[Federal Register Volume 84, Number 32 (Friday, February 15, 2019)]
[Rules and Regulations]
[Pages 4370-4371]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-02528]


-----------------------------------------------------------------------

DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

48 CFR Parts 212, 247, and 252

[Docket DARS-2018-0040]
RIN 0750-AJ94


Defense Federal Acquisition Regulation Supplement: Modification 
of DFARS Clause ``Transportation of Supplies by Sea'' (DFARS Case 2018-
D028)

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

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: DoD is issuing a final rule amending the Defense Federal 
Acquisition Regulation Supplement (DFARS) to modify the text of an 
existing DFARS clause to include the text of another DFARS clause, in 
order to streamline the instructions to contractors subject to both of 
these clauses.

DATES: Effective February 15, 2019.

FOR FURTHER INFORMATION CONTACT: Ms. Carrie Moore, telephone 571-372-
6093.

SUPPLEMENTARY INFORMATION: 

I. Background

    DoD published a proposed rule in the Federal Register at 83 FR 
42846 on August 24, 2018, to modify DFARS clause 252.247-7023, 
Transportation of Supplies by Sea, to include the instructions 
currently specified in DFARS clause 252.247-7024, Notification of 
Supplies by Sea, and then remove DFARS clause 252.247-7024 from the 
DFARS. No public comments were received in response to the proposed 
rule.

II. 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 or impose 
any new requirements. The rule merely consolidates existing 
instructions regarding notifications of transportation of supplies by 
sea into a single DFARS clause, 252.247-7023, which will continue to 
apply to contracts for commercial and commercially available Off-the-
shelf items, as well as contracts at or below the simplified 
acquisition threshold.

III. 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 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. The Office of Management and Budget, Office of Information 
and Regulatory Affairs, has determined that this is not a significant 
regulatory action as defined under section 3(f) of E.O. 12866 and, 
therefore, was not subject to review under section 6(b). This rule is 
not a major rule as defined at 5 U.S.C. 804(2).

IV. Executive Order 13771

    This final rule is not an E.O. 13771 regulatory action, because 
this rule is not significant under E.O. 12866.

V. Regulatory Flexibility Act

    A final regulatory flexibility analysis (FRFA) has been prepared 
consistent with the Regulatory Flexibility Act, 5 U.S.C. 601, et seq. 
The FRFA is summarized as follows:
    DoD is amending DFARS clause 252.247-7023, Transportation of 
Supplies by Sea, to include the instructions currently specified in 
DFARS clause 252.247-7024, Notification of Supplies by Sea, and then 
removing DFARS clause 252.247-7024 from the DFARS. The objective of 
this rule is to streamline the instructions to contractors pertaining 
to the transportation of supplies by sea. The combination of these 
DFARS clauses supports a recommendation from the DoD Regulatory Reform 
Task Force.
    No public comments were received in response to the initial 
regulatory flexibility analysis.
    Based on fiscal year 2016 data from the Federal Procurement Data 
System, the Government issued approximately 83,000 contract actions 
that included DFARS clause 252.247-7023. Of the 83,000 contract 
actions, approximately 39,000 awards were made to 15,000 unique small 
businesses entities.
    This rule does not include any new reporting, recordkeeping, or 
other compliance requirements for small businesses.
    There are no known significant alternative approaches to the rule 
that would meet the proposed objectives.

[[Page 4371]]

VI. Paperwork Reduction Act

    The Paperwork Reduction Act (44 U.S.C. chapter 35) does apply; 
however, these changes to the DFARS do not impose additional 
information collection requirements to the paperwork burden previously 
approved under OMB Control Number 0704-0245, titled: Defense Federal 
Acquisition Regulation Supplement (DFARS) Part 247, Transportation and 
Related Clauses.

List of Subjects in 48 CFR Parts 212, 247, and 252

    Government procurement.

Jennifer Lee Hawes,
Regulatory Control Officer, Defense Acquisition Regulations System.
    Therefore, 48 CFR parts 212, 247, and 252 are amended as follows:

0
1. The authority citation for 48 CFR parts 212, 247, and 252 continues 
to read as follows:

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

PART 212--ACQUISITION OF COMMERCIAL ITEMS


212.301  [Amended]

0
2. Amend section 212.301 by:
0
a. Removing paragraph (f)(xix)(D);
0
b. Redesignating paragraphs (f)(xix)(E) through (H) as paragraphs 
(f)(xix)(D) through (G), respectively;
0
c. In the newly redesignated paragraph (f)(xix)(D), removing 
``247.574(d)'' and adding ``247.574(c)'' in its place;
0
d. In the newly redesignated paragraph (f)(xix)(E), removing 
``247.574(e)'' and adding ``247.574(d)'' in its place;
0
e. In the newly redesignated paragraph (f)(xix)(F), removing 
``247.574(f)'' and adding ``247.574(e)'' in its place; and
0
f. In the newly redesignated paragraph (f)(xix)(G), removing ``U.S'' 
and adding ``U.S.'' in its place.

PART 247--TRANSPORTATION


247.574  [Amended]

0
3. Amend section 247.574 by:
0
a. Removing paragraph (c); and
0
b. Redesignating paragraphs (d) through (f) as paragraphs (c) through 
(e), respectively.

PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
4. Amend section 252.247-7023 by:
0
a. In the clause heading, removing the date ``(APR 2014)'' and adding 
``(FEB 2019)'' in its place;
0
b. Redesignating paragraph (h) as paragraph (i);
0
c. Adding a new paragraph (h); and
0
d. In the newly redesignated paragraphs (i)(1) and (2), removing 
``paragraph (h)'' and adding ``paragraph (i)'' in both places;
0
e. In Alternate I:
0
i. In the clause heading, removing the date of ``(APR 2014)'' and 
adding ``(FEB 2019)'' in its place;
0
ii. Redesignating paragraph (h) as paragraph (i);
0
iii. In the newly redesignated paragraphs (i)(1) and (2), removing 
``paragraph (h)'' and adding ``paragraph (i)'' in both places; and
0
iv. Adding a new paragraph (h).
0
f. In Alternate II--
0
i. In the clause heading, removing the date of ``(APR 2014)'' and 
adding ``(FEB 2019)'' in its place;
0
ii. Redesignating paragraph (h) as paragraph (i);
0
iii. In the newly redesignated paragraphs (i)(1) and (2), removing 
``paragraph (h)'' and adding ``paragraph (i)'' in both places; and
0
iv. Adding a new paragraph (h).
    The additions read as follows:


252.247-7023  Transportation of Supplies by Sea.

* * * * *
    (h) If the Contractor has indicated by the response to the 
solicitation provision, Representation of Extent of Transportation by 
Sea, that it did not anticipate transporting by sea any supplies; 
however, after the award of this contract, the Contractor learns that 
supplies will be transported by sea, the Contractor--
    (1) Shall notify the Contracting Officer of that fact; and
    (2) Hereby agrees to comply with all the terms and conditions of 
this clause.
* * * * *
    Alternate I. * * *
* * * * *
    (h) If the Contractor has indicated by the response to the 
solicitation provision, Representation of Extent of Transportation by 
Sea, that it did not anticipate transporting by sea any supplies; 
however, after the award of this contract, the Contractor learns that 
supplies will be transported by sea, the Contractor--
    (1) Shall notify the Contracting Officer of that fact; and
    (2) Hereby agrees to comply with all the terms and conditions of 
this clause.
* * * * *
    Alternate II. * * *
* * * * *
    (h) If the Contractor has indicated by the response to the 
solicitation provision, Representation of Extent of Transportation by 
Sea, that it did not anticipate transporting by sea any supplies, but 
the contractor learns after the award of the contract that supplies 
will be transported by sea, the Contractor shall notify the Contracting 
Officer of that fact.
* * * * *


252.247-7024  [Removed and Reserved]

0
4. Remove and reserve section 252.247-7024.


252.247-7025  [Amended]

0
5. Amend section 252.247-7025, in the introductory text, by removing 
``247.574(d)'' and adding ``247.574(c)'' in its place.


252.247-7026  [Amended]

0
6. Amend section 252.247-7026, in the introductory text, by removing 
``247.574(e)'' and adding ``247.574(d)'' in its place.


252.247-7027  [Amended]

0
7. Amend section 252.247-7027, in the introductory text, by removing 
``247.574(f)'' and adding ``247.574(e)'' in its place.

[FR Doc. 2019-02528 Filed 2-14-19; 8:45 am]
 BILLING CODE 5001-01-P