[Federal Register Volume 79, Number 147 (Thursday, July 31, 2014)]
[Rules and Regulations]
[Page 44314]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-17940]



Defense Acquisition Regulations System

48 CFR Part 225

RIN 0750-AI11

Defense Federal Acquisition Regulation Supplement: Domestically 
Nonavailable Articles--Elimination of DoD-Unique List (DFARS Case 2013-

AGENCY: Defense Acquisition Regulations System, Department of Defense 

ACTION: Final rule.


SUMMARY: DoD is issuing a final rule amending the Defense Federal 
Acquisition Regulation Supplement (DFARS) to remove the DoD-unique list 
of domestically nonavailable articles because these items have been 
found to be either available domestically or are not used by DoD.

DATES: Effective July 31, 2014.

FOR FURTHER INFORMATION CONTACT: Ms. Lee Renna, telephone 571-372-6095.


I. Background

    DoD published a proposed rule in the Federal Register at 78 FR 
73474 on December 6, 2013, to remove section 225.104 in its entirety 
because the articles currently listed no longer qualify as an exception 
to the Buy American statute (41 U.S.C. 8302(a)), on the basis of their 
nonavailability. The two items listed at section 225.104 that are being 
removed have been found to be either (1) available from domestic 
producers in the case of aluminum clad steel wire, or (2) DoD does not 
use the item in the case of the sperm-whale oil. Two public comments 
were submitted in response to the proposed rule.

II. Discussion and Analysis

    No changes are being made to the final rule as a result of the two 
public comments. The first respondent stated support for the rule and 
the second respondent noted that there should be no change to the rule.

III. Executive Orders 12866 and 13563

    Executive Orders (E.O.s) 12866 and 13563 direct agencies to assess 
all costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distributive impacts, and equity). E.O. 
13563 emphasizes the importance of quantifying both costs and benefits, 
of reducing costs, of harmonizing rules, and of promoting flexibility. 
This is not a significant regulatory action and, therefore, was not 
subject to review under section 6(b) of E.O. 12866, Regulatory Planning 
and Review, dated September 30, 1993. This rule is not a major rule 
under 5 U.S.C. 804.

IV. Regulatory Flexibility Act

    A final regulatory flexibility analysis has been prepared 
consistent with the Regulatory Flexibility Act, 5 U.S.C. 601, et seq., 
and is summarized as follows.
    This final rule amends the Defense Acquisition Regulation 
Supplement (DFARS) by removing the DoD-unique list of domestically 
nonavailable articles that have been found to be either available 
domestically or are not used by DoD. Of the two items on the list, 
aluminum-clad steel is produced and available in the United States, and 
DoD does not use sperm-whale oil.
    This rule will not have an impact on small entities as it merely 
removes from the DFARS a listing of an item that is now domestically 
available and an item that is not used by DoD. The removal of the 
nonavailability exception to the Buy American statute for aluminum-clad 
steel wire will neither increase nor decrease small businesses' 
participation in future procurements, particularly with regard to set-
asides under the Small Business Program. This conclusion is primarily 
attributed to the application of the nonmanufacturer rule. Under the 
nonmanufacturer rule, any small business concern proposing to furnish a 
product that it did not itself manufacture must furnish the product of 
a domestic small business manufacturer. However, in industries where 
the Small Business Administration (SBA) has determined there are no 
domestic small business manufacturers, SBA may issue a waiver to the 
nonmanufacturer rule to permit small businesses to provide any firm's 
product (see FAR 19.102(f)(7). Reinstatement of the Buy American 
statute restrictions has no effect on the application of the 
nonmanufacturer rule. With respect to the procurement of sperm-whale 
oil, DoD does not use this product in any application. As such, a 
discussion of future procurement opportunities for this substance is no 
longer relevant.
    No comments were received from the public in response to the 
initial regulatory flexibility analysis. This rule does not add any new 
information collection, reporting, or record keeping requirements. No 
alternatives were identified that will accomplish the objectives of the 

V. Paperwork Reduction Act

    This rule does not contain any information collection requirements 
that require the approval of the Office of Management and Budget under 
the Paperwork Reduction Act (44 U.S.C. chapter 35).

List of Subjects in 48 CFR Part 225

    Government procurement.

Amy G. Williams,
Deputy, Defense Acquisition Regulations System.
    Therefore, 48 CFR part 225 is amended as follows:


1. The authority citation for 48 CFR part 225 continues to read as 

    Authority:  41 U.S.C. 1303 and 48 CFR chapter 1.

225.104  [Removed]

2. Remove section 225.104.

[FR Doc. 2014-17940 Filed 7-30-14; 8:45 am]