Defense Federal Acquisition Regulation Supplement: Modification of Notification of Intent To Transport Supplies by Sea (DFARS Case 2020-D026), 78990-78992 [2024-21091]
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78990
Federal Register / Vol. 89, No. 187 / Thursday, September 26, 2024 / Rules and Regulations
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations
System
48 CFR Parts 204, 212, 247, and 252
[Docket DARS–2024–0007]
RIN 0750–AL12
Defense Federal Acquisition
Regulation Supplement: Modification
of Notification of Intent To Transport
Supplies by Sea (DFARS Case 2020–
D026)
Defense Acquisition
Regulations System, Department of
Defense (DoD).
ACTION: Final rule.
AGENCY:
DoD is issuing a final rule
amending the Defense Federal
Acquisition Regulation Supplement
(DFARS) to remove a DFARS
solicitation provision and modify the
text of an existing DFARS contract
clause to include the operative text of
that DFARS provision.
DATES: Effective October 1, 2024.
FOR FURTHER INFORMATION CONTACT:
David Johnson, telephone 202–913–
5764.
SUMMARY:
SUPPLEMENTARY INFORMATION:
I. Background
DoD published a proposed rule in the
Federal Register at 89 FR 20924 on
March 26, 2024, to revise the DFARS to
remove the solicitation provision at
DFARS 252.247–7022, Representation of
Extent of Transportation By Sea, and to
revise the contract clause at DFARS
252.247–7023, Transportation of
Supplies by Sea, accordingly, to effect
the purpose of the provision using only
the clause. Two respondents 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. A
discussion of the comments is provided,
as follows:
khammond on DSKJM1Z7X2PROD with RULES2
A. Summary of Significant Changes
From the Proposed Rule
There are no changes from the
proposed rule.
B. Analysis of Public Comments
Comment: The respondents expressed
support for the rule.
Response: DoD acknowledges the
respondents’ support.
VerDate Sep<11>2014
17:15 Sep 25, 2024
Jkt 262001
III. Applicability to Contracts at or
Below the Simplified Acquisition
Threshold (SAT), for Commercial
Products (Including Commercially
Available Off-the-Shelf (COTS) Items),
and for Commercial Services
This final rule removes the provision
at DFARS 252.247–7022, along with its
prescription at DFARS 247.574(a), and
amends the clause at DFARS 252.247–
7032 accordingly to include the
substance of the provision. However,
this final rule does not impose any new
requirements on contracts at or below
the SAT, for commercial products
including COTS items, or for
commercial services. The clause will
continue to apply to acquisitions at or
below the SAT, to acquisitions of
commercial products including COTS
items, and to acquisitions of commercial
services.
IV. Expected Impact of the Rule
This change is expected to streamline
instructions to contractors regarding
notifications of transportation of
supplies by sea. Presently, DFARS
provision 252.247–7022 is included in
nearly all solicitations and DFARS
clause 252.247–7023 is included in
nearly all contracts. By effectively
combining the provision and the clause,
this rule will reduce the number of
provisions required to be used in
solicitations and the number of
representations offerors must provide,
while still maintaining the effect of
DFARS provision 252.247–7022.
Therefore, this rule is expected to
reduce administrative burden on
contractors, including small businesses.
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, as amended.
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
PO 00000
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Fmt 4701
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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.
VII. Regulatory Flexibility Act
A final regulatory flexibility analysis
has been prepared consistent with the
Regulatory Flexibility Act, 5 U.S.C. 601,
et seq. and is summarized as follows:
DoD is amending the DFARS to
remove a solicitation provision and
accordingly to modify the text of an
existing DFARS contract clause to
include the operative text of that DFARS
provision. The objective of this rule is
to streamline the instructions to
contractors pertaining to the
transportation of supplies by sea.
Public comments received in response
to the proposed rule raised no issues
regarding the initial regulatory
flexibility analysis.
This rule will likely affect small
entities that will be awarded contract
actions that include DFARS clause
252.247–7023, Transportation of
Supplies by Sea. Data was obtained
from the Procurement Business
Intelligence Service for all contracts and
modifications that include DFARS
clause 252.247–7023 for fiscal years
2020 through 2022. DoD awarded on
average 642,310 contract actions per
year that included DFARS clause
252.247–7023 to 30,680 unique entities,
of which approximately 359,315
contract awards (56 percent) were made
to 21,070 unique small entities (69
percent).
The rule does not impose any new
reporting, recordkeeping, or compliance
requirements.
There are no known significant
alternatives that would accomplish the
objectives of the rule.
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
by the Office of Management and
Budget (OMB) under OMB Control
Number 0704–0245, entitled Defense
Federal Acquisition Regulation
Supplement (DFARS) Part 247,
Transportation and Related Clauses.
E:\FR\FM\26SER2.SGM
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Federal Register / Vol. 89, No. 187 / Thursday, September 26, 2024 / Rules and Regulations
List of Subjects in 48 CFR Parts 204,
212, 247, and 252
Government procurement.
Jennifer D. Johnson,
Editor/Publisher, Defense Acquisition
Regulations System.
Therefore, the Defense Acquisition
Regulations System amends 48 CFR
parts 204, 212, 247, and 252 as follows:
■ 1. The authority citation for parts 204,
212, 247, and 252 continues to read as
follows:
Authority: 41 U.S.C. 1303 and 48 CFR
chapter 1.
PART 204—ADMINISTRATIVE AND
INFORMATION MATTERS
204.1202
[Amended]
2. Amend section 204.1202 by
removing paragraph (2)(xv).
■
PART 212—ACQUISITION OF
COMMERCIAL PRODUCTS AND
COMMERCIAL SERVICES
3. Amend section 212.301 by revising
paragraph (f)(xxi) to read as follows:
212.301 Solicitation provisions and
contract clauses for the acquisition of
commercial products and commercial
services.
khammond on DSKJM1Z7X2PROD with RULES2
*
*
*
*
(f) * * *
(xxi) Part 247—Transportation. (A)
Use the clause at 252.247–7003, PassThrough of Motor Carrier Fuel
Surcharge Adjustment to the Cost
Bearer, as prescribed in 247.207, to
comply with section 884 of Public Law
110–417.
(B) Use the basic or one of the
alternates of the clause at 252.247–7023,
Transportation of Supplies by Sea, as
prescribed in 247.574(a), to comply with
the Cargo Preference Act of 1904 (10
U.S.C. 2631(a)).
(1) Use the basic clause as prescribed
in 247.574(a)(1).
(2) Use the alternate I clause as
prescribed in 247.574(a)(2).
(3) Use the alternate II clause as
prescribed in 247.574(a)(3).
(C) Use the clause 252.247–7025,
Reflagging or Repair Work, as prescribed
in 247.574(b), to comply with 10 U.S.C.
2631(b).
(D) Use the provision at 252.247–
7026, Evaluation Preference for Use of
Domestic Shipyards—Applicable to
Acquisition of Carriage by Vessel for
DoD Cargo in the Coastwise or
Noncontiguous Trade, as prescribed in
247.574(c), to comply with section 1017
of Public Law 109–364.
(E) Use the clause at 252.247–7027,
Riding Gang Member Requirements, as
VerDate Sep<11>2014
17:15 Sep 25, 2024
Jkt 262001
PART 247—TRANSPORTATION
247.574
[Amended]
4. Amend section 247.574—
a. By removing paragraph (a);
b. By redesignating paragraphs (b)
through (e) as paragraphs (a) through
(d);
■ c. In newly redesignated paragraph (a)
introductory text by removing ‘‘all’’; and
■ d. In newly redesignated paragraph
(d) by removing ‘‘under chapter 121 of
title 46 U.S.C.’’ and adding ‘‘46 U.S.C.
chapter 121.’’ in its place.
■
■
■
PART 252—SOLICITATION
PROVISIONS AND CONTRACT
CLAUSES
■
*
prescribed in 247.574(d), to comply
with section 3504 of the National
Defense Authorization Act for Fiscal
Year 2009 (Pub. L. 110–417).
(F) Use the clause at 252.247–7028,
Application for U.S. Government
Shipping Documentation/Instructions,
as prescribed in 247.207.
252.204–7007
[Amended]
5. Amend section 252.204–7007—
a. By removing the provision date of
‘‘NOV 2023’’ and adding ‘‘OCT 2024’’ in
its place; and
■ b. By removing paragraph (d)(1)(viii).
■
■
252.247–7022
[Removed and Reserved]
6. Remove and reserve section
252.247–7022.
■ 7. Amend section 252.247–7023—
■ a. By revising the introductory text
and the clause date;
■ b. By redesignating paragraphs (b)
through (i) as paragraphs (c) through (j);
■ c. By adding a new paragraph (b);
■ d. By revising newly redesignated
paragraphs (e)(2), (f) introductory text,
and (i);
■ e. In newly redesignated paragraph (j)
introductory text by removing ‘‘(b)(2)’’
and adding ‘‘(c)(2)’’ in its place;
■ f. In newly redesignated paragraph
(j)(1) by removing ‘‘paragraph (i)’’ and
adding ‘‘paragraph (j)’’ in its place;
■ g. In newly redesignated paragraph
(j)(2) by removing ‘‘paragraphs (a)
through (e)’’ and ‘‘paragraph (i)’’ and
adding ‘‘paragraphs (a) through (f)’’ and
‘‘paragraph (j)’’ in their places,
respectively;
■ h. In Alternate I—
■ i. By revising the introductory text
and the clause date;
■ ii. By redesignating paragraphs (b)
through (i) as paragraphs (c) through (j);
■ iii. By adding a new paragraph (b);
■ iv. By revising newly redesignated
paragraphs (e)(2), (f) introductory text,
and (i);
■
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78991
v. In newly redesignated paragraph (j)
introductory text by removing ‘‘(b)(2)’’
and adding ‘‘(c)(2)’’ in its place;
■ vi. In newly redesignated paragraph
(j)(1) by removing ‘‘paragraph (i)’’ and
adding ‘‘paragraph (j)’’ in its place;
■ vii. In the newly redesignated
paragraph (j)(2) by removing
‘‘paragraphs (a) through (e)’’ and
‘‘paragraph (i)’’ and adding ‘‘paragraphs
(a) through (f)’’ and ‘‘paragraph (j)’’ in
their places, respectively; and
■ viii. By adding ‘‘(End of clause)’’ after
newly redesignated paragraph (j)(2); and
■ i. In Alternate II—
■ i. By revising the introductory text
and the clause date;
■ ii. By redesignating paragraphs (b)
through (i) as paragraphs (c) through (j);
■ iii. By adding a new paragraph (b);
■ iv. By revising newly redesignated
paragraphs (e)(2), (f) introductory text,
and (i);
■ v. In newly redesignated paragraph (j)
introductory text by removing ‘‘(b)(2)’’
and adding ‘‘(c)(2)’’ in its place;
■ vi. In newly redesignated paragraph
(j)(1) by removing ‘‘paragraph (i)’’ and
adding ‘‘paragraph (j)’’ in its place;
■ vii. In newly redesignated paragraph
(j)(2) by removing ‘‘paragraphs (a)
through (e)’’ and ‘‘paragraph (i)’’ and
adding ‘‘paragraphs (a) through (f)’’ and
‘‘paragraph (j)’’ in their places,
respectively; and
■ viii. By adding ‘‘(End of clause)’’ after
newly redesignated paragraph (j)(2).
The revisions and additions read as
follows:
■
252.247–7023
by Sea.
Transportation of Supplies
As prescribed in 247.574(a) and (a)(1),
use the following basic clause:
Transportation of Supplies by Sea—
Basic (OCT 2024)
*
*
*
*
*
(b) If the transportation of supplies by
sea is anticipated under this contract,
the Contractor shall—
(1) Notify the Contracting Officer and
Maritime Administration (MARAD) at
Cargo.Marad@dot.gov—
(i) Within 3 business days after
contract award; or
(ii) Immediately prior to the shipment
departure date necessary to meet
delivery schedules, whichever is earlier;
and
(2) Include in the notification—
(i) A statement of the Contractor’s
intent to transport supplies by sea;
(ii) The contract number; and
(iii) The task-order or delivery-order
number, when applicable.
*
*
*
*
*
(e) * * *
E:\FR\FM\26SER2.SGM
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Federal Register / Vol. 89, No. 187 / Thursday, September 26, 2024 / Rules and Regulations
(2) Required shipping date(s) and
required delivery date(s);
*
*
*
*
*
(f) The Contractor shall, within 30
days after each shipment covered by
this clause, provide the Contracting
Officer and MARAD at Cargo.Marad@
dot.gov, Attention: Military Team, one
copy of the rated on board vessel
operating carrier’s ocean bill of lading,
which shall contain the following
information:
*
*
*
*
*
(i) If the Contractor did not anticipate
transporting any supplies by sea at the
time of contract award and, therefore,
did not provide the notification required
by paragraph (b) of this clause, but prior
to shipment of supplies, the Contractor
learns that supplies will be transported
by sea, the Contractor shall—
(1) Provide the notification required
by paragraph (b) of this clause to the
Contracting Officer and MARAD as soon
as it is known that supplies will be
transported by sea; and
(2) Comply with all the terms and
conditions of this clause.
*
*
*
*
*
Alternate I. As prescribed in
247.574(a) and (a)(2), use the following
clause, which uses a different paragraph
(c) than the basic clause:
Transportation of Supplies by Sea—
Alternate I (OCT 2024)
khammond on DSKJM1Z7X2PROD with RULES2
*
*
*
*
*
(b) If the transportation of supplies by
sea is anticipated under this contract,
the Contractor shall—
(1) Notify the Contracting Officer and
Maritime Administration (MARAD) at
Cargo.Marad@dot.gov—
(i) Within 3 business days after
contract award; or
(ii) Immediately prior to the shipment
departure date necessary to meet
delivery schedules, whichever is earlier;
and
(2) Include in the notification—
(i) A statement of the Contractor’s
intent to transport supplies by sea;
(ii) The contract number; and
(iii) The task-order or delivery-order
number, when applicable.
*
*
*
*
*
(e) * * *
(2) Required shipping date(s) and
required delivery date(s);
*
*
*
*
*
(f) The Contractor shall, within 30
days after each shipment covered by
this clause, provide the Contracting
Officer and MARAD at Cargo.Marad@
dot.gov, Attention: Military Team, one
copy of the rated on board vessel
operating carrier’s ocean bill of lading,
VerDate Sep<11>2014
17:15 Sep 25, 2024
Jkt 262001
which shall contain the following
information:
*
*
*
*
*
(i) If the Contractor did not anticipate
transporting any supplies by sea at the
time of contract award and, therefore,
did not provide the notification required
by paragraph (b) of this clause, but prior
to shipment of the supplies, the
Contractor learns that supplies will be
transported by sea, the Contractor
shall—
(1) Provide the notification required
by paragraph (b) of this clause to the
Contracting Officer and MARAD as soon
as it is known that supplies will be
transported by sea; and
(2) Comply with all the terms and
conditions of this clause.
*
*
*
*
*
Alternate II. As prescribed in
247.574(a) and (a)(3), use the following
clause, which uses a different paragraph
(c) than the basic clause:
Transportation of Supplies by Sea—
Alternate II (OCT 2024)
*
*
*
*
*
(b) If the transportation of supplies by
sea is anticipated under this contract,
the Contractor shall—
(1) Notify the Contracting Officer and
Maritime Administration (MARAD) at
Cargo.Marad@dot.gov—
(i) Within 3 business days after
contract award; or
(ii) Immediately prior to the shipment
departure date necessary to meet
delivery schedules, whichever is earlier;
and
(2) Include in the notification—
(i) A statement of the Contractor’s
intent to transport supplies by sea;
(ii) The contract number; and
(iii) The task-order or delivery-order
number, when applicable.
*
*
*
*
*
(e) * * *
(2) Required shipping date(s) and
required delivery date(s);
*
*
*
*
*
(f) The Contractor shall, within 30
days after each shipment covered by
this clause, provide the Contracting
Officer and MARAD at Cargo.Marad@
dot.gov, Attention: Military Team, one
copy of the rated on board vessel
operating carrier’s ocean bill of lading,
which shall contain the following
information:
*
*
*
*
*
(i) If the Contractor did not anticipate
transporting any supplies by sea at the
time of contract award, and, therefore,
did not provide the notification required
by paragraph (b) of this clause, but prior
to shipment of the supplies, the
Contractor learns after the award of the
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Sfmt 4700
contract that supplies will be
transported by sea, the Contractor
shall—
(1) Provide the notification required
by paragraph (b) of this clause to the
Contracting Officer and MARAD as soon
as it is known that supplies will be
transported by sea; and
(2) Comply with all the terms and
conditions of this clause.
*
*
*
*
*
■ 8. Amend section 252.247–7025—
■ a. By revising the section heading; and
■ b. In the introductory text by
removing ‘‘247.574(c)’’ and adding
‘‘247.574(b)’’ in its place.
The revision reads as follows:
252.247–7025
*
*
*
252.247–7026
Reflagging or Repair Work.
*
*
[Amended]
9. Amend section 252.247–7026 in the
introductory text by removing
‘‘247.574(d)’’ and adding ‘‘247.574(c)’’
in its place.
■ 10. Amend section 252.247–7027—
■ a. By revising the section heading; and
■ b. In the introductory text by
removing ‘‘247.574(e)’’ and adding
‘‘247.574(d)’’ in its place.
The revision reads as follows:
■
252.247–7027 Riding Gang Member
Requirements.
*
*
*
*
*
[FR Doc. 2024–21091 Filed 9–25–24; 8:45 am]
BILLING CODE 6001–FR–P
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations
System
48 CFR Parts 242, 247, and 252
[Docket DARS–2024–0013]
RIN 0750–AL38
Defense Federal Acquisition
Regulation Supplement: Preference for
United States Vessels in Transporting
Supplies By Sea (DFARS Case 2021–
D020)
Defense Acquisition
Regulations System, Department of
Defense (DoD).
ACTION: Final rule.
AGENCY:
DoD is issuing a final rule
amending the Defense Federal
Acquisition Regulation Supplement
(DFARS) to implement a section of the
William M. (Mac) Thornberry National
Defense Authorization Act for Fiscal
Year 2021 intended to increase
compliance with military cargo
preference requirements.
SUMMARY:
E:\FR\FM\26SER2.SGM
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]]>Agencies
[Federal Register Volume 89, Number 187 (Thursday, September 26, 2024)]
[Rules and Regulations]
[Pages 78990-78992]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-21091]
[[Page 78989]]
Vol. 89
Thursday,
No. 187
September 26, 2024
Part II
Department of Defense
-----------------------------------------------------------------------
Defense Acquistion Regulations Systems
-----------------------------------------------------------------------
48 CFR Parts 204, 212, 247, 252
Defense Federal Acquisition Regulation Supplement: Modification of
Notification of Intent To Transport Supplies by Sea (DFARS Case 2020-
D026); Final Rule
Federal Register / Vol. 89 , No. 187 / Thursday, September 26, 2024 /
Rules and Regulations
[[Page 78990]]
-----------------------------------------------------------------------
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System
48 CFR Parts 204, 212, 247, and 252
[Docket DARS-2024-0007]
RIN 0750-AL12
Defense Federal Acquisition Regulation Supplement: Modification
of Notification of Intent To Transport Supplies by Sea (DFARS Case
2020-D026)
AGENCY: Defense Acquisition Regulations System, Department of Defense
(DoD).
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: DoD is issuing a final rule amending the Defense Federal
Acquisition Regulation Supplement (DFARS) to remove a DFARS
solicitation provision and modify the text of an existing DFARS
contract clause to include the operative text of that DFARS provision.
DATES: Effective October 1, 2024.
FOR FURTHER INFORMATION CONTACT: David Johnson, telephone 202-913-5764.
SUPPLEMENTARY INFORMATION:
I. Background
DoD published a proposed rule in the Federal Register at 89 FR
20924 on March 26, 2024, to revise the DFARS to remove the solicitation
provision at DFARS 252.247-7022, Representation of Extent of
Transportation By Sea, and to revise the contract clause at DFARS
252.247-7023, Transportation of Supplies by Sea, accordingly, to effect
the purpose of the provision using only the clause. Two respondents
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. A discussion of the comments is provided, as follows:
A. Summary of Significant Changes From the Proposed Rule
There are no changes from the proposed rule.
B. Analysis of Public Comments
Comment: The respondents expressed support for the rule.
Response: DoD acknowledges the respondents' support.
III. Applicability to Contracts at or Below the Simplified Acquisition
Threshold (SAT), for Commercial Products (Including Commercially
Available Off-the-Shelf (COTS) Items), and for Commercial Services
This final rule removes the provision at DFARS 252.247-7022, along
with its prescription at DFARS 247.574(a), and amends the clause at
DFARS 252.247-7032 accordingly to include the substance of the
provision. However, this final rule does not impose any new
requirements on contracts at or below the SAT, for commercial products
including COTS items, or for commercial services. The clause will
continue to apply to acquisitions at or below the SAT, to acquisitions
of commercial products including COTS items, and to acquisitions of
commercial services.
IV. Expected Impact of the Rule
This change is expected to streamline instructions to contractors
regarding notifications of transportation of supplies by sea.
Presently, DFARS provision 252.247-7022 is included in nearly all
solicitations and DFARS clause 252.247-7023 is included in nearly all
contracts. By effectively combining the provision and the clause, this
rule will reduce the number of provisions required to be used in
solicitations and the number of representations offerors must provide,
while still maintaining the effect of DFARS provision 252.247-7022.
Therefore, this rule is expected to reduce administrative burden on
contractors, including small businesses.
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, as amended.
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.
VII. Regulatory Flexibility Act
A final regulatory flexibility analysis has been prepared
consistent with the Regulatory Flexibility Act, 5 U.S.C. 601, et seq.
and is summarized as follows:
DoD is amending the DFARS to remove a solicitation provision and
accordingly to modify the text of an existing DFARS contract clause to
include the operative text of that DFARS provision. The objective of
this rule is to streamline the instructions to contractors pertaining
to the transportation of supplies by sea.
Public comments received in response to the proposed rule raised no
issues regarding the initial regulatory flexibility analysis.
This rule will likely affect small entities that will be awarded
contract actions that include DFARS clause 252.247-7023, Transportation
of Supplies by Sea. Data was obtained from the Procurement Business
Intelligence Service for all contracts and modifications that include
DFARS clause 252.247-7023 for fiscal years 2020 through 2022. DoD
awarded on average 642,310 contract actions per year that included
DFARS clause 252.247-7023 to 30,680 unique entities, of which
approximately 359,315 contract awards (56 percent) were made to 21,070
unique small entities (69 percent).
The rule does not impose any new reporting, recordkeeping, or
compliance requirements.
There are no known significant alternatives that would accomplish
the objectives of the rule.
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 by the Office of Management and Budget (OMB) under OMB Control
Number 0704-0245, entitled Defense Federal Acquisition Regulation
Supplement (DFARS) Part 247, Transportation and Related Clauses.
[[Page 78991]]
List of Subjects in 48 CFR Parts 204, 212, 247, and 252
Government procurement.
Jennifer D. Johnson,
Editor/Publisher, Defense Acquisition Regulations System.
Therefore, the Defense Acquisition Regulations System amends 48 CFR
parts 204, 212, 247, and 252 as follows:
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1. The authority citation for parts 204, 212, 247, and 252 continues
to read as follows:
Authority: 41 U.S.C. 1303 and 48 CFR chapter 1.
PART 204--ADMINISTRATIVE AND INFORMATION MATTERS
204.1202 [Amended]
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2. Amend section 204.1202 by removing paragraph (2)(xv).
PART 212--ACQUISITION OF COMMERCIAL PRODUCTS AND COMMERCIAL
SERVICES
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3. Amend section 212.301 by revising paragraph (f)(xxi) to read as
follows:
212.301 Solicitation provisions and contract clauses for the
acquisition of commercial products and commercial services.
* * * * *
(f) * * *
(xxi) Part 247--Transportation. (A) Use the clause at 252.247-7003,
Pass-Through of Motor Carrier Fuel Surcharge Adjustment to the Cost
Bearer, as prescribed in 247.207, to comply with section 884 of Public
Law 110-417.
(B) Use the basic or one of the alternates of the clause at
252.247-7023, Transportation of Supplies by Sea, as prescribed in
247.574(a), to comply with the Cargo Preference Act of 1904 (10 U.S.C.
2631(a)).
(1) Use the basic clause as prescribed in 247.574(a)(1).
(2) Use the alternate I clause as prescribed in 247.574(a)(2).
(3) Use the alternate II clause as prescribed in 247.574(a)(3).
(C) Use the clause 252.247-7025, Reflagging or Repair Work, as
prescribed in 247.574(b), to comply with 10 U.S.C. 2631(b).
(D) Use the provision at 252.247-7026, Evaluation Preference for
Use of Domestic Shipyards--Applicable to Acquisition of Carriage by
Vessel for DoD Cargo in the Coastwise or Noncontiguous Trade, as
prescribed in 247.574(c), to comply with section 1017 of Public Law
109-364.
(E) Use the clause at 252.247-7027, Riding Gang Member
Requirements, as prescribed in 247.574(d), to comply with section 3504
of the National Defense Authorization Act for Fiscal Year 2009 (Pub. L.
110-417).
(F) Use the clause at 252.247-7028, Application for U.S. Government
Shipping Documentation/Instructions, as prescribed in 247.207.
PART 247--TRANSPORTATION
247.574 [Amended]
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4. Amend section 247.574--
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a. By removing paragraph (a);
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b. By redesignating paragraphs (b) through (e) as paragraphs (a)
through (d);
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c. In newly redesignated paragraph (a) introductory text by removing
``all''; and
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d. In newly redesignated paragraph (d) by removing ``under chapter 121
of title 46 U.S.C.'' and adding ``46 U.S.C. chapter 121.'' in its
place.
PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
252.204-7007 [Amended]
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5. Amend section 252.204-7007--
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a. By removing the provision date of ``NOV 2023'' and adding ``OCT
2024'' in its place; and
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b. By removing paragraph (d)(1)(viii).
252.247-7022 [Removed and Reserved]
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6. Remove and reserve section 252.247-7022.
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7. Amend section 252.247-7023--
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a. By revising the introductory text and the clause date;
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b. By redesignating paragraphs (b) through (i) as paragraphs (c)
through (j);
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c. By adding a new paragraph (b);
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d. By revising newly redesignated paragraphs (e)(2), (f) introductory
text, and (i);
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e. In newly redesignated paragraph (j) introductory text by removing
``(b)(2)'' and adding ``(c)(2)'' in its place;
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f. In newly redesignated paragraph (j)(1) by removing ``paragraph (i)''
and adding ``paragraph (j)'' in its place;
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g. In newly redesignated paragraph (j)(2) by removing ``paragraphs (a)
through (e)'' and ``paragraph (i)'' and adding ``paragraphs (a) through
(f)'' and ``paragraph (j)'' in their places, respectively;
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h. In Alternate I--
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i. By revising the introductory text and the clause date;
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ii. By redesignating paragraphs (b) through (i) as paragraphs (c)
through (j);
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iii. By adding a new paragraph (b);
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iv. By revising newly redesignated paragraphs (e)(2), (f) introductory
text, and (i);
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v. In newly redesignated paragraph (j) introductory text by removing
``(b)(2)'' and adding ``(c)(2)'' in its place;
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vi. In newly redesignated paragraph (j)(1) by removing ``paragraph
(i)'' and adding ``paragraph (j)'' in its place;
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vii. In the newly redesignated paragraph (j)(2) by removing
``paragraphs (a) through (e)'' and ``paragraph (i)'' and adding
``paragraphs (a) through (f)'' and ``paragraph (j)'' in their places,
respectively; and
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viii. By adding ``(End of clause)'' after newly redesignated paragraph
(j)(2); and
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i. In Alternate II--
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i. By revising the introductory text and the clause date;
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ii. By redesignating paragraphs (b) through (i) as paragraphs (c)
through (j);
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iii. By adding a new paragraph (b);
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iv. By revising newly redesignated paragraphs (e)(2), (f) introductory
text, and (i);
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v. In newly redesignated paragraph (j) introductory text by removing
``(b)(2)'' and adding ``(c)(2)'' in its place;
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vi. In newly redesignated paragraph (j)(1) by removing ``paragraph
(i)'' and adding ``paragraph (j)'' in its place;
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vii. In newly redesignated paragraph (j)(2) by removing ``paragraphs
(a) through (e)'' and ``paragraph (i)'' and adding ``paragraphs (a)
through (f)'' and ``paragraph (j)'' in their places, respectively; and
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viii. By adding ``(End of clause)'' after newly redesignated paragraph
(j)(2).
The revisions and additions read as follows:
252.247-7023 Transportation of Supplies by Sea.
As prescribed in 247.574(a) and (a)(1), use the following basic
clause:
Transportation of Supplies by Sea--Basic (OCT 2024)
* * * * *
(b) If the transportation of supplies by sea is anticipated under
this contract, the Contractor shall--
(1) Notify the Contracting Officer and Maritime Administration
(MARAD) at [email protected]--
(i) Within 3 business days after contract award; or
(ii) Immediately prior to the shipment departure date necessary to
meet delivery schedules, whichever is earlier; and
(2) Include in the notification--
(i) A statement of the Contractor's intent to transport supplies by
sea;
(ii) The contract number; and
(iii) The task-order or delivery-order number, when applicable.
* * * * *
(e) * * *
[[Page 78992]]
(2) Required shipping date(s) and required delivery date(s);
* * * * *
(f) The Contractor shall, within 30 days after each shipment
covered by this clause, provide the Contracting Officer and MARAD at
[email protected], Attention: Military Team, one copy of the rated on
board vessel operating carrier's ocean bill of lading, which shall
contain the following information:
* * * * *
(i) If the Contractor did not anticipate transporting any supplies
by sea at the time of contract award and, therefore, did not provide
the notification required by paragraph (b) of this clause, but prior to
shipment of supplies, the Contractor learns that supplies will be
transported by sea, the Contractor shall--
(1) Provide the notification required by paragraph (b) of this
clause to the Contracting Officer and MARAD as soon as it is known that
supplies will be transported by sea; and
(2) Comply with all the terms and conditions of this clause.
* * * * *
Alternate I. As prescribed in 247.574(a) and (a)(2), use the
following clause, which uses a different paragraph (c) than the basic
clause:
Transportation of Supplies by Sea--Alternate I (OCT 2024)
* * * * *
(b) If the transportation of supplies by sea is anticipated under
this contract, the Contractor shall--
(1) Notify the Contracting Officer and Maritime Administration
(MARAD) at [email protected]--
(i) Within 3 business days after contract award; or
(ii) Immediately prior to the shipment departure date necessary to
meet delivery schedules, whichever is earlier; and
(2) Include in the notification--
(i) A statement of the Contractor's intent to transport supplies by
sea;
(ii) The contract number; and
(iii) The task-order or delivery-order number, when applicable.
* * * * *
(e) * * *
(2) Required shipping date(s) and required delivery date(s);
* * * * *
(f) The Contractor shall, within 30 days after each shipment
covered by this clause, provide the Contracting Officer and MARAD at
[email protected], Attention: Military Team, one copy of the rated on
board vessel operating carrier's ocean bill of lading, which shall
contain the following information:
* * * * *
(i) If the Contractor did not anticipate transporting any supplies
by sea at the time of contract award and, therefore, did not provide
the notification required by paragraph (b) of this clause, but prior to
shipment of the supplies, the Contractor learns that supplies will be
transported by sea, the Contractor shall--
(1) Provide the notification required by paragraph (b) of this
clause to the Contracting Officer and MARAD as soon as it is known that
supplies will be transported by sea; and
(2) Comply with all the terms and conditions of this clause.
* * * * *
Alternate II. As prescribed in 247.574(a) and (a)(3), use the
following clause, which uses a different paragraph (c) than the basic
clause:
Transportation of Supplies by Sea--Alternate II (OCT 2024)
* * * * *
(b) If the transportation of supplies by sea is anticipated under
this contract, the Contractor shall--
(1) Notify the Contracting Officer and Maritime Administration
(MARAD) at [email protected]--
(i) Within 3 business days after contract award; or
(ii) Immediately prior to the shipment departure date necessary to
meet delivery schedules, whichever is earlier; and
(2) Include in the notification--
(i) A statement of the Contractor's intent to transport supplies by
sea;
(ii) The contract number; and
(iii) The task-order or delivery-order number, when applicable.
* * * * *
(e) * * *
(2) Required shipping date(s) and required delivery date(s);
* * * * *
(f) The Contractor shall, within 30 days after each shipment
covered by this clause, provide the Contracting Officer and MARAD at
[email protected], Attention: Military Team, one copy of the rated on
board vessel operating carrier's ocean bill of lading, which shall
contain the following information:
* * * * *
(i) If the Contractor did not anticipate transporting any supplies
by sea at the time of contract award, and, therefore, did not provide
the notification required by paragraph (b) of this clause, but prior to
shipment of the supplies, the Contractor learns after the award of the
contract that supplies will be transported by sea, the Contractor
shall--
(1) Provide the notification required by paragraph (b) of this
clause to the Contracting Officer and MARAD as soon as it is known that
supplies will be transported by sea; and
(2) Comply with all the terms and conditions of this clause.
* * * * *
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8. Amend section 252.247-7025--
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a. By revising the section heading; and
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b. In the introductory text by removing ``247.574(c)'' and adding
``247.574(b)'' in its place.
The revision reads as follows:
252.247-7025 Reflagging or Repair Work.
* * * * *
252.247-7026 [Amended]
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9. Amend section 252.247-7026 in the introductory text by removing
``247.574(d)'' and adding ``247.574(c)'' in its place.
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10. Amend section 252.247-7027--
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a. By revising the section heading; and
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b. In the introductory text by removing ``247.574(e)'' and adding
``247.574(d)'' in its place.
The revision reads as follows:
252.247-7027 Riding Gang Member Requirements.
* * * * *
[FR Doc. 2024-21091 Filed 9-25-24; 8:45 am]
BILLING CODE 6001-FR-P
