[Federal Register Volume 81, Number 90 (Tuesday, May 10, 2016)]
[Proposed Rules]
[Pages 28816-28817]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-10829]


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DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

48 CFR Part 252

[Docket DARS-2016-0016]
RIN 0750-AI94


Defense Federal Acquisition Regulation Supplement: Display of 
Hotline Posters (DFARS Case 2016-D018)

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

ACTION: Proposed rule.

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SUMMARY: DoD is proposing to amend the Defense Federal Acquisition 
Regulation Supplement (DFARS) to consolidate the multiple hotline 
posters into one poster that delineates multiple reportable offenses.

DATES: Comments on the proposed rule should be submitted in writing to 
the address shown below on or before July 11, 2016, to be considered in 
the formation of a final rule.

ADDRESSES: Submit comments identified by DFARS Case 2016-D018, using 
any of the following methods:
    [cir] Regulations.gov: http://www.regulations.gov. Submit comments 
via the Federal eRulemaking portal by entering ``DFARS Case 2016-D018'' 
under the heading ``Enter keyword or ID'' and selecting ``Search.'' 
Select the link ``Submit a Comment'' that corresponds with ``DFARS Case 
2016-D018.'' Follow the instructions provided at the ``Submit a 
Comment'' screen. Please include your name, company name (if any), and 
``DFARS Case 2016-D018'' on your attached document.
    [cir] Email: [email protected]. Include DFARS Case 2016-D018 in 
the subject line of the message.
    [cir] Fax: 571-372-6094.
    [cir] Mail: Defense Acquisition Regulations System, Attn: Mr. 
Christopher Stiller, OUSD(AT&L)DPAP/DARS, Room 3B941, 3060 Defense 
Pentagon, Washington, DC 20301-3060.
    Comments received generally will be posted without change to http://www.regulations.gov, including any personal information provided. To 
confirm receipt of your comment(s), please check www.regulations.gov, 
approximately two to three days after submission to verify posting 
(except allow 30 days for posting of comments submitted by mail).

FOR FURTHER INFORMATION CONTACT: Mr. Christopher Stiller, telephone 
571-372-6176.

SUPPLEMENTARY INFORMATION:

I. Background

    This rule proposes to revise the DFARS to update DFARS clause 
252.203-7004, Display of Hotline Posters. This clause currently 
requires the display of a DoD fraud hotline poster, a separate 
combating trafficking in persons poster, and a whistleblower protection 
poster. DoD has consolidated the posters into one poster to reduce the 
number of posters required to be displayed and proposes updating the 
clause accordingly. This rule also removes the United States-only 
restriction for use of the DoD poster, because the human trafficking 
poster requires display outside the United States, even though the 
fraud hotline poster did not. Additionally, if the contract is funded, 
in whole or in part, by the Department of Homeland Security (DHS) 
disaster relief funds and the work is to be performed in the United 
States, the DHS fraud hotline poster must also be displayed. The clause 
also is amended to provide contact information for obtaining the DHS 
poster.

II. 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.

III. Regulatory Flexibility Act

    DoD does 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. 
However, an initial regulatory flexibility analysis has been performed 
and is summarized as follows:

[[Page 28817]]

    The Defense Federal Acquisition Regulation Supplement (DFARS) 
clause 252.203-7004, Display of Hotline Posters, currently requires, in 
certain circumstance, the display of a DoD fraud hotline poster, a DoD 
Combatting Trafficking in Persons hotline poster, and a Department of 
Homeland Security (DHS) fraud hotline poster. The DoD Inspector General 
has consolidated the DoD hotline posters; therefore, only a one DoD 
poster is required.
    DoD is proposing to amend the clause to clarify that only one DoD 
poster is required and to remove the United States-only applicability 
for the DoD fraud hotline poster. The rule also proposes to add contact 
information for obtaining the DHS hotline poster.
    The clause is required for use in contracts with an estimated value 
greater than $5.5 million, except contracts awarded using Federal 
Acquisition Regulations part 12 commercial item procedures for the 
acquisition of commercial item. According to data available in the 
Federal Procurement Data System, in fiscal year (FY) 2015, DoD awarded 
4,180 contracts meeting this criteria to 2,656 unique vendors, of which 
1,598 (approximately 60% percent) were small businesses. DoD estimates 
the total number of small businesses affected by this rule to be 
approximately 1,920 small businesses (the total for FY 2015 plus 20 
percent to accommodate subcontractor applicability).
    This proposed rule does not add any new reporting, recordkeeping, 
or compliance requirements.
    The rule does not duplicate, overlap, or conflict with any other 
Federal rules.
    There are no known alternatives to accomplish the objectives of the 
proposed rule. The impact of this rule on small business is expected to 
be insignificant.
    DoD will also consider comments from small entities concerning the 
existing regulations in subparts affected by this rule in accordance 
with 5 U.S.C. 610. Interested parties must submit such comments 
separately and should cite 5 U.S.C 610 (DFARS Case 2016-D018), in 
correspondence.

IV. 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 Part 252

    Government procurement.

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

    Therefore, 48 CFR part 252 is proposed to be amended as follows:

PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
1. The authority citation for part 252 continues to read as follows:

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

0
2. Amend section 252.203-7004 by--
0
a. Removing the clause date ``(OCT 2015)'' and adding ``(DATE)'' in its 
place;
0
b. Revising paragraph (b);
0
c. Removing paragraph (c);
0
d. Redesignating paragraphs (d) and (e) as paragraphs (c) and (d), 
respectively;
0
e. In newly redesignated paragraph (c)(1), removing ``These DoD hotline 
posters'' and adding ``The DoD hotline poster'' in its place;
0
f. In newly redesignated paragraph (c)(2), removing ``posters are'' and 
adding ``poster is'' in its place and removing ``(d)(1)'' and adding '' 
(c)(1)'' in its place; and
0
g. In newly designated paragraph (d), removing ``(e)'' and adding 
``(d)'' in its place.
    The revision reads as follows:


252.203-7004  Display of Hotline Posters.

* * * * *
    (b) Display of hotline poster(s). (1) The Contractor shall display 
prominently the DoD fraud, waste, and abuse hotline poster, in effect 
at time of contract award prepared by the DoD Office of the Inspector 
General, in common work areas within business segments performing work 
under DoD contracts.
    (2) If the contract is funded, in whole or in part, by Department 
of Homeland Security (DHS) disaster relief funds and the work is to be 
performed in the United States the DHS fraud hotline poster shall be 
displayed in addition to the DoD hotline poster. If a display of a DHS 
fraud hotline poster is required, the Contractor may obtain such poster 
from: DHS Office of Inspector General/MAIL STOP 0305, Attn: Office of 
Investigations--Hotline, 245 Murray Lane SW., Washington, DC 20528-
0305, or also available via the internet at https://www.oig.dhs.gov/assets/Hotline/DHS_OIG_Hotline-optimized.jpg.
* * * * *
[FR Doc. 2016-10829 Filed 5-9-16; 8:45 am]
 BILLING CODE 5001-06-P