[Federal Register Volume 69, Number 217 (Wednesday, November 10, 2004)]
[Proposed Rules]
[Pages 65121-65126]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-24861]



[[Page 65121]]

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DEPARTMENT OF DEFENSE

48 CFR Parts 204, 208, 209, 212, 213, 215, 217, 219, 222, 223, 225, 
227, 233, 235, 236, 237, 242, 247, 252, and 253 and Appendix F to 
Chapter 2

[DFARS Case 2001-D003]


Defense Federal Acquisition Regulation Supplement; Geographic Use 
of the Term ``United States''

AGENCY: Department of Defense (DoD).

ACTION: Proposed rule with request for comments.

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SUMMARY: DoD is proposing to amend the Defense Federal Acquisition 
Regulation Supplement (DFARS) to standardize the use of the term 
``United States'' and associated geographic terms, in accordance with 
definitions found in the Federal Acquisition Regulation.

DATES: Comments on the proposed rule should be submitted in writing to 
the address shown below on or before January 10, 2005, to be considered 
in the formation of the final rule.

ADDRESSES: You may submit comments, identified by DFARS Case 2001-D003, 
using any of the following methods:
    <bullet> Federal eRulemaking Portal: http://www.regulations.gov.
    Follow the instructions for submitting comments.
    <bullet> Defense Acquisition Regulations Web site: http://emissary.acq.osd.mil/dar/dfars.nsf/pubcomm. Follow the instructions for 
submitting comments.
    <bullet> E-mail: <a href="/cdn-cgi/l/email-protection#620604031011220d11064c0f0b0e"><span class="__cf_email__" data-cfemail="0a6e6c6b78794a65796e24676366">[email protected]</span></a>. Include DFARS Case 2001-D003 in the 
subject line of the message.
    <bullet> Fax: (703) 602-0350.
    <bullet> Mail: Defense Acquisition Regulations Council, Attn: Ms. 
Amy Williams, OUSD(AT&L)DPAP(DAR), IMD 3C132, 3062 Defense Pentagon, 
Washington, DC 20301-3062.
    <bullet> Hand Delivery/Courier: Defense Acquisition Regulations 
Council, Crystal Square 4, Suite 200A, 241 18th Street, Arlington, VA 
22202-3402.
    All comments received will be posted to http://emissary.acq.osd.mil/dar/dfars.nsf.

FOR FURTHER INFORMATION CONTACT: Ms. Amy Williams, (703) 602-0328.

SUPPLEMENTARY INFORMATION:

A. Background

    This proposed rule amends the DFARS to standardize the use of 
geographic terms, for consistency with the definitions of the following 
terms found in section 2.101 of the Federal Acquisition Regulation: 
``United States''; ``contiguous United States''; ``customs territory of 
the United States''; and ``outlying areas''.
    This rule was not subject to Office of Management and Budget review 
under Executive Order 12866, dated September 30, 1993.

B. Regulatory Flexibility Act

    DoD does not expect this rule to have a significant economic impact 
on a substantial number of small entities within the meaning of the 
Regulatory Flexibility Act, 5 U.S.C. 601, et seq., because the rule 
standardizes DFARS terminology, but makes no substantive change to 
policy. Therefore, DoD has not performed an initial regulatory 
flexibility analysis. DoD invites comments from small businesses and 
other interested parties. DoD also will consider comments from small 
entities concerning the affected DFARS subparts in accordance with 5 
U.S.C. 610. Such comments should be submitted separately and should 
cite DFARS Case 2001-D003.

C. Paperwork Reduction Act

    The Paperwork Reduction Act does not apply because the rule does 
not impose any information collection requirements that require the 
approval of the Office of Management and Budget under 44 U.S.C. 3501, 
et seq.

List of Subjects in 48 CFR Parts 204, 208, 209, 212, 213, 215, 217, 
219, 222, 223, 225, 227, 233, 235, 236, 237, 242, 247, 252, and 253

    Government procurement.

Michele P. Peterson,
Executive Editor, Defense Acquisition Regulations Council.

    Therefore, DoD proposes to amend 48 CFR parts 204, 208, 209, 212, 
213, 215, 217, 219, 222, 223, 225, 227, 233, 235, 236, 237, 242, 247, 
252, and 253 and Appendix F to Chapter 2 as follows:

PART 204--ADMINISTRATIVE MATTERS

    1. The authority citation for 48 CFR Parts 204, 208, 209, 212, 213, 
215, 217, 219, 222, 223, 225, 227, 233, 235, 236, 237, 242, 247, 252, 
and 253 and Appendix F to subchapter I continues to read as follows:

    Authority: 41 U.S.C. 421 and 48 CFR Chapter 1.


204.670-1  [Amended]

    2. Section 204.670-1 is amended by removing paragraph (d).
    3. Section 204.904 is amended by revising paragraph (1)(v) to read 
as follows:


204.904  Reporting payment information to the IRS.

    (1) * * *
    (v) Any contract with a State, the District of Columbia, or an 
outlying area of the United States; or a political subdivision, agency, 
or instrumentality of any of the foregoing;
* * * * *

PART 208--REQUIRED SOURCES OF SUPPLIES AND SERVICES

    4. Section 208.7002 is amended by revising paragraphs (a)(3) and 
(4) to read as follows:


208.7002  Assignment authority.

    (a) * * *
    (3) Outside the contiguous United States, by the Unified 
Commanders; and
    (4) For acquisitions to be made in the contiguous United States for 
commodities not assigned under paragraphs (a)(1), (2), or (3) of this 
section, by agreement of agency heads (10 U.S.C. 2311).
* * * * *

PART 209--CONTRACTOR QUALIFICATIONS

    5. Section 209.406-2 is amended by revising paragraph (a) 
introductory text to read as follows:


209.406-2  Causes for debarment.

    (a) Any person shall be considered for debarment if criminally 
convicted of intentionally affixing a label bearing a ``Made in 
America'' inscription to any product sold in or shipped to the United 
States or its outlying areas that was not made in the United States or 
its outlying areas (10 U.S.C. 2410f).
* * * * *

PART 212--ACQUISITION OF COMMERCIAL ITEMS

    6. Section 212.602 is amended by revising paragraph (b)(ii) to read 
as follows:


212.602  Streamlined evaluation of offers.

    (b) * * *
    (ii) For the acquisition of transportation in supply contracts that 
will include a significant requirement for transportation of items 
outside the contiguous United States, also evaluate offers in 
accordance with the criterion at 247.301-71.
* * * * *

PART 213--SIMPLIFIED ACQUISITION PROCEDURES

    7. Section 213.270 is amended by revising paragraph (c)(1) to read 
as follows:


213.270  Use of the Governmentwide commercial purchase card.

* * * * *

[[Page 65122]]

    (c) * * *
    (1) The place of performance is entirely outside the United States 
and its outlying areas.
* * * * *
    8. Section 213.307 is amended in paragraph (b)(i)(B)(2) by revising 
the first sentence to read as follows:


213.307  Forms.

* * * * *
    (b)(i) * * *
    (B) * * *
    (2) Classified acquisitions when the purchase is made within the 
United States or its outlying areas. * * *
* * * * *

PART 215--CONTRACTING BY NEGOTIATION

    9. Section 215.404-76 is amended by revising paragraph (d) to read 
as follows:


215.404-76  Reporting profit and fee statistics.

* * * * *
    (d) Contracting offices outside the United States and its outlying 
areas are exempt from reporting.
* * * * *

PART 217--SPECIAL CONTRACTING METHODS

    10. Section 217.7005 is revised to read as follows:


217.7005  Solicitation provision.

    Use the provision at 252.217-7002, Offering Property for Exchange, 
when offering nonexcess personal property for exchange. Allow a minimum 
of 14 calendar days for the inspection period in paragraph (b) of the 
clause if the exchange property is in the contiguous United States. 
Allow at least 21 calendar days outside the contiguous United States.
    11. Section 217.7102 is amended by revising paragraph (a) 
introductory text and paragraph (b) to read as follows:


217.7102  General.

    (a) Activities shall enter into master agreements for repair and 
alteration of vessels with all prospective contractors located within 
the United States or its outlying areas, which--
* * * * *
    (b) Activities may use master agreements in work with prospective 
contractors located outside the United States and its outlying areas.
* * * * *
    12. Section 217.7103-3 is amended by revising paragraph (a) 
introductory text to read as follows:


217.7103-3  Solicitations for job orders.

    (a) When a requirement arises within the United States or its 
outlying areas for the type of work covered by the master agreement, 
solicit offers from prospective contractors that'
* * * * *

PART 219--SMALL BUSINESS PROGRAMS

    13. Section 219.800 is amended in paragraph (a) by revising the 
fourth sentence to read as follows:


219.800  General.

    (a) * * * Consistent with the provisions of this subpart, this 
authority is hereby redelegated to DoD contracting officers within the 
United States or its outlying areas, to the extent that it is 
consistent with any dollar or other restrictions established in 
individual warrants. * * *
* * * * *

PART 222--APPLICATION OF LABOR LAWS TO GOVERNMENT ACQUISITIONS

    14. Section 222.7201 is amended by revising paragraph (a) to read 
as follows:


222.7201  Contract clauses.

    (a) Use the clause at 252.222-7002, Compliance with Local Labor 
Laws (Overseas), in solicitations and contracts for services or 
construction to be performed outside the United States and its outlying 
areas.
* * * * *

PART 223--ENVIRONMENT, CONSERVATION, OCCUPATIONAL SAFETY, AND DRUG-
FREE WORKPLACE

    15. Section 223.570-4 is amended by revising paragraph (b)(2) to 
read as follows:


223.570-4  Contract clause.

* * * * *
    (b) * * *
    (2) When performance or partial performance will be outside the 
United States and its outlying areas, unless the contracting officer 
determines such inclusion to be in the best interest of the Government; 
or
* * * * *

PART 225--FOREIGN ACQUISITION

    16. Section 225.7014 is revised to read as follows:


225.7014  Restriction on overseas military construction.

    For restriction on award of military construction contracts to be 
performed in the United States outlying areas in the Pacific and on 
Kwajalein Atoll, or in countries bordering the Arabian Gulf, see 
236.274(a).

PART 227--PATENTS, DATA, AND COPYRIGHTS


227.7103-17  [Amended]

    17. Section 227.7103-17 is amended in paragraph (b) in the second 
sentence, and in paragraph (c), by removing ``possessions'' and adding 
in its place ``outlying areas''.


227.7203-17  [Amended]

    18. Section 227.7203-17 is amended in paragraph (b) in the second 
sentence, and in paragraph (c), by removing ``possessions'' and adding 
in its place ``outlying areas''.

PART 233--PROTESTS, DISPUTES, AND APPEALS

    19. Section 233.215-70 is revised to read as follows:


233.215-70  Additional contract clause.

    Use the clause at 252.233-7001, Choice of Law (Overseas), in 
solicitations and contracts when contract performance will be outside 
the United States and its outlying areas, unless otherwise provided for 
in a government-to-government agreement.

PART 235--RESEARCH AND DEVELOPMENT CONTRACTING

    20. Section 235.071 is amended by revising paragraph (a) to read as 
follows:


235.071  Additional contract clauses.

    (a) Use the clause at 252.235-7002, Animal Welfare, or one 
substantially the same, in solicitations and contracts awarded in the 
United States or its outlying areas involving research on live 
vertebrate animals.
* * * * *

PART 236--CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS


236.274  [Amended]

    21. Section 236.274 is amended in paragraph (a) introductory text 
by removing ``territories and possessions'' and adding in its place 
``outlying areas''.


236.570  [Amended]

    22. Section 236.570 is amended in paragraph (c)(1) by removing 
``territory or possession'' and adding in its place ``outlying area''.
    23. Section 236.602-1 is amended in paragraph (a)(i)(6)(A)(2) by 
revising the first sentence to read as follows:


236.602-1  Selection criteria.

    (a)(i) * * *

[[Page 65123]]

    (6) * * *
    (A) * * *
    (2) Do not consider awards to overseas offices for projects outside 
the United States and its outlying areas. * * *
* * * * *

PART 237--SERVICE CONTRACTING

    24. Section 237.102-70 is amended by revising paragraph (a)(1) to 
read as follows:


237.102-70  Prohibition on contracting for firefighting or security-
guard functions.

    (a) * * *
    (1) The contract is to be carried out at a location outside the 
United States and its outlying areas at which members of the armed 
forces would have to be used for the performance of firefighting or 
security-guard functions at the expense of unit readiness;
* * * * *
    25. Section 237.7301 is amended by revising paragraph (a)(1) to 
read as follows:


237.7301  Definitions.

* * * * *
    (a) * * *
    (1) Is located in the United States or its outlying areas;
* * * * *

PART 242--CONTRACT ADMINISTRATION AND AUDIT SERVICES

    26. Section 242.1402 is amended by revising the section heading to 
read as follows:


242.1402  Volume movements within the contiguous United States.

* * * * *

PART 247--TRANSPORTATION

    27. Section 247.571 is amended by revising paragraph (c)(1) 
introductory text to read as follows:


247.571  Policy.

* * * * *
    (c)(1) Any vessel used under a time charter contract for the 
transportation of supplies under this section shall have any reflagging 
or repair work, as defined in the clause at 252.247-7025, Reflagging or 
Repair Work, performed in the United States or its outlying areas, if 
the reflagging or repair work is performed--
* * * * *

PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

    28. Section 252.209-7002 is amended by revising the clause date and 
paragraph (a)(3) to read as follows:


252.209-7002  Disclosure of ownership or control by a foreign 
government.

* * * * *

DISCLOSURE OF OWNERSHIP OR CONTROL BY A FOREIGN GOVERNMENT (XXX 2004)

    (a) * * *
    (3) Foreign government includes the state and the government of 
any country (other than the United States and its outlying areas) as 
well as any political subdivision, agency, or instrumentality 
thereof.
* * * * *
    29. Section 252.212-7000 is amended as follows:
    a. By revising the clause date to read ``(XXX 2004)'';
    b. By redesignating paragraph (a)(2) as paragraph (a)(3); and
    c. By adding a new paragraph (a)(2) to read as follows:


252.212-7000  Offeror Representations and Certifications--Commercial 
Items.

* * * * *
    (a) * * *
    (2) United States means the 50 States, the District of Columbia, 
outlying areas, and the outer Continental Shelf as defined in 43 
U.S.C. 1331.
* * * * *
    30. Section 252.225-7000 is amended by revising the clause date and 
paragraph (a) to read as follows:


252.225-7000  Buy American Act--Balance of Payments Program 
Certificate.

* * * * *

BUY AMERICAN ACT--BALANCE OF PAYMENTS PROGRAM CERTIFICATE (XXX 2004)

    (a) Definitions. Domestic end product, foreign end product, 
qualifying country, qualifying country end product, and United 
States have the meanings given in the Buy American Act and Balance 
of Payments Program clause of this solicitation.
* * * * *
    31. Section 252.225-7001 is amended by revising the clause date and 
by adding paragraph (a)(8) to read as follows:


252.225-7001  Buy American Act and Balance of Payments Program.

* * * * *

BUY AMERICAN ACT AND BALANCE OF PAYMENTS PROGRAM (XXX 2004)

    (a) * * *
    (8) United States means the 50 States, the District of Columbia, 
and outlying areas.
* * * * *
    32. Section 252.225-7003 is amended as follows:
    a. By revising the clause date to read ``(XXX 2004)'';
    b. By redesignating paragraphs (a) through (d) as paragraphs (b) 
through (e) respectively; and
    c. By adding a new paragraph (a) to read as follows:


252.225-7003  Report of intended performance outside the United States.

* * * * *
    (a) Definition. United States, as used in this provision, means 
the 50 States, the District of Columbia, and outlying areas.
* * * * *
    33. Section 252.225-7004 is amended as follows:
    a. By revising the clause date to read ``(XXX 2004)'';
    b. By redesignating paragraphs (a) through (d) as paragraphs (b) 
through (e) respectively; and
    c. By adding a new paragraph (a) to read as follows:


252.225-7004  Reporting of contract performance outside the United 
States.

* * * * *
    (a) Definition. United States, as used in this clause, means the 
50 States, the District of Columbia, and outlying areas.
* * * * *
    34. Section 252.225-7005 is amended as follows:
    a. By revising the clause date to read ``(XXX 2004)'';
    b. By redesignating paragraphs (a) through (c) as paragraphs (b) 
through (d) respectively; and
    c. By adding a new paragraph (a) to read as follows:


252.225-7005  Identification of expenditures in the United States.

* * * * *
    (a) Definition. United States, as used in this clause, means the 
50 States, the District of Columbia, and outlying areas.
* * * * *
    35. Section 252.225-7011 is revised to read as follows:


252.225-7011  Restriction on Acquisition of Supercomputers.

    As prescribed in 225.7012-3, use the following clause:

RESTRICTION ON ACQUISITION OF SUPERCOMPUTERS (XXX 2004)

    Supercomputers delivered under this contract shall be 
manufactured in the United States or its outlying areas.
    (End of clause)

    36. Section 252.225-7013 is amended by revising the clause date, 
paragraph (a)(1), paragraph (b) introductory text, paragraph 
(f)(1)(i)(A), and the first sentence of paragraph (h) introductory text 
to read as follows:

[[Page 65124]]

252.225-7013  Duty-Free Entry.

* * * * *

DUTY-FREE ENTRY (XXX 2004)

    (a) * * *
    (1) Customs territory of the United States means the 50 States, 
the District of Columbia, and Puerto Rico.
* * * * *
    (b) Except as provided in paragraph (i) of this clause, or 
unless supplies were imported into the customs territory of the 
United States before the date of this contract or the applicable 
subcontract, the price of this contract shall not include any amount 
for duty on--
* * * * *
    (f) * * *
    (1)(i) * * *
    (A) Prepare any customs forms required for the entry of foreign 
supplies into the customs territory of the United States in 
connection with this contract; and
* * * * *
    (h) The Contractor shall notify the Administrative Contracting 
Officer (ACO) in writing of any purchase of qualifying country 
supplies to be accorded duty-free entry, that are to be imported 
into the customs territory of the United States for delivery to the 
Government or for incorporation in end items to be delivered to the 
Government. * * *

* * * * *
    37. Section 252.225-7014 is amended by revising the clause date and 
paragraph (b) to read as follows:


252.225-7014  Preference for domestic specialty metals.

* * * * *

PREFERENCE FOR DOMESTIC SPECIALTY METALS (XXX 2004)

* * * * *
    (b) Any specialty metals incorporated in articles delivered 
under this contract shall be melted in the United States or its 
outlying areas.

* * * * *
    38. Section 252.225-7015 is revised to read as follows:


252.225-7015  Restriction on acquisition of hand or measuring tools.

    As prescribed in 225.7002-3(c), use the following clause:

RESTRICTION ON ACQUISITION OF HAND OR MEASURING TOOLS (XXX 2004)

    Hand or measuring tools delivered under this contract shall be 
produced in the United States or its outlying areas.
    (End of clause)

    39. Section 252.225-7016 is amended by revising the clause date and 
paragraph (b) to read as follows:


252.225-7016  Restriction on acquisition of ball and roller bearings.

* * * * *

RESTRICTION ON ACQUISITION OF BALL AND ROLLER BEARINGS (XXX 2004)

* * * * *
    (b) Except as provided in paragraph (c) of this clause, all ball 
and roller bearings and ball and roller bearing components 
(including miniature and instrument ball bearings) delivered under 
this contract, either as end items or components of end items, shall 
be wholly manufactured in the United States, its outlying areas, or 
Canada. Unless otherwise specified, raw materials, such as preformed 
bar, tube, or rod stock and lubricants, need not be mined or 
produced in the United States, its outlying areas, or Canada.

* * * * *
    40. Section 252.225-7018 is amended by revising the clause date, 
paragraph (b) in the second sentence, and paragraph (c)(1) to read as 
follows:


252.225-7018  Notice of prohibition of certain contracts with foreign 
entities for the conduct of ballistic missile defense research, 
development, test, and evaluation.

* * * * *

NOTICE OF PROHIBITION OF CERTAIN CONTRACTS WITH FOREIGN ENTITIES FOR 
THE CONDUCT OF BALLISTIC MISSILE DEFENSE RESEARCH, DEVELOPMENT, TEST, 
AND EVALUATION (XXX 2004)

* * * * *
    (b) * * * However, foreign governments and firms are encouraged 
to submit offers, since this provision is not intended to restrict 
access to unique foreign expertise if the contract will require a 
level of competency unavailable in the United States or its outlying 
areas.
    (c) * * *
    (1) The contract will be performed within the United States or 
its outlying areas;

* * * * *
    41. Section 252.225-7019 is amended by revising the clause date and 
paragraph (a) to read as follows:


252.225-7019  Restriction on acquisition of anchor and mooring chain.

* * * * *

RESTRICTION ON ACQUISITION OF ANCHOR AND MOORING CHAIN (XXX 2004)

    (a) Welded shipboard anchor and mooring chain, four inches or 
less in diameter, delivered under this contract--
    (1) Shall be manufactured in the United States or its outlying 
areas, including cutting, heat treating, quality control, testing, 
and welding (both forging and shot blasting process); and
    (2) The cost of the components manufactured in the United States 
or its outlying areas shall exceed 50 percent of the total cost of 
components.

* * * * *
    42. Section 252.225-7021 is amended by revising the clause date and 
paragraph (a)(12) to read as follows:


252.225-7021  Trade agreements.

* * * * *

TRADE AGREEMENTS (XXX 2004)

    (a) * * *
    (12) United States means the 50 States, the District of 
Columbia, and outlying areas.

* * * * *
    43. Section 252.225-7022 is amended by revising the clause date and 
paragraph (b) to read as follows:


252.225-7022  Restriction on acquisition of polyacrylonitrile (PAN) 
carbon fiber.

* * * * *

RESTRICTION ON ACQUISITION OF POLYACRYLONITRILE (PAN) CARBON FIBER (XXX 
2004)

* * * * *
    (b) PAN carbon fibers contained in the end product shall be 
manufactured in the United States, its outlying areas, or Canada 
using PAN precursor produced in the United States, its outlying 
areas, or Canada.
* * * * *

    44. Section 252.225-7023 is amended by revising the clause date and 
paragraph (a) to read as follows:


252.225-7023  Restriction on acquisition of vessel propellers.

* * * * *

RESTRICTION ON ACQUISITION OF VESSEL PROPELLERS (XXX 2004)

    (a) Except as provided in paragraph (b) of this clause, the 
Contractor shall deliver under this contract, whether as end items 
or components of end items, vessel propellers--
    (1) Manufactured in the United States, its outlying areas, or 
Canada; and
    (2) For which all component castings were poured and finished in 
the United States, its outlying areas, or Canada.

* * * * *
    45. Section 252.225-7025 is amended by revising the clause date and 
paragraph (a)(1) introductory text to read as follows:


252.225-7025  Restriction on acquisition of forgings.

* * * * *

RESTRICTION ON ACQUISITION OF FORGINGS (XXX 2004)

    (a) * * *
    (1) ``Domestic manufacture'' means manufactured in the United 
States, its outlying areas, or Canada if the Canadian firm--

* * * * *
    46. Section 252.225-7031 is amended as follows:
    a. By revising the clause date to read ``(XXX 2004)'';

[[Page 65125]]

    b. By redesignating paragraph (a)(2) as paragraph (a)(3); and
    c. By adding a new paragraph (a)(2) to read as follows:


252.225-7031  Secondary Arab boycott of Israel.

* * * * *

SECONDARY ARAB BOYCOTT OF ISRAEL (XXX 2004)

    (a) * * *
    (2) United States means the 50 States, the District of Columbia, 
outlying areas, and the outer Continental Shelf as defined in 43 
U.S.C. 1331.

* * * * *
    47. Section 252.225-7036 is amended by revising the clause date and 
paragraph (a)(10) to read as follows:


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

* * * * *

BUY AMERICAN ACT--FREE TRADE AGREEMENTS--BALANCE OF PAYMENTS PROGRAM 
(XXX 2004)

    (a) * * *
    (10) United States means the 50 States, the District of 
Columbia, and outlying areas.
* * * * *

    48. Section 252.225-7037 is revised to read as follows:


252.225-7037  Evaluation of offers for air circuit breakers.

    As prescribed in 225.7006-4(a), use the following provision:

EVALUATION OF OFFERS FOR AIR CIRCUIT BREAKERS (XXX 2004)

    (a) The offeror shall specify, in its offer, any intent to 
furnish air circuit breakers that are not manufactured in the United 
States or its outlying areas, Canada, or the United Kingdom.
    (b) The Contracting Officer will evaluate offers by adding a 
factor of 50 percent to the offered price of air circuit breakers 
that are not manufactured in the United States or its outlying 
areas, Canada, or the United Kingdom.
    (End of provision)

    49. Section 252.225-7038 is revised to read as follows:


252.225-7038  Restriction on acquisition of air circuit breakers.

    As prescribed in 225.7006-4(b), use the following clause:

RESTRICTION ON ACQUISITION OF AIR CIRCUIT BREAKERS (XXX 2004)

    Unless otherwise specified in its offer, the Contractor shall 
deliver under this contract air circuit breakers manufactured in the 
United States or its outlying areas, Canada, or the United Kingdom.
    (End of clause)

    50. Section 252.225-7039 is revised to read as follows:


252.225-7039  Restriction on acquisition of totally enclosed lifeboat 
survival systems.

    As prescribed in 225.7008-4, use the following clause:

RESTRICTION ON ACQUISITION OF TOTALLY ENCLOSED LIFEBOAT SURVIVAL 
SYSTEMS (XXX 2004)

    The Contractor shall deliver under this contract totally 
enclosed lifeboat survival systems (consisting of the lifeboat and 
associated davits and winches), for which--
    (a) 50 percent or more of the components have been manufactured 
in the United States or its outlying areas; and
    (b) 50 percent or more of the labor in the manufacture and 
assembly of the entire system has been performed in the United 
States or its outlying areas.
    (End of clause)

    51. Section 252.225-7043 is amended as follows:
    a. By revising the clause date to read ``(XXX 2004)'';
    b. By redesignating paragraphs (a) through (c) as paragraphs (b) 
through (d) respectively; and
    c. By adding a new paragraph (a) to read as follows:


252.225-7043  Antiterrorism/force protection policy for defense 
contractors outside the United States.

* * * * *

    (a) Definition. United States, as used in this clause, means, 
the 50 States, the District of Columbia, and outlying areas.

* * * * *
    52. Section 252.225-7044 is amended as follows:
    a. By revising the clause date to read ``(XXX 2004)''; and
    b. In paragraph (a) by revising the definition of ``United States'' 
to read as follows:


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

* * * * *
    (a) * * *

    ``United States'' means the 50 States, the District of Columbia, 
and outlying areas.

* * * * *
    53. Section 252.225-7045 is amended as follows:
    a. By revising the clause date to read ``(XXX 2004)''; and
    b. In paragraph (a) by revising the definition of ``United States'' 
to read as follows:


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

* * * * *

    (a) * * *
    ``United States'' means the 50 States, the District of Columbia, 
and outlying areas.

* * * * *
    54. Section 252.247-7025 is amended by revising the clause date and 
paragraph (b) introductory text to read as follows:


252.247-7025  Reflagging or repair work.

REFLAGGING OR REPAIR WORK (XXX 2004)

* * * * *
    (b) Requirement. Unless the Secretary of Defense waives this 
requirement, reflagging or repair work shall be performed in the 
United States or its outlying areas, if the reflagging or repair 
work is performed--

* * * * *

PART 253--FORMS

    55. Section 253.204-70 is amended by revising paragraphs 
(b)(6)(iv)(A)(1) and (c)(4)(xiii) to read as follows;


253.204-70  DD Form 350, Individual Contracting Action Report.

* * * * *
    (b) * * *
    (6) * * *
    (iv) * * *
    (A) * * *
    (1) For places in the United States and outlying areas, enter the 
numeric place code from FIPS PUB 55, Guideline: Codes for Named 
Populated Places, Primary County Divisions, and Other Locational 
Entities of the United States, Puerto Rico, and the Outlying Areas. 
Leave Line B6A blank for places outside the United States and outlying 
areas.
* * * * *
    (c) * * *
    (4) * * *
    (xiii) LINE C13, FOREIGN TRADE DATA.
    (A) LINE C13A, PLACE OF MANUFACTURE. Complete Line C13A only if the 
action is for a foreign end product or a service provided by a foreign 
concern under a DoD contract or a Federal schedule. Otherwise, leave 
Line C13A blank.
    (1) Code A--U.S. Enter code A if the action is for--
    (i) A foreign end product that is manufactured in the United States 
or its outlying areas but is still determined to be foreign because 50 
percent or more of the cost of its components is not mined, produced, 
or manufactured inside the United States or its outlying areas or 
inside qualifying countries; or
    (ii) Services performed in the United States or its outlying areas 
by a foreign concern.
    (2) Code B--Foreign. Enter code B if the action is for--
    (i) Any other foreign end product; or
    (ii) Services performed outside the United States or its outlying 
areas by a foreign concern.

[[Page 65126]]

    (B) LINE C13B, COUNTRY OF ORIGIN CODE.
    (1) Complete Line C13B only if Line C13A is coded A or B. 
Otherwise, leave Line C13B blank.
    (2) Enter the code from FIPS PUB 10, Countries, Dependencies, Areas 
of Special Sovereignty, and Their Principal Administrative Divisions, 
that identifies the country where the foreign product is coming from or 
where the foreign company providing the services is located. If more 
than one foreign country is involved, enter the code of the foreign 
country with the largest dollar value of work under the contract.
* * * * *
    56. Section 253.213-70 is amended by revising paragraph (a)(2) to 
read as follows:


253.213-70  Instructions for completion of DD Form 1155.

    (a) * * *
    (2) The contractor is located in the contiguous United States or 
Canada.
* * * * *

Appendix F to Chapter 2--Material Inspection and Receiving Report F-104 
[Amended]

    57. Appendix F to Chapter 2 is amended in Part 1, Section F-104, as 
follows:

    a. In paragraph (a)(5)(i) introductory text by removing 
``Continental United States'' and adding in its place ``Contiguous 
United States''; and
    b. In paragraph (a)(5)(ii), in the first sentence, by removing 
``continental U.S.'' and adding in its place ``contiguous United 
States''.

[FR Doc. 04-24861 Filed 11-9-04; 8:45 am]
BILLING CODE 5001-08-P


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