[Federal Register Volume 81, Number 126 (Thursday, June 30, 2016)]
[Rules and Regulations]
[Pages 42563-42564]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-15258]


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DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

48 CFR Part 252

[Docket DARS-2016-0022]
RIN 0750-AI98


Defense Federal Acquisition Regulation Supplement: New Designated 
Country--Ukraine (DFARS Case 2016-D026)

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

ACTION: Final rule.

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SUMMARY: DoD is issuing a final rule to amend the Defense Federal 
Acquisition Regulation Supplement (DFARS) to add Ukraine as a new 
designated country under the World Trade Organization Government 
Procurement Agreement.

DATES: Effective June 30, 2016.

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

SUPPLEMENTARY INFORMATION: 

I. Background

    On November 11, 2015, the World Trade Organization (WTO) Committee 
on Government Procurement approved the accession of Ukraine to the WTO 
Government Procurement Agreement (GPA). Ukraine submitted its 
instrument of accession to the Secretary General of the WTO on April 
18, 2016. The GPA entered into force for Ukraine on May 18, 2016. The 
United States, which is also a party to the GPA, has agreed to waive 
discriminatory purchasing requirements for eligible products and 
suppliers of Ukraine beginning on May 18, 2016. Therefore, this rule 
adds Ukraine to the list of WTO GPA countries wherever it appears in 
the DFARS, as part of the definition of ``designated country''.

II. Applicability to Contracts at or Below the Simplified Acquisition 
Threshold and for Commercial Items, Including Commercially Available 
Off-the-Shelf Items

    This rule only updates the list of designated countries in the 
DFARS by adding the newly designated country of Ukraine. The definition 
of ``designated country'' is updated in each of the following clauses; 
however, this revision does not impact the clause prescriptions for 
use, or applicability at or below the simplified acquisition threshold, 
or applicability to commercial items. The clauses are: DFARS 252.225-
7017, Photovoltaic Devices; DFARS 252.225-7021, Trade Agreements; and 
DFARS 252.225-7045, Balance of Payments Program--Construction Material 
Under Trade Agreements.

III. Publication of This Final Rule for Public Comment is not Required 
by Statute

    The statute that applies to the publication of the Federal 
Acquisition Regulation (FAR) is 41 U.S.C. 1707 entitled ``Publication 
of Proposed Regulations.'' Paragraph (a)(1) of the statute requires 
that a procurement policy, regulation, procedure or form (including an 
amendment or modification thereof) must be published for public comment 
if it relates to the expenditure of appropriated funds, and has either 
a significant effect beyond the internal operating procedures of the 
agency issuing the policy, regulation, procedure or form, or has a 
significant cost or administrative impact on contractors or offerors. 
This final rule is not required to be published for public comment, 
because it is just updating the lists of designated countries in order 
to reflect that Ukraine is now a member of the WTO GPA. These 
requirements affect only the internal operating procedures of the 
Government.

IV. 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.

V. Regulatory Flexibility Act

    The Regulatory Flexibility Act does not apply to this rule because 
this final rule does not constitute a significant DFARS revision within 
the meaning of FAR 1.501-1, and 41 U.S.C. 1707 does not require 
publication for public comment.

VI. Paperwork Reduction Act

    This rule affects the information collection requirements in the 
provisions at DFARS 252.225-7020, Trade Agreements Certificate, and 
252.225-7018, Photovoltaic Devices--Certificate, currently approved 
under OMB Control Number 0704-0229, entitled ``Defense Federal 
Acquisition Regulation Supplement Part 225, Foreign Acquisition, and 
related clauses,'' in accordance with the Paperwork Reduction Act (44 
U.S.C. chapter 35). The impact, however, is negligible, because the 
rule only affects the response of an offeror that is offering a product 
of Ukraine in an acquisition that exceeds $191,000. In 252.225-7018, 
the offeror of a product from Ukraine must now check a box at (d)(6)(i) 
of the provision. However, the offeror no longer needs to list a 
product from Ukraine under ``other end products'' at 252.225-
7020(c)(2), because Ukraine is now a designated country.

List of Subjects in 48 CFR Part 252

    Government procurement.

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

    Therefore, 48 CFR part 252 is amended as follows:

PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
1. The authority citation for 48 CFR part 252 continues to read as 
follows:

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


252.225-7017  [Amended]

0
2. Amend section 252.225-7017 by--
0
a. Removing the clause date of ``(JAN 2016)'' and adding ``(JUN 2016)'' 
in its place; and
0
b. In paragraph (a), in the definition of ``designated country'' in 
paragraph (i), adding, in alphabetical order, the country of 
``Ukraine''.


252.225-7021  [Amended]

0
3. Amend section 252.225-7021 by--

[[Page 42564]]

0
a. Removing the basic clause date of ``(OCT 2015)'' and adding ``(JUN 
2016)'' in its place;
0
b. In paragraph (a), in the definition of ``designated country'' in 
paragraph (i), adding, in alphabetical order, the country of 
``Ukraine''; and
0
c. In the Alternate II clause--
0
i. Removing the clause date of ``(OCT 2015)'' and adding ``(JUN 2016)'' 
in its place; and
0
ii. In paragraph (a), in the definition of ``designated country'' in 
paragraph (i), adding, in alphabetical order, the country of 
``Ukraine''.


252.225-7045  [Amended]

0
4. Amend section 252.225-7045 by--
0
a. Removing the basic clause date of ``(OCT 2015)'' and adding ``(JUN 
2016)'' in its place;
0
b. In paragraph (a), in the definition of ``designated country'' in 
paragraph (i), adding, in alphabetical order, the country of 
``Ukraine'';
0
c. In the Alternate I clause--
0
i. Removing the clause date of ``(OCT 2015)'' and adding ``(JUN 2016)'' 
in its place; and
0
ii. In paragraph (a), in the definition of ``designated country'' in 
paragraph (i), adding, in alphabetical order, the country of 
``Ukraine'';
0
d. In the Alternate II clause--
0
i. Removing the clause date of ``(OCT 2015)'' and adding ``(JUN 2016)'' 
in its place; and
0
ii. In paragraph (a), in the definition of ``designated country'' in 
paragraph (i), adding, in alphabetical order, the country of 
``Ukraine''; and
0
e. In the Alternate III clause--
0
i. Removing the clause date of ``(OCT 2015)'' and adding ``(JUN 2016)'' 
in its place; and
0
ii. In paragraph (a), in the definition of ``designated country'' in 
paragraph (i), adding, in alphabetical order, the country of 
``Ukraine''.

[FR Doc. 2016-15258 Filed 6-29-16; 8:45 am]
 BILLING CODE 5001-06-P