[Federal Register Volume 69, Number 79 (Friday, April 23, 2004)]
[Notices]
[Pages 22011-22012]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-9267]


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DEPARTMENT OF DEFENSE


Incentive Program for Major Defense Acquisition Programs To Use 
Machine Tools and Other Capital Assets Produced Within the United 
States

AGENCY: Department of Defense.

ACTION: Request for public comments.

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SUMMARY: The Department of Defense is establishing an incentive program 
in accordance with Section 822 of the National Defense Authorization 
Act for Fiscal Year 2004 and is seeking information that will assist it 
in identifying appropriate incentives for industry to use machine tools 
and other capital assets produced in the United States. It is the 
Department's goal to structure this incentive program and publish 
interim implementing regulations in the Fall of 2004.

DATES: Submit written comments to the address shown below on or before 
May 24, 2004.

ADDRESSES: Submit comments to: Director, Defense Procurement and 
Acquisition Policy, 3060 Defense Pentagon, Attn: Mr. Daniel C. Nielsen, 
Washington, DC 20301-3060; or by e-mail to daniel.nielsen@osd.mil.

FOR FURTHER INFORMATION CONTACT: Susan Hildner, (703) 695-4258.

SUPPLEMENTARY INFORMATION: Section 822 of the National Defense 
Authorization Act for Fiscal Year 2004 (Pub. L. 108-136)--Incentive 
Program for Major Defense Acquisition Programs to Use Machine Tools and 
Other Capital Assets Produced within the United States--requires the 
Secretary of Defense to plan and establish an

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incentive program for contractors to purchase capital assets 
manufactured in the United States. This incentive program applies to 
contracts for the procurement of a major defense acquisition program 
and applies to contracts entered into after May 2005. Section 822 
authorizes the Secretary of Defense to use the Industrial Base 
Capabilities Fund established under Section 814 of Public Law 108-136 
for this purpose. This section also directs the Secretary to provide 
consideration in source selection for contractors with eligible assets 
for major defense systems and makes provision for establishing 
implementing regulations.
    As the Department crafts this incentive program, industry input is 
considered essential. What does industry believe are the factors or 
inducements that would motivate contractors to purchase capital assets 
manufactured in the United States? It should be noted that no funds 
have been appropriated for the Industrial Base Capabilities Fund. 
Therefore, the Department is seeking suggestions for other 
alternatives. Interested parties are invited to submit written comments 
to assist the Department in its deliberations and discussions.
    Material that is business confidential information will be exempted 
from public disclosure as provided for by 5 U.S.C. 552(b)(4) (Freedom 
of Information Act rules). Anyone submitting business confidential 
information should clearly identify the business confidential portion 
of the submission and also provide a non-confidential submission, which 
can be placed in the public file. Comments not marked business 
confidential may be subject to disclosure under the Freedom of 
Information Act.

Michele P. Peterson,
Executive Editor, Defense Acquisition Regulations Council.
[FR Doc. 04-9267 Filed 4-22-04; 8:45 am]
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