[Federal Register Volume 85, Number 78 (Wednesday, April 22, 2020)]
[Notices]
[Page 22411]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-08061]


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DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

[Docket No. DARS-2020-0011]


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: April 10, 2020.

FOR FURTHER INFORMATION CONTACT: Sonji A. Epps, telephone 703-695-9774.

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 (Pub. L. 
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 Acting Principal Director, Defense Pricing and Contracting 
(DPC), issued a memorandum dated March 11, 2020, 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 2019 data from 
the Federal Procurement Data System. The product categories to be 
competed effective April 10, 2020, are the following:
 7110 (Office Furniture)
 7125 (Cabinets, Lockers, Bins, and Shelving)
 7210 (Household Furnishings)
 8405 (Outerwear, Men's)
 8415 (Clothing, Special Purpose)
 8420 (Underwear and Nightwear, Mend's)

    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. 2020-08061 Filed 4-21-20; 8:45 am]
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