[Federal Register Volume 89, Number 68 (Monday, April 8, 2024)]
[Notices]
[Pages 24455-24456]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-07405]


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DEPARTMENT OF DEFENSE

Defense Acquisition Regulations System

[Docket No. DARS-2024-0012]


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

AGENCY: Defense Acquisition Regulations System, 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 26, 2024.

FOR FURTHER INFORMATION CONTACT: Greg Snyder, 571-217-4920.

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 Principal Director, Defense Pricing and Contracting (DPC), 
issued a memorandum dated March 26, 2024, 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 2023 data from the 
Federal Procurement Data System. The product categories to be competed 
effective April 26, 2024, are the following:

 3990 (Miscellaneous Materials Handling Equipment)
 7110 (Office Furniture)
 7210 (Household Furnishings)
 8105 (Bags and Sacks)
 8410 (Outerwear, Women's)
 8415 (Clothing, Special Purpose)
 8420 (Underwear and Nightwear, Men'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/policy/policyvault/USA000443-24-DPC.pdf.
    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

[[Page 24456]]

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 D. Johnson,
Editor/Publisher, Defense Acquisition Regulations System.
[FR Doc. 2024-07405 Filed 4-5-24; 8:45 am]
BILLING CODE 6001-FR-P