54698 Federal Register / Vol. 70, No. 179 / Friday, September 16, 2005 / Proposed Rules 

contain only requirements of law, DoDwide policies, delegations of FAR 

authorities, deviations from FAR 

requirements, and policies/procedures 

that have a significant effect beyond the 

internal operating procedures of DoD or 

a significant cost or administrative 

impact on contractors or offerors. 

Additional information on the DFARS 

Transformation initiative is available at 

http://www.acq.osd.mil/dpap/dars/ 

dfars/transformation/index.htm. 

This proposed rule is a result of the 

DFARS Transformation initiative. The 

rule revises DFARS Subpart 239.70 to 

delete obsolete procedures for the 

exchange or sale of Government-owned 

information technology. DoD now 

handles the exchange or sale of 

information technology equipment in 

the same manner as other personal 

property, in accordance with DoD 

4140.1–R, DoD Supply Chain Materiel 

Management Regulation. The proposed 

rule adds a reference to DoD 4140.1–R. 

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 proposed DFARS change is 

limited to the deletion of obsolete 

procedures for the exchange or sale of 

Government-owned information 

technology. 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 subpart 

in accordance with 5 U.S.C. 610. Such 

comments should be submitted 

separately and should cite DFARS Case 

2003–D094. 

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 239 

Government procurement. 

Michele P. Peterson, 

Editor, Defense Acquisition Regulations 

System. 

Therefore, DoD proposes to amend 48 

CFR Part 239 as follows: 

1. The authority citation for 48 CFR 

Part 239 continues to read as follows: 

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

Chapter 1. 

PART 239—ACQUISITION OF 

INFORMATION TECHNOLOGY 

2. Subpart 239.70 is revised to read as 

follows: 

Subpart 239.70—Exchange or Sale of 

Information Technology 

Sec. 

239.7001 Policy. 

239.7001 Policy. 

Agencies shall follow the procedures 

in DoD 4140.1–R, DoD Supply Chain 

Materiel Management Regulation, 

Chapter 9, Section C9.5, when 

considering the exchange or sale of 

Government-owned information 

technology. 

[FR Doc. 05–18471 Filed 9–15–05; 8:45 am] 

BILLING CODE 5001–08–P 

DEPARTMENT OF DEFENSE 

48 CFR Parts 239 and 252 

[DFARS Case 2003–D068] 

Defense Federal Acquisition 

Regulation Supplement; Acquisition of 

Information Technology 

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 

update text on the acquisition of 

information technology. This proposed 

rule is a result of a transformation 

initiative undertaken by DoD to 

dramatically change the purpose and 

content of the DFARS. 

DATES: Comments on the proposed rule 

should be submitted in writing to the 

address shown below on or before 

November 15, 2005, to be considered in 

the formation of the final rule. 

ADDRESSES: You may submit comments, 

identified by DFARS Case 2003–D068, 

using any of the following methods: 

Æ Federal eRulemaking Portal: http:// 

www.regulations.gov. Follow the 

instructions for submitting comments. 

Æ Defense Acquisition Regulations 

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

dar/dfars.nsf/pubcomm. Follow the 

instructions for submitting comments. 

Æ E-mail: dfars@osd.mil. Include 

DFARS Case 2003–D068 in the subject 

line of the message. 

Æ Fax: (703) 602–0350. 

Æ Mail: Defense Acquisition 

Regulations Council, Attn: Ms. Gabrielle 

Ward, OUSD(AT&L)DPAP(DAR), IMD 

3C132, 3062 Defense Pentagon, 

Washington, DC 20301–3062. 

Æ 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. 

Gabrielle Ward, (703) 602–2022. 

SUPPLEMENTARY INFORMATION: 

A. Background 

DFARS Transformation is a major 

DoD initiative to dramatically change 

the purpose and content of the DFARS. 

The objective is to improve the 

efficiency and effectiveness of the 

acquisition process, while allowing the 

acquisition workforce the flexibility to 

innovate. The transformed DFARS will 

contain only requirements of law, DoDwide policies, delegations of FAR 

authorities, deviations from FAR 

requirements, and policies/procedures 

that have a significant effect beyond the 

internal operating procedures of DoD or 

a significant cost or administrative 

impact on contractors or offerors. 

Additional information on the DFARS 

Transformation initiative is available at 

http://www.acq.osd.mil/dpap/dars/ 

dfars/transformation/index.htm. 

This proposed rule is a result of the 

DFARS Transformation initiative. The 

proposed DFARS changes—

Æ Remove text that is obsolete or 

unnecessary; 

Æ Clarify text addressing charges for 

special construction or assembly related 

to telecommunications services; 

Æ Clarify the text of clauses used in 

basic agreements for 

telecommunications services; and 

Æ Remove text addressing the 

acquisition of telecommunications 

services from foreign carriers. Text on 

this subject will be relocated to the new 

DFARS companion resource, 

Procedures, Guidance, and Information 

(PGI). Additional information on PGI is 

available at http://www.acq.osd.mil/ 

dpap/dars/pgi. 

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., 

Federal Register / Vol. 70, No. 179 / Friday, September 16, 2005 / Proposed Rules 54699 

because the rule updates and clarifies 

DFARS text, but makes no significant 

change to DoD policy for the acquisition 

of information technology. 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 2003–D068. 

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 239 

Government procurement. 

Michele P. Peterson, 

Editor, Defense Acquisition Regulations 

System. 

Therefore, DoD proposes to amend 48 

CFR part 239 as follows: 

1. The authority citation for 48 CFR 

part 239 continues to read as follows: 

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

Chapter 1. 

PART 239—ACQUISITION OF 

INFORMATION TECHNOLOGY 

239.7200 [Removed] 

2. Section 239.7200 is removed. 

3. Section 239.7201 is added to read 

as follows: 

239.7201 Solicitation requirements. 

Contracting officers shall ensure that 

all applicable Federal Information 

Processing Standards are incorporated 

into solicitations. 

239.7202 [Removed] 

4. Section 239.7202 is removed. 

5. Section 239.7400 is amended by 

revising the second sentence to read as 

follows: 

239.7400 Scope. 

* * * Telecommunications services 

meet the definition of information 

technology. 

6. Section 239.7402 is amended by 

revising paragraph (a) and adding 

paragraph (c) to read as follows: 

239.7402 Policy. 

(a) Acquisition. DoD policy is to 

acquire telecommunications services 

from common and noncommon 

telecommunications carriers—

(1) On a competitive basis, except 

when acquisition using other than full 

and open competition is justified; 

(2) Recognizing the regulations, 

practices, and decisions of the Federal 

Communications Commission (FCC) 

and other governmental regulatory 

bodies on rates, cost principles, and 

accounting practices; and 

(3) Making provision in 

telecommunications services contracts 

for adoption of—

(i) FCC approved practices; or 

(ii) The generally accepted practices 

of the industry on those issues 

concerning common carrier services 

where—

(A) The governmental regulatory body 

has not expressed itself; 

(B) The governmental regulatory body 

has declined jurisdiction; or 

(C) There is no governmental 

regulatory body to decide. 

* * * * * 

(c) Foreign carriers. For information 

on contracting with foreign carriers, see 

PGI 239.7402(c). 

239.7403 and 239.7404 [Removed and 

Reserved] 

7. Sections 239.7403 and 239.7404 are 

removed and reserved. 

8. Section 239.7406 is amended by 

revising paragraph (c) to read as follows: 

239.7406 Cost or pricing data and 

information other than cost or pricing data. 

* * * * * 

(c) Contracting officers shall obtain 

sufficient information to determine that 

the prices are reasonable in accordance 

with FAR 15.403–3 or 15.403–4. 

9. Section 239.7408–1 is amended in 

paragraph (e) by revising the last 

sentence to read as follows: 

239.7408–1 General. 

* * * * * 

(e) * * * The contracting officer must 

approve special construction charges 

before final payment. 

10. Section 239.7408–2 is amended by 

revising paragraph (a) to read as follows: 

239.7408–2 Applicability of construction 

labor standards for special construction. 

(a) The construction labor standards 

in FAR Subpart 22.4 ordinarily do not 

apply to special construction. However, 

if the special construction includes 

construction, alteration, or repair (as 

defined in FAR 22.401) of a public 

building or public work, the 

construction labor standards may apply. 

Determine applicability under FAR 

22.402. 

* * * * * 

11. Section 239.7409 is amended in 

paragraph (b) by revising the second 

sentence to read as follows: 

239.7409 Special assembly. 

* * * * * 

(b) * * * The contracting officer 

should negotiate special assembly rates 

and charges before starting service. 

* * * 

12. Section 239.7411 is amended by 

revising paragraph (d) to read as 

follows: 

239.7411 Contract clauses. 

* * * * * 

(d) Use the clause at 252.239–7016, 

Telecommunications Security 

Equipment, Devices, Techniques, and 

Services, in solicitations and contracts 

when performance of a contract requires 

secure telecommunications. 

Subpart 239.75 [Removed] 

13. Subpart 239.75 is removed. 

PART 252—SOLICITATION 

PROVISIONS AND CONTRACT 

CLAUSES 

14. Section 252.239–7013 is revised to 

read as follows: 

252.239–7013 Obligation of the 

Government. 

As prescribed in 239.7411(c), use the 

following clause: 

OBLIGATION OF THE GOVERNMENT 

(XXX 2005) 

(a) This basic agreement is not a contract. 

The Government incurs no monetary liability 

under this agreement. 

(b) The Government incurs liability only 

upon issuance of a communications service 

authorization, which is the contract and 

incorporates the terms of this agreement. 

(End of clause) 

15. Section 252.239–7015 is revised to 

read as follows: 

252.239–7015 Continuation of 

Communication Service Authorizations. 

As prescribed in 239.7411(c), use the 

following clause: 

CONTINUATION OF COMMUNICATION 

SERVICE AUTHORIZATIONS (XXX 2005) 

(a) All communication service 

authorizations issued by ______ incorporating 

Basic Agreement Number ____, dated ______, 

are modified to incorporate this basic 

agreement. 

(b) Communication service authorizations 

currently in effect which were issued by the 

activity in paragraph (a) of this clause 

incorporating other agreements with the 

Contractor may also be modified to 

incorporate this agreement. 

(c) This basic agreement is not a contract. 

(End of clause) 

[FR Doc. 05–18474 Filed 9–15–05; 8:45 am] 

BILLING CODE 5001–08–P