[Federal Register Volume 68, Number 140 (Tuesday, July 22, 2003)]
[Rules and Regulations]
[Pages 43332-43333]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-18450]


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DEPARTMENT OF DEFENSE

48 CFR Part 217

[DFARS Case 2003-D004]


Defense Federal Acquisition Regulation Supplement; Multiyear 
Procurement Authority for Environmental Services for Military 
Installations

AGENCY: Department of Defense (DoD).

ACTION: Interim rule with request for comments.

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SUMMARY: DoD has issued an interim rule amending the Defense Federal 
Acquisition Regulation Supplement (DFARS) to implement Section 827 of 
the National Defense Authorization Act for Fiscal Year 2003. Section 
827 authorizes DoD to enter into multiyear contracts for environmental 
remediation services for military installations.

DATES: Effective date: July 22, 2003.
    Comment date: Comments on the interim rule should be submitted to 
the address shown below on or before September 22, 2003, 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 2003-D004 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: Mr. Euclides Barrera, OUSD(AT&L)DPAP(DAR), IMD 3C132, 
3062 Defense Pentagon, Washington, DC 20301-3062; facsimile (703) 602-
0350. Please cite DFARS Case 2003-D004.
    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: Mr. Euclides Barrera, (703) 602-0296.

SUPPLEMENTARY INFORMATION:

A. Background

    10 U.S.C. 2306c provides authority for DoD to enter into contracts 
for periods of not more than 5 years for certain services, and for 
items of supply related to those services, even though funds would 
otherwise be available for obligation only within the fiscal year for 
which appropriated. Such contracts are authorized if the head of the 
agency finds that (1) there will be a continuing requirement for the 
services consonant with current plans for the proposed contract period; 
(2) the furnishing of such services will require a substantial initial 
investment in plant or equipment, or the incurrence of substantial 
contingent liabilities for the assembly, training, or transportation of 
a specialized work force; and (3) the use of such a contract will 
promote the best interests of the United States by encouraging 
effective competition and promoting economies in operation. 10 U.S.C. 
2306c is implemented at DFARS 217.171(a).
    Section 827 of the National Defense Authorization Act for Fiscal 
Year 2003 (Pub. L. 107-314) amended 10 U.S.C. 2306c to add 
environmental remediation services for military installations to the 
types of services for which multiyear contracting is authorized. This 
interim rule amends DFARS 217.171(a), and adds a definition of 
``military installation'' at DFARS 217.103, to implement Section 827.
    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 application 
of the rule is limited to contracts for environmental remediation 
services for military installations. In addition, before using the 
multiyear contracting authority provided by the rule, the head of the 
agency must determine that certain conditions exist, to include a 
determination that use of a multiyear contract will promote the best 
interests of the United States by encouraging effective competition and 
promoting economies in operations. 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-D004.

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.

D. Determination To Issue an Interim Rule

    A determination has been made under the authority of the Secretary 
of Defense that urgent and compelling reasons exist to publish an 
interim rule prior to affording the public an opportunity to comment. 
This interim rule implements Section 827 of the National Defense 
Authorization Act for Fiscal Year 2003 (Pub. L. 107-314), which 
provides authority for DoD to enter into multiyear contracts for 
environmental remediation services for military installations. Section 
827 became effective upon enactment on December 2, 2002. Comments 
received in response to this interim rule will be considered in the 
formation of the final rule.

List of Subjects in 48 CFR Part 217

    Government procurement.

Michele P. Peterson,
Executive Editor, Defense Acquisition Regulations Council.

0
Therefore, 48 CFR Part 217 is amended as follows:
0
1. The authority citation for 48 CFR Part 217 continues to read as 
follows:

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

PART 217--SPECIAL CONTRACTING METHODS

0
2. Section 217.103 is revised to read as follows:


217.103  Definitions.

    As used in this subpart--

[[Page 43333]]

    Advance procurement means an exception to the full funding policy 
that allows acquisition of long lead time items (advance long lead 
acquisition) or economic order quantities (EOQ) of items (advance EOQ 
acquisition) in a fiscal year in advance of that in which the related 
end item is to be acquired. Advance procurements may include materials, 
parts, components, and effort that must be funded in advance to 
maintain a planned production schedule.
    Military installation means a base, camp, post, station, yard, 
center, or other activity under the jurisdiction of the Secretary of a 
military department or, in the case of an activity in a foreign 
country, under the operational control of the Secretary of a military 
department or the Secretary of Defense (10 U.S.C. 2801(c)(2)).

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3. Section 217.171 is amended by adding paragraph (a)(1)(v) to read as 
follows:


217.171  Multiyear contracts for services.

    (a) * * *
    (1) * * *
    (v) Environmental remediation services for--
    (A) An active military installation;
    (B) A military installation being closed or realigned under a base 
closure law as defined in 10 U.S.C. 2667(h)(2); or
    (C) A site formerly used by DoD.
* * * * *

[FR Doc. 03-18450 Filed 7-21-03; 8:45 am]
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