Federal Register / Vol. 65, No. 28 / Thursday, February 10, 2000 / Rules and Regulations 6553

DEPARTMENT OF DEFENSE

48 CFR Part 211

[DFARS Case 99–D024]

Defense Federal Acquisition

Regulation Supplement; OMB Circular

A–119

AGENCY: Department of Defense (DoD).

ACTION: Final rule.

SUMMARY: The Acting Director of

Defense Procurement has issued a final

rule amending the Defense Federal

Acquisition Regulation Supplement

(DFARS) to address use of a Federal

Acquisition Regulation (FAR) provision

that invites offerors to propose

alternatives to Government-unique

standards. This DFARS rule instructs

DoD contracting officers not to use the

FAR provision, since DoD uses the

Single Process Initiative to encourage

offerors to propose alternatives to

Government-unique specifications and

standards.

EFFECTIVE DATE: February 10, 2000.

FOR FURTHER INFORMATION CONTACT: Ms.

Melissa Rider, Defense Acquisition

Regulations Council, PDUSD (AT&L) DP

(DAR), IMD 3D139, 3062 Defense

Pentagon, Washington, DC 20301–3061.

Telephone (703) 602–4245; telefax (703)

602–0350. Please cite DFARS Case 99–

D024.

SUPPLEMENTARY INFORMATION:

A. Background

This final DFARS rule supplements

the final FAR rule that was published at

64 FR 51834 on September 24, 1999

(Federal Acquisition Circular 97–14,

Item V) to implement Office of

Management and Budget Circular A–

119, Federal Participation in the

Development and Use of Voluntary

Consensus Standards and in Conformity

Assessment Activities. The FAR rule

added a provision at FAR 52.211–7 to

permit offerors to propose voluntary

consensus standards as alternatives to

Government-unique standards included

in a solicitation. In accordance with the

prescription at FAR 11.107(b), use of the

provision is optional for agencies that

use the categorical method of reporting

their use of voluntary consensus

standards to the National Institute of

Standards and Technology. DoD uses

the categorical method of reporting. In

addition, DoD uses the Single Process

Initiative procedures at DFARS 211.273

and 252.211–7005 to encourage offerors

to propose industry standards as

alternatives to Government-unique

specifications and standards. Therefore,

this DFARS rule specifies that the

provision at FAR 52.211–7 will not be

used in DoD solicitations.

DoD published a proposed rule at 64

FR 61056 on November 9, 1999. One

source submitted comments in response

to the proposed rule. DoD considered

those comment in the development of

the final rule.

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 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 the provision at FAR 52.211–7,

Alternatives to Government-Unique

Standards, is optional, and DoD already

has implemented procedures for

encouraging offerors to propose

alternatives to Government-unique

specifications and standards through the

Single Process Initiative.

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 Part 211

Government procurement.

Michele P. Peterson,

Executive Editor, Defense Acquisition

Regulations Council.

Therefore, 48 CFR Part 211 is

amended as follows:

1. The authority citation for 48 CFR

Part 211 continues to read as follows:

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

Chapter 1.

PART 211—DESCRIBING AGENCY

NEEDS

2. Subpart 211.1 is added to read as

follows:

Subpart 211.1—Selecting and

Developing Requirements Documents

Sec.

211.107 Solicitation provision.

211.107 Solicitation provision.

(b) DoD uses the categorical method of

reporting. Do not use the provision at

FAR 52.211–7, Alternatives to

Government-Unique Standards, in DoD

solicitations.

[FR Doc. 00–2944 Filed 2–10–00; 8:45 am]

BILLING CODE 5000–04–M

DEPARTMENT OF DEFENSE

48 CFR Parts 212, 225, and 252

[DFARS Case 98–D305]

Defense Federal Acquisition

Regulation Supplement; People’s

Republic of China

AGENCY: Department of Defense (DoD).

ACTION: Final rule.

SUMMARY: The Acting Director of

Defense Procurement has issued a final

rule amending the Defense Federal

Acquisition Regulation Supplement

(DFARS) to implement Section 8120 of

the DoD Appropriations Act for fiscal

year 1999, as amended by Section 144

of Title I, Division C, of the Omnibus

Consolidated and Emergency

Supplemental Appropriations Act,

1999. Section 8120 places restrictions

on the award of contracts to companies

in which the People’s Republic of China

or the People’s Liberation Army of the

People’s Republic of China owns more

than 50 percent interest.

EFFECTIVE DATE: February 10, 2000.

FOR FURTHER INFORMATION CONTACT: Ms.

Amy Williams, Defense Acquisition

Regulations Council, PDUSD (AT&L) DP

(DAR), IMD 3D139, 3062 Defense

Pentagon, Washington, DC 20301–3062.

Telephone (703) 602–0288; telefax (703)

602–0350. Please cite DFARS Case 98–

D305.

SUPPLEMENTARY INFORMATION:

A. Background

This rule finalizes the interim rule

that was published at 64 FR 8727 on

February 23, 1999. DoD received no

public comments on the interim rule.

The interim rule implemented Section

8120 of the DoD Appropriations Act for

fiscal year 1999 (Public Law 105–262).

Section 8120 places restrictions on the

award of contracts to companies owned

or partially owned by the People’s

Republic of China or the People’s

Liberation Army of the People’s

Republic of China. This final rule also

incorporates the provisions of Section

144 of Title I, Division C, of the

Omnibus Consolidated and Emergency

Supplemental Appropriations Act, 1999

(Public Law 105–277). Section 144 of

Public Law 105–277 amended Section

8120 of Public Law 105–262 to restrict

contract award only if the Secretary of

Defense determines that the People’s

Republic of China or the People’s

Liberation Army of the People’s

Republic of China owns more than 50

percent interest in a company. The

Secretary of Defense has delegated the

authority for such determinations to the

Director of Defense Procurement.

6554 Federal Register / Vol. 65, No. 28 / Thursday, February 10, 2000 / Rules and Regulations

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 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 the rule pertains only to

companies in which the Director of

Defense Procurement has determined

that the People’s Republic of China or

the People’s Liberation Army of the

People’s Republic of China owns more

than 50 percent interest.

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 212,

225, 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, and

252, which was published at 64 FR 8727

on February 23, 1999, is adopted as a

final rule with the following changes:

1. The authority citation for 48 CFR

parts 212, 225, and 252 continues to

read as follows:

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

Chapter 1.

PART 225—FOREIGN ACQUISITION

2. Sections 225.771–2 through

225.771–4 are revised and section

225.771–5 is added to read as follows:

225.771–2 Legal authority.

This section implements Section 8120

of the DoD Appropriations Act for fiscal

year 1999 (Pub. L. 105–262), as

amended by Section 144 of Title I,

Division C, of the Omnibus

Consolidated and Emergency

Supplemental Appropriations Act, 1999

(Pub. L. 105–277).

225.771–3 Prohibition on contract award.

If using fiscal year 1999 funds made

available by Title III (Procurement) or

Title IV (Research, Development, Test

and Evaluation) of Pub. L. 105–262, do

not award or renew a contract with any

company in which the Director of

Defense Procurement has determined

that the People’s Republic of China or

the People’s Liberation Army of the

People’s Republic of China owns more

than 50 percent interest.

225.771–4 Procedures.

(a) Forward any information that the

People’s Republic of China or the

People’s Liberation Army of the

People’s Republic of China owns more

than 50 percent interest in a company,

through the head of the agency, to the

Director, Defense Procurement, ATTN:

OUSD (AT&L) DP/FC, 3060 Defense

Pentagon, Washington, DC 20301–3060.

(b) Upon verification of the

information, the Director of Defense

Procurement will ask the General

Services Administration to list the

company as ineligible on the List of

Parties Excluded from Federal

Procurement and Nonprocurement

Programs.

225.771–5 Solicitation provision.

Use the provision at 252.225–7017,

Prohibition on Award to Companies

Owned by the People’s Republic of

China, in solicitations for contracts that

will use fiscal year 1999 funds made

available by Title III or IV of Pub. L.

105–262.

PART 252—SOLICITATION

PROVISIONS AND CONTRACT

CLAUSES

3. Section 252.225–7017 is revised to

read as follows:

252.225–7017 Prohibition on Award to

Companies Owned by the People’s

Republic of China.

As prescribed in 225.771–5, use the

following provision:

Prohibition on Award to Companies Owned

by the People’s Republic of China (FEB 2000)

(a) Definition. ‘‘People’s Republic of

China,’’ as used in this provision, means the

government of the People’s Republic of

China, including its political subdivisions,

agencies, and instrumentalities.

(b) Prohibition on award. Section 8120 of

the Department of Defense Appropriations

Act for fiscal year 1999 (Pub. L. 105–262), as

amended by Section 144 of Title I, Division

C, of the Omnibus Consolidated and

Emergency Supplemental Appropriations

Act, 1999 (Pub. L. 105–277), prohibits the

award of a contract under this solicitation to

any company in which the Director of

Defense Procurement (Office of the Under

Secretary of Defense (Acquisition,

Technology, and Logistics)) has determined

that the People’s Republic of China or the

People’s Liberation Army of the People’s

Republic of China owns more than 50

percent interest.

(c) Representation. By submission of an

offer, the offeror represents that the People’s

Republic of China or the People’s Liberation

Army of the People’s Republic of China does

not own more than 50 percent interest in the

offeror.

(End of provision)

[FR Doc. 00–2943 Filed 2–9–00; 8:45 am]

BILLING CODE 5000–04–M

DEPARTMENT OF DEFENSE

48 CFR Part 219 and Appendix I to

Chapter 2

[DFARS Case 99–D307]

Defense Federal Acquisition

Regulation Supplement; MentorProtege Program Improvements

AGENCY: Department of Defense (DoD).

ACTION: Interim rule with request for

comments.

SUMMARY: The Acting Director of

Defense Procurement has issued an

interim rule amending the Defense

Federal Acquisition Regulation

Supplement (DFARS) to implement

Section 811 of the National Defense

Authorization Act for Fiscal Year 2000.

Section 811 amends statutory provisions

pertaining to the DoD Pilot MentorProtege Program.

DATES: Effective date: February 10, 2000.

Comment date: Comments on the

interim rule should be submitted in

writing to the address shown below on

or before April 10, 2000, to be

considered in the formation of the final

rule.

ADDRESSES: Interested parties should

submit written comments to: Defense

Acquisition Regulations Council, Attn:

Ms. Susan Schneider, PDUSD (AT&L)

DP (DAR), IMD 3D139, 3062 Defense

Pentagon, Washington, DC 20301–3062.

Telefax (703) 602–0350.

E-mail comments submitted via the

Internet should be addressed to:

dfars@acq.osd.mil

Please cite DFARS Case 99–D307 in

all correspondence related to this rule.

E-mail comments should cite DFARS

Case 99–D307 in the subject line.

FOR FURTHER INFORMATION CONTACT: Ms.

Susan Schneider, (703) 602–0326.

SUPPLEMENTARY INFORMATION:

A. Background

This interim rule revises DFARS

Subpart 219.71 and Appendix I to

implement Section 811 of the National

Defense Authorization Act for Fiscal

Year 2000 (Public Law 106–65). Section

811 amends statutory provisions

pertaining to the DoD Pilot MentorProtege Program. The amendments

revise the procedures for reimbursement