[Federal Register Volume 67, Number 226 (Friday, November 22, 2002)]
[Rules and Regulations]
[Pages 70519-70520]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-29091]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Parts 25 and 52

[FAC 2001-10; FAR Case 2000-306; Item III]
RIN 9000-AJ27


Federal Acquisition Regulation; Caribbean Basin Country End 
Products

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

ACTION: Final rule.

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SUMMARY: The Civilian Agency Acquisition Council and the Defense 
Acquisition Regulations Council (Councils) have agreed on a final rule 
amending the Federal Acquisition Regulation (FAR) to convert this FAR 
case from an interim rule to a final rule with changes. This interim 
rule amended the FAR to implement the determination of the United 
States Trade Representative (USTR) to extend the treatment of certain 
end products, from countries designated by the President as 
beneficiaries under the Caribbean Basin Economic Recovery Act, as 
eligible products under the Trade Agreements Act, with the exception of 
end products from the Dominican Republic, Honduras, and Panama. It also 
implemented section 211 of the United States-Caribbean Basin Trade 
Partnership Act and the determination of the USTR as to which countries 
qualify for the enhanced trade benefits under that Act. However, on 
July 12, 2002, the USTR published a notice in the Federal Register to 
reinstate the treatment on Government procurement of products from 
Honduras. The determination to reinstate Honduras as published by the 
USTR has been incorporated in this final rule.

DATES: Effective Date: November 22, 2002.

FOR FURTHER INFORMATION CONTACT: The FAR Secretariat, Room 4035, GS 
Building, Washington, DC, 20405, (202) 501-4755, for information 
pertaining to status or publication schedules. For clarification of 
content, contact Ms. Cecelia Davis, Procurement Analyst, at (202) 219-
0202. Please cite FAC 2001-10, FAR case 2000-306.

SUPPLEMENTARY INFORMATION:

A. Background

    This rule amended the Federal Acquisition Regulation (FAR) to 
implement the determination of the United States Trade Representative 
(USTR) to extend the treatment of certain end products, from countries 
designated by the President as beneficiaries under the Caribbean Basin 
Economic Recovery Act, as eligible products under the Trade Agreements 
Act, with the exception of end products from the Dominican Republic, 
Honduras, and Panama. This rule also implemented section 211 of the 
United States-Caribbean Basin Trade Partnership Act and the 
determination of the USTR as to which countries qualify for the 
enhanced trade benefits under the Act.
    DoD, GSA, and NASA published an interim rule in the Federal 
Register at 67 FR 6116, February 8, 2002, and no comments were 
received. However, on July 12, 2002 (67 FR 46239), the USTR published a 
notice in the Federal Register to reinstate the treatment on Government 
procurement of products from Honduras. The notice stated that products 
of Honduras shall be treated as eligible products for purposes of 
section 1-101 of Executive Order 12260. Such treatment shall not apply 
to products originating in Honduras that are excluded from duty-free 
treatment under 19 U.S.C. 2703(b). The determination to reinstate 
Honduras as published by the USTR has been incorporated in this case. 
The Councils have agreed to convert this FAR case from an interim rule 
to a final rule with changes.
    This is not a significant regulatory action and, therefore, was not 
subject to review under section 6(b) of Executive Order 12866, 
Regulatory Planning and Review, dated September 30, 1993. This rule is 
not a major rule under 5 U.S.C. 804.

B. Regulatory Flexibility Act

    The Department of Defense, the General Services Administration, and 
the National Aeronautics and Space Administration certify that this 
final

[[Page 70520]]

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 it only affects a 
limited number of products from a few Caribbean Basin countries. The 
Berry Amendment (formerly at 10 U.S.C. 2241, note, but recently 
codified at 10 U.S.C. 2533a) still prohibits the Department of Defense 
from buying most of the textile and apparel articles receiving duty-
free treatment under this Act.

C. Paperwork Reduction Act

    The Paperwork Reduction Act does not apply because the changes to 
the FAR do not impose 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 25 and 52

    Government procurement.

    Dated: November 12, 2002.
Al Matera,
Director, Acquisition Policy Division.

Interim Rule Adopted as Final With Changes

    Accordingly, DoD, GSA, and NASA adopt the interim rule amending 48 
CFR parts 25 and 52, which was published in the Federal Register at 67 
FR 6116, February 8, 2002, as a final rule with the following changes:
    1. The authority citation for 48 CFR parts 25 and 52 continues to 
read as follows:


    Authority: 40 U.S.C. 486(c); 10 U.S.C. chapter 137; and 42 
U.S.C. 2473(c).

PART 25--FOREIGN ACQUISITION


25.003  [Amended]

    2. Amend section 25.003 in the definition ``Caribbean Basin 
country'' by adding ``Honduras,'' after ``Haiti,''.


25.400  [Amended]

    3. Amend section 25.400 in paragraph (a)(2) by removing ``, 
Honduras,''.

PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES


52.225-5  [Amended]

    4. Amend section 52.225-5 in the clause heading by removing ``(Feb 
2002)'' and adding ``(Nov 2002)'' in its place; and in paragraph (a) in 
the definition ``Caribbean Basin country'', by adding ``Honduras,'' 
after ``Haiti,''.
[FR Doc. 02-29091 Filed 11-21-02; 8:45 am]
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