[Federal Register Volume 69, Number 122 (Friday, June 25, 2004)]
[Rules and Regulations]
[Page 35532]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-14336]



48 CFR Parts 212 and 237

[DFARS Case 2003-D111]

Defense Federal Acquisition Regulation Supplement; Use of FAR 
Part 12 for Performance-Based Contracting for Services

AGENCY: Department of Defense (DoD).

ACTION: Final rule.


SUMMARY: DoD has issued a final rule amending the Defense Federal 
Acquisition Regulation Supplement (DFARS) to remove obsolete text 
pertaining to the use of FAR Part 12 (Acquisition of Commercial Items) 
procedures for performance-based contracting for services. The 
statutory authority upon which this text was based has expired.

EFFECTIVE DATE: June 25, 2004.

FOR FURTHER INFORMATION CONTACT: Ms. Teresa Brooks, Defense Acquisition 
Regulations Council, OUSD(AT&L)DPAP(DAR), IMD 3C132, 3062 Defense 
Pentagon, Washington, DC 20301-3062. Telephone (703) 602-0326; 
facsimile (703) 602-0350. Please cite DFARS Case 2003-D111.


A. Background

    This final rule removes DFARS 212.102 and 237.601, which 
implemented Section 821 of the National Defense Authorization Act for 
Fiscal Year 2001 (Pub. L. 106-398). Section 821 permitted DoD to treat 
certain performance-based service contracts and task orders as 
contracts for the procurement of commercial items. The authority 
provided by section 821 expired on October 30, 2003, and has been 
superseded by the authority provided in section 1431 of the National 
Defense Authorization Act for Fiscal Year 2004 (Pub. L. 108-136). 
Section 1431 provides broader, governmentwide authority for the 
treatment of performance-based service contracts and task orders as 
contracts for the procurement of commercial items. An interim FAR rule 
implementing section 1431 was published in Federal Acquisition Circular 
2001-24 on June 18, 2004 (69 FR 34226).
    This rule was not subject to Office of Management and Budget review 
under Executive Order 12866, dated September 30, 1993.

B. Regulatory Flexibility Act

    This rule will not have a significant effect beyond the internal 
operating procedures of DoD or a significant cost or administrative 
impact on contractors or offerors. Therefore, publication for public 
comment is not required. However, DoD will consider comments from small 
entities concerning the affected DFARS subparts in accordance with 5 
U.S.C. 610. Such comments should cite DFARS Case 2003-D111.

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.

List of Subjects in 48 CFR Parts 212 and 237

    Government procurement.

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

Therefore, 48 CFR parts 212 and 237 are amended as follows:
1. The authority citation for 48 CFR parts 212 and 237 continues to 
read as follows:

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


Subpart 212.1--[Removed]

2. Subpart 212.1 is removed.


Subpart 237.6--[Removed]

3. Subpart 237.6 is removed.

[FR Doc. 04-14336 Filed 6-24-04; 8:45 am]