47154 Federal Register / Vol. 62, No. 173 / Monday, September 8, 1997 / Rules and Regulations

final rule revises the exception for fibers

and yarns to apply to those that are for

use in synthetic fabric or coated

synthetic fabric, if such fabric is to be

used as a component of an end item that

is not a textile product; and provides

examples of textile products, which

include, but are not limited to, products

in Federal Supply Groups 83 and 84.

Five respondents submitted

comments on the interim rule. All

comments were considered in

developing the final rule.

B. Regulatory Flexibility Act

A final regulatory flexibility analysis

has been performed. The analysis is

summarized as follows: The legal basis

for this rule is the Berry Amendment (10

U.S.C. 2241 note). There were no public

comments in response to the initial

regulatory flexibility analysis. However,

various comments on the interim rule

suggested other ways to identify the

textile products to which the domestic

source restrictions on textile fibers

apply. As a result, the final rule uses

additional examples to clarify what

products are ‘‘textile products.’’ This

rule is expected to have a positive

impact on small entities that provide

domestic textile products or specialty

metals restricted by the Berry

Amendment, because it reduces foreign

competition for those items. The rule

imposes no new reporting,

recordkeeping, or compliance

requirements for offerors or contractors.

There are no practical alternatives that

will meet the requirements of the Berry

Amendment.

A copy of the analysis may be

obtained by contacting the Defense

Acquisition Regulations Council, Attn:

Ms. Amy Williams,

PDUSD(A&T)DP(DAR), IMD 3D139,

3062 Defense Pentagon, Washington, DC

20301–3062. Telephone (703) 602–0131;

telefax (703) 602–0350.

C. Paperwork Reduction Act

The Paperwork Reduction Act does

not apply, because this final rule does

not impose any reporting or

recordkeeping requirements that require

Office of Management and Budget

approval under 44 U.S.C. 3501, et seq.

List of Subjects in 48 CFR Parts 212,

225, 244, and 252

Government procurement.

Michele P. Peterson,

Executive Editor, Defense Acquisition

Regulations Council.

Interim Rule Adopted as Final With

Changes

Accordingly, the interim rule

amending 48 CFR parts 212, 225, 244,

and 252, which was published at 62 FR

5779 on February 7, 1997, is adopted as

final with the following changes:

1. The authority citation for 48 CFR

parts 212, 225, 244, and 252 continues

to read as follows:

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

Chapter 1.

PART 225—FOREIGN ACQUISITION

2. Section 225.7002–1 is amended by

revising paragraph (a)(9) to read as

follows:

225.7002–1 Restrictions.

(a) * * *

(9) Any item of individual equipment

(Federal Supply Class 8465)

manufactured from or containing any of

the listed fibers, yarns, fabrics, or

materials.

* * * * *

3. Section 225.7002–2 is amended by

revising paragraph (j) to read as follows:

225.7002–2 Exceptions.

* * * * *

(j) Purchases of fibers and yarns that

are for use in synthetic fabric or coated

synthetic fabric (but not the purchase of

the synthetic or coated synthetic fabric

itself), if such fabric is to be used as a

component of an end item that is not a

textile product. Examples of textile

products, made in whole or in part of

fabric, include—

(1) Draperies, floor coverings,

furnishings, and bedding (Federal

Supply Group 72, Household and

Commercial Furnishings and

Appliances);

(2) Items made in whole or in part of

fabric in Federal Supply Group 83,

Textile/leather/furs/apparel/findings/

tents/flags, or Federal Supply Group 84,

Clothing, Individual Equipment and

Insignia;

(3) Upholstered seats (whether for

household, office, or other use); and

(4) Parachutes (Federal Supply Class

1670).

PART 252—SOLICITATION

PROVISIONS AND CONTRACT

CLAUSES

4. Section 252.225–7012 is amended

by revising the clause date and

paragraphs (a)(10) and (b)(4) to read as

follows:

252.225–7012 Preference for certain

domestic commodities.

* * * * *

Preference for Certain Domestic

Commodities (Sept. 1997)

(a) * * *

(10) Any item of individual equipment

(Federal Supply Class 8465) manufactured

from or containing such fibers, yarns, fabrics,

or materials.

(b) * * *

(4) To purchase of fibers and yarns that are

for use in synthetic fabric or coated synthetic

fabric (but not the purchase of the synthetic

or coated synthetic fabric itself), if such

fabric is to be used as a component of an end

item that is not a textile product. Examples

of textile products, made in whole or in part

of fabric, include—

(i) Draperies, floor coverings, furnishings,

and bedding (Federal Supply Group 72,

Household and Commercial Furnishings and

Appliances);

(ii) Items made in whole or in part of fabric

in Federal Supply Group 83, Textile/leather/

furs/apparel/findings/tents/flags, or Federal

Supply Group 84, Clothing, Individual

Equipment and Insignia;

(iii) Upholstered seats (whether for

household, office, or other use); and

(iv) Parachutes (Federal Supply Class

1670).

(End of clause)

[FR Doc. 97–23658 Filed 9–5–97; 8:45 am]

BILLING CODE 5000–04–M

DEPARTMENT OF DEFENSE

48 CFR Part 231

[DFARS Case 95–D714]

Defense Federal Acquisition

Regulation Supplement; Cost

Principles

AGENCY: Department of Defense (DoD).

ACTION: Final rule.

SUMMARY: The Director of Defense

Procurement has issued a final rule

amending the Defense Federal

Acquisition Regulation Supplement

(DRARS) to implement provisions of the

Federal Acquisition Streamlining Act of

1994 pertaining to legislative lobbying

costs.

EFFECTIVE DATES: September 8, 1997.

FOR FURTHER INFORMATION CONTACT:

Ms. Sandra G. Haberlin, PDUSD (A&T)

DP (DAR), IMD 3D139, 3062 Defense

Pentagon, Washington, DC 20301–3062.

Telephone (703) 602–0131; telefax (703)

602–0350. Please cite DFARS Case 95–

D714.

SUPPLEMENTARY INFORMATION:

A. Background

This final rule implements Section

7202 of the Federal Acquisition

Streamlining Act of 1994 (Pub. L. 103–

355). Section 7202 prohibits the

expenditure of funds to assist any DoD

contractor in preparing any material,

report, list, or analysis, with respect to

the actual or projected economic or

employment impact in a particular State

or congressional district of an
Federal Register / Vol. 62, No. 173 / Monday, September 8, 1997 / Rules and Regulations 47155

acquisition program for which all

research, development, testing, and

evaluation has not been completed.

A proposed rule was published on

October 13, 1995 (60 FR 53320). No

public comments were received. The

final rule differs from the proposed rule

by changing the statutory citation at

231.205–22 (a), 231.303(4), 231.603(2),

and 231.703(2) from ‘‘10 U.S.C. 2247’’ to

‘‘10 U.S.C. 2249.’’ 10 U.S.C. 2247 was

redesignated as 10 U.S.C. 2249 by

Section 4321 of the National Defense

Authorization Act for Fiscal Year 1996

(Public Law 104–106).

B. Regulatory Flexibility Act

The Department of Defense certifies

that this final rule will not 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 most contracts awarded to

small entities are awarded on a

competitive fixed-price basis, and do

not require application of the cost

principle contained in this rule.

C. Paperwork Reduction Act

The Paperwork Reduction Act does

not apply, because this final rule does

not impose any reporting or

recordkeeping requirements that require

Office of Management and Budget

approval under 44 U.S.C. 3501, et seq.

List of Subjects in 48 CFR Part 231

Government procurement.

Michele P. Peterson,

Executive Editor, Defense Acquisition

Regulations Council.

Therefore, 48 CFR Part 231 is

amended as follows:

1. The authority citation for 48 CFR

Part 231 continues to read as follows:

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

Chapter 1.

PART 231—CONTRACT COST

PRINCIPLES AND PROCEDURES

2. Section 231.205–22 is revised to

read as follows:

231.205–22 Legislative lobbying costs.

(a) Preparing any material, report, list,

or analysis on the actual or projected

economic or employment impact in a

particular State or congressional district

of an acquisition program for which all

research, development, testing, and

evaluation has not been completed (10

U.S.C. 2249).

3. Section 231.303 is amended by

adding paragraph (4) to read as follows:

231.303 Requirements.

* * * * *

(4) Under 10 U.S.C. 2249, the costs

cited in 231.205–22(a) are unallowable.

4. Section 231.603 is amended by

designating the existing text as

paragraph (1), and by adding paragraph

(2) to read as follows:

231.603 Requirements.

* * * * *

(2) Under 10 U.S.C. 2249, the costs

cited in 231.205–22(a) are unallowable.

5. Section 231.703 is amended by

designating the existing text as

paragraph (1), and by adding paragraph

(2) to read as follows:

231.703 Requirements.

* * * * *

(2) Under 10 U.S.C. 2249, the costs

cited in 231.205–22(a) are unallowable.

[FR Doc. 97–23657 Filed 9–5–97; 8:45 am]

BILLING CODE 5000–04–M