[Federal Register Volume 84, Number 58 (Tuesday, March 26, 2019)]
[Notices]
[Page 11291]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-05754]


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DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

[Docket No. DARS-2019-0011]


Acquisition of Items for Which Federal Prison Industries Has a 
Significant Market Share

AGENCY: Department of Defense (DoD).

ACTION: Notice.

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SUMMARY: DoD is publishing the updated annual list of product 
categories for which the Federal Prison Industries' share of the DoD 
market is greater than five percent.

DATES: Applicable Date: March 28, 2019.

FOR FURTHER INFORMATION CONTACT: Greg Snyder, telephone 703-614-0719.

SUPPLEMENTARY INFORMATION: On November 19, 2009, a final rule was 
published in the Federal Register at 74 FR 59914, which amended the 
Defense Federal Acquisition Regulation Supplement (DFARS) subpart 208.6 
to implement Section 827 of the National Defense Authorization Act for 
Fiscal Year 2008, Public Law 110-181. Section 827 changed DoD 
competition requirements for purchases from Federal Prison Industries, 
Inc. (FPI) by requiring DoD to publish an annual list of product 
categories for which FPI's share of the DoD market was greater than 
five percent, based on the most recent fiscal year data available. 
Product categories on the current list, and the products within each 
identified product category, must be procured using competitive or fair 
opportunity procedures in accordance with DFARS 208.602-70.
    The Principal Director, Defense Pricing and Contracting (DPC), 
issued a memorandum dated February 26, 2019, that provided the current 
list of product categories for which FPI's share of the DoD market is 
greater than five percent based on fiscal year 2018 data from the 
Federal Procurement Data System. The product categories to be competed 
effective March 28, 2019, are the following:

 7125 (Cabinets, Lockers, Bins, and Shelving)
 7210 (Household Furnishings)
 7540 (Standard Forms)
 7810 (Athletic and Sporting Equipment)
 8420 (Underwear and Nightwear, Mend's)
 8470 (Armor, Personal)
    The DPC memorandum with the current list of product categories for 
which FPI has a significant market share is posted at: https://www.acq.osd.mil/dpap/cpic/cp/specific_policy_areas.html#federal_prison.
    The statute, as implemented, also requires DoD to--
    (1) Include FPI in the solicitation process for these items. A 
timely offer from FPI must be considered and award procedures must be 
followed in accordance with existing policy at Federal Acquisition 
Regulation (FAR) 8.602(a)(4)(ii) through (v);
    (2) Continue to conduct acquisitions, in accordance with FAR 
subpart 8.6, for items from product categories for which FPI does not 
have a significant market share. FAR 8.602 requires agencies to conduct 
market research and make a written comparability determination, at the 
discretion of the contracting officer. Competitive (or fair 
opportunity) procedures are appropriate if the FPI product is not 
comparable in terms of price, quality, or time of delivery; and
    (3) Modify the published list if DoD subsequently determines that 
new data requires adding or omitting a product category from the list.

Jennifer Lee Hawes,
Regulatory Control Officer, Defense Acquisition Regulations System.
[FR Doc. 2019-05754 Filed 3-25-19; 8:45 am]
BILLING CODE 5001-06-P