[Federal Register Volume 82, Number 248 (Thursday, December 28, 2017)]
[Rules and Regulations]
[Pages 61483-61485]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-27780]


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DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

48 CFR Parts 225 and 252

[Docket DARS-2017-0020]
RIN 0750-AJ47


Defense Federal Acquisition Regulation Supplement: New Qualifying 
Country-Latvia (DFARS Case 2017-D037)

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

ACTION: Final rule.

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SUMMARY: DoD is issuing a final rule amending the Defense Federal 
Acquisition Regulation Supplement (DFARS) to add Latvia as a qualifying 
country.

DATES: Effective December 28, 2017.

FOR FURTHER INFORMATION CONTACT: Ms. Amy Williams, telephone 571-372-
6106.

SUPPLEMENTARY INFORMATION:

I. Background

    DoD is amending the DFARS to add Latvia as a qualifying country. On 
April 10, 2017, the Secretary of Defense and the Minister of Defense of 
the Republic of Latvia signed a Reciprocal Defense Procurement 
Agreement. The Secretary of Defense also signed, on that day, a 
determination and findings that it is inconsistent with the public 
interest to apply the restrictions of the Buy American Act to the 
acquisition of articles, materials, and supplies, produced or 
manufactured in the Republic of Latvia. The agreement removes 
discriminatory barriers to procurements of supplies and services 
produced by industrial enterprises of the other country to the extent 
mutually beneficial and consistent with national laws, regulations, 
policies, and international obligations. This agreement does not cover 
construction or construction material. Latvia is already a designated 
country under the World Trade Organization Government Procurement 
Agreement.

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 qualifying countries in the 
DFARS by adding the newly qualifying country of Latvia. The definition 
of ``qualifying 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-
7001, Buy American and Balance of Payments Program; DFARS 252.225-7002, 
Qualifying Country Sources as Subcontractors; DFARS 252.225-7012, 
Preference for Certain Domestic Commodities; DFARS 252.225-7017, 
Photovoltaic Devices; DFARS 252.225-7021, Trade Agreements; and DFARS 
252.225-7036, Buy American--Trade Agreements--Balance of Payments 
Program.

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 does not constitute a significant DFARS revision within the 
meaning of FAR 1.501-1 and does not have a significant cost or 
administrative impact on contractors or offerors. Latvia is added to 
the list of 26 other countries that have similar reciprocal defense 
procurement agreements with DoD. These requirements affect only the 
internal operating procedures of the Government.

IV. Executive Orders 12866 and 13563

    Executive Order (E.O.) 12866, Regulatory Planning and Review, and 
E.O. 13563, Improving Regulation and Regulatory Review, direct agencies 
to assess all costs and benefits of available regulatory alternatives 
and, if regulation

[[Page 61484]]

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. Executive Order 13771

    This rule is not subject to E.O. 13771, Reducing Regulation and 
Controlling Regulatory Costs, because this rule is not a significant 
regulatory action under E.O. 12866.

VI. 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.

VII. Paperwork Reduction Act

    The Paperwork Reduction Act (44 U.S.C. chapter 35) does apply, 
because the final rule affects the definition of ``qualifying country'' 
in each of the following clauses: DFARS 252.225-7001, Buy American and 
Balance of Payments Program; DFARS 252.225-7002, Qualifying Country 
Sources as Subcontractors; DFARS 252.225-7012, Preference for Certain 
Domestic Commodities; DFARS 252.225-7017, Photovoltaic Devices; DFARS 
252.225-7021, Trade Agreements; and DFARS 252.225-7036, Buy American--
Trade Agreements--Balance of Payments Program. The changes to these 
DFARS clauses do not impose additional information collection 
requirements to the paperwork burden previously approved under OMB 
Control Number 0704-0229, entitled ``DFARS Part 225, Foreign 
Acquisition and related clauses,'' because the rule merely shifts the 
category under which items from Latvia must be listed.

List of Subjects in 48 CFR Parts 225 and 252

    Government procurement.

Jennifer L. Hawes,
Regulatory Control Officer, Defense Acquisition Regulations System.

    Therefore, 48 CFR parts 225 and 252 are amended as follows:

0
1. The authority citation for 48 CFR parts 225 and 252 continues to 
read as follows:

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

PART 225--FOREIGN ACQUISITION


225.003  [Amended]

0
2. Section 225.003 is amended in paragraph (10), the definition of 
``Qualifying country'', by adding, in alphabetical order, the country 
of ``Latvia''.


225.872-1  [Amended]

0
3. Section 225.872-1 is amended in paragraph (a) by adding, in 
alphabetical order, the country of ``Latvia''.

PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES


252.225-7001  [Amended]

0
4. Section 252.225-7001 is amended by--
0
a. In the clause heading, removing the date ``(DEC 2016)'' and adding 
``(DEC 2017)'' in its place;
0
b. In paragraph (a), the definition of ``Qualifying country'', adding, 
in alphabetical order, the country of ``Latvia''; and
0
c. In Alternate I--
0
i. In the clause heading, removing the date ``(DEC 2016)'' and adding 
``(DEC 2017)'' in its place; and
0
ii. In paragraph (a), the definition of ``Qualifying country'', adding, 
in alphabetical order, the country of ``Latvia''.


252.225-7002  [Amended]

0
5. Section 252.225-7002 is amended by--
0
a. In the clause heading, removing the date ``(DEC 2016)'' and adding 
``(DEC 2017)'' in its place; and
0
b. In paragraph (a), the definition of ``Qualifying country'', adding, 
in alphabetical order, the country of ``Latvia''.


252.225-7012  [Amended]

0
6. Section 252.225-7012 is amended by--
0
a. In the clause heading, removing the date ``(DEC 2016)'' and adding 
``(DEC 2017)'' in its place; and
0
b. In paragraph (a), the definition of ``Qualifying country'', adding 
in alphabetical order, the country of ``Latvia''.


252.225-7017  [Amended]

0
7. Section 252.225-7017 is amended by--
0
a. In the clause heading, removing the date ``(DEC 2016)'' and adding 
``(DEC 2017)'' in its place; and
0
b. In paragraph (a), the definition of ``Qualifying country'', adding, 
in alphabetical order, the country of ``Latvia''.


252.225-7021  [Amended]

0
8. Section 252.225-7021 is amended by--
0
a. In the clause heading, removing the date ``(DEC 2016)'' and adding 
``(DEC 2017)'' in its place;
0
b. In paragraph (a), the definition of ``Qualifying country'', adding, 
in alphabetical order, the country of ``Latvia''; and
0
c. In Alternate II--
0
i. In the clause heading, removing the date of ``(DEC 2016)'' and 
adding ``(DEC 2017)'' in its place; and
0
ii. In paragraph (a), the definition of ``Qualifying country'', adding, 
in alphabetical order, the country of ``Latvia''.


252.225-7036  [Amended]

0
9. Section 252.225-7036 is amended by--
0
a. In the clause heading, removing the date ``(DEC 2016)'' and adding 
``(DEC 2017)'' in its place;
0
b. In paragraph (a), the definition of ``Qualifying country'', adding 
in alphabetical order, the country of ``Latvia'';
0
c. In Alternate I--
0
i. In the clause heading, removing the date ``(DEC 2016)'' and adding 
``(DEC 2017)'' in its place; and
0
ii. In paragraph (a), the definition of ``Qualifying country'', adding, 
in alphabetical order, the country of ``Latvia'';
0
d. In Alternate II--
0
i. In the clause heading, removing the date ``(DEC 2016)'' and adding 
``(DEC 2017)'' in its place; and
0
ii. In paragraph (a), the definition of ``Qualifying country'', adding, 
in alphabetical order, the country of ``Latvia'';
0
e. In Alternate III--
0
i. In the clause heading, removing the date ``(DEC 2016)'' and adding 
``(DEC 2017)'' in its place; and
0
ii. In paragraph (a), the definition of ``Qualifying country'', adding, 
in alphabetical order, the country of ``Latvia'';
0
f. In Alternate IV--
0
i. In the clause heading, removing the date ``(DEC 2016)'' and adding 
``(DEC 2017)'' in its place; and
0
ii. In paragraph (a), the definition of ``Qualifying country'', adding, 
in alphabetical order, the country of ``Latvia''; and

[[Page 61485]]

0
g. In Alternate V--
0
i. In the clause heading, removing the date ``(DEC 2016)'' and adding 
``(DEC 2017)'' in its place; and
0
ii. In paragraph (a), the definition of ``Qualifying country'', adding, 
in alphabetical order, the country of ``Latvia''.

[FR Doc. 2017-27780 Filed 12-27-17; 8:45 am]
 BILLING CODE 5001-06-P