in the proposed rule for certain contractors to submit a statement that the contractor’s CEO determined that the company’s IR&D expenditures will advance the needs of DoD for future technology and advanced capability. In particular, one respondent commented that the statute does not actually require CEOs to make IR&D determinations as stated in the proposed rule. Two respondents commented that the submission requirement would likely overburden small businesses or nontraditional defense contractors. One respondent commented that the proposed rule lacks submission guidance for contractors that are not major contractors. One respondent expressed concern that IR&D cost allowability under the proposed rule might arbitrarily hinge on the form and manner of submission of the CEO determination rather than its substance. Response: DoD removed the requirement to submit a statement regarding CEO determinations from the final rule. DoD reviewed the statute and agreed that this requirement should be removed. Further, by removing the requirement to submit a statement regarding CEO determinations, the final rule does not tie cost allowability to submission of an affirmative statement regarding the CEO determination. 3. Criterion for IR&D cost allowability. Comment: One respondent commented that the phrase ‘‘advance the needs of DoD for future technology and advanced capability’’ is undefined in the proposed rule despite being the criterion for IR&D cost allowability when reflected in a CEO determination. Several respondents commented variously that this criterion for cost allowability is impractical, ambiguous, subjective, or potentially restrictive. Response: The statute explicitly relates the CEO determination to DoD’s communication of areas of need. Therefore, the language is retained in the final rule. 4. Limiting applicability of the CEO determination within the rule to major contractors. Comment: A few respondents commented that any requirement under the rule for a CEO determination should be limited to major contractors as defined at DFARS 231.205–18(a). E:\FR\FM\31JAR4.SGM 31JAR4

Agencies

[Federal Register Volume 88, Number 20 (Tuesday, January 31, 2023)]
[Rules and Regulations]
[Pages 6578-6597]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-01294]



[[Page 6577]]

Vol. 88

Tuesday,

No. 20

January 31, 2023

Part IV





Department of Defense





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Defense Acquisition Regulations System





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48 CFR Parts 203, 204, 205, et al.





Defense Federal Acquisition Regulation Supplement; Final Rules, Interim 
Rule, and Proposed Rule

Federal Register / Vol. 88 , No. 20 / Tuesday, January 31, 2023 / 
Rules and Regulations

[[Page 6578]]


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DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

48 CFR Parts 203, 204, 205, 207, 208, 211, 212, 213, 215, 216, 217, 
219, 222, 223, 225, 226, 227, 232, 234, 237, 239, 242, 243, 244, 
245, 246, 247, and 252

[Docket DARS-2022-0004]
RIN 0750-AK31


Defense Federal Acquisition Regulation Supplement: Definition of 
``Commercial Item'' (DFARS Case 2018-D066)

AGENCY: Defense Acquisition Regulations System, Department of Defense 
(DoD).

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: DoD is issuing a final rule to amend the Defense Federal 
Acquisition Regulation Supplement (DFARS) to implement the revised 
definition of ``commercial item'' in accordance with two sections of 
the John S. McCain National Defense Authorization Act for Fiscal Year 
2019.

DATES: Effective January 31, 2023.

FOR FURTHER INFORMATION CONTACT: Ms. Jeanette Snyder, telephone 703-
508-7524.

SUPPLEMENTARY INFORMATION: 

I. Background

    DoD published a proposed rule in the Federal Register at 87 FR 
15820 on March 18, 2022, to implement sections 836, 837(b), and 837(c) 
of the John S. McCain National Defense Authorization Act (NDAA) for 
Fiscal Year (FY) 2019 (Pub. L. 115-232). Section 836 modified 41 U.S.C. 
103 by bifurcating the definition of ``commercial item'' into 
``commercial product'' and ``commercial service'' at 41 U.S.C. 103 and 
41 U.S.C. 103a, respectively, and made conforming changes to other 
sections in Title 41. In addition, section 836 made conforming changes 
to several sections in Title 10. Section 837(b) and (c) implement this 
revision at 10 U.S.C. 2533a and 2533b (redesignated as 10 U.S.C. 4862 
and 4863, respectively). DoD published a correction to the proposed 
rule at 87 FR 19063 on April 1, 2022, to correct a hyperlink. One 
respondent submitted public comments in response to the proposed rule.

II. Discussion and Analysis

    DoD reviewed the public comments in the development of the final 
rule; however, no changes were made to the rule as a result of the 
comments received. A discussion of the comments is provided, as 
follows:

A. Summary of Significant Changes From the Proposed Rule

    No significant changes are made from the proposed rule.

B. Analysis of Public Comments

1. Exceptions to Implementation
    Comment: The respondent took exception to changing the title of 
DFARS clause 252.227-7015 from ``Technical Data-Commercial Items'' to 
``Technical Data-Commercial Products and Commercial Services''. The 
respondent also took exception to changing ``commercial items'' to 
``commercial products or commercial services'' within the text of the 
clause. While the respondent acknowledged that the existing DFARS 
clause 252.227-7015 applies to ``commercial items'', the respondent 
stated that the current clause does not specifically define 
``commercial item'', nor does it reference the commercial item 
definition at Federal Acquisition Regulation (FAR) 2.101. The 
respondent also acknowledged that the prior FAR commercial item 
definition included services, but indicated that DFARS clause 252.227-
7015 has not historically been applied to commercial services. The 
respondent also asserted that the clause has been applied consistent 
with DFARS 252.227-7013, Rights in Technical Data--Noncommercial Items, 
(i.e., to technical data pertaining to items, components, or 
processes). The respondent asserted that this is an expansion of the 
coverage of DFARS 252.227-7015 to commercial services and is outside 
the scope of this rule. The respondent recommended that all references 
to commercial services in the title and text of the clause be removed.
    Response: This rule implements sections 836 and 837(b) of the NDAA 
for FY 2019, which bifurcated the definition of ``commercial item'' 
into ``commercial product'' and ``commercial service'' at 41 U.S.C. 103 
and 103a and at 10 U.S.C. 2533a and 2533b, respectively. The NDAA for 
FY 2019 does not change the meaning of the terms ``items'' or 
``services''. The title and text of DFARS clause 252.227-7015, 
Technical Data-Commercial Items, included the term ``commercial 
items'', which means it included commercial products and commercial 
services in accordance with the prior definition of ``commercial item'' 
at FAR 2.101. In addition, paragraph (a)(1) of the clause clarified 
that the term ``commercial item'' as used in the clause, excluded 
commercial computer software; however, it did not exclude commercial 
services. Furthermore, DFARS part 227 does not include a definition of 
``commercial item'' because the definition at FAR 2.101 is utilized for 
this part in accordance with FAR part 2. Therefore, changing the term 
``commercial items'' to ``commercial products and commercial services'' 
within the clause and title of DFARS clause 252.227-7015 does not 
change the application or coverage of the clause.
    Comment: The respondent took exception to the replacement of the 
term ``noncommercial items'' with ``other than commercial products or 
commercial services'' in the DFARS sections pertaining to data rights 
because the new verbiage is awkward and wordy.
    Response: DoD acknowledges the respondent's concern that the new 
verbiage is awkward and wordy. This rule amends the DFARS to conform 
with the FAR final rule for FAR case 2018-018, published on November 4, 
2021, at 86 FR 61017, which changed all instances of ``noncommercial 
items'' and ``non-commercial items'' to ``other than commercial 
products and commercial services'' or ``other than commercial products 
or commercial services'' as appropriate within the context of the FAR. 
This was an editorial change to utilize a single term consistently 
throughout the FAR to help the Government, contractors, and offerors 
understand the regulations. For the same reason, the terms used in the 
FAR are also used in agency supplements to the FAR, including the 
DFARS. Therefore, this rule makes the same conforming changes to the 
DFARS.
    Comment: The respondent took exception to the replacement of the 
term ``noncommercial items'' with ``other than commercial'' in the 
DFARS sections pertaining to data rights indicating that this change 
will drive significant costs into DoD contracts, due to the required 
data rights markings and legends that will require deliverable 
technical data to be re-marked. The respondent also indicated that this 
rule may impact pre-existing technical data marked with prior legends 
that the contractor may deliver in the future. The respondent indicated 
that the change in terminology may require contractors to modify 
internal procedures and guidance for the marking of deliverable data, 
and that some contractors have invested private funds to automate the 
application of existing DFARS prescribed legends. In addition, the 
respondent indicated that DoD customers will reject Contract Data 
Requirements Lists that include the

[[Page 6579]]

language ``noncommercial items'' in document markings.
    Response: In accordance with FAR 1.108(d), this rule will be 
applied prospectively; therefore, data markings and legends on data to 
be delivered under an existing contract will not require re-marking, 
and the data would not be rejected for this reason. Moreover, the DFARS 
allows contractors to mark data with the appropriate restrictive legend 
for which the data qualified under a previous contract (e.g., DFARS 
clause 252.227-7013, Rights in Technical Data--Noncommercial Items); 
therefore, this rule will not increase costs because it does not 
require re-marking of pre-existing data that includes authorized pre-
existing markings. Lastly, these changes do not impose additional 
information collection requirements to the paperwork burden previously 
approved under OMB Control Number 0704-0369, titled: DFARS Subpart 
227.71, Rights in Technical Data, and Subpart 227.72, Rights in 
Computer Software and Computer Software Documentation, and related 
provisions and clauses.
2. Outside the Scope of the Rule
    Comment: The respondent recommended removing the coverage for 
``services'' at DFARS part 227 due to the inapplicability of the 
``follow the funds'' test to services. The respondent also indicated 
that the funding test in DFARS 252.227-7013, Rights in Technical Data-
Noncommercial Items, applies to items, components, or processes to 
which the technical data pertains, not to services.
    Response: This rule implements sections 836 and 837(b) of the NDAA 
for FY 2019, which bifurcated the definition of ``commercial item'' 
into ``commercial product'' and ``commercial service'' at 41 U.S.C. 103 
and 103a and at 10 U.S.C. 2533a and 2533b, respectively. This rule does 
not change the meaning of the terms ``items'' or ``services'', nor does 
it change the application of the funding test; therefore, this is 
outside the scope of this rule.

C. Other Changes

    The definition of ``Technical information'' at DFARS 204.7301, 
252.204-7009, and 252.204-7012 is amended to remove the phrase 
``regardless of whether or not the clause is incorporated in this 
solicitation or contract''. DFARS 211.274-2(b)(2) is amended to delete 
``or commercial service'' that was erroneously included in the proposed 
rule as services cannot be marked with an item unique identifier. DFARS 
212.102(a)(i)(B) and (iii) are amended to replace ``commercial item'' 
with ``commercial product or commercial service''. The word ``or'' is 
changed to ``and'' at DFARS 212.202 for consistency throughout the 
DFARS. DFARS 212.504(a) and (b) are amended to add ``or commercial 
components'' which was erroneously deleted in the proposed rule. DFARS 
215.404-71-5(b)(7) is amended to add ``commercial'' prior to 
``processes'' for consistency throughout the DFARS. DFARS 225.7503(a) 
and (b), 227.7102, 252.203-7001(g), and 252.227-7018(k) are amended to 
replace ``including commercial components'' with ``commercial 
components'' or with ``or commercial components'' for accuracy and 
consistency throughout the DFARS. DFARS 234.7002 is amended to remove 
``and commercial services'' as a major weapon system in part 234 is a 
product. DFARS 234.7002(d)(5) is amended to change ``item'' to 
``commercial product'' to align with the text of the paragraph. The 
title of DFARS subpart 244.4 is amended to restore ``and commercial 
components'' for accuracy and consistency throughout the DFARS. DFARS 
225.215-7010(b)(ii) and (b)(ii)(A) are amended to add ``or commercial 
service'' throughout to align with the title of paragraph 225.215-
7010(b)(ii). DFARS 252.215-7013 is amended to correct the reference for 
the definition of nontraditional defense contractor. DFARS 252.227-7015 
is amended by modifying the definition at (a)(1), deleting (a)(4), and 
renumbering (a)(5) to (a)(4) to align with the revised clause title.

III. Applicability To Contract at or Below the Simplified Acquisition 
Threshold (SAT), for Commercial Products, Including Commercially 
Available Off-the-Shelf (COTS) Items, and for Commercial Services

    This rule does not create any new solicitation provisions or 
contract clauses. It does not impact any existing solicitation 
provisions, contract clauses, or prescriptions for provisions or 
clauses or their applicability to contracts valued at or below the 
simplified acquisition threshold, for commercial products including 
COTS items, or for commercial services.

IV. Expected Impact of the Rule

    This final rule does not create new requirements or modify any 
existing requirements. This final rule merely replaces the term 
``commercial item'' with ``commercial product,'' ``commercial 
service,'' ``commercial product or commercial service,'' or 
``commercial product and commercial service''. In addition, this final 
rule replaces all instances of ``noncommercial item'' and ``non-
commercial item'' with ``other than commercial product and commercial 
service'' or ``other than commercial product or commercial service'' as 
appropriate within the context of DFARS text, including existing 
solicitation provisions and contract clauses. These revisions do not 
modify commercial acquisition procedures, nor do they modify Government 
or industry operations. This final rule is expected to be beneficial to 
Government and industry, as it resolves an issue the Section 809 Panel 
cited, which is the inconsistent interpretation of policy and confusion 
over how to identify eligible commercial products and commercial 
services. Bifurcating the definition of ``commercial item'' into 
``commercial product'' and ``commercial service'' is a way to provide 
clarity for the acquisition workforce, which may result in greater 
engagement with the commercial marketplace. Therefore, this final rule 
is expected to be beneficial to Government and industry.

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.

VI. Congressional Review Act

    As required by the Congressional Review Act (5 U.S.C. 801-808) 
before an interim or final rule takes effect, DoD will submit a copy of 
the interim or final rule with the form, Submission of Federal Rules 
under the Congressional Review Act, to the U.S. Senate, the U.S. House 
of Representatives, and the Comptroller General of the United States. A 
major rule under the Congressional Review Act cannot take effect until 
60 days after it is published in the Federal Register. The Office of 
Information and Regulatory Affairs has determined that this rule is not 
a major rule as defined by 5 U.S.C. 804.

[[Page 6580]]

VII. Regulatory Flexibility Act

    A final regulatory flexibility (FRFA) analysis has been prepared 
consistent with the Regulatory Flexibility Act, 5 U.S.C. 601, et seq. 
The FRFA is summarized as follows:
    This final rule is necessary to implement sections 836, 837(b), and 
837(c) of the John S. McCain National Defense Authorization Act (NDAA) 
for Fiscal Year (FY) 2019 (Pub. L. 115-232). Section 836 replaces the 
definition of ``commercial item'' at 41 U.S.C. 103 with ``commercial 
product'' at 41 U.S.C. 103 and a definition of ``commercial service'' 
at 41 U.S.C. 103a. Section 837(b) and (c) implement this revision at 10 
U.S.C. 2533a and 2533b. In addition, this rule replaces all instances 
of ``noncommercial item'' and ``non-commercial item'' with ``other than 
commercial product and commercial service'' or ``other than commercial 
product or commercial service'', as appropriate within the context of 
the DFARS text. The objective of this proposed rule is to implement 
sections 836, 837(b), and 837(c) of the John S. McCain NDAA for FY 2019 
to align the text of the DFARS with the new statutory definitions of 
commercial product and commercial service.
    No significant issues were raised by the public comments received 
in response to the initial regulatory flexibility analysis; therefore, 
no changes were made to the proposed rule as a result of public 
comments.
    This final rule will apply to all entities that do business with 
DoD, including the 355,208 small business entities in the System for 
Award Management. However, DoD does not expect this rule to have a 
significant economic impact because the rule does not contain any 
requirements with which small entities must comply. This rule provides 
clarity for the acquisition workforce by replacing all instances of 
``commercial item'' with ``commercial product'' and/or ``commercial 
service'', as appropriate within the context of the DFARS text.
    This final 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 on small entities, 
because there is no significant impact on small entities.

VIII. Paperwork Reduction Act

    The Paperwork Reduction Act (44 U.S.C. chapter 35) applies to this 
rule. However, these changes to the DFARS do not impose additional 
information collection requirements to the paperwork burden previously 
approved under OMB Control Number 0704-0369, entitled: DFARS Subpart 
227.71, Rights in Technical Data, and Subpart 227.72, Rights in 
Computer Software and Computer Software Documentation, and related 
provisions and clauses.

List of Subjects in 48 CFR Parts 203, 204, 205, 207, 208, 211, 212, 
213, 215, 216, 217, 219, 222, 223, 225, 226, 227, 232, 234,237, 
239, 242, 243, 244, 245, 246, 247, and 252

    Government procurement.

Jennifer D. Johnson,
Editor/Publisher, Defense Acquisition Regulations System.

    Therefore, 48 CFR parts 203, 204, 205, 207, 208, 211, 212, 213, 
215, 216, 217, 219, 222, 223, 225, 226, 227, 232, 234, 237, 239, 242, 
243, 244, 245, 246, 247, and 252 are amended as follows:

0
1. The authority citation for 48 CFR parts 203, 204, 205, 207, 208, 
211, 212, 213, 215, 216, 217, 219, 222, 223, 225, 226, 227, 232, 234, 
237, 239, 242, 243, 244, 245, 246, 247, and 252 continues to read as 
follows:

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

PART 203--IMPROPER BUSINESS PRACTICES AND PERSONAL CONFLICTS OF 
INTEREST


203.171-4  [Amended]

0
2. Amend section 203.171-4--
0
a. In paragraph (a) by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place; and
0
b. In paragraph (b) by removing ``commercial items'' and ``task and 
delivery orders'' and adding ``commercial products and commercial 
services'' and ``task orders and delivery orders.'' in their places, 
respectively.

0
3. Revise section 203.570 to read as follows:


203.570  Prohibition on persons convicted of fraud or other defense-
contract-related felonies.


203.570-3  [Amended]

0
4. Amend section 203.570-3 by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place.


203.970  [Amended]

0
5. Amend section 203.970 by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place.


203.1004  [Amended]

0
6. Amend section 203.1004--
0
a. In paragraph (a) by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place; and
0
b. In paragraph (b)(2)(ii) by removing ``commercial item'' and adding 
``commercial product or commercial service'' in its place.

PART 204--ADMINISTRATIVE AND INFORMATION MATTERS


204.804-70  [Amended]

0
7. Amend section 204.804-70 by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.


204.1705   [Amended]

0
8. Amend section 204.1705 in paragraph (a)(i) introductory text by 
removing ``252.204-7023'' and ``commercial items'' and adding ``at 
252.204-7023'' and ``commercial products and commercial services'' in 
their places, respectively.

0
9. Revise the heading for subpart 204.21 to read as follows:

Subpart 204.21--Prohibition on Contracting for Certain 
Telecommunications and Video Surveillance Services or Equipment


204.2105   [Amended]

0
10. Amend section 204.2105--
0
a. In paragraph (a) by removing ``commercial items and,'' and ``task 
and delivery orders'' and adding ``commercial products and commercial 
services, and'' and ``task orders and delivery orders'' in their 
places, respectively; and
0
b. In paragraphs (b) and (c), by removing ``commercial items'' and 
``task and delivery orders'' and adding ``commercial products and 
commercial services'' and ``task orders and delivery orders'' in their 
places, respectively.


204.7103-1   [Amended]

0
11. Amend section 204.7103-1 in paragraph (g) by removing ``commercial 
items'' and adding ``commercial products'' in its place.


204.7203  [Amended]

0
12. Amend section 204.7203 by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.


204.7301  [Amended]

0
13. Amend section 204.7301 in the definition of ``Technical 
information'' by removing ``Non Commercial Items, regardless of whether 
or not the clause is incorporated in this solicitation'' and adding 
``Other Than Commercial

[[Page 6581]]

Products and Commercial Services, regardless of whether or not the 
clause is incorporated in the solicitation'' in its place.


204.7304   [Amended]

0
14. Amend section 204.7304 in paragraphs (a), (b), (c), (d), and (e) by 
removing ``commercial items'' and adding ``commercial products and 
commercial services'' in its place.


204.7403   [Amended]

0
15. Amend section 204.7403 in paragraphs (a) and (b) by removing 
``commercial items'' and adding ``commercial products and commercial 
services'' in its place.

0
16. Amend section 204.7503--
0
a. By revising the introductory text; and
0
b. In paragraphs (a) and (b), by removing ``commercial items'' and 
adding ``commercial products and commercial services'' in its place.
    The revision reads as follows:


204.7503   Contract clause.

    Use the clause at 252.204-7021, Contractor Compliance with the 
Cybersecurity Maturity Model Certification Level Requirement, as 
follows:
* * * * *

PART 205--PUBLICIZING CONTRACT ACTIONS


205.470   [Amended]

0
17. Amend section 205.470 by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.

PART 207--ACQUISITION PLANNING


207.102   [Amended]

0
18. Amend section 207.102 in paragraph (a)(1) by removing ``commercial 
item'' and ``Part 12'' and adding ``commercial product or commercial 
service'' and ``part 12'' in their places, respectively.

PART 208--REQUIRED SOURCES OF SUPPLIES AND SERVICES


208.7401  [Amended]

0
19. Amend section 208.7401 in the definition of ``Enterprise software 
agreement'' by removing ``related services'' and adding ``related 
commercial software services'' in its place.


208.7402   [Amended]

0
20. Amend section 208.7402--
0
a. By redesignating paragraphs (1) and (2) as paragraphs (a) and (b); 
and
0
b. In newly redesignated paragraph (a) by removing ``related services'' 
and ``website at https://www.don-imit.navy.mil/esi'' and adding 
``commercial software services'' and ``https://www.esi.mil/'' in their 
places, respectively.


208.7403  [Amended]

0
21. Amend section 208.7403 by removing ``related services'' and adding 
``commercial software services'' in its place.

PART 211--DESCRIBING AGENCY NEEDS


211.104  [Amended]

0
22. Amend section 211.104 in paragraph (2) by removing ``commercial 
items'' and adding ``commercial products and commercial services'' in 
its place.


211.170  [Amended]

0
23. Amend section 211.170--
0
a. In paragraph (1) by removing ``or,'' and adding ``or'' in its place; 
and
0
b. In paragraph (2) by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place.


211.274-2   [Amended]

0
24. Amend section 211.274-2 in paragraph (b)(2) introductory text by 
removing ``commercial item'' and ``part 12 or part 8'' and adding 
``commercial product'' and ``part 12 or 8'' in their places, 
respectively.


211.274-6  [Amended]

0
25. Amend section 211.274-6 in paragraphs (a)(1) and (c) introductory 
text by removing ``commercial items'' and adding ``commercial products 
and commercial services'' in its place.

PART 212--ACQUISITION OF COMMERCIAL PRODUCTS AND COMMERCIAL 
SERVICES

0
26. Revise the heading for part 212 to read as set forth above.

0
27. Revise the heading for subpart 212.1 to read as follows:

Subpart 212.1--Acquisition of Commercial Products and Commercial 
Services

0
28. Amend section 212.102--
0
a. In paragraph (a)(i)(A), by removing ``commercial item'' and adding 
``commercial product or commercial service'' in its place;
0
b. In paragraph (a)(i)(B) introductory text, by removing ``commercial 
item'' and adding ``commercial product or commercial service'' in its 
place;
0
c. In paragraph (a)(ii)(A), by removing ``PGI 212.102(a)(iii)(B)(4)'', 
``using commercial item'', and ``a commercial item'' and adding ``PGI 
212.102(a)(iii)(A)(1)'', ``using commercial product and commercial 
service'', and ``a commercial product or commercial service'' in their 
places, respectively;
0
d. In paragraph (a)(ii)(B)(2) introductory text, by removing 
``commercial item'' and adding ``commercial product or commercial 
service'' in its place;
0
e. In the heading for paragraph (a)(iii) by removing ``Commercial 
item'' and adding ``Commercial product or commercial service'' in its 
place;
0
f. In paragraph (a)(iii) introductory text, by removing ``commercial 
items'' and adding ``commercial products and commercial services'' in 
its place;
0
g. By revising paragraph (a)(iii)(A);
0
h. In paragraphs (a)(iii)(C) and (D) by removing ``commercial item'' 
and adding ``commercial product or commercial service'' in its place;
0
i. By revising paragraph (a)(iv)(A);
0
j. In paragraph (a)(iv)(B) by removing ``commercial items'' and adding 
``commercial services'' in its place; and
0
k. In paragraph (a)(iv)(C), by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place.
    The revisions read as follows:


212.102  Applicability.

    (a) * * *
    (iii) * * *
    (A) Determine in writing that the acquisition meets the 
``commercial product'' or ``commercial service'' definition in FAR 
2.101;
* * * * *
    (iv) * * *
    (A) Except as provided in paragraph (a)(iv)(B) of this section, may 
treat supplies and services provided by nontraditional defense 
contractors as commercial products or commercial services. This 
permissive authority is intended to enhance defense innovation and 
investment, enable DoD to acquire items that otherwise might not have 
been available, and create incentives for nontraditional defense 
contractors to do business with DoD. It is not intended to recategorize 
current other than commercial products or commercial services; however, 
when appropriate, contracting officers may consider applying commercial 
product or commercial service procedures to the procurement of supplies 
and services from business segments that meet the definition of 
``nontraditional defense contractor'' even though they have been 
established under traditional defense

[[Page 6582]]

contractors. The decision to apply commercial product and commercial 
service procedures to the procurement of supplies and services from 
nontraditional defense contractors does not require a commercial 
product or commercial service determination and does not mean the item 
is commercial;
* * * * *

0
29. Revise the heading for subpart 212.2 to read as follows:

Subpart 212.2--Special Requirements for the Acquisition of 
Commercial Products and Commercial Services


212.203  [Amended]

0
30. Amend section 212.203--
0
a. In the heading by adding a period at the end of the heading; and
0
b. In paragraph (1) by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.


212.207  [Amended]

0
31. Amend section 212.207--
0
a. In paragraph (b) introductory text by removing ``commercial items'' 
and adding ``commercial products and commercial services'' in its 
place;
0
b. In paragraph (b)(i) by removing ``commercial item'', ``paragraph 
(5)'', ``commercial item'', and ``(41 U.S.C. 103)'' and adding 
``commercial product'', ``paragraph (1)'', ``commercial service'', and 
``(41 U.S.C. 103a)'' in their places, respectively; and
0
c. In paragraph (b)(iii)(A) by removing ``paragraph (6)'', ``commercial 
item'', and ``(41 U.S.C. 103)'' and adding ``paragraph (1)'', 
``commercial service'', and ``(41 U.S.C. 103a)'' in their places, 
respectively.


212.209   [Amended]

0
32. Amend section 212.209--
0
a. In paragraph (a) introductory text by removing ``commercial items'' 
and adding ``commercial products and commercial services'' in its 
place;
0
b. In paragraph (a)(1) by removing ``systems items'' and ``commercial 
items'' and adding ``systems products'' and ``commercial products'' in 
their places, respectively; and
0
c. In paragraph (b) by removing ``section,'' and ``commercial items'' 
and adding ``section'' and ``commercial products or commercial 
services'' in their places, respectively.


212.211   [Amended]

0
33. Amend 212.211 by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place.

0
34. Revise section 212.270 to read as follows:


212.270  Major weapon systems as commercial products.

    The DoD policy for acquiring major weapon systems as commercial 
products is in subpart 234.70.

0
35. Revise the heading for section 212.272 to read as follows:


212.272  Preference for certain commercial products and commercial 
services.

* * * * *

0
36. Revise the heading for subpart 212.3 to read as follows:

Subpart 212.3--Solicitation Provisions and Contract Clauses for the 
Acquisition of Commercial Products and Commercial Services


212.301  [Amended]

0
37. Amend section 212.301--
0
a. In the section heading and paragraph (f) introductory text by 
removing ``commercial items'' and adding ``commercial products and 
commercial services'' in its place;
0
b. In paragraph (f)(xii)(A) by removing ``Noncommercial Items'' and 
adding ``Other Than Commercial Products and Commercial Services'' in 
its place;
0
c. In paragraph (f)(xii)(B) by removing ``Commercial Items'' and adding 
``Commercial Products and Commercial Services'' in its place; and
0
d. In paragraph (f)(xviii) by removing ``Commercial Items'' and adding 
``Commercial Products and Commercial Services'' in its place.


212.302   [Amended]

0
38. Amend section 212.302 in the section heading by removing 
``commercial items'' and adding ``commercial products and commercial 
services'' in its place.

0
39. Revise the heading for subpart 212.5 to read as follows:

Subpart 212.5--Applicability of Certain Laws to the Acquisition of 
Commercial Products, Commercial Services, and Commercially 
Available Off-the-Shelf Items


212.503   [Amended]

0
40. Amend section 212.503--
0
a. In the section heading by removing ``executive'' and ``commercial 
items'' and adding ``Executive'' and ``commercial products and 
commercial services'' in their places, respectively;
0
b. In paragraphs (a) introductory text and (a)(vii) by removing 
``commercial items'' and adding ``commercial products or commercial 
services'' in its place; and
0
c. In paragraph (c) introductory text, by removing ``commercial items'' 
and adding ``commercial products and commercial services'' in its 
place.


212.504   [Amended]

0
41. Amend section 212.504--
0
a. In the section heading by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place;
0
b. In paragraph (a) introductory text by removing ``commercial items or 
commercial components'' and adding ``commercial products, commercial 
services, or commercial components'' in its place;
0
c. In paragraph (a)(xiv), by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place; and
0
d. In paragraph (b) introductory text, by removing ``commercial items 
or commercial components'' and adding ``commercial products, commercial 
services, or commercial components'' in its place.

0
42. Revise the heading for subpart 212.6 to read as follows:

Subpart 212.6--Streamlined Procedures for Evaluation and 
Solicitation for Commercial Products and Commercial Services

PART 213--SIMPLIFIED ACQUISITION PROCEDURES


213.106-2-70   [Amended]

0
43. Amend section 213.106-2-70 by removing ``commercial items'' and 
adding ``commercial products and commercial services'' in its place.


213.301  [Amended]

0
44. Amend section 213.301 in paragraph (2)(i)(B) by removing 
``commercial item'' and adding ``commercial product or commercial 
service'' in its place.


213.402   [Amended]

0
45. Amend section 213.402 in paragraph (a)(i) by removing ``Brand-
name'' and adding ``Brand-name commercial product'' in its place.

0
46. Revise the heading for subpart 213.5 to read as follows:

Subpart 213.5--Simplified Procedures for Certain Commercial 
Products and Commercial Services

PART 215--CONTRACTING BY NEGOTIATION


215.371-6   [Amended]

0
47. Amend section 215.371-6 by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.

[[Page 6583]]

215.402  [Amended]

0
48. Amend section 215.402 in paragraph (a)(ii) by removing ``commercial 
items'' and adding ``commercial products or commercial services'' in 
its place.


215.403-1  [Amended]

0
49. Amend section 215.403-1--
0
a. In the heading for paragraph (c)(3), by removing ``items'' and 
adding ``products or commercial services'' in its place;
0
b. In paragraph (c)(3)(A), by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place; and
0
c. In paragraph (c)(3)(B), by removing ``commercial item'' and adding 
``commercial product or commercial service'' in its place.


215.403-3  [Amended]

0
50. Amend section 215.403-3 in paragraph (c)--
0
a. In the heading, by removing ``items'' and adding ``products or 
commercial services'' in its place; and
0
b. By removing ``as commercial items'' and adding ``as commercial 
products'' in its place.


215.404-1  [Amended]

0
51. Amend section 215.404-1--
0
a. In the heading for paragraph (b), by removing ``for commercial and 
noncommercial items'';
0
b. In paragraph (b)(ii), by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place; and
0
c. In paragraph (b)(vii), by removing ``commercial item'' and adding 
``commercial product or commercial service determinations'' in its 
place.


215.404-71-4   [Amended]

0
52. Amend section 215.404-71-4 in paragraph (g)(3)(i)(A) by removing 
``commercial item lines'' and adding ``commercial product lines'' in 
its place.


215.404-71-5   [Amended]

0
53. Amend section 215.404-71-5 in paragraph (b)(7) by removing 
``commercial items and processes'' and adding ``commercial products or 
commercial services and commercial processes'' in its place.


215.408   [Amended]

0
54. Amend section 215.408--
0
a. In paragraphs (2)(i)(A)(1) introductory text and (2)(i)(A)(2), by 
removing ``DFARS 252.215-7010'' and ``commercial items'' and adding 
``252.215-7010'' and ``commercial products and commercial services'' in 
their places, respectively;
0
b. In paragraph (2)(i)(B), by removing ``DFARS''; and
0
c. In paragraphs (2)(ii)(A)(1) introductory text, (2)(ii)(A)(2), 
(2)(ii)(A)(3)(i), (3), and (5)(i) introductory text, by removing 
``commercial items'' and adding ``commercial products and commercial 
services'' in its place.


215.570  [Amended]

0
55. Amend section 215.570 by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.

PART 216--TYPES OF CONTRACTS


216.506-70  [Amended]

0
56. Amend section 216.506-70 in paragraph (b) by removing ``commercial 
items'' and adding ``commercial products and commercial services'' in 
its place.


216.601   [Amended]

0
57. Amend section 216.601--
0
a. In paragraph (d)(i)(B)(3) by removing ``noncommercial items'' and 
adding ``other than commercial products or commercial services'' in its 
place; and
0
b. In paragraph (e) by removing ``Non-Commercial Item'' and ``non-
commercial items'' and adding ``Other Than Commercial'' and ``other 
than commercial products or commercial services'' in their places, 
respectively.

PART 217--SPECIAL CONTRACTING METHODS


217.7302   [Amended]

0
58. Amend section 217.7302 in paragraph (b)(1) by removing ``commercial 
items'' and adding ``commercial products'' in its place.

PART 219--SMALL BUSINESS PROGRAMS


219.270-3   [Amended]

0
59. Amend section 219.270-3 by removing ``commercial items'' and adding 
``commercial services'' in its place.


219.309   [Amended]

0
60. Amend section 219.309 in paragraph (1) introductory text by 
removing ``commercial items'' and adding ``commercial products and 
commercial services'' in its place.


219.708  [Amended]

0
61. Amend section 219.708 in paragraphs (b)(1)(A) introductory text and 
(b)(1)(B) by removing ``commercial items'' and adding ``commercial 
products and commercial services'' in its place.

PART 222--APPLICATION OF LABOR LAWS TO GOVERNMENT ACQUISITIONS


222.7403   [Amended]

0
62. Amend section 222.7403 by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place.


222.7405  [Amended]

0
63. Amend section 222.7405 by removing ``task or delivery orders'' and 
``commercial items, including commercially available off-the-shelf 
items'' and adding ``task orders or delivery orders'' and ``commercial 
products, including commercially available off-the-shelf items, or 
commercial services'' in their places, respectively.

PART 223--ENVIRONMENT, ENERGY AND WATER EFFICIENCY, RENEWABLE 
ENERGY TECHNOLOGIES, OCCUPATIONAL SAFETY, AND DRUG-FREE WORKPLACE


223.570-2   [Amended]

0
64. Amend section 223.570-2 in paragraph (b)(1) by removing 
``commercial items'' and adding ``commercial products and commercial 
services'' in its place.


223.7201   [Amended]

0
65. Amend section 223.7201 in paragraph (b)(1) by removing ``commercial 
item'' and adding ``commercial product'' in its place.


223.7306   [Amended]

0
66. Amend section 223.7306 by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.

PART 225--FOREIGN ACQUISITION


225.302-6  [Amended]

0
67. Amend section 225.302-6 in the introductory text by removing 
``commercial items'' and adding ``commercial products and commercial 
services'' in its place.


225.371-5  [Amended]

0
68. Amend section 225.371-5 in paragraph (a) introductory text by 
removing ``commercial items'' and adding ``commercial products and 
commercial services'' in its place.


225.372-2   [Amended]

0
69. Amend section 225.372-2 in the introductory text by removing

[[Page 6584]]

``commercial items'' and adding ``commercial products and commercial 
services'' in its place.


225.771-5   [Amended]

0
70. Amend section 225.771-5 by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.


225.772-5  [Amended]

0
71. Amend section 225.772-5 in paragraph (b) by removing ``including 
solicitation'' and ``commercial items'' and adding ``including 
solicitations'' and ``commercial products and commercial services'' in 
their places, respectively.


225.1101   [Amended]

0
72. Amend section 225.1101--
0
a. In paragraphs (1) introductory text, (2)(i) introductory text, (5) 
introductory text, (6) introductory text, (9) introductory text, and 
(10)(i) introductory text, by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place; and
0
b. In paragraph (10)(ii)(B), by removing ``commercial item'' and 
``Section'' and adding ``commercial product'' and ``section'' in their 
places, respectively.


225.7002-3   [Amended]

0
73. Amend section 225.7002-3 in paragraphs (a), (b), and (c) by 
removing ``commercial items'' and adding ``commercial products and 
commercial services'' in its place.


225.7003-3   [Amended]

0
74. Amend section 225.7003-3--
0
a. In paragraph (b)(2)(i)(D)(2) by removing ``commercial item'' and 
``subsection'' and adding ``commercial product'' and ``section'' in 
their places, respectively; and
0
b. In paragraph (b)(3) by removing ``commercial items'' and adding 
``commercial products'' in its place.


225.7003-5   [Amended]

0
75. Amend section 225.7003-5--
0
a. In paragraph (a) introductory text by removing ``subsection'' and 
adding ``section'' in its place;
0
b. In paragraphs (a)(1) introductory text and (a)(2) introductory text 
by removing ``commercial items'' and adding ``commercial products and 
commercial services'' in its place; and
0
c. In paragraph (b) introductory text by removing ``commercial items,'' 
and adding ``commercial products and commercial services'' in its 
place.


225.7006-4   [Amended]

0
76. Amend section 225.7006-4 in paragraphs (a) introductory text and 
(b) introductory text by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.


225.7009-3   [Amended]

0
77. Amend section 225.7009-3 by removing ``commercial items'' and 
adding ``commercial products'' in its place.


225.7009-5  [Amended]

0
78. Amend section 225.7009-5--
0
a. In the introductory text by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place; and
0
b. In paragraph (a) by removing ``commercial items'' and adding 
``commercial products'' in its place.


225.7017-4   [Amended]

0
79. Amend section 225.7017-4 in paragraphs (a)(1) and (2) and (b) by 
removing ``commercial items'' and adding ``commercial products and 
commercial services'' in its place.


225.7018-5   [Amended]

0
80. Amend section 225.7018-5 by removing ``commercial items'' and 
adding ``commercial products and commercial services'' in its place.


225.7019-4  [Amended]

0
81. Amend section 225.7019-4 in paragraphs (a) and (b) by removing 
``commercial items'' and adding ``commercial products and commercial 
services'' in its place.


225.7020-5  [Amended]

0
82. Amend section 225.7020-5 in paragraphs (a) and (b) by removing 
``commercial items'' and adding ``commercial products and commercial 
services'' in its place.


225.7021-1   [Amended]

0
83. Amend section 225.7021-1 in the definition of ``Covered contract'' 
by removing ``commercial items'' and adding ``commercial products and 
commercial services'' in its place.


225.7022-5  [Amended]

0
84 Amend section 225.7022-5 in paragraphs (a) and (b) by removing 
``commercial items'' and adding ``commercial products, commercial 
services,'' in its place.


225.7202   [Amended]

0
85. Amend section 225.7202 by removing ``commercial items,'' and adding 
``commercial products, commercial services,'' in its place.


225.7307  [Amended]

0
86. Amend section 225.7307 in paragraphs (a) and (b) by removing 
``commercial items'' and adding ``commercial products and commercial 
services'' in its place.


225.7501   [Amended]

0
87. Amend section 225.7501 in paragraph (a)(2)(vi) by removing 
``commercial item'' and ``Section'' and adding ``commercial product'' 
and ``section'' in their places, respectively.


225.7503  [Amended]

0
88. Amend section 225.7503 in paragraphs (a) introductory text and (b) 
introductory text by removing ``commercial items or components'' and 
adding ``commercial products or commercial components'' in its place.


225.7605  [Amended]

0
89. Amend section 225.7605 by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.


225.7703-4   [Amended]

0
90. Amend section 225.7703-4 in paragraphs (a), (b), (c) introductory 
text, and (d) by removing ``commercial items'' and adding ``commercial 
products and commercial services'' in its place.

PART 226--OTHER SOCIOECONOMIC PROGRAMS


226.104  [Amended]

0
91. Amend section 226.104 by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.


226.7203  [Amended]

0
92. Amend section 226.7203 by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.

PART 227--PATENTS, DATA, AND COPYRIGHTS


227.7101   [Amended]

0
93. Amend section 227.7101 in paragraph (b) by removing ``Noncommercial 
Items'' and adding ``Other Than Commercial Products and Commercial 
Services'' in its place.

0
94. Revise section 227.7102 to read as follows:

[[Page 6585]]

227.7102  Commercial products, commercial components, commercial 
services, or commercial processes.


227.7102-1   [Amended]

0
95. Amend section 227.7102-1--
0
a. In paragraph (a) introductory text by removing ``commercial item or 
process'' and adding ``commercial product, commercial service, or 
commercial process'' in its place;
0
b. In paragraph (a)(2) by removing ``commercial items or processes'' 
and ``commercial item'' and adding ``commercial products or commercial 
processes'' and ``commercial product'' in their places, respectively;
0
c. In paragraph (a)(3) by removing ``commercial item or process'' and 
adding ``commercial product, commercial service, or commercial 
process'' in its place;
0
d. In paragraph (b) introductory text by removing ``subsection'' and 
adding ``section'' in its place; and
0
e. In paragraphs (b)(1) and (2) by removing ``commercial items or 
processes'' and adding ``commercial products, commercial services, or 
commercial processes'' in its place.


227.7102-2   [Amended]

0
96. Amend section 227.7102-2 in paragraph (a) by removing ``Commercial 
Items'', ``commercial items or processes'', and ``commercial items'' 
and adding ``Commercial Products and Commercial Services'', 
``commercial products, commercial services, or commercial processes'', 
and ``commercial products'' in their places, respectively.


227.7102-3  [Amended]

0
97. Amend section 227.7102-3--
0
a. In the section heading by removing ``challenge'' and adding 
``challenge,'' in its place; and
0
b. By removing ``commercial items'' and adding ``commercial products or 
commercial services'' in its place.

0
98. Amend section 227.7102-4--
0
a. By revising paragraph (a)(1);
0
b. In paragraph (a)(2) by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place;
0
c. In paragraph (b) by removing ``Noncommercial Items'' and 
``commercial item'' and adding ``Other Than Commercial Products and 
Commercial Services'' and ``commercial product or commercial service'' 
in their places, respectively; and
0
d. In paragraph (c) by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.
    The revision reads as follows:


227.7102-4  Contract clauses.

    (a)(1) Except as provided in paragraph (b) of this section, use the 
clause at 252.227-7015, Technical Data--Commercial Products and 
Commercial Services, in solicitations and contracts, including 
solicitations and contracts using FAR part 12 procedures for the 
acquisition of commercial products and commercial services, when the 
contractor will be required to deliver technical data pertaining to 
commercial products, commercial components, commercial services, or 
commercial processes.
* * * * *

0
99. Revise section 227.7103 to read as follows:


227.7103  Other than commercial products, commercial services, or 
commercial processes.


227.7103-3   [Amended]

0
100. Amend section 227.7103-3--
0
a. In the section heading by removing ``reproduction'' and adding 
``reproduction,'' in its place; and
0
b. In paragraph (b) by removing ``Noncommercial Items'' and adding 
``Other Than Commercial Products and Commercial Services'' in its 
place.


227.7103-5   [Amended]

0
101. Amend section 227.7103-5 in the introductory text by removing 
``Noncommercial Items'' and ``subsection'' and adding ``Other Than 
Commercial Products and Commercial Services'' and ``section'' in their 
places, respectively.

0
102. Amend section 227.7103-6--
0
a. By revising paragraph (a); and
0
b. In paragraphs (b)(1) introductory text and (b)(2) by removing 
``commercial items'' and adding ``commercial products and commercial 
services'' in its place.
    The revision reads as follows:


227.7103-6  Contract clauses.

    (a) Use the clause at 252.227-7013, Rights in Technical Data--Other 
Than Commercial Products and Commercial Services, in solicitations and 
contracts, including solicitations and contracts using FAR part 12 
procedures for the acquisition of commercial products and commercial 
services, when the successful offeror(s) will be required to deliver to 
the Government technical data pertaining to other than commercial 
products or commercial services, or pertaining to commercial products 
or commercial services for which the Government will have paid for any 
portion of the development costs (in which case the clause at 252.227-
7013 will govern the technical data pertaining to any portion of a 
commercial product or commercial service that was developed in any part 
at Government expense, and the clause at 252.227-7015 will govern the 
technical data pertaining to any portion of a commercial product or 
commercial service that was developed exclusively at private expense). 
Do not use the clause when the only deliverable items are computer 
software or computer software documentation (see 227.72), commercial 
products or commercial services developed exclusively at private 
expense (see 227.7102-4), existing works (see 227.7105), special works 
(see 227.7106), or when contracting under the Small Business Innovation 
Research Program (see 227.7104). Except as provided in 227.7107-2, do 
not use the clause in architect-engineer and construction contracts.
* * * * *


227.7103-9   [Amended]

0
103. Amend section 227.7103-9 in paragraph (a)(1) by removing 
``Noncommercial Items'' and adding ``Other Than Commercial Products and 
Commercial Services'' in its place.


227.7103-10  [Amended]

0
104. Amend section 227.7103-10 in paragraphs (a)(3) and (b) 
introductory text by removing ``Noncommercial Items'' and adding 
``Other Than Commercial Products and Commercial Services'' in its 
place.


227.7103-11   [Amended]

0
105. Amend section 227.7103-11 in paragraph (a) by removing 
``Noncommercial Items'' and adding ``Other Than Commercial Products and 
Commercial Services'' in its place.


227.7103-12   [Amended]

0
106. Amend section 227.7103-12 in paragraph (a)(1) by removing 
``Noncommercial Items'' and adding ``Other Than Commercial Products and 
Commercial Services'' in its place.

0
107. Amend section 227.7103-13--
0
a. By revising paragraph (c)(2); and
0
b. In paragraph (d)(4) by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place.
    The revision reads as follows:


227.7103-13  Government right to review, verify, challenge, and 
validate asserted restrictions.

* * * * *
    (c) * * *
    (2) Commercial products and commercial services--presumption 
regarding development exclusively at

[[Page 6586]]

private expense. 10 U.S.C. 3772(a)(1) and 3784 establish a presumption 
and procedures regarding validation of asserted restrictions for 
technical data related to commercial products or commercial services on 
the basis of development exclusively at private expense. Contracting 
officers shall presume that a commercial product or commercial service 
was developed exclusively at private expense whether or not a 
contractor or subcontractor submits a justification in response to a 
challenge notice. The contracting officer shall not challenge a 
contractor's assertion that a commercial product or commercial service 
was developed exclusively at private expense unless the Government can 
specifically state the reasonable grounds to question the validity of 
the assertion. The challenge notice shall include sufficient 
information to reasonably demonstrate that the commercial product or 
commercial service was not developed exclusively at private expense. In 
order to sustain the challenge, the contracting officer shall provide 
information demonstrating that the commercial product or commercial 
service was not developed exclusively at private expense. The challenge 
notice and all related correspondence shall be subject to handling 
procedures for classified information and controlled unclassified 
information. A contractor's or subcontractor's failure to respond to 
the challenge notice cannot be the sole basis for issuing a final 
decision denying the validity of an asserted restriction.
* * * * *


227.7103-15   [Amended]

0
108. Amend 227.7103-15--
0
a. In paragraph (a) by removing ``Noncommercial Items'' and adding 
``Other Than Commercial Products and Commercial Services'' in its 
place;
0
b. In paragraph (c) introductory text by removing ``non-commercial 
items'' and adding ``other than commercial products or commercial 
services'' in its place; and
0
c. In paragraphs (c)(1) and (d) by removing ``Noncommercial Items'' and 
adding ``Other Than Commercial Products and Commercial Services'' in 
its place.


227.7103-16  [Amended]

0
109. Amend section 227.7103-16 in paragraph (b) by removing 
``Noncommercial Items'' and adding ``Other Than Commercial Products and 
Commercial Services'' in its place.


227.7103-17  [Amended]

0
110. Amend section 227.7103-17 in paragraph (a) by removing 
``Noncommercial Items'' and ``release or'' and adding ``Other Than 
Commercial Products and Commercial Services'' and ``release, or'' in 
their places, respectively.


227.7104  [Amended]

0
111. Amend section 227.7104 in paragraph (a) by removing 
``Noncommercial Technical'' and adding ``Other Than Commercial 
Technical'' in its place.


227.7105-2  [Amended]

0
112. Amend section 227.7105-2 in paragraph (a) introductory text by 
removing ``Noncommercial Items'' and adding ``Other Than Commercial 
Products and Commercial Services'' in its place.


227.7106   [Amended]

0
113. Amend section 227.7106 in paragraph (a)(1) by removing 
``Noncommercial Items'' and adding ``Other Than Commercial Products and 
Commercial Services'' in its place.


227.7201   [Amended]

0
114. Amend section 227.7201 in paragraph (b) by removing ``Rights in 
Noncommercial Computer Software and Noncommercial Computer Software 
Documentation'' and adding ``Rights in Other Than Commercial Computer 
Software and Other Than Commercial Computer Software Documentation'' in 
its place.

0
115. Revise section 227.7203 to read as follows:


227.7203  Other than commercial computer software and other than 
commercial computer software documentation.


227.7203-2  [Amended]

0
116. Amend section 227.7203-2 in the section heading by removing 
``noncommercial'' and adding ``other than commercial'' in its place.


227.7203-3   [Amended]

0
117. Amend section 227.7203-3--
0
a. In the section heading by removing ``reproduction'' and adding 
``reproduction,'' in its place; and
0
b. In paragraph (a) by removing ``Rights in Noncommercial Computer 
Software and Noncommercial Computer Software Documentation'' and adding 
``Rights in Other Than Commercial Computer Software and Other Than 
Commercial Computer Software Documentation'' in its place.


227.7203-4   [Amended]

0
118. Amend section 227.7203-4 in paragraph (b) by removing ``Rights in 
Noncommercial Computer Software and Noncommercial Computer Software 
Documentation'' and adding ``Rights in Other Than Commercial Computer 
Software and Other Than Commercial Computer Software Documentation'' in 
its place.


227.7203-5   [Amended]

0
119. Amend section 227.7203-5--
0
a. In the introductory text by removing ``Rights in Noncommercial 
Computer Software and Noncommercial Computer Software Documentation'' 
and ``subsection'' and adding ``Rights in Other Than Commercial 
Computer Software and Other Than Commercial Computer Software 
Documentation'' and ``section'' in their places, respectively; and
0
b. In paragraph (c)(1) by removing ``noncommercial'' and adding ``other 
than commercial'' in its place.


227.7203-6   [Amended]

0
120. Amend section 227.7203-6--
0
a. In paragraph (a)(1) by removing ``Rights in Noncommercial Computer 
Software and Noncommercial Computer Software Documentation'', 
``commercial items'', and ``(see 227.7104),'' and adding ``Rights in 
Other Than Commercial Computer Software and Other Than Commercial 
Computer Software Documentation'', ``commercial products, commercial 
services'', and ``(see 227.7104).'' in their places, respectively; and
0
b. In paragraph (f) by removing ``noncommercial'' and adding ``other 
than commercial'' in its place.


227.7203-9   [Amended]

0
121. Amend section 227.7203-9--
0
a. In paragraph (a)(1) by removing ``Rights in Noncommercial Computer 
Software and Noncommercial Computer Software Documentation'' and adding 
``Rights in Other Than Commercial Computer Software and Other Than 
Commercial Computer Software Documentation'' in its place; and
0
b. In paragraph (a)(2) by removing ``Noncommercial Items'' and adding 
``Other Than Commercial Products and Commercial Services'' in its 
place.


227.7203-10   [Amended]

0
122. Amend section 227.7203-10 in paragraphs (a)(3) and (b) 
introductory text by removing ``Rights in Noncommercial Computer 
Software and Noncommercial Computer Software Documentation'' and adding 
``Rights in Other Than Commercial Computer Software and Other Than 
Commercial Computer Software Documentation'' in its place.

[[Page 6587]]

227.7203-11  [Amended]

0
123. Amend section 227.7203-11 in paragraph (a) by removing ``Rights in 
Noncommercial Computer Software and Noncommercial Computer Software 
Documentation'' and adding ``Rights in Other Than Commercial Computer 
Software and Other Than Commercial Computer Software Documentation'' in 
its place.


227.7203-12  [Amended]

0
124. Amend section 227.7203-12 in paragraph (a)(1) by removing ``Rights 
in Noncommercial Computer Software and Noncommercial Computer Software 
Documentation'' and adding ``Rights in Other Than Commercial Computer 
Software and Other Than Commercial Computer Software Documentation'' in 
its place.


227.7203-15   [Amended]

0
125. Amend section 227.7203-15 in paragraphs (c)(1) and (d) by removing 
``Rights in Noncommercial Computer Software and Noncommercial Computer 
Software Documentation'' and adding ``Rights in Other Than Commercial 
Computer Software and Other Than Commercial Computer Software 
Documentation'' in its place.


227.7203-16   [Amended]

0
126. Amend section 227.7203-16 in paragraph (b) by removing ``Rights in 
Noncommercial Computer Software and Noncommercial Computer Software 
Documentation'' and adding ``Rights in Other Than Commercial Computer 
Software and Other Than Commercial Computer Software Documentation'' in 
its place.


227.7203-17  [Amended]

0
127. Amend section 227.7203-17 in paragraph (a) by removing ``Rights in 
Noncommercial Computer Software and Noncommercial Computer Software 
Documentation'' and adding ``Rights in Other Than Commercial Computer 
Software and Other Than Commercial Computer Software Documentation'' in 
its place.


227.7205   [Amended]

0
128. Amend section 227.7205 in paragraph (a)(1) by removing ``Rights in 
Noncommercial Computer Software and Noncommercial Computer Software 
Documentation'' and adding ``Rights in Other Than Commercial Computer 
Software and Other Than Commercial Computer Software Documentation'' in 
its place.

PART 232--CONTRACT FINANCING


232.009-2   [Amended]

0
129. Amend section 232.009-2 by removing ``commercial items'' and 
adding ``commercial products and commercial services'' in its place.

0
130. Revise the heading for subpart 232.1 to read as follows:

Subpart 232.1--Financing for Other Than a Commercial Purchase

0
131. Revise the heading for subpart 232.2 to read as follows:

Subpart 232.2--Commercial Product and Commercial Service Purchase 
Financing


232.206   [Amended]

0
132. Amend section 232.206--
0
a. In paragraph (f) introductory text by removing ``commercial item'' 
and adding ``commercial product and commercial service'' in its place; 
and
0
b. In the heading for paragraph (g) by removing ``commercial items'' 
and adding ``commercial products and commercial services'' in its 
place.

0
133. Revise the heading for subpart 232.4 to read as follows:

Subpart 232.4--Advance Payments for Other Than Commercial 
Acquisitions


232.908  [Amended]

0
134. Amend section 232.908 by removing ``commercial items'' and 
``Commercial Items'' and adding ``commercial products and commercial 
services'' and ``Commercial Products and Commercial Services'' in their 
places, respectively.


232.1110  [Amended]

0
135. Amend section 232.1110 in the introductory text by removing 
``commercial items'' and adding ``commercial products and commercial 
services'' in its place.


232.7004   [Amended]

0
136. Amend section 232.7004--
0
a. In paragraph (a) by removing ``contract or task or delivery order'' 
and ``commercial items'' and adding ``contract, task order, or delivery 
order'' and ``commercial products and commercial services'' in their 
places, respectively; and
0
b. In paragraph (b), by removing ``contracts or task or delivery 
orders'' and ``commercial items'' and adding ``contracts, task orders, 
or delivery orders'' and ``commercial products and commercial 
services'' in their places, respectively.


232.7102   [Amended]

0
137. Amend section 232.7102 by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.

PART 234--MAJOR SYSTEM ACQUISITION

0
138. Revise the heading for subpart 234.70 to read as follows:

Subpart 234.70--Acquisition of Major Weapon Systems as Commercial 
Products


234.7000  [Amended]

0
139. Amend section 234.7000 in paragraph (b) by removing ``commercial 
item'' and adding ``commercial product'' in its place.


234.7002  [Amended]

0
140. Amend section 234.7002--
0
a. In paragraph (a)(1) introductory text by removing ``commercial 
item'' and ``commercial items'' and adding ``commercial product'' and 
``commercial products'' in their places, respectively;
0
b. In paragraph (a)(1)(i)(A) by removing ``commercial item'' and adding 
``commercial product'' in its place;
0
c. In paragraph (b) introductory text by removing ``commercial item'' 
and ``commercial items'' and adding ``commercial product'' and 
``commercial products'' in their places, respectively;
0
d. In paragraph (b)(1) by removing ``commercial items'' and adding 
``commercial products'' in its place;
0
e. In paragraph (b)(2) by removing ``commercial item'' and adding 
``commercial product'' in its place;
0
f. In paragraph (c)(1) introductory text by removing ``commercial 
item'' and adding ``commercial product'' in its place;
0
g. In paragraphs (c)(1)(i)(A) and (B) by removing ``commercial items'' 
and adding ``commercial products'' in its place;
0
h. In paragraph (c)(1)(ii) by removing ``commercial item'' and adding 
``commercial product'' in its place;
0
i. In paragraph (d)(1) by removing ``commercial items'' and adding 
``commercial products'' in its place; and
0
j. In paragraph (d)(5) by removing ``commercial item'' and ``item'' 
adding ``commercial product'' in their places, respectively.

PART 237--SERVICE CONTRACTING


237.171-4   [Amended]

0
141. Amend section 237.171-4 in the introductory text by removing 
``commercial items'' and adding

[[Page 6588]]

``commercial products and commercial services'' in its place.


237.173-5   [Amended]

0
142. Amend section 237.173-5 by removing ``commercial items'' and 
adding ``commercial products and commercial services'' in its place.


237.270  [Amended]

0
143. Amend section 237.270 in paragraphs (e)(3) and (4) introductory 
text by removing ``commercial items'' and adding ``commercial products 
and commercial services'' in its place.

PART 239--ACQUISITION OF INFORMATION TECHNOLOGY


239.101  [Amended]

0
144. Amend section 239.101 in paragraph (1) by removing ``commercial 
items'' and adding ``commercial products or commercial services'' in 
its place.


239.7306   [Amended]

0
145. Amend section 239.7306 in paragraphs (a) and (b) by removing 
``commercial items'' and adding ``commercial products and commercial 
services'' in its place.


239.7604  [Amended]

0
146. Amend section 239.7604 in paragraphs (a) and (b) by removing 
``commercial item'' and adding ``commercial products and commercial 
services'' in its place.

PART 242--CONTRACT ADMINISTRATION AND AUDIT SERVICES


242.7200  [Amended]

0
147. Amend section 242.7200 by removing from paragraph (b)(1) 
introductory text ``commercial items'' and adding ``commercial products 
or commercial services'' in its place.


242.7204   [Amended]

0
148. Amend section 242.7204 in the introductory text by removing 
``commercial items'' and adding ``commercial products or commercial 
services'' in its place.

PART 243--CONTRACT MODIFICATIONS


243.205-71   [Amended]

0
149. Amend section 242.205-71 by removing ``commercial items'' and 
adding ``commercial products and commercial services'' in its place.

PART 244--SUBCONTRACTING POLICIES AND PROCEDURES


244.303  [Amended]

0
150. Amend section 244.303 in paragraph (a) by removing ``commercial 
item'' and ``definition of ``commercial item'' in FAR 2.101'' and 
adding ``commercial product or commercial service'' and ``definition of 
``commercial product'' or ``commercial service'' in FAR 2.101'' in 
their places, respectively.

0
151. Revise the heading for subpart 244.4 to read as follows:

Subpart 244.4--Subcontracts for Commercial Products, Commercial 
Services, and Commercial Components


244.402   [Amended]

0
152. Amend section 244.402--
0
a. In paragraph (a) by removing ``commercial item'' and adding 
``commercial product or commercial service'' in its place; and
0
b. In paragraph (S-70) by removing ``commercial items'' and 
``commercial item'' and adding ``commercial products'' and ``commercial 
product'' in their places, respectively.


244.403   [Amended]

0
153. Amend section 244.403 by removing ``Commercial Items'' and 
``commercial items'' and adding ``Commercial Products and Commercial 
Services'' and ``commercial products and commercial services'' in their 
places, respectively.

PART 245--GOVERNMENT PROPERTY

0
154. Amend section 245.102--
0
a. By revising the introductory text; and
0
b. In paragraph (4)(ii)(C) introductory text by removing ``commercial 
item'' and adding ``commercial product'' in its place.
    The revision reads as follows:


245.102  Policy.

    See the policy guidance at PGI 245.102-70.
* * * * *

PART 246--QUALITY ASSURANCE


246.270-4  [Amended]

0
155. Amend section 246.270-4 by removing ``commercial items'' and 
adding ``commercial products and commercial services'' in its place.


246.370  [Amended]

0
156. Amend section 246.370 in paragraph (a) introductory text by 
removing ``commercial items'' and adding ``commercial products and 
commercial services'' in its place.


246.704   [Amended]

0
157. Amend section 246.704 in paragraph (1)(i) by removing ``Commercial 
items'' and adding ``Commercial products or commercial services'' in 
its place.


246.706  [Amended]

0
158. Amend section 246.706 in paragraph (b)(5) by removing ``non-
commercial items'' and adding ``other than commercial products'' in its 
place.


246.870-3  [Amended]

0
159. Amend section 246.870-3 in paragraph (b) introductory text by 
removing ``commercial items'' and adding ``commercial products and 
commercial services'' in its place.

PART 247--TRANSPORTATION


247.207  [Amended]

0
160. Amend section 247.207 in paragraphs (1) and (2) by removing 
``commercial items'' and adding ``commercial products and commercial 
services'' in its place.


247.574  [Amended]

0
161. Amend section 247.574--
0
a. In paragraphs (a)(1) introductory text and (b) introductory text by 
removing ``commercial items'' and adding ``commercial products and 
commercial services'' in its place;
0
b. In paragraphs (b)(1) introductory text and (b)(2) and (3) by 
removing ``commercial items'' and adding ``commercial products'' in its 
place; and
0
c. In paragraphs (c), (d), and (e) by removing ``commercial items'' and 
adding ``commercial products and commercial services'' in its place.

PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
162. Amend section 252.203-7001--
0
a. By revising the clause date; and
0
b. In paragraph (g) by--
0
i. Adding a heading; and
0
ii. Removing ``commercial items or components'' and adding ``commercial 
products, commercial services, or commercial components'' in its place.
    The revision and addition read as follows:


252.203-7001  Prohibition on Persons Convicted of Fraud or Other 
Defense-Contract-Related Felonies.

* * * * *

[[Page 6589]]

Prohibition on Persons Convicted of Fraud or Other Defense-Contract-
Related Felonies (Jan 2023)

* * * * *
    (g) Subcontracts. * * *
* * * * *

0
163. Amend section 252.203-7004--
0
a. By revising the clause date; and
0
b. In paragraph (d) by removing ``commercial item'' and adding 
``commercial product or commercial service'' in its place.
    The revision reads as follows:


252.203-7004  Display of Hotline Posters.

* * * * *

Display of Hotline Posters (Jan 2023)

* * * * *

0
164. Amend section 252.204-7004--
0
a. By revising the clause heading and the clause date; and
0
b. In paragraph (d) by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.
    The revisions read as follows:


252.204-7004   Antiterrorism Awareness Training for Contractors.

* * * * *

Antiterrorism Awareness Training for Contractors (Jan 2023)

* * * * *

0
165. Amend section 252.204-7009--
0
a. By revising the section heading and clause date;
0
b. In paragraph (a), in the definition of ``Technical information'', by 
removing ``Noncommercial Items'' and adding ``Other Than Commercial 
Products and Commercial Services'' in its place; and
0
c. In paragraph (c) by removing ``commercial items'' and adding 
``commercial products and commercial services'' in its place.
    The revisions read as follows:


252.204-7009   Limitations on the Use or Disclosure of Third-Party 
Contractor Reported Cyber Incident Information.

* * * * *

Limitations on the Use or Disclosure of Third-Party Contractor Reported 
Cyber Incident Information (Jan 2023)

* * * * *

0
166. Amend section 252.204-7012--
0
a. By revising the section heading;
0
b. In the introductory text by removing ``204.7304c'' and adding 
``204.7304(c)'' in its place;
0
c. By revising the clause date;
0
d. In paragraph (a), in the definition of ``Technical information'', by 
removing ``Noncommercial Items'' and adding ``Other Than Commercial 
Products and Commercial Services'' in its place; and
0
e. In paragraph (m)(1) by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place.
    The revisions read as follows:


252.204-7012  Safeguarding Covered Defense Information and Cyber 
Incident Reporting.

* * * * *

Safeguarding Covered Defense Information and Cyber Incident Reporting 
(Jan 2023)

* * * * *

0
167. Amend section 252.204-7014--
0
a. By revising the clause date; and
0
b. In paragraph (f) by--
0
i. Revising the heading; and
0
ii. Removing ``commercial items'' and adding ``commercial products or 
commercial services'' in its place.
    The revisions read as follows:


252.204-7014  Limitations on the Use or Disclosure of Information by 
Litigation Support Contractors.

* * * * *

Limitations on the Use or Disclosure of Information by Litigation 
Support Contractors (Jan 2023)

* * * * *
    (f) Subcontracts. * * *
* * * * *

0
168. Amend section 252.204-7015--
0
a. By revising the clause date; and
0
b. In paragraph (c) by--
0
i. Revising the heading; and
0
ii. Removing ``commercial items'' and adding ``commercial products or 
commercial services'' in its place.
    The revisions read as follows:


252.204-7015  Notice of Authorized Disclosure of Information for 
Litigation Support.

* * * * *

Notice of Authorized Disclosure of Information for Litigation Support 
(Jan 2023)

* * * * *
    (c) Subcontracts. * * *
* * * * *

0
169. Amend section 252.204-7018--
0
a. By revising the clause date; and
0
b. In paragraph (e) by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place.
    The revision reads as follows:


252.204-7018  Prohibition on the Acquisition of Covered Defense 
Telecommunications Equipment or Services.

* * * * *

Prohibition on the Acquisition of Covered Defense Telecommunications 
Equipment or Services (Jan 2023)

* * * * *

0
170. Amend section 252.204-7020--
0
a. By revising the clause date; and
0
b. In paragraph (g)(1) by removing ``commercial items'' and ``COTS'' 
and adding ``commercial products or commercial services'' and 
``commercially available off-the-shelf'' in their places, respectively.
    The revision reads as follows:


252.204-7020  NIST SP 800-171 DoD Assessment Requirements.

* * * * *

NIST SP 800-171 DOD Assessment Requirements (Jan 2023)

* * * * *

0
171. Amend section 252.204-7021--
0
a. By revising the clause date; and
0
b. In paragraph (c)(1), by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place.
    The revision reads as follows:


252.204-7021  Contractor Compliance with the Cybersecurity Maturity 
Model Certification Level Requirement.

* * * * *

Contractor Compliance With the Cybersecurity Maturity Model 
Certification Level Requirement (Jan 2023)

* * * * *

0
172. Amend section 252.211-7003--
0
a. By revising the section heading and clause date; and
0
b. In paragraph (g) by removing ``by contract any items'' and 
``commercial items'' and adding ``by subcontract any item(s)'' and 
``commercial products or commercial services'' in their places, 
respectively.
    The revisions read as follows:


252.211-7003  Item Unique Identification and Valuation.

* * * * *

Item Unique Identification and Valuation (Jan 2023)

* * * * *

0
173. Amend section 252.215-7009 by revising the section heading, the 
date of the provision, and item 18 of the table to read as follows:


252.215-7009  Proposal Adequacy Checklist.

* * * * *

Proposal Adequacy Checklist (Jan 2023)

* * * * *

[[Page 6590]]



                                           Proposal Adequacy Checklist
----------------------------------------------------------------------------------------------------------------
                                                                                                      If not
                                                                                                     provided
                                                                                   Proposal page   EXPLAIN  (may
              References                             Submission item                    No.             use
                                                                                                   continuation
                                                                                                      pages)
----------------------------------------------------------------------------------------------------------------
 
                                                  * * * * * * *
18. FAR 52.215-20 FAR 2.101,            Has the offeror submitted an exception
 ``commercial product'' or               to the submission of certified cost or
 ``commercial service''.                 pricing data for commercial products
                                         proposed either at the prime or
                                         subcontractor level, in accordance with
                                         provision 52.215-20?.
                                        a. Has the offeror specifically
                                         identified the type of commercial
                                         product claim (FAR 2.101 ``commercial
                                         product'' definition, and the basis on
                                         which the commercial product meets the
                                         definition?.
                                        b. For modified commercial products (FAR
                                         2.101 ``commercial product''
                                         definition; did the offeror classify
                                         the modification(s) as either--.
                                        i. A modification of a type customarily
                                         available in the commercial marketplace
                                         (paragraph (3)(i)); or.
                                        ii. A minor modification (paragraph
                                         (3)(ii)) of a type not customarily
                                         available in the commercial marketplace
                                         made to meet Federal Government
                                         requirements not exceeding the
                                         thresholds in FAR 15.403-
                                         1(c)(3)(iii)(B)?.
                                        c. For proposed commercial products ``of
                                         a type'', or ``evolved'' or modified
                                         (FAR 2.101 ``commercial product''
                                         definition), did the contractor provide
                                         a technical description of the
                                         differences between the proposed item
                                         and the comparison item(s)?.
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------

* * * * *

0
174. Amend section 252.215-7010--
0
a. By revising the provision date and paragraph (b)(1)(ii) introductory 
text;
0
b. In paragraph (b)(1)(ii)(A) by removing ``items'' and adding 
``products or services'' in its place; and
0
c. In the Alternate I provision--
0
i. By revising the provision date and paragraph (b)(1)(ii) introductory 
text; and
0
ii. In paragraph (b)(1)(ii)(A) by removing ``items'' and adding 
``products or services'' in its place.
    The revisions read as follows:


252.215-7010   Requirements for Certified Cost or Pricing Data and Data 
Other Than Certified Cost or Pricing Data.

* * * * *

Requirements for Certified Cost or Pricing Data and Data Other Than 
Certified Cost or Pricing Data--Basic (Jan 2023)

* * * * *
    (b) * * *
    (1) * * *
    (ii) Commercial product or commercial service exception. For a 
commercial product or commercial service exception, the Offeror shall 
submit, at a minimum, information that is adequate for evaluating the 
reasonableness of the price for this acquisition, including prices at 
which the same product or service or similar products or services have 
been sold in the commercial market. Such information shall include--
* * * * *

Requirements for Certified Cost or Pricing Data and Data Other Than 
Certified Cost or Pricing Data--Alternate I (Jan 2023)

* * * * *
    (b) * * *
    (1) * * *
    (ii) Commercial product or commercial service exception. For a 
commercial product or commercial service exception, the Offeror shall 
submit, at a minimum, information that is adequate for evaluating the 
reasonableness of the price for this acquisition, including prices at 
which the same product or service or similar products or services have 
been sold in the commercial market. Such information shall include--
* * * * *

0
175. Amend section 252.215-7013 by--
0
a. Revising the provision date; and
0
b. Removing ``commercial items'' and ``commercial item'' and adding 
``commercial products or commercial services'' and ``commercial product 
or commercial service'' in their places, respectively.
    The revision reads as follows:


252.215-7013   Supplies and Services Provided by Nontraditional Defense 
Contractors.

* * * * *

Supplies and Services Provided by Nontraditional Defense Contractors 
(Jan 2023)

* * * * *

0
176. Amend section 252.216-7000--
0
a. By revising the section heading and clause date; and
0
b. In paragraph (a), in the definition of ``Established price'', by 
removing ``commercial item'' and adding ``commercial product'' in its 
place.
    The revisions read as follows:


252.216-7000  Economic Price Adjustment--Basic Steel, Aluminum, Brass, 
Bronze, or Copper Mill Products.

* * * * *

Economic Price Adjustment--Basic Steel, Aluminum, Brass, Bronze, or 
Copper Mill Products (Jan 2023)

* * * * *

0
177. Amend section 252.216-7001--
0
a. By revising the section heading and clause date; and
0
b. In paragraph (a), in the definition of ``Established price'', 
paragraph (1) by removing ``commercial item'' and adding ``commercial 
product'' in its place.
    The revisions read as follows:

[[Page 6591]]

252.216-7001  Economic Price Adjustment-Nonstandard Steel Items.

* * * * *

Economic Price Adjustment--Nonstandard Steel Items (Jan 2023)

* * * * *

0
178. Amend section 252.216-7002 by revising the section heading, 
provision heading, and provision date to read as follows:


252.216-7002   Alternate A, Time-and-Materials/Labor-Hour Proposal 
Requirements--Other Than Commercial Acquisition with Adequate Price 
Competition.

* * * * *

Alternate A, Time-and-Materials/Labor-Hour Proposal Requirements--Other 
Than Commercial Acquisition With Adequate Price Competition (Jan 2023)

* * * * *

0
179. Amend section 252.217-7026--
0
a. By revising the provision date;
0
b. In paragraph (b)(2) by removing ``list ``none.'''' and adding ``list 
``none''.'' in its place; and
0
c. In paragraph (b)(3) by removing ``commercial item'' and adding 
``commercial product or commercial service'' in its place.
    The revision reads as follows:


252.217-7026   Identification of Sources of Supply.

* * * * *

Identification of Sources of Supply (Jan 2023)

* * * * *

0
180. Amend section 252.222-7006--
0
a. By revising the clause date; and
0
b. In paragraph (a), in the definition of ``Covered subcontractor'', by 
removing ``commercial items'' and adding ``commercial products or 
commercial services'' in its place.
    The revision reads as follows:


252.222-7006   Restrictions on the Use of Mandatory Arbitration 
Agreements.

* * * * *

Restrictions on the Use of Mandatory Arbitration Agreements (Jan 2023)

* * * * *

0
181. Amend section 252.223-7008--
0
a. By revising the clause date; and
0
b. In paragraph (d) by removing ``commercial items'' and ``supplies,,'' 
and adding ``commercial products or commercial services'' and 
``supplies,'' in their places, respectively.
    The revision reads as follows:


252.223-7008  Prohibition of Hexavalent Chromium.

* * * * *

Prohibition of Hexavalent Chromium (Jan 2023)

* * * * *

0
182. Amend section 252.225-7001--
0
a. By revising the clause date;
0
b. In paragraph (a), in the definition of ``Commercially available off-
the-shelf (COTS) item'', paragraph (1)(i) by removing ``commercial 
item'' and `` ``commercial item'' '' and adding ``commercial product'' 
and `` ``commercial product'' '' in their places, respectively; and
0
c. In the Alternate I clause--
0
i. By revising the clause date; and
0
ii. In paragraph (a), in the definition of ``Commercially available 
off-the-shelf (COTS) item'', paragraph (1)(i) by removing ``commercial 
item'' and `` ``commercial item'' '' and adding ``commercial product'' 
and `` ``commercial product'' '' in their places, respectively.
    The revisions read as follows:


252.225-7001  Buy American and Balance of Payments Program.

* * * * *

Buy American and Balance of Payments Program--Basic (Jan 2023)

* * * * *

Buy American and Balance of Payments Program--Alternate I(Jan 2023)

* * * * *

0
183. Amend section 252.225-7009--
0
a. By revising the clause date;
0
b. In paragraph (a), in the definition of ``Commercially available off-
the-shelf item'', paragraph (i)(A), by removing ``commercial item'' and 
`` ``commercial item'' '' and adding ``commercial product'' and `` 
``commercial product'' '' in their places, respectively;
0
c. In paragraph (c)(2)(i)(D)(2) by removing ``commercial item'' and 
adding ``commercial product'' in its place;
0
d. In paragraph (c)(3) by removing ``commercial items'' and adding 
``commercial products'' in its place; and
0
e. In paragraph (e)(2) introductory text by removing ``commercial 
items'' and adding ``commercial products'' in its place.
    The revision reads as follows:


252.225-7009  Restriction on Acquisition of Certain Articles Containing 
Specialty Metals.

* * * * *

Restriction on Acquisition of Certain Articles Containing Specialty 
Metals (Jan 2023)

* * * * *

0
184. Amend section 252.225-7016--
0
a. By revising the section heading and clause date;
0
b. In paragraph (c)(1) by removing ``a noncommercial end product'' and 
adding ``an other than commercial end product'' in its place;
0
c. In paragraph (c)(2) by removing ``noncommercial components'' and ``a 
noncommercial end product'' and adding ``other than commercial 
components'' and ``an other than commercial end product'' in their 
places, respectively;
0
d. In paragraph (f) introductory text by adding a heading; and
0
e. In paragraph (f)(1) by removing ``items'' and adding ``products'' in 
its place.
    The revisions and addition read as follows:


252.225-7016  Restriction on Acquisition of Ball and Roller Bearings.

* * * * *

Restriction on Acquisition of Ball and Roller Bearings (Jan 2023)

* * * * *
    (f) Subcontracts. * * *
* * * * *

0
185. Amend section 252.225-7021--
0
a. By revising the section heading and clause date;
0
b. In paragraph (a), in the definition of ``Commercially available off-
the-shelf (COTS) item'', paragraph (1)(i) by removing ``commercial 
item'' and `` ``commercial item'' '' and adding ``commercial product'' 
and `` ``commercial product'' '' in their places, respectively; and
0
c. In the Alternate II clause--
0
i. By revising the clause date; and
0
ii. In paragraph (a), in the definition of ``Commercially available 
off-the-shelf (COTS) item'', paragraph (1)(i) by removing ``commercial 
item'' and ``commercial item'' and adding ``commercial product'' and `` 
``commercial product'' '' in their places, respectively.
    The revisions read as follows:


252.225-7021  Trade Agreements.

* * * * *

Trade Agreements--Basic (Jan 2023)

* * * * *

Trade Agreements--Alternate II (Jan 2023)

* * * * *

0
186. Amend section 252.225-7036--
0
a. By revising the clause date;
0
b. In paragraph (a), in the definition of `` Commercially available 
off-the-shelf (COTS) item '', paragraph (1)(i) by removing `` 
commercial item '' and `` commercial item '' and adding

[[Page 6592]]

`` commercial product '' and `` commercial product '' in their places, 
respectively;
0
c. In the Alternate I clause--
0
i. By revising the clause date; and
0
ii. In paragraph (a), in the definition of `` Commercially available 
off-the-shelf (COTS) item '', paragraph (1)(i) by removing `` 
commercial item '' and `` commercial item '' and adding `` commercial 
product '' and `` commercial product '' in their places, respectively;
0
d. In the Alternate II clause--
0
i. By revising the clause date; and
0
ii. In paragraph (a), in the definition of `` Commercially available 
off-the-shelf (COTS) item '', paragraph (1)(i) by removing `` 
commercial item '' and `` commercial item '' and adding `` commercial 
product '' and `` commercial product '' in their places, respectively;
0
e. In the Alternate III clause--
0
i. By revising the clause date; and
0
ii. In paragraph (a), in the definition of `` Commercially available 
off-the-shelf (COTS) item '', paragraph (1)(i) by removing `` 
commercial item '' and `` commercial item '' and adding `` commercial 
product '' and `` commercial product '' in their places, respectively;
0
f. In the Alternate IV clause--
0
i. By revising the clause date; and
0
ii. In paragraph (a), in the definition of `` Commercially available 
off-the-shelf (COTS) item '', paragraph (1)(i) by removing `` 
commercial item '' and `` commercial item '' and adding `` commercial 
product '' and `` commercial product '' in their places, respectively; 
and
0
g. In the Alternate V clause--
0
i. By revising the clause date; and
0
ii. In paragraph (a), in the definition of `` Commercially available 
off-the-shelf (COTS) item '', paragraph (1)(i) by removing `` 
commercial item '' and `` commercial item '' and adding `` commercial 
product '' and `` commercial product '' in their places, respectively.
    The revisions read as follows:


252.225-7036  Buy American--Free Trade Agreements--Balance of Payments 
Program.

* * * * *

Buy American--Free Trade Agreements--Balance of Payments Program--Basic 
(Jan 2023)

* * * * *

Buy American--Free Trade Agreements--Balance of Payments Program--
Alternate I (Jan 2023)

* * * * *

Buy American--Free Trade Agreements--Balance of Payments Program--
Alternate II (Jan 2023)

* * * * *

Buy American--Free Trade Agreements--Balance of Payments Program--
Alternate III (Jan 2023)

* * * * *

Buy American--Free Trade Agreements--Balance of Payments Program--
Alternate IV (Jan 2023)

* * * * *

Buy American--Free Trade Agreements--Balance of Payments Program--
Alternate V (Jan 2023)

* * * * *

0
187. Amend section 252.225-7039--
0
a. By revising the clause date; and
0
b. In paragraph (f) introductory text by removing `` commercial items 
'' and adding `` commercial products or commercial services '' in its 
place.
    The revision reads as follows:


252.225-7039  Defense Contractors Performing Private Security Functions 
Outside the United States.

* * * * *

Defense Contractors Performing Private Security Functions Outside the 
United States (Jan 2023)

* * * * *

0
188. Amend section 252.225-7044--
0
a. By revising the clause date;
0
b. In paragraph (a), in the definition of `` Commercially available 
off-the-shelf (COTS) item '', paragraph (1)(i) by removing `` 
commercial item '' and `` commercial item '' and adding `` commercial 
product '' and `` commercial product '' in their places, respectively;
0
c. In paragraph (b)(2) by removing `` commercial item '' and adding `` 
commercial product '' in its place; and
0
d. In the Alternate I clause--
0
i. By revising the clause date;
0
ii. In paragraph (a), in the definition of `` Commercially available 
off-the-shelf (COTS) item '', paragraph (1)(i) by removing `` 
commercial item '' and `` commercial item '' and adding `` commercial 
product '' and `` commercial product '' in their places, respectively; 
and
0
iii. In paragraph (b)(2) by removing `` commercial item '' and adding 
`` commercial product '' in its place.
    The revisions read as follows:


252.225-7044   Balance of Payments Program--Construction Material.

* * * * *

Balance of Payments Program--Construction Material--Basic (Jan 2023)

* * * * *

Balance of Payments Program--Construction Material--Alternate I (Jan 
2023)

* * * * *

0
189. Amend section 252.225-7045--
0
a. By revising the clause date;
0
b. In paragraph (a), in the definition of `` Commercially available 
off-the-shelf (COTS) item '', paragraph (1)(i) by removing `` 
commercial item '' and `` commercial item '' and adding `` commercial 
product '' and `` commercial product '' in their places, respectively;
0
c. In paragraph (c)(2) by removing `` commercial item '' and adding `` 
commercial product '' in its place;
0
d. In the Alternate I clause--
0
i. By revising the clause date;
0
ii. In paragraph (a), in the definition of `` Commercially available 
off-the-shelf (COTS) item '', paragraph (1)(i) by removing `` 
commercial item '' and `` commercial item '' and adding `` commercial 
product '' and `` commercial product '' in their places, respectively; 
and
0
iii. In paragraph (c)(2) by removing `` commercial item '' and adding 
`` commercial product '' in its place;
0
e. In the Alternate II clause--
0
i. By revising the clause date;
0
ii. In paragraph (a), in the definition of `` Commercially available 
off-the-shelf (COTS) item '', paragraph (1)(i) by removing `` 
commercial item '' and `` commercial item '' and adding `` commercial 
product '' and `` commercial product '' in their places, respectively; 
and
0
iii. In paragraph (c)(2) by removing `` commercial item '' and adding 
`` commercial product '' in its place; and
0
f. In the Alternate III clause--
0
i. By revising the clause date;
0
ii. In paragraph (a), in the definition of `` Commercially available 
off-the-shelf (COTS) item '', paragraph (1)(i) by removing `` 
commercial item '' and `` commercial item '' and adding `` commercial 
product '' and `` commercial product '' in their places, respectively; 
and
0
iii. In paragraph (c)(2) by removing `` commercial item '' and adding 
`` commercial product '' in its place.
    The revisions read as follows:


252.225-7045  Balance of Payments Program--Construction Material Under 
Trade Agreements.

* * * * *

[[Page 6593]]

Balance of Payments Program--Construction Material Under Trade 
Agreements--Basic (Jan 2023)

* * * * *

Balance of Payments Program--Construction Material Under Trade 
Agreements--Alternate I (Jan 2023)

* * * * *

Balance of Payments Program--Construction Material Under Trade 
Agreements--Alternate II (Jan 2023)

* * * * *

Balance of Payments Program--Construction Material Under Trade 
Agreements--Alternate III (Jan 2023)

* * * * *

0
190. Amend section 252.225-7052--
0
a. By revising the clause date;
0
b. In paragraph (a), in the definition of `` Commercially available 
off-the-shelf item '', paragraph (1)(i) by removing `` commercial item 
'' and `` commercial item '' and adding `` commercial product '' and `` 
commercial product '' in their places, respectively; and
0
c. In paragraph (d), by removing `` commercial items '' and adding `` 
commercial products '' in its place.
    The revision reads as follows:


252.225-7052  Restriction on the Acquisition of Certain Magnets, 
Tantalum, and Tungsten.

* * * * *

Restriction on the Acquisition of Certain Magnets, Tantalum, and 
Tungsten (Jan 2023)

* * * * *

0
191. Amend section 252.225-7054--
0
a. By revising the clause date; and
0
b. In paragraph (c) by removing `` commercial items '' and adding `` 
commercial products '' in its place.
    The revision reads as follows:


252.225-7054  Prohibition on Use of Certain Energy Sourced from Inside 
the Russian Federation.

* * * * *

Prohibition on Use of Certain Energy Sourced From Inside the Russian 
Federation (Jan 2023)

* * * * *

0
192. Amend section 252.225-7056--
0
a. By revising the clause date; and
0
b. In paragraph (d) by removing `` commercial items '' and adding `` 
commercial products '' in its place.
    The revision reads as follows:


252.225-7056  Prohibition Regarding Business Operations with the Maduro 
Regime.

* * * * *

Prohibition Regarding Business Operations With the Maduro Regime (Jan 
2023)

* * * * *

0
193. Amend section 252.225-7058--
0
a. By revising the clause date; and
0
b. In paragraph (a), in the definition of `` Covered contract '', by 
removing `` commercial items '' and adding `` commercial products and 
commercial services '' in its place.
    The revision reads as follows:


252.225-7058   Postaward Disclosure of Employment of Individuals Who 
Work in the People's Republic of China.

* * * * *

Postaward Disclosure of Employment of Individuals Who Work In the 
People's Republic of China (Jan 2023)

0
194. Amend section 252.225-7060--
0
a. By revising the clause date; and
0
b. In paragraph (c) by removing `` commercial items and commercially 
available off-the-shelf items '' and adding `` commercial products, 
commercially available off-the-shelf items, and commercial services '' 
in its place.
    The revision reads as follows:


252.225-7060   Prohibition on Certain Procurements from the Xinjiang 
Uyghur Autonomous Region.

* * * * *

Prohibition on Certain Procurements From the Xinjiang Uyghur Autonomous 
Region (Jan 2023)

0
195. Amend section 252.226-7001--
0
a. By revising the section heading and clause date; and
0
b. In paragraph (f)(3) by removing `` commercial items '' and adding `` 
commercial products or commercial services '' in its place.
    The revisions read as follows:


252.226-7001  Utilization of Indian Organizations, Indian-Owned 
Economic Enterprises, and Native Hawaiian Small Business Concerns.

* * * * *

Utilization of Indian Organizations, Indian-Owned Economic Enterprises, 
and Native Hawaiian Small Business Concerns (Jan 2023)

* * * * *

0
196. Amend section 252.227-7013--
0
a. By revising the section heading, clause heading, and the clause 
date;
0
b. In paragraph (b) introductory text by removing `` world-wide '' and 
`` Rights in Noncommercial Computer Software and Noncommercial Computer 
Software Documentation '' and adding `` worldwide '' and `` Rights in 
Other Than Commercial Computer Software and Other Than Commercial 
Computer Software Documentation '' in their places, respectively;
0
c. In paragraph (f)(2) by removing `` to the Government purpose rights 
'' and `` Rights in Technical Data--Noncommercial Items '' and adding 
`` to the Government with government purpose rights '' and `` Rights in 
Technical Data--Other Than Commercial Products or Commercial Services 
'' in their places, respectively;
0
d. In paragraph (f)(3) by removing `` Rights in Technical Data--
Noncommercial Items '' and adding `` Rights in Technical Data--Other 
Than Commercial Products or Commercial Services '' in its place; and
0
e. In paragraph (k)(2) by removing `` noncommercial items '', `` 
commercial items '', and `` commercial item '' and adding `` other than 
commercial products or commercial services '', `` commercial products 
or commercial services '', and `` commercial product or commercial 
service '' in their places, respectively.
    The revisions read as follows:


252.227-7013  Rights in Technical Data--Other Than Commercial Products 
and Commercial Services.

* * * * *

Rights nn Technical Data--Other Than Commercial Products or Commercial 
Services (Jan 2023)

* * * * *

0
197. Amend section 252.227-7014--
0
a. By revising the section heading, introductory text, clause heading 
and date, and paragraphs (a)(14) and (a)(15) introductory text;
0
b. In paragraph (b) introductory text by removing `` world-wide '' and 
`` noncommercial computer software '' and adding `` worldwide '' and `` 
other than commercial computer software '' in their places, 
respectively;
0
c. In paragraphs (b)(3)(i) and (ii) by removing `` noncommercial 
computer software '' and adding `` other than commercial computer 
software '' in its place;
0
d. By revising paragraph (b)(4)(i);
0
e. In paragraph (f)(2) by removing `` Rights in Noncommercial Computer 
Software and Noncommercial Computer Software Documentation '' and 
adding `` Rights in Other Than Commercial Computer Software and Other 
Than Commercial Computer Software Documentation '' in its place;
0
f. In paragraph (f)(3) by removing ``Rights in Noncommercial Computer 
Software and Noncommercial Computer Software Documentation'' and adding 
``Rights in Other Than Commercial

[[Page 6594]]

Computer Software and Other Than Commercial Computer Software 
Documentation'' in its place; and
0
g. In paragraph (k)(1) by removing ``noncommercial computer software'' 
and adding ``other than commercial computer software'' in its place.
    The revisions read as follows:


252.227-7014  Rights in Other Than Commercial Computer Software and 
Other Than Commercial Computer Software Documentation.

    As prescribed in 227.7203-6(a)(1), use the following clause:

Rights In Other Than Commercial Computer Software and Other Than 
Commercial Computer Software Documentation (Jan 2023)

    (a) * * *
    (14) Other than commercial computer software means software that 
does not qualify as commercial computer software under the definition 
of ``commercial computer software'' of this clause.
    (15) Restricted rights apply only to other than commercial computer 
software and mean the Government's rights to--
* * * * *
    (b) * * *
    (4) * * *
    (i) The standard license rights granted to the Government under 
paragraphs (b)(1) through (3) of this clause, including the period 
during which the Government shall have government purpose rights in 
computer software, may be modified by mutual agreement to provide such 
rights as the parties consider appropriate but shall not provide the 
Government lesser rights in computer software than are enumerated in 
the definition of ``restricted rights'' of this clause or lesser rights 
in computer software documentation than are enumerated in the 
definition of ``limited rights'' of the Rights in Technical Data--Other 
Than Commercial Products and Commercial Services clause of this 
contract.
* * * * *

0
198. Amend section 252.227-7015--
0
a. By revising the section heading, clause heading, and clause date and 
paragraph (a)(1);
0
b. By removing paragraph (a)(4);
0
c. By redesignating paragraph (a)(5) as paragraph (a)(4);
0
d. In paragraphs (b)(2)(i) and (ii) by removing ``commercial items'' 
and adding ``commercial products'' in its place; and
0
e. In paragraph (e)(2) by removing ``commercial items'' and 
``commercial item'' and adding ``commercial products or commercial 
services'' and ``commercial product or commercial service'' in their 
places, respectively.
    The revisions read as follows:


252.227-7015  Technical Data--Commercial Products and Commercial 
Services.

* * * * *

Technical Data--Commercial Products and Commercial Services (Jan 2023)

* * * * *
    (a) * * *
    (1) Commercial product and commercial service includes commercial 
components and commercial processes but does not include commercial 
computer software.
* * * * *

0
199. Amend section 252.227-7016 by revising the section heading, clause 
date, and paragraphs (a) and (c)(2) to read as follows:


252.227-7016   Rights in Bid or Proposal Information.

* * * * *

Rights In Bid or Proposal Information (Jan 2023)

    (a) Definitions.
    (1) For contracts that require the delivery of technical data, the 
terms ``technical data'' and ``computer software'' are defined in the 
Rights in Technical Data--Other Than Commercial Products and Commercial 
Services clause of this contract or, if this is a contract awarded 
under the Small Business Innovation Research Program, the Rights in 
Other Than Commercial Technical Data and Computer Software--Small 
Business Innovation Research (SBIR) Program clause of this contract.
    (2) For contracts that do not require the delivery of technical 
data, the term ``computer software'' is defined in the Rights in Other 
Than Commercial Computer Software and Other Than Commercial Computer 
Software Documentation clause of this contract or, if this is a 
contract awarded under the Small Business Innovation Research Program, 
the Rights in Other Than Commercial Technical Data and Computer 
Software--Small Business Innovation Research (SBIR) Program clause of 
this contract.
* * * * *
    (c) * * *
    (2) The Government's right to use, modify, reproduce, release, 
perform, display, or disclose information that is technical data or 
computer software required to be delivered under this contract are 
determined by the Rights in Technical Data--Other Than Commercial 
Products and Commercial Services, Rights in Other Than Commercial 
Computer Software and Other Than Commercial Computer Software 
Documentation, or Rights in Other Than Commercial Technical Data and 
Computer Software--Small Business Innovation Research (SBIR) Program 
clause(s) of this contract.
* * * * *

0
200. Amend section 252.227-7017 by revising the section heading, 
provision date, and paragraph (a) to read as follows:


252.227-7017  Identification and Assertion of Use, Release, or 
Disclosure Restrictions.

* * * * *

Identification and Assertion of Use, Release, or Disclosure 
Restrictions (Jan 2023)

    (a) The terms used in this provision are defined in the following 
clause or clauses contained in this solicitation:
    (1) If a successful offeror will be required to deliver technical 
data, the Rights in Technical Data--Other Than Commercial Products and 
Commercial Services clause, or, if this solicitation contemplates a 
contract under the Small Business Innovation Research Program, the 
Rights in Other Than Commercial Technical Data and Computer Software--
Small Business Innovation Research (SBIR) Program clause.
    (2) If a successful offeror will not be required to deliver 
technical data, the Rights in Other Than Commercial Computer Software 
and Other Than Commercial Computer Software Documentation clause, or, 
if this solicitation contemplates a contract under the Small Business 
Innovation Research Program, the Rights in Other Than Commercial 
Technical Data and Computer Software--Small Business Innovation 
Research (SBIR) Program clause.
* * * * *

0
201. Amend section 252.227-7018--
0
a. By revising the section heading, clause heading, clause date, and 
paragraphs (a)(17) and (a)(18) introductory text;
0
b. In paragraph (b) introductory text by removing ``world-wide'' and 
``noncommercial computer software'' and adding ``worldwide'' and 
``other than commercial computer software'' in their places, 
respectively;
0
c. In paragraph (b)(3) by removing ``noncommercial computer software'' 
and adding ``other than commercial computer software'' in its place;
0
d. In paragraph (f)(2) by removing ``Rights in Noncommercial Technical 
Data and Computer Software--Small Business Innovation Research (SBIR)

[[Page 6595]]

Program'' and adding ``Rights in Other Than Commercial Technical Data 
and Computer Software--Small Business Innovation Research (SBIR) 
Program'' in its place;
0
e. In paragraph (f)(3) by removing ``Rights in Noncommercial Technical 
Data and Computer Software--Small Business Innovation Research (SBIR) 
Program'' and adding ``Rights in Other Than Commercial Technical Data 
and Computer Software--Small Business Innovation Research (SBIR) 
Program'' in its place;
0
f. In paragraph (f)(4) by--
0
i. Revising the heading; and
0
ii. Removing ``Rights in Noncommercial Technical Data and Computer 
Software--Small Business Innovation Research (SBIR) Program'' and 
adding ``Rights in Other Than Commercial Technical Data and Computer 
Software--Small Business Innovation Research (SBIR) Program'' in its 
place; and
0
g. By revising paragraph (k)(2).
    The revisions read as follows:


252.227-7018  Rights in Other Than Commercial Technical Data and 
Computer Software--Small Business Innovation Research (SBIR) Program.

* * * * *

Rights In Other Than Commercial Technical Data and Computer Software--
Small Business Innovation Research (SBIR) Program (Jan 2023)

    (a) * * *
    (17) Other than commercial computer software means software that 
does not qualify as commercial computer software under the definition 
of ``commercial computer software'' of this clause.
    (18) Restricted rights apply only to other than commercial computer 
software and mean the Government's rights to--
* * * * *
    (f) * * *
    (4) SBIR data rights markings. * * *
* * * * *
    (k) * * *
    (2) Whenever any other than commercial technical data or computer 
software is to be obtained from a subcontractor or supplier for 
delivery to the Government under this contract, the Contractor shall 
use this same clause in the subcontract or other contractual 
instrument, and require its subcontractors or suppliers to do so, 
without alteration, except to identify the parties. The Contractor 
shall use the Technical Data--Commercial Products and Commercial 
Services clause of this contract to obtain technical data pertaining to 
commercial products, commercial components, commercial services, or 
commercial processes. No other clause shall be used to enlarge or 
diminish the Government's, the Contractor's, or a higher tier 
subcontractor's or supplier's rights in a subcontractor's or supplier's 
technical data or computer software.
* * * * *

0
202. Amend section 252.227-7019 by revising the section heading, clause 
date, and paragraph (a)(2) to read as follows:


252.227-7019  Validation of Asserted Restrictions--Computer Software.

* * * * *

Validation of Asserted Restrictions--Computer Software (Jan 2023)

    (a) * * *
    (2) Other terms used in this clause are defined in the Rights in 
Other Than Commercial Computer Software and Other Than Commercial 
Computer Software Documentation clause of this contract.
* * * * *

0
203. Amend section 252.227-7025--
0
a. By revising the clause date;
0
b. In paragraph (a)(1) by removing ``Rights in Technical Data-
Noncommercial Items'' and adding ``Rights in Technical Data--Other Than 
Commercial Products and Commercial Services'' in its place;
0
c. In paragraph (a)(2) by removing ``Rights in Noncommercial Computer 
Software and Noncommercial Computer Software Documentation'' and adding 
``Rights in Other Than Commercial Computer Software and Other Than 
Commercial Computer Software Documentation'' in its place;
0
d. In paragraph (a)(3) by removing ``Rights in Noncommercial Technical 
Data and Computer Software--Small Business Innovation Research (SBIR) 
Program'' and adding ``Rights in Other Than Commercial Technical Data 
and Computer Software--Small Business Innovation Research (SBIR) 
Program'' in its place; and
0
e. In paragraph (b)(4)(i) by removing ``commercial item'' and 
``commercial items'' and adding ``commercial product or commercial 
service'' and ``commercial products'' in their places, respectively.
    The revision reads as follows:


252.227-7025  Limitations on the Use or Disclosure of Government-
Furnished Information Marked with Restrictive Legends.

* * * * *

Limitations on the Use or Disclosure of Government-Furnished 
Information Marked With Restrictive Legends (Jan 2023)

* * * * *

0
204. Amend section 252.227-7037--
0
a. By revising the clause date;
0
b. In paragraph (a) by removing ``Rights in Technical Data--
Noncommercial Items'' and adding ``Rights in Technical Data--Other Than 
Commercial Products and Commercial Services'' in its place;
0
c. By revising the heading for paragraph (b);
0
d. In paragraph (b) by removing ``commercial item'' and adding 
``commercial product or commercial service'' in its place;
0
e. In paragraph (e)(1)(i) by removing ``commercial items'' and 
``commercial item'' and adding ``commercial products or commercial 
services'' and ``commercial product or commercial service'' in their 
places, respectively;
0
f. In paragraph (f) by removing ``commercial items'' and ``commercial 
item'' and adding ``commercial products or commercial services'' and 
``commercial product or commercial service'' in their places, 
respectively;
0
g. In paragraph (g)(2)(i) by removing ``commercial items'' and 
``commercial item'' and adding ``commercial products or commercial 
services'' and ``commercial product or service'' in their places, 
respectively; and
0
h. In paragraph (l), by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place.
    The revisions read as follows:


252.227-7037  Validation of Restrictive Markings on Technical Data.

* * * * *

Validation of Restrictive Markings on Technical Data (Jan 2023)

* * * * *
    (b) Commercial products or commercial services--presumption 
regarding development exclusively at private expense. * * *
* * * * *

0
205. Amend section 252.232-7006--
0
a. By revising the clause date; and
0
b. In paragraph (f)(1)(v), by removing ``item''.
    The revision reads as follows:


252.232-7006  Wide Area WorkFlow Payment Instructions.

* * * * *

Wide Area Workflow Payment Instructions (Jan 2023)

* * * * *

[[Page 6596]]


0
206. Amend section 252.232-7017--
0
a. By revising the clause date; and
0
b. In paragraph (c) by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place.
    The revision reads as follows:


252.232-7017  Accelerating Payments to Small Business Subcontractors--
Prohibition on Fees and Consideration.

* * * * *

Accelerating Payments to Small Business Subcontractors--Prohibition on 
Fees and Consideration (Jan 2023)

* * * * *

0
207. Amend section 252.236-7013--
0
a. By revising the section heading and clause date; and
0
b. In paragraph (c) by removing ``commercial items'' and adding 
``commercial products'' in its place.
    The revisions read as follows:


252.236-7013  Requirement for Competition Opportunity for American 
Steel Producers, Fabricators, and Manufacturers.

* * * * *

Requirement for Competition Opportunity for American Steel Producers, 
Fabricators, and Manufacturers (Jan 2023)

* * * * *

0
208. Amend section 252.237-7010--
0
a. By revising the section heading and clause date; and
0
b. In paragraph (c) by removing ``commercial items'' and adding 
``commercial services'' in its place.
    The revisions read as follows:


252.237-7010   Prohibition on Interrogation of Detainees by Contractor 
Personnel.

* * * * *

Prohibition on Interrogation of Detainees by Contractor Personnel (Jan 
2023)

* * * * *

0
209. Amend section 252.237-7019--
0
a. By revising the clause date; and
0
b. In paragraph (c) by removing ``commercial items'' and adding 
``commercial services'' in its place.
    The revision reads as follows:


252.237-7019   Training for Contractor Personnel Interacting with 
Detainees.

* * * * *

Training for Contractor Personnel Interacting With Detainees (Jan 2023)

* * * * *

0
210. Amend section 252.239-7010--
0
a. By revising the clause date; and
0
b. In paragraph (l) by removing ``commercial items'' and adding 
``commercial services'' in its place.
    The revision reads as follows:


252.239-7010  Cloud Computing Services.

* * * * *

Cloud Computing Services (Jan 2023)

* * * * *

0
211. Amend section 252.244-7000--
0
a. By revising the section heading, clause heading, and clause date; 
and
0
b. In paragraphs (a) and (b) by removing ``commercial items'' and 
adding ``commercial products or commercial services'' in its place;
0
c. In paragraphs (c)(1) and (2) by removing ``commercial items'' and 
adding ``commercial products'' in its place;
0
d. In paragraph (d) by removing ``commercial items'' and adding 
``commercial products or commercial services'' in its place.
    The revisions read as follows:


252.244-7000  Subcontracts for Commercial Products or Commercial 
Services.

* * * * *

Subcontracts for Commercial Products or Commercial Services (Jan 2023)

* * * * *

0
212. Amend section 252.246-7003--
0
a. By revising the clause date; and
0
b. In paragraph (f) introductory text, by adding a heading; and
0
c. In paragraph (f)(2) introductory text by removing ``commercial 
items'' and adding ``commercial products or commercial services'' in 
its place.
    The revision and addition read as follows:


252.246-7003  Notification of Potential Safety Issues.

* * * * *

Notification of Potential Safety Issues (Jan 2023)

* * * * *
    (f) Subcontracts.
* * * * *

0
213. Amend section 252.246-7007--
0
a. By revising the clause date; and
0
b. In paragraph (e) by--
0
i. Adding a heading; and
0
ii. Removing ``commercial items'' and adding ``commercial products'' in 
its place.
    The revision and addition read as follows:


252.246-7007  Contractor Counterfeit Electronic Part Detection and 
Avoidance System.

* * * * *

Contractor Counterfeit Electronic Part Detection and Avoidance System 
(Jan 2023)

* * * * *
    (e) Subcontracts. * * *
* * * * *

0
214. Amend section 252.246-7008--
0
a. By revising the clause date; and
0
b. In paragraph (e) by removing ``commercial items'' and adding 
``commercial products'' in its place.
    The revision reads as follows:


252.246-7008   Sources of Electronic Parts.

* * * * *

Sources of Electronic Parts (Jan 2023)

* * * * *

0
215. Amend section 252.247-7003--
0
a. By revising the clause date; and
0
b. In paragraph (c) by--
0
i. Adding a heading; and
0
ii. Removing ``commercial items'' and adding ``commercial products or 
commercial services'' in its place.
    The revision and addition read as follows:


252.247-7003   Pass-Through of Motor Carrier Fuel Surcharge Adjustment 
to the Cost Bearer.

* * * * *

Pass-Through of Motor Carrier Fuel Surcharge Adjustment to the Cost 
Bearer (Jan 2023)

* * * * *
    (c) Subcontracts. * * *
* * * * *

0
216. Amend section 252.247-7023--
0
a. By revising the section heading and clause date; and
0
b. In paragraph (b)(2)(ii)(A) by removing ``Noncommercial items'' and 
adding ``Other than commercial products'' in its place;
0
c. In paragraph (b)(2)(ii)(B) introductory text by removing 
``Commercial items'' and adding ``Commercial products'' in its place;
0
d. In paragraph (i) introductory text by--
0
i. Adding a heading; and
0
ii. Removing ``commercial items'' and adding ``commercial products'' in 
its place;
0
e. In the Alternate I clause--
0
i. By revising the clause date;
0
ii. In paragraph (b)(2)(i) by removing ``Noncommercial items'' and 
adding ``Other than commercial products'' in its place;
0
iii. In paragraph (b)(2)(ii) introductory text by removing ``Commercial 
items'' and adding ``Commercial products'' in its place;
0
iv. In paragraph (b)(2)(ii)(B) by removing ``commercial items'' and 
adding ``commercial products'' in its place; and
0
v. In paragraph (i) introductory text by--

[[Page 6597]]

0
A. Adding a heading; and
0
B. Removing ``commercial items'' and adding ``commercial products'' in 
its place; and
0
f. In the Alternate II clause--
0
i. By revising the clause date;
0
ii. In paragraph (b)(2)(i) by removing ``Noncommercial items'' and 
adding ``Other than commercial products'' in its place;
0
iii. In paragraph (b)(2)(ii) introductory text by removing ``Commercial 
items'' and adding ``Commercial products'' in its place; and
0
iv. In paragraph (i) introductory text by--
0
A. Adding a heading; and
0
B. Removing ``commercial items'' and adding ``commercial products'' in 
its place.
    The revisions and additions read as follows:


252.247-7023   Transportation of Supplies by Sea.

* * * * *

Transportation of Supplies by Sea--Basic (Jan 2023)

* * * * *
    (i) Subcontracts. * * *
* * * * *

Transportation of Supplies by Sea--Alternate I (Jan 2023)

* * * * *
    (i) Subcontracts. * * *
* * * * *

Transportation of Supplies By Sea--Alternate II (Jan 2023)

* * * * *
    (i) Subcontracts. * * *
* * * * *
[FR Doc. 2023-01294 Filed 1-30-23; 8:45 am]
BILLING CODE 5001-06-P
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