[Federal Register Volume 77, Number 75 (Wednesday, April 18, 2012)]
[Rules and Regulations]
[Page 23368]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-9202]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Parts 4, 25, and 52

[FAC 2005-58; FAR Case 2010-018; Item II; Docket 2010-0018, Sequence 1]
RIN 9000-AL91


Federal Acquisition Regulation; Representation Regarding Export 
of Sensitive Technology to Iran

AGENCY: Department of Defense (DoD), General Services Administration 
(GSA), and National Aeronautics and Space Administration (NASA).

ACTION: Final rule.

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SUMMARY: DoD, GSA, and NASA have adopted as final, with changes, the 
interim rule amending the Federal Acquisition Regulation (FAR) to add a 
representation to implement section 106 of the Comprehensive Iran 
Sanctions, Accountability, and Divestment Act of 2010. Section 106 
imposes a procurement prohibition relating to contracts with persons 
that export certain sensitive technology to Iran.

DATES: Effective Date: May 18, 2012.

FOR FURTHER INFORMATION CONTACT:  Ms. Cecelia Davis, Procurement 
Analyst, at 202-219-0202, for clarification of content. For information 
pertaining to status or publication schedules, contact the Regulatory 
Secretariat at 202-501-4755. Please cite FAC 2005-58, FAR Case 2010-
018.

SUPPLEMENTARY INFORMATION:

I. Background

    DoD, GSA, and NASA published an interim rule in the Federal 
Register at 76 FR 68028 on November 2, 2011, to add a representation to 
implement section 106 of the Comprehensive Iran Sanctions, 
Accountability, and Divestment Act of 2010. Section 106 imposes a 
procurement prohibition relating to contracts with persons that export 
certain sensitive technology to Iran. One respondent submitted comments 
on the interim rule.

II. Discussion and Analysis

    The Civilian Agency Acquisition Council and the Defense Acquisition 
Regulations Council (the Councils) reviewed the comment in the 
development of the final rule. There were no significant changes in the 
final rule as a result of the one public comment.
    Comment: The respondent pointed out that the introductory text at 
FAR 25.703-1, Definitions, should refer to definitions used in the 
``section'' rather than ``subpart.''
    Response: The correction has been made.

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

    The Department of Defense, the General Services Administration, and 
the National Aeronautics and Space Administration certify 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 this rule will only 
have an impact on an offeror that is exporting sensitive technology to 
Iran. Domestic entities are generally prohibited from engaging in 
activity that would cause them to be subject to the procurement bans 
described in this rule due to current restrictions on trade with Iran 
(see, e.g., Department of the Treasury Office of Foreign Assets Control 
regulations at 31 CFR part 560).
    For the definition of ``small business,'' the Regulatory 
Flexibility Act refers to the Small Business Act, which in turn allows 
the U.S. Small Business Administration (SBA) Administrator to specify 
detailed definitions or standards (5 U.S.C. 601(3) and 15 U.S.C. 
632(a)). The SBA regulations at 13 CFR 121.105 discuss who is a small 
business: ``(a)(1) Except for small agricultural cooperatives, a 
business concern eligible for assistance from SBA as a small business 
is a business entity organized for profit, with a place of business 
located in the United States, and which operates primarily within the 
United States or which makes a significant contribution to the U.S. 
economy through payment of taxes or use of American products, materials 
or labor.''

V. Paperwork Reduction Act

    The rule does not contain any information collection requirements 
that require the approval of the Office of Management and Budget under 
the Paperwork Reduction Act (44 U.S.C. chapter 35).

List of Subjects in 48 CFR Parts 4, 25, and 52

    Government procurement.

    Dated: April 11, 2012.
Laura Auletta,
Director, Office of Governmentwide Acquisition Policy, Office of 
Acquisition Policy, Office of Governmentwide Policy.

Interim Rule Adopted as Final With Changes

0
Accordingly, the interim rule amending 48 CFR parts 4, 25, and 52, 
which was published in the Federal Register at 76 FR 68028, November 2, 
2011, is adopted as final with the following changes:

PART 25--FOREIGN ACQUISITION

0
1. The authority citation for 48 CFR part 25 continues to read as 
follows:

    Authority:  40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 42 
U.S.C. 2473(c).


0
2. Amend section 25.703-1 by revising the introductory text to read as 
follows:


25.703-1   Definitions.

    As used in this section--
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[FR Doc. 2012-9202 Filed 4-17-12; 8:45 am]
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