[Federal Register Volume 69, Number 34 (Friday, February 20, 2004)]
[Notices]
[Page 7911]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-3700]


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DEPARTMENT OF DEFENSE


Suspension of the Price Evaluation Adjustment for Small 
Disadvantaged Businesses

AGENCY: Department of Defense (DoD).

ACTION: Notice of 1-year suspension of the price evaluation adjustment 
for small disadvantaged businesses.

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SUMMARY: The Director of Defense Procurement and Acquisition Policy has 
suspended the use of the price evaluation adjustment for small 
disadvantaged businesses (SDBs) in DoD procurements, as required by 10 
U.S.C. 2323(e)(3), because DoD exceeded its 5 percent goal for contract 
awards to SDBs in fiscal year 2003. The suspension will be in effect 
for 1 year and will be reevaluated based on the level of DoD contract 
awards to SDBs achieved in fiscal year 2004.

Dates: Effected Date: February 24, 2004.
    Applicability Date: This suspension applies to all solicitations 
issued during the period from February 24, 2004, to February 23, 2005.

FOR FURTHER INFORMATION CONTACT: Ms. Angelena Moy, Defense Acquisition 
Regulations Council, OUSD(AT&L)DPAP(DAR), IMD 3C132, 3062 Defense 
Pentagon, Washington, DC 20301-3062, telephone (703) 602-1302; 
facsimile (703) 602-0350.

SUPPLEMENTARY INFORMATION: Pursuant to the authority granted in 10 
U.S.C. 2323(e), DoD has previously granted SDBs a 10 percent price 
preference in certain acquisitions. This price preference is 
implemented in Subpart 19.11 of the Federal Acquisition Regulation. 
Section 801 of the Strom Thurmond National Defense Authorization Act 
for Fiscal Year 1999 (Public Law 105-261) amended 10 U.S.C. 2323(e)(3) 
to prohibit DoD from granting such a price preference for a 1-year 
period following a fiscal year in which DoD achieved the 5 percent goal 
for contract awards established in 10 U.S.C. 2323(a). Since, in fiscal 
year 2003, DoD exceeded this 5 percent goal, use of this price 
preference in DoD acquisitions must be suspended for a 1-year period, 
from February 24, 2004, to February 23, 2005.

Michele P. Peterson,
Executive Editor, Defense Acquisition Regulations Council.
[FR Doc. 04-3700 Filed 2-19-04; 8:45 am]
BILLING CODE 5001-08-P