[Federal Register Volume 83, Number 72 (Friday, April 13, 2018)]
[Rules and Regulations]
[Pages 15995-15996]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-07732]



Defense Acquisition Regulations System

48 CFR Parts 207, 210, and 219

[Docket DARS-2018-0014]
RIN 0750-AJ43

Defense Federal Acquisition Regulation Supplement: Consolidation 
of Contract Requirements (DFARS Case 2017-D004)

AGENCY: Defense Acquisition Regulations System, Department of Defense 

ACTION: Final rule.


SUMMARY: DoD is issuing a final rule to amend the Defense Federal 
Acquisition Regulation Supplement (DFARS) to remove outdated coverage 
of consolidation of contract requirements.

DATES: Effective April 13, 2018.

FOR FURTHER INFORMATION CONTACT: Ms. Jennifer D. Johnson, telephone 


I. Background

    DoD is amending the DFARS to remove outdated coverage of 
consolidation of contract requirements, which is defined at DFARS 
207.170 as ``the use of a solicitation to obtain offers for a single 
contract or multiple award contract to satisfy two or more requirements 
of a department, agency, or activity for supplies or services that 
previously have been provided to, or performed for, that department, 
agency, or activity under two or more separate contracts.'' This 
coverage implemented 10 U.S.C. 2382, which was repealed by section 1671 
of the National Defense Authorization Act for Fiscal Year 2013 (Pub. L. 
112-239). Section 1671 also amended section 44 of the Small Business 
Act (15 U.S.C. 657q) to remove the requirement for DoD to comply with 
10 U.S.C. 2382. As a result, DoD is now required to comply with 15 
U.S.C. 657q.
    10 U.S.C. 2382 imposed limitations on the use of acquisition 
strategies involving consolidation, including requirements to identify 
alternative approaches that would involve a lesser degree of 
consolidation and to determine that consolidation is necessary and 
justified. Section 44 of the Small Business Act (15 U.S.C. 657q) 
contains similar limitations. The Federal Acquisition Regulation (FAR) 
addresses consolidation, including the limitations of 15 U.S.C. 657q, 
at FAR 7.107. By removing the outdated DFARS coverage of consolidation, 
this rule will reduce confusion among the DoD contracting workforce 
caused by differing requirements in the FAR and DFARS.

II. Discussion and Analysis

    This rule deletes DFARS section 207.170 in its entirety to remove 
the obsolete text on consolidation of contract requirements. In 
addition, paragraphs (a)(i)(A) and (a)(ii)(A) of DFARS section 210.001 
are also deleted to remove the reference to the deleted text at DFARS 
207.170. In paragraph (c)(11)(A) of the DFARS section 219.201, the 
reference to deleted text at DFARS 207.107 is replaced by a reference 
to FAR 7.107, where contract consolidate and the limitations of 15 
U.S.C. 657q are currently addressed.

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 the Office of Federal Procurement 
Policy statute (codified at title 41 of the United States Code). 
Specifically, 41 U.S.C. 1707(a)(1) 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 the rule merely 
removes obsolete text from the DFARS, which affects only the internal 
operating procedures of the Government.

[[Page 15996]]

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

    This rule does not create any new provisions or clauses nor impact 
any existing provisions or clauses.

V. 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.

VI. Executive Order 13771

    This rule is not subject to E.O. 13771, Reducing Regulation and 
Controlling Regulatory Costs, because the rule relates to agency 
organization, management, or personnel.

VII. Regulatory Flexibility Act

    Because a notice of proposed rulemaking and an opportunity for 
public comment are not required to be given for this rule under 41 
U.S.C. 1707(a)(1) (see section III. of this preamble), the analytical 
requirements of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) 
are not applicable. Accordingly, no regulatory flexibility analysis is 
required and none has been prepared.

VIII. 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 207, 210, and 219

    Government procurement.

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

    Therefore, 48 CFR part 207, 210, and 219 are amended as follows:

1. The authority citation for parts 207, 210, and 219 continues to read 
as follows:

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


207.170   [Removed and Reserved]

2. Remove and reserve section 207.170.

207.170-1   [Removed]

3. Remove section 207.170-1.

207.170-2   [Removed]

4. Remove section 207.170-2.

207.170-3   [Removed]

5. Remove section 207.170-3.


6. Amend section 210.001 by revising paragraph (a) to read as follows:

210.001  Policy.

    (a) In addition to the requirements of FAR 10.001(a), agencies 
    (i) Conduct market research appropriate to the circumstances before 
issuing a solicitation with tiered evaluation of offers (section 816 of 
Pub. L. 109-163); and
    (ii) Use the results of market research to determine whether the 
criteria in FAR part 19 are met for setting aside the acquisition for 
small business or, for a task or delivery order, whether there are a 
sufficient number of qualified small business concerns available to 
justify limiting competition under the terms of the contract. If the 
contracting officer cannot determine whether the criteria are met, the 
contracting officer shall include a written explanation in the contract 
file as to why such a determination could not be made (section 816 of 
Pub. L. 109-163).
* * * * *


219.201   [Amended]

7. Amend section 219.201 in paragraph (c)(11)(A) by removing ``(see 
207.170)'' and adding ``(see FAR 7.107)'' in its place.

[FR Doc. 2018-07732 Filed 4-12-18; 8:45 am]