[Federal Register Volume 66, Number 176 (Tuesday, September 11, 2001)]
[Proposed Rules]
[Pages 47158-47159]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-22426]


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DEPARTMENT OF DEFENSE

48 CFR Part 226

[DFARS Case 2001-D007]


Defense Federal Acquisition Regulation Supplement; Preference for 
Local 8(a) Contractors--Base Closure or Realignment

AGENCY: Department of Defense (DoD).

ACTION: Proposed rule with request for comments.

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SUMMARY: DoD is proposing to amend the Defense Federal Acquisition 
Regulation Supplement (DFARS) to clarify policy pertaining to 
preferences for local businesses in acquisitions that support a base 
closure or realignment. The rule clarifies that both competitive and 
noncompetitive acquisitions under the Section 8(a) Program are 
permitted if an 8(a) contractor is located in the vicinity of the base 
to be closed or realigned.

DATES: Comments on the proposed rule should be submitted in writing to 
the address shown below on or before November 13, 2001, to be 
considered in the formation of the final rule.

ADDRESSES: Respondents may submit comments directly on the World Wide 
Web at http://emissary.acq.osd.mil/dar/dfars.nsf/pubcomm. As an 
alternative, respondents may e-mail comments to: [email protected]. 
Please cite DFARS Case 2001-D007 in the subject line of e-mailed 
comments.
    Respondents that cannot submit comments using either of the above 
methods may submit comments to: Defense Acquisition Regulations 
Council, Attn: Ms. Angelena Moy, OUSD(AT&L)DP(DAR), IMD 3C132, 3062 
Defense Pentagon, Washington, DC 20301-3062; facsimile (703) 602-0350. 
Please cite DFARS Case 2001-D007.
    At the end of the comment period, interested parties may view 
public comments on the World Wide Web at http://emissary.acq.osd.mil/dar/dfars.nsf.

FOR FURTHER INFORMATION CONTACT: Ms. Angelena Moy, (703) 602-1302.

SUPPLEMENTARY INFORMATION:

A. Background

    This proposed rule amends DFARS 226.7103 to clarify policy 
pertaining to preferences for local businesses in acquisitions that 
support a base closure or realignment. The present policy permits award 
under the Section 8(a) Program if ``the 8(a) contractor'' is located in 
the vicinity of the base to be closed or realigned. This proposed rule 
amends the text to permit use of 8(a) procedures if ``at least one 
eligible 8(a) contractor'' is located in the vicinity. This change 
clarifies the intent of the policy, which is to permit both competitive 
and noncompetitive 8(a) acquisiitons in support of a base closure or 
realignment. A similar clarifying amendment is made to the text 
pertaining to set-asides for small business concerns.
    This rule was not subject to Office of Management and Budget review 
under Executive Order 12866, dated September 30, 1993.

B. Regulatory Flexibility Act

    The proposed rule is not expected to have a significant economic 
impact on a substantial number of small entities

[[Page 47159]]

within the meaning of the Regulatory Flexibility Act, 5 U.S.C. 601, et 
seq., because the rule merely clarifies existing policy pertaining to 
acquisitions made in support of a base closure or realignment. 
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 
2001-D007.

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 226

    Government procurement.

Michele P. Peterson,
Executive Editor, Defense Acquisition Regulations Council.
    Therefore, DoD proposes to amend 48 CFR part 226 as follows:
    1. The authority citation for 48 CFR part 226 continues to read as 
follows:

    Authority: 41 U.S.C. 421 and 48 CFR Chapter 1.

PART 226--OTHER SOCIOECONOMIC PROGRAMS

    2. Section 226.7103 is amended by revising paragraph (c) to read as 
follows:


226.7103  Procedure.

* * * * *
    (c) If offers can be expected from business concerns in the 
vicinity--
    (1) Consider section 8(a) only if at least one eligible 8(a) 
contractor is located in the vicinity.
    (2) Set aside the acquisition for small business only if at least 
one of the expected offers is from a small business located in the 
vicinity.

[FR Doc. 01-22426 Filed 9-10-01; 8:45 am]
BILLING CODE 5000-04-M