[Federal Register Volume 80, Number 165 (Wednesday, August 26, 2015)]
[Rules and Regulations]
[Pages 51751-51752]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-20872]


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DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

48 CFR Parts 225 and 236

[Docket No. DARS-2015-0019]
RIN 0750-AI52


Defense Federal Acquisition Regulation Supplement: Use of 
Military Construction Funds (DFARS Case 2015-D006)

AGENCY: Defense Acquisition Regulations System, Department of Defense 
(DoD).

ACTION: Final rule.

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SUMMARY: DoD has adopted as final, without change, an interim rule

[[Page 51752]]

amending the Defense Federal Acquisition Regulation Supplement (DFARS) 
to implement a section of the Military Construction and Veterans 
Affairs and Related Agencies Appropriations Act, 2015, to require 
offerors bidding on DoD military construction contracts to provide 
opportunity for competition to American steel producers, fabricators, 
and manufacturers; and restrict use of military construction funds in 
certain foreign countries, including countries that border the Arabian 
Gulf.

DATES: Effective August 26, 2015.

FOR FURTHER INFORMATION CONTACT: Ms. Julie Hammond, telephone 571-372-
6174.

SUPPLEMENTARY INFORMATION: 

I. Background

    DoD published an interim rule in the Federal Register at 80 FR 
15909 on March 26, 2015, to implement sections 108, 111, and 112 of the 
Military Construction and Veterans Affairs and Related Agencies 
Appropriations Act, 2015 (division I of the Consolidated and Further 
Continuing Resolution Appropriations Act, 2015, Pub. L. 113-235), 
enacted December 16, 2014.

II. Discussion and Analysis

    There were no public comments submitted in response to the interim 
rule. The interim rule has been converted to a final rule, without 
change.

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 rule is necessary to require offerors bidding on DoD military 
construction contracts to provide opportunity for competition to 
American steel producers, fabricators, and manufacturers, and implement 
the preference for award only to U.S. firms when awarding certain 
military construction and architect-engineer contracts to be performed 
in countries bordering the Arabian Gulf.
    The objective of this rule is to implement sections 108, 111, and 
112 of the Military Construction and Veterans Affairs, and Related 
Agencies Appropriations Act, 2015 (division I of Pub. L. 113-235). This 
rule extends the applicability of the requirement to provide 
opportunity for competition to American steel producers, fabricators, 
and manufacturers, and revises the preference for award to U.S. firms 
of military construction contracts that have an estimated value greater 
than $1,000,000 and the restriction requiring award only to U.S. firms 
for architect-engineer contracts that have an estimated value greater 
than $500,000, to make it applicable to contracts to be performed in a 
country bordering the Arabian Gulf, rather than a country bordering the 
Arabian Sea (as required in earlier statutes).
    No comments were received from the public relative to the 
publication of the initial regulatory flexibility analysis in the 
interim rule.
    Section 108 will benefit any small business entities involved in 
producing, fabricating, or manufacturing steel products to be used in 
military construction. Sections 111 and 112 will only apply to a very 
limited number of small entities--those entities that submit offers in 
response to solicitations for military construction contracts that have 
an estimated value greater than $1,000,000 and architect-engineer 
contracts that have an estimated value greater than $500,000, when the 
contracts are to be performed in countries bordering the Arabian Gulf.
    The rule does not impose any additional reporting, recordkeeping, 
and other compliance requirements.
    No alternatives were identified that will accomplish the objectives 
of the statutes and the rule.

V. Paperwork Reduction Act

    The 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 Parts 225 and 236

    Government procurement.

Jennifer L. Hawes,
Editor, Defense Acquisition Regulations System.

    Accordingly, the interim rule amending 48 CFR parts 225 and 236, 
which was published at 80 FR 15909 on March 26, 2015, is adopted as a 
final rule without change.

[FR Doc. 2015-20872 Filed 8-25-15; 8:45 am]
 BILLING CODE 5001-06-P