Federal Register / Vol. 69, No. 217 / Wednesday, November 10, 2004 / Proposed Rules 65121

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. 

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: 

• Federal eRulemaking Portal: http://

www.regulations.gov. 

Follow the instructions for submitting 

comments. 

• Defense Acquisition Regulations 

Web site: http://emissary.acq.osd.mil/

dar/dfars.nsf/pubcomm. Follow the 

instructions for submitting comments. 

• E-mail: dfars@osd.mil. Include 

DFARS Case 2001–D003 in the subject 

line of the message. 

• Fax: (703) 602–0350. 

• Mail: Defense Acquisition 

Regulations Council, Attn: Ms. Amy 

Williams, OUSD(AT&L)DPAP(DAR), 

IMD 3C132, 3062 Defense Pentagon, 

Washington, DC 20301–3062. 

• 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.

* * * * *

65122 Federal Register / Vol. 69, No. 217 / Wednesday, November 10, 2004 / Proposed Rules 

(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) * * *

Federal Register / Vol. 69, No. 217 / Wednesday, November 10, 2004 / Proposed Rules 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:

65124 Federal Register / Vol. 69, No. 217 / Wednesday, November 10, 2004 / Proposed Rules 

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)’’; 

Federal Register / Vol. 69, No. 217 / Wednesday, November 10, 2004 / Proposed Rules 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. 

65126 Federal Register / Vol. 69, No. 217 / Wednesday, November 10, 2004 / Proposed Rules 

(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

DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety 

Administration 

49 CFR Part 571

[Docket No. NHTSA–2002–12845] 

RIN 2127–AH71

Federal Motor Vehicle Safety 

Standards; Accelerator Control 

Systems

AGENCY: National Highway Traffic 

Safety Administration (NHTSA), DOT.

ACTION: Withdrawal of rulemaking.

SUMMARY: In July 2002, NHTSA 

published an NPRM proposing to 

update Federal Motor Vehicle Safety 

Standard (FMVSS) No. 124, the agency’s 

safety standard for vehicle accelerator 

control systems, to make explicit its 

applicability to new types of engines 

and throttle controls, particularly 

electronic ones. The proposal included 

a number of new test procedures to 

address different types of powertrain 

technology. One of those test procedures 

involved measurement of engine speed 

under realistic powertrain load 

conditions on a chassis dynamometer. 

That procedure was ‘‘technologyneutral’’ and was included to allow 

testing of vehicles that could not readily 

be tested by one of the other procedures 

included in the proposal that were 

technology specific. 

As discussed in this document, the 

agency is withdrawing the NPRM while 

it conducts further research on issues 

relating to chassis dynamometer-based 

test procedures for accelerator controls.

FOR FURTHER INFORMATION CONTACT: The 

following persons at the NHTSA, 400 

7th Street, SW., Washington, DC 20590. 

For non-legal issues, you may call Mr. 

Michael Pyne, Office of Crash 

Avoidance Standards (Telephone: 202–

366–2720) (Fax: 202–366–7002). 

For legal issues, you may call Ms. 

Dorothy Nakama, Office of Chief 

Counsel (Telephone: 202–366–2992) 

(Fax: 202–366–3820).

SUPPLEMENTARY INFORMATION:

I. Background 

Federal Motor Vehicle Safety 

Standard (FMVSS) No. 124, Accelerator 

Control Systems, provides for safe 

control of engine power by a vehicle’s 

driver-operated accelerator. For vehicles 

that are operating with their accelerator 

controls intact, FMVSS No. 124 requires 

the rapid return of the throttle to the 

idle position (within one second for 

light vehicles and two seconds for heavy 

vehicles) when the accelerator pedal is 

released. For vehicles that experience 

disconnections in the linkage between 

their accelerator pedals and throttling 

devices, FMVSS No. 124 requires return 

to idle in an equally rapid fashion. By 

virtue of FMVSS No. 124’s 

requirements, drivers are ensured that 

releasing the accelerator pedal will 

prevent the engine from continuing to 

power the drive wheels at a level greater 

than the idle level, even if the 

accelerator linkage breaks. 

New engine control technology such 

as ‘‘throttle-by-wire’’ systems have 

significantly changed the nature of 

accelerator control functions and failure 

modes. Throttle linkages have become 

less common, and now 

‘‘disconnections’’ or ‘‘severances’’ as 

referred to in the standard could just as 

easily involve electrical wires as they 

could rods, levers, and cables. In 

interpretation letters, NHTSA has stated 

that electrical wires and connectors in 

an electronic system are analogous to 

mechanical components in a traditional 

system and are therefore covered by 

FMVSS No. 124. However, complexity 

in electronic accelerator control systems 

is much greater than in mechanical 

ones, especially in terms of the 

powertrain responses that can result 

from failures in such systems. 

In order to update FMVSS No. 124, 

NHTSA published a Request for 

Comments in 1995 (60 FR 60261) and, 

after consideration of comments 

received, issued an NPRM in 2002 (67 

FR 48117).

The agency proposed that the 

standard specify explicitly the 

components and types of 

disconnections and severances to be 

covered in electronic accelerator control 

systems. NHTSA also proposed that the 

standard include new test procedures to 

better address different types of 

powertrains. A manufacturer could 

choose any one of the test procedures as 

a basis for compliance, and a 

‘‘universal’’ chassis dynamometer test 

was included as a last resort in cases 

where the other procedures were 

inapplicable. 

In making the proposal, NHTSA 

sought not to expand the scope of the 

existing Standard, but to merely clarify 

the standard’s applicability to 

accelerator control systems associated 

with various powertrains including 

gasoline engines, diesel engines, electric 

motors, and hybrids. The new 

procedures in the proposal were all 

premised on return to a ‘‘baseline’’ idle 

condition measured on a normally 

operating vehicle, analogous to return of 

a throttle plate to the idle position. 

The proposal included three 

technology specific test procedures plus 

a ‘‘universal’’ test procedure. The first of 

the proposed technology specific test 

procedures was essentially the existing 

air throttle plate position test of the 

current Standard, normally applicable 

to conventional gasoline engines. The 

second test procedure was measurement 

of fuel flow rate, normally applicable to 

diesel engines. The third test procedure 

was measurement of input current to a 

drive motor, applicable to electric 

vehicles. The last procedure was 

measurement of drivetrain output via 

engine speed, conducted on a chassis 

dynamometer. This was considered a 

universal test because it could be 

applied to gasoline, diesel, or electric 

vehicles. 

II. Reason for Withdrawal 

In commenting on the NPRM and in 

subsequent comments, the Alliance of