Federal Register / Vol. 74, No. 134 / Wednesday, July 15, 2009 / Rules and Regulations 34265 

• 225.301–4. Adds a reference to a 

DoD Web site. 

• 252.225–7040. Updates a reference 

to a DoD publication. 

List of Subjects in 48 CFR Parts 204, 

219, 225, and 252 

Government procurement. 

Michele P. Peterson, 

Editor, Defense Acquisition Regulations 

System. 

■ Therefore, 48 CFR Parts 204, 219, 225, 

and 252 are amended as follows: 

■ 1. The authority citation for 48 CFR 

Parts 204, 219, 225, and 252 continues 

to read as follows: 

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

Chapter 1. 

PART 204—ADMINISTRATIVE 

MATTERS 

■ 2. Section 204.7202–2 is revised to 

read as follows: 

204.7202–2 DUNS numbers. 

Requirements for use of DUNS 

numbers are in FAR 4.605(b) and 

4.607(a). 

PART 219—SMALL BUSINESS 

PROGRAMS 

219.708 [Amended] 

■ 3. Section 219.708 is amended in 

paragraphs (b)(2) and (c)(1) by removing 

‘‘219.702(a)’’ and adding in its place 

‘‘219.702’’. 

219.1204 [Amended] 

■ 4. Section 219.1204 is amended in 

paragraph (c), in the last sentence, by 

removing ‘‘219.702(a)’’ and adding in its 

place ‘‘219.702’’. 

PART 225—FOREIGN ACQUISITION 

■ 5. Section 225.301–4 is amended in 

paragraph (2) by revising the last 

sentence to read as follows: 

225.301–4 Contract clause. 

* * * * * 

(2) * * * Information on the SPOT 

system is available at http:// 

www.dod.mil/bta/products/spot.html 

and http://www.acq.osd.mil/log/PS/ 

spot.html. 

225.1101 [Amended] 

■ 6. Section 225.1101 is amended in 

paragraph (11)(i) introductory text by 

removing ‘‘paragraph (10)’’ and adding 

in its place ‘‘paragraph (11)’’. 

PART 252—SOLICITATION 

PROVISIONS AND CONTRACT 

CLAUSES 

252.225–7040 [Amended] 

■ 7. Section 252.225–7040 is amended 

as follows: 

■ a. By revising the clause date to read 

‘‘(JUL 2009)’’; and 

■ b. In paragraph (n)(2) by removing 

‘‘DoD Directive 2310.2, Personnel 

Recovery’’ and adding in its place ‘‘DoD 

Directive 3002.01E, Personnel Recovery 

in the Department of Defense’’. 

[FR Doc. E9–16663 Filed 7–14–09; 8:45 am] 

BILLING CODE 5001–08–P 

DEPARTMENT OF DEFENSE 

Defense Acquisition Regulations 

System 

48 CFR Part 207 

RIN 0750–AF39 

Defense Federal Acquisition 

Regulation Supplement; Lease of 

Vessels, Aircraft, and Combat Vehicles 

(DFARS Case 2006–D013) 

AGENCY: Defense Acquisition 

Regulations System, Department of 

Defense (DoD). 

ACTION: Final rule. 

SUMMARY: DoD has issued a final rule 

amending the Defense Federal 

Acquisition Regulation Supplement 

(DFARS) to implement statutory 

provisions relating to the leasing of 

vessels, aircraft, and combat vehicles. 

The rule applies to long-term leases and 

charters and to contracts with a 

substantial termination liability. 

DATES: Effective Date: July 15, 2009. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Cassandra Freeman, Defense 

Acquisition Regulations System, OUSD 

(AT&L) DPAP (DARS), IMD 3D139, 3062 

Defense Pentagon, Washington, DC 

20301–3062. Telephone 703–602–8383; 

facsimile 703–602–7887. Please cite 

DFARS Case 2006–D013. 

SUPPLEMENTARY INFORMATION: 

A. Background 

10 U.S.C. 2401, as amended by 

Section 815 of the National Defense 

Authorization Act for Fiscal Year 2006 

(Pub. L. 109–163), permits a military 

department to award a long-term lease 

or charter, or a contract with a 

substantial termination liability, for a 

vessel, aircraft, or combat vehicle, only 

if the Secretary of the military 

department is specifically authorized by 

law to award the contract and provides 

the appropriate notifications to the 

congressional defense committees. 

Prior to the enactment of Public Law 

109–163, the provisions of 10 U.S.C. 

2401 applied to vessels and aircraft. 

Section 815 of Public Law 109–163 

amended 10 U.S.C. 2401 to also include 

combat vehicles. 

DoD published a proposed rule at 72 

FR 28662 on May 22, 2007, to address 

the provisions of 10 U.S.C. 2401. Five 

sources submitted comments on the 

proposed rule. A discussion of the 

comments is provided below. 

1. Comment: The proposed rule 

unduly applies its requirements to all 

leases and charters instead of only longterm leases and charters. 

DoD Response: The rule has been 

amended to clarify that its requirements 

apply only to long-term leases and 

charters, and to contracts that provide 

for a substantial termination liability, 

consistent with the statutory provisions. 

2. Comment: One respondent stated 

that the approval authority specified in 

the proposed rule (head of the agency) 

is not consistent with the approval 

authority specified in the statute 

(Secretary of the military department). 

Another respondent recommended 

delegation of the approval authority to 

the head of the contracting activity, to 

be consistent with the implementation 

of 10 U.S.C. 2401a at DFARS 207.470, 

for approval of leases and charters with 

terms of 18 months or more. 

DoD Response: The final rule 

specifies the Secretary of the military 

department as the approval authority, 

consistent with 10 U.S.C. 2401. 

However, in accordance with FAR 

1.108(b), the Secretary of the military 

department may delegate this authority 

as deemed appropriate. 

3. Comment: The term ‘‘similar 

agreement’’ should be deleted from the 

rule, since this term is not defined in 

the DFARS or in the statute. 

DoD Response: The term has been 

excluded from the final rule. 

4. Comment: The rule should identify 

under what circumstances DoD can 

lease vessels, aircraft, and combat 

vehicles and how the decision to lease 

should be determined. In addition, the 

rule should include the definitions of 

the terms ‘‘long-term lease’’ and 

‘‘substantial termination liability’’ found 

in 10 U.S.C. 2401(d). 

DoD Response: The recommended 

changes have not been adopted. The 

rule is intended to inform contracting 

officers of the requirements of 10 U.S.C. 

2401, but is not intended to address all 

aspects of leasing. Leasing is a highly 

specialized area that requires close 

coordination between the contracting 

officer and legal counsel. 


srobinson on DSKHWCL6B1PROD with RULES
34266 Federal Register / Vol. 74, No. 134 / Wednesday, July 15, 2009 / 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 primarily relates to 

DoD planning and budget 

considerations with regard to the leasing 

of vessels, aircraft, and combat vehicles. 

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 207 

Government procurement. 

Michele P. Peterson, 

Editor, Defense Acquisition Regulations 

System. 

■ Therefore, 48 CFR Part 207 is 

amended as follows: 

PART 207—ACQUISITION PLANNING 

■ 1. The authority citation for 48 CFR 

Part 207 continues to read as follows: 

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

Chapter 1. 

■ 2. Section 207.470 is amended as 

follows: 

■ a. By redesignating paragraphs (a) and 

(b) as paragraphs (b) and (c) 

respectively; 

■ b. By adding a new paragraph (a); and 

■ c. In newly designated paragraph (c), 

by removing ‘‘Except as provided in 

paragraph (a) of this section’’ and 

adding in its place ‘‘Except as provided 

in paragraphs (a) and (b) of this 

section’’. 

The new paragraph (a) reads as 

follows: 

207.470 Statutory requirements. 

(a) Requirement for authorization of 

certain contracts relating to vessels, 

aircraft, and combat vehicles. The 

contracting officer shall not enter into 

any contract for the lease or charter of 

any vessel, aircraft, or combat vehicle, 

or any contract for services that would 

require the use of the contractor’s 

vessel, aircraft, or combat vehicle, 

unless the Secretary of the military 

department concerned has satisfied the 

requirements of 10 U.S.C. 2401, when— 

(1) The contract will be a long-term 

lease or charter as defined in 10 U.S.C. 

2401(d)(1); or 

(2) The terms of the contract provide 

for a substantial termination liability as 

defined in 10 U.S.C. 2401(d)(2). Also see 

PGI 207.470. 

* * * * * 

[FR Doc. E9–16650 Filed 7–14–09; 8:45 am] 

BILLING CODE 5001–08–P 

DEPARTMENT OF DEFENSE 

Defense Acquisition Regulations 

System 

48 CFR Parts 209, 237, and 252 

RIN 0750–AF80 

Defense Federal Acquisition 

Regulation Supplement; Lead System 

Integrators (DFARS Case 2006–D051) 

AGENCY: Defense Acquisition 

Regulations System, Department of 

Defense (DoD). 

ACTION: Interim rule with request for 

comments. 

SUMMARY: DoD has issued an interim 

rule amending the Defense Federal 

Acquisition Regulation Supplement 

(DFARS) to implement Section 802 of 

the National Defense Authorization Act 

for Fiscal Year 2008. Section 802 places 

limitations on the award of new 

contracts for lead system integrator 

functions in the acquisition of major 

DoD systems. 

DATES: Effective date: July 15, 2009. 

Comment date: Comments on the 

interim rule should be submitted in 

writing to the address shown below on 

or before September 14, 2009, to be 

considered in the formation of the final 

rule. 

ADDRESSES: You may submit comments, 

identified by DFARS Case 2006–D051, 

using any of the following methods: 

• Federal eRulemaking Portal: http:// 

www.regulations.gov. Follow the 

instructions for submitting comments. 

• E-mail: dfars@osd.mil. Include 

DFARS Case 2006–D051 in the subject 

line of the message. 

• Fax: 703–602–7887. 

• Mail: Defense Acquisition 

Regulations System, Attn: Ms. 

Cassandra Freeman, OUSD (AT&L) 

DPAP (DARS), IMD 3D139, 3062 

Defense Pentagon, Washington, DC 

20301–3062. 

• Hand Delivery/Courier: Defense 

Acquisition Regulations System, Crystal 

Square 4, Suite 200A, 241 18th Street, 

Arlington, VA 22202–3402. 

Comments received generally will be 

posted without change to http:// 

www.regulations.gov, including any 

personal information provided. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Cassandra Freeman, 703–602–8383. 

SUPPLEMENTARY INFORMATION: 

A. Background 

DoD published an interim rule at 73 

FR 1823 on January 10, 2008, to 

implement Section 807 of the National 

Defense Authorization Act for Fiscal 

Year 2007 (Pub. L. 109–364) with regard 

to limitations on the performance of 

lead system integrator functions by DoD 

contractors. On January 28, 2008, 

Section 802 of the National Defense 

Authorization Act for Fiscal Year 2008 

(Pub. L. 110–181) placed additional 

limitations on DoD use of lead system 

integrators. This second interim rule 

amends the interim rule published on 

January 10, 2008, to implement Section 

802 of Public Law 110–181. 

One source submitted comments on 

the interim rule published on January 

10, 2008. A discussion of the comments 

is provided below. 

1. Comment: Section 802 of the Fiscal 

Year 2008 National Defense 

Authorization Act (Pub. L. 110–181), 

which was enacted after publication of 

the interim rule, contains a definition of 

‘‘lead system integrator’’ that renders 

the interim rule definition obsolete. 

DoD Response: The definition of 

‘‘lead system integrator’’ in this second 

interim rule has been amended for 

consistency with the definition in 

Section 802 of Public Law 110–181. 

2. Comment: The limitations on the 

award of new contracts for lead system 

integrator functions, in Section 802 of 

Public Law 110–181, will make any 

implementing regulations applicable to 

only a handful of contractors. Given the 

limited duration of ongoing contracts for 

programs that have been identified as 

lead system integrators, the newly 

created contract clauses in the interim 

rule are unlikely to be incorporated into 

a contract, because the fiscal year 2008 

statutory prohibition effectively 

precludes their use. Therefore, DoD 

should withdraw or suspend the interim 

rule. 

DoD Response: DoD agrees that the 

rule will apply only to a limited number 

of contractors and only for a limited 

duration. However, the law must be 

implemented for those situations where 

it is applicable. 

3. Comment: It is inappropriate to 

require contractors to represent whether 

or not they propose to perform lead 

system integrator functions under vague 

definitions, given that the contract may 

be terminated for default or other 

remedies may be imposed at the sole 

discretion of the contracting officer if 

the contractor misrepresented its 

‘‘financial interests’’ when that term is 


srobinson on DSKHWCL6B1PROD with RULES