[Federal Register Volume 69, Number 66 (Tuesday, April 6, 2004)]
[Proposed Rules]
[Pages 18243-18244]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-7774]

[[Page 18243]]


Part IV

Department of Defense

General Services Administration

National Aeronautics and Space Administration


48 CFR Part 19

Federal Acquisition Regulation; Contract Federal Acquisition 
Regulation; Mentor Prot[eacute]g[eacute] Program--Delegation of 
Approval Authority for Mentor Prot[eacute]g[eacute] Agreements; 
Proposed Rule

Federal Register / Vol. 69, No. 66 / Tuesday, April 6, 2004 / 
Proposed Rules

[[Page 18244]]





48 CFR Part 19

[FAR Case 2003-010]
RIN 9000-AJ90

Federal Acquisition Regulation; Contract Federal Acquisition 
Regulation; Mentor Prot[eacute]g[eacute] Program-- Delegation of 
Approval Authority for Mentor Prot[eacute]g[eacute] Agreements

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

ACTION: Proposed rule.


SUMMARY: The Civilian Agency Acquisition Council and the Defense 
Acquisition Regulations Council (Councils) are proposing to amend the 
Federal Acquisition Regulation (FAR) to change the approval authority 
of Mentor Prot[eacute]g[eacute] Agreements for the DoD Military 
Department or Defense Agencies and to make minor changes for 

DATES: Interested parties should submit comments in writing on or 
before June 7, 2004, to be considered in the formulation of a final 

ADDRESSES: Submit written comments to--
    General Services Administration, FAR Secretariat (MVA), 1800 F 
Street, NW., Room 4035, ATTN: Laurie Duarte, Washington, DC 20405.
    Submit electronic comments via the Internet to--farcase.2003-
    Please submit comments only and cite FAR case 2003-010 in all 
correspondence related to this case.

FOR FURTHER INFORMATION CONTACT: The FAR Secretariat at (202) 501-4755 
for information pertaining to status or publication schedules. For 
clarification of content, contact Ms. Rhonda Cundiff, Procurement 
Analyst, at (202) 501-0044. Please cite FAR case 2003-010.


A. Background

    The Pilot Mentor-Prot[eacute]g[eacute] Program was established 
under Section 831 of Public Law 101-510, the National Defense 
Authorization Act for Fiscal Year 1991 (10 U.S.C. 2302 note). The 
purpose of the Program is to provide incentives to major Department of 
Defense (DoD) contractors to assist Prot[eacute]g[eacute] firms in 
enhancing their capabilities to satisfy DoD and other contract and 
subcontract requirements. Under the Mentor-Prot[eacute]g[eacute] 
Program, eligible companies approved as mentor firms will enter into 
mentor-prot[eacute]g[eacute] agreements with eligible 
prot[eacute]g[eacute] firms to provide appropriate developmental 
assistance to enhance the capabilities of the Prot[eacute]g[eacute] 
firms to perform as subcontractors and suppliers. DoD may provide the 
mentor firm with either cost reimbursement or credit against applicable 
subcontracting goals established under contracts with DoD or other 
Federal agencies.
    The Department of Defense in an effort to streamline and transform 
itself in order to more effectively achieve its mission and in 
recognition that the military departments have the necessary expertise 
to manage programs efficiently is proposing to transfer the management 
of the Mentor Prot[eacute]g[eacute] program to the military departments 
and defense agencies. The Office of the Secretary of Defense will 
maintain oversight and policy development responsibilities.
    Accordingly, the FAR is amended to state that the Director, Small 
and Disadvantaged Business Utilization of the cognizant DoD military 
department or defense agency will be the approval authority for mentor-
prot[eacute]g[eacute] agreements.
    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 Councils do not expect this proposed 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 the rule removes a restriction, thus allowing DoD to make a 
minor policy change. An Initial Regulatory Flexibility Analysis has, 
therefore, not been performed. We invite comments from small businesses 
and other interested parties. The Councils will consider comments from 
small entities concerning the affected FAR Part 52 in accordance with 5 
U.S.C. 610.
    Interested parties must submit such comments separately and should 
cite 5 U.S.C. 601, et seq. (FAR case 2003-010), in correspondence.

C. Paperwork Reduction Act

    The Paperwork Reduction Act does not apply because the proposed 
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 Part 19

    Government procurement.

    Dated: March 30, 2004.
Laura Auletta,
Director, Acquisition Policy Division.

    Therefore, DoD, GSA, and NASA propose amending 48 CFR part 19 as 
set forth below:


    1. The authority citation for 48 CFR part 19 is revised to read as 

    Authority: 40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 42 
U.S.C. 2473(c).

    2. Amend section 19.702 by revising paragraph (d) to read as 

19.702  Statutory requirements.

* * * * *
    (d) As authorized by 15 U.S.C. 637(d)(11), certain costs incurred 
by a mentor firm in providing developmental assistance to a 
prot[eacute]g[eacute] firm under the Department of Defense Pilot 
Mentor-Prot[eacute]g[eacute] Program, may be credited as if they were 
subcontract awards to a prot[eacute]g[eacute] firm for the purpose of 
determining whether the mentor firm attains the applicable goals under 
any subcontracting plan entered into with any executive agency. 
However, the mentor-prot[eacute]g[eacute] agreement must have been 
approved by the Director, Small and Disadvantaged Business Utilization 
of the cognizant DoD military department or defense agency before 
developmental assistance costs may be credited against subcontract 
goals. A list of approved agreements may be obtained at http://www.acq.osd.mil/sadbu/mentor_protege/ or by calling (703) 588-8631.

[FR Doc. 04-7774 Filed 4-5-04; 8:45 am]