71468 Federal Register / Vol. 76, No. 223 / Friday, November 18, 2011 / Rules and Regulations 

■ (b) In paragraph (d), by removing the 

year ‘‘2013’’ and adding in its place 

‘‘2014’’. 

APPENDIX I—POLICY AND 

PROCEDURES FOR THE DOD PILOT 

MENTOR-PROTE ́ GE ́ PROGRAM 

■ 3. Section I–103 is amended— 

■ (a) In paragraph (a) by removing the 

year ‘‘2010’’ and adding in its place 

‘‘2011’’; and 

■ (b) In paragraph (b) introductory text 

by removing the year ‘‘2013’’ and 

adding in its place ‘‘2014’’. 

[FR Doc. 2011–29897 Filed 11–17–11; 8:45 am] 

BILLING CODE 5001–06–P 

DEPARTMENT OF DEFENSE 

Defense Acquisition Regulations 

System 

48 CFR Part 232 

RIN 0750–AH19 

Defense Federal Acquisition 

Regulation Supplement: Accelerate 

Small Business Payments (DFARS 

Case 2011–D008) 

AGENCY: Defense Acquisition 

Regulations System, Department of 

Defense (DoD). 

ACTION: Final rule. 

SUMMARY: DoD is adopting as final, 

without change, an interim rule 

amending the Defense Federal 

Acquisition Regulation Supplement to 

accelerate payments to all small 

business concerns. 

DATES: Effective Date: November 18, 

2011. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Lee Renna, telephone 703–602–0764. 

SUPPLEMENTARY INFORMATION: 

I. Background 

DoD published an interim rule in the 

Federal Register at 76 FR 23505 on 

April 27, 2011, amending the Defense 

Federal Acquisition Regulation 

Supplement (DFARS) to provide 

accelerated payments for all small 

business concerns. The rule removes the 

term ‘‘disadvantaged’’ from the language 

at DFARS 232.903 and DFARS 

232.906(a)(ii), thereby extending the 

accelerated payment policy uniformly to 

all small business concerns. 

In combination with the change to the 

regulations, DoD immediately began a 

phased implementation to update the 

entitlement and payment systems so 

that they could accommodate 

accelerated payments. During the initial 

phase, the Defense Finance and 

Accounting Service modified DoD’s 

largest system, the Mechanization of 

Contract Administration Services 

(MOCAS) system. MOCAS processes 

approximately 57 percent of the dollars 

paid through DFAS. The upgrades to 

MOCAS were completed on June 1, 

2011. Over the course of the next year, 

subsequent legacy entitlement and 

payment system upgrades are scheduled 

for completion and deployment. 

Two respondents submitted public 

comments. DoD reviewed the comments 

in the development of the final rule. A 

discussion of the comments is provided 

as follows. 

II. Discussion and Analysis of the 

Public Comments 

Comment: The first respondent 

commented that the rule would ensure 

their company had adequate cash flow 

to promptly pay its vendors. 

Response: This positive endorsement 

of the rule is noted. 

Comment: The second respondent 

stated that the wording of the rule is 

ambiguous. Rather than stating it is DoD 

policy to pay small business concerns 

‘‘* * * as soon as possible * * *’’, the 

respondent recommended that the rule 

should specify the number of days for 

processing payments to small business. 

Response: The authority for DoD’s 

payment policy is the Office of 

Management and Budget’s (OMB’s) 

Prompt Payment Regulations at part 

1315 of title 5 of the Code of Federal 

Regulations. The phrase ‘‘* * * as 

quickly as possible * * *’’ was taken 

verbatim from those regulations. 

III. Executive Orders 12866 and 13563 

Executive Orders (E.O.s) 12866 and 

13563 direct agencies to assess all costs 

and benefits of available regulatory 

alternatives and, if regulation is 

necessary, to select regulatory 

approaches that maximize net benefits 

(including potential economic, 

environmental, public health and safety 

effects, distributive impacts, and 

equity). E.O. 13563 emphasizes the 

importance of quantifying both costs 

and benefits, of reducing costs, of 

harmonizing rules, and of promoting 

flexibility. This is a significant 

regulatory action and, therefore, was 

subject to review under section 6(b) of 

E.O. 12866, Regulatory Planning and 

Review, dated September 30, 1993. This 

rule is not a major rule under 5 U.S.C. 

804. 

IV. Regulatory Flexibility Act 

A final regulatory flexibility analysis 

(FRFA) has been prepared consistent 

with the Regulatory Flexibility Act, 5 

U.S.C. 601, et seq., and is summarized 

as follows: 

This final rule adopts as final, without 

change, the interim rule that revised 

DFARS 232.903 and 232.906(a)(ii) to 

allow accelerated payment processes for 

all small business concerns. The 

objective of the rule is to pay small 

businesses as quickly as possible. 

There were no significant issues 

raised by the public in response to the 

initial regulatory flexibility analysis. 

There were no comments filed by the 

Chief Counsel for Advocacy of the Small 

Business Administration in response to 

the rule. 

Analysis of the Federal Procurement 

Data System indicates that 

approximately 60,000 small businesses 

had active contracts in Fiscal Year 2010. 

It is reasonable to assume a similar 

number of small businesses will be 

positively affected by the use of 

accelerated payment procedures. 

This final rule imposes no new 

reporting or recordkeeping requirements 

on the small business community. 

DoD expects this rule to have a 

significant positive economic impact on 

all small entities within the meaning of 

the Regulatory Flexibility Act, 5 U.S.C. 

601, et seq., because it extends 

accelerated payments to all small 

business concerns. There were no 

significant alternatives identified that 

would meet the objectives of the rule. 

V. Paperwork Reduction Act 

This final rule does not contain any 

information collection requirements that 

require the approval of the Office of 

Management and Budget under the 

Paperwork Burden Act (44 U.S.C. 

chapter 35). 

List of Subjects in 48 CFR Part 232 

Government procurement. 

Mary Overstreet, 

Editor, Defense Acquisition Regulations 

System. 

Interim Rule Adopted as Final Without 

Change 

■ Accordingly, the interim rule 

amending 48 CFR part 232, which was 

published at 76 FR 23505 on April 27, 

2011, is adopted as a final rule without 

change. 

[FR Doc. 2011–29859 Filed 11–17–11; 8:45 am] 

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