[Federal Register Volume 89, Number 105 (Thursday, May 30, 2024)]
[Rules and Regulations]
[Pages 46811-46816]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-11514]
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DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System
48 CFR Parts 212, 225, and 252
[Docket DARS-2023-0042]
RIN 0750-AL40
Defense Federal Acquisition Regulation Supplement: Limitation on
the Acquisition of Certain Goods Other Than United States Goods (DFARS
Case 2021-D022)
AGENCY: Defense Acquisition Regulations System, Department of Defense
(DoD).
ACTION: Final rule.
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SUMMARY: DoD is issuing a final rule amending the Defense Federal
Acquisition Regulation Supplement (DFARS) to implement two sections of
the National Defense Authorization Act for Fiscal Year 2021, one
section of the National Defense Authorization Act for Fiscal Year 2022,
one section of the National Defense Authorization Act for Fiscal Year
2023, and one section of the Consolidated Appropriations Act, 2023.
These statutes remove limitations and restrictions on certain
components that are no longer required and add new limitations on other
components, subject to exceptions.
DATES: Effective May 30, 2024.
FOR FURTHER INFORMATION CONTACT: Kimberly Bass, telephone 703-717-3446.
SUPPLEMENTARY INFORMATION:
[[Page 46812]]
I. Background
DoD published a proposed rule in the Federal Register at 88 FR
80472 on November 17, 2023, to implement sections 845 and 1603 of the
National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2021
(Pub. L. 116-283); section 816 of the NDAA for FY 2022 (Pub. L. 117-
81); section 853 of the NDAA for FY 2023 (Pub. L. 117-263), and section
8016 of the Consolidated Appropriations Act of 2023 (Pub. L. 117-328).
These sections amend 10 U.S.C. 2534, now 10 U.S.C. 4864, to require
acquisition of certain items and components from the national
technology and industrial base. The national technology and industrial
base is defined at 10 U.S.C. 4801 as the United States, Australia,
Canada, New Zealand, or the United Kingdom.
One respondent submitted public comments in response to the
proposed rule. There are no changes made to the final rule.
II. Discussion and Analysis
DoD reviewed the public comments in the development of the final
rule. A discussion of the comments is provided, as follows:
Comment: A respondent recommended the words ``weighing more than
400 pounds'' be removed. The respondent provided that exempting
satellites weighing less than 400 pounds cedes a large part of the U.S.
market for star trackers to foreign suppliers that have been funded
largely by the European Space Agency, and that the foreign suppliers
currently dominate the high quality small star tracker market. The
respondent stated that the exemption of satellites weighing less than
400 pounds also discourages members of the national technology and
industrial base from investing and participating in possibly the most
attractive segment of the U.S. star tracker market and the market as a
whole. Lastly, the respondent recommended that DoD develop and include
a DFARS clause that requires procurement of star trackers from domestic
sources for satellites, including those weighing less than 400 pounds,
and that this requirement should be included in U.S. Government agency
procurements for information and services provided by commercial
satellite systems.
Response: Section 1603 amends 10 U.S.C. 2534(a), now 10 U.S.C.
4864, and adds star trackers to the list of items that must be procured
from manufacturers in the national technology and industrial base. The
statute applies to a ``star tracker used in a satellite weighing more
than 400 pounds whose principal purpose is to support the national
security, defense, or intelligence needs of the United States
Government''. The rule implements this statutory requirement
accordingly.
Moreover, the DFARS clause at 252.225-7064, Restriction on
Acquisition of Satellite Star Trackers, is prescribed at DFARS
225.7004-7(d) for use in solicitations and contracts requiring the
acquisition of satellite star trackers, including solicitations and
contracts that exceed the simplified acquisition threshold (SAT) and
that use FAR part 12 procedures for the acquisition of commercial
products, including COTS items, and for the acquisition of commercial
services. Lastly, as provided in section III of this preamble, DoD
intends to apply the clause to contracts for the acquisition of
commercial products including COTS items and for the acquisition of
commercial services.
III. Applicability to Contracts at or Below the Simplified Acquisition
Threshold (SAT), for Commercial Products (Including Commercially
Available Off-the-Shelf (COTS) Items), and for Commercial Services
The clause at DFARS 252.225-7063, Restriction on Acquisition of
Components of T-AO 205 Class Vessels, is prescribed at DFARS 225.7004-
7(c) for use in solicitations and contracts requiring the acquisition
of components of T-AO 205 and T-ARC class vessels, including
solicitations and contracts that exceed the SAT and that use FAR part
12 procedures for the acquisition of commercial products, including
COTS items, and for the acquisition of commercial services. The clause
at DFARS 252.225-7064, Restriction on Acquisition of Satellite Star
Trackers, is prescribed at DFARS 225.7004-7(d) for use in solicitations
and contracts requiring the acquisition of satellite star trackers,
including solicitations and contracts that exceed the SAT and that use
FAR part 12 procedures for the acquisition of commercial products,
including COTS items, and for the acquisition of commercial services.
Consistent with the analysis that DoD provided in the proposed rule
with regard to the application of the requirements of sections 845 and
1603 of the NDAA for FY 2021 (Pub. L. 116-283) and section 852 of the
NDAA for FY 2023 (Pub. L. 117-263), which amend 10 U.S.C. 4864, DoD has
made the determination to apply the statute, as implemented in the
clauses at DFARS 252.225-7063 and 252.225-7064 to contracts and
subcontracts for the acquisition of commercial products including COTS
items, and to the acquisition of commercial services, as defined at
Federal Acquisition Regulation 2.101.
The requirements of 10 U.S.C. 4864 do not apply to a contract or
subcontract for an amount at or below the SAT. Therefore, the clauses
will not apply to acquisitions at or below the SAT.
IV. Expected Impact of the Rule
The final rule adds procurement limitations on the acquisition of
star trackers for certain national security satellites and certain
components for T-AO 205 and T-ARC class vessels, requiring they are
manufactured in the national technology and industrial base: the United
States, Australia, Canada, New Zealand or the United Kingdom in
accordance with 10 U.S.C. 4864.
The rule is not expected to have a significant impact on the
Government, offerors, or contractors. The satellite star trackers and
components for the T-AO 205 and T-ARC class of vessels are the types of
items that are readily available in the marketplace, so limitation to
national technology and industrial base sources is not viewed as having
a significant impact on the availability of sources. Further, the rule
provides waiver procedures to the limitation.
The domestic source restriction does not apply to--
(1) Contracts or subcontracts that do not exceed the simplified
acquisition threshold;
(2) The acquisition of spare or repair parts needed to support
components for naval vessels manufactured outside the United States;
and
(3) Large medium-speed diesel engines for icebreakers or special
mission ships.
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, as amended.
VI. Congressional Review Act
As required by the Congressional Review Act (5 U.S.C. 801-808)
before an
[[Page 46813]]
interim or final rule takes effect, DoD will submit a copy of the
interim or final rule with the form, Submission of Federal Rules under
the Congressional Review Act, to the U.S. Senate, the U.S. House of
Representatives, and the Comptroller General of the United States. A
major rule under the Congressional Review Act cannot take effect until
60 days after it is published in the Federal Register. The Office of
Information and Regulatory Affairs has determined that this rule is not
a major rule as defined by 5 U.S.C. 804.
VII. Regulatory Flexibility Act
A final regulatory flexibility analysis has been prepared
consistent with the Regulatory Flexibility Act, 5 U.S.C. 601, et seq.
and is summarized as follows:
DoD is amending the Defense Federal Acquisition Regulation
Supplement (DFARS) to implement statutes that remove limitations and
restrictions no longer required, and that require the procurement of
star trackers for certain national security satellites, as well as
certain components for T-AO 205 and T-ARC class vessels, from the
national technology and industrial base: the United States, Australia,
Canada, New Zealand, or the United Kingdom.
The objective of the rule is to implement sections 845 and 1603 of
the National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2021
(Pub. L. 116-283); section 816 of the NDAA for FY 2022 (Pub. L. 117-
81); and section 853 of the NDAA for FY 2023 (Pub. L. 117-263). Section
845 of the NDAA for FY 2021 amends 10 U.S.C. 4864(a) to update the list
of components for naval vessels at paragraphs (a)(2)(A) through (E).
Subsequently, section 816 of the NDAA for FY 2022 added to the list of
components for naval vessels welded shipboard anchor and mooring chain,
without size restrictions, at 10 U.S.C. 4864(a)(2)(F). Section 845 also
added components for T-AO 205 class vessels at 10 U.S.C. 4864(a)(4).
Section 853 of the NDAA for FY 2023 added T-ARC class vessels at 10
U.S.C. 4864(a)(4) along with the component list for T-AO 205 class
vessels. Section 1603 of the NDAA for FY 2021 added limitations on
procurement of satellite star trackers at 10 U.S.C. 4864(a)(5).
No significant issues were raised by public comments regarding the
initial regulatory flexibility analysis.
DoD reviewed data from the Federal Procurement Data System for FY
2021, 2022, and 2023, excluding contracts that do not exceed the
simplified acquisition threshold, for the following product service
codes: 7G22, 2835, 2010, 3815, 1040, 5925, 2040, beginning with 70 (for
example, information technology hardware and software), and 7435. DoD
made an average of 712 awards per year, of which 401 were made to small
entities, an average of 56 percent awarded to small entities over the
three fiscal years.
It is expected that this rule will benefit small businesses. The
rule will continue to provide small businesses the opportunity to
participate in the manufacture of star trackers for certain national
security satellites and certain components for T[hyphen]AO 205 and T-
ARC class vessels in support of the national technology and industrial
base.
This rule does not include any new reporting, recordkeeping, or
other compliance requirements for small businesses.
The rule exempts acquisitions equal to or less than the simplified
acquisition threshold. There are no other known significant alternative
approaches to the rule that would meet the requirements of the statute.
VIII. Paperwork Reduction Act
This final 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 212, 225, and 252
Government procurement.
Jennifer D. Johnson,
Editor/Publisher, Defense Acquisition Regulations System.
Therefore, 48 CFR parts 212, 225, and 252 are amended as follows:
0
1. The authority citation for 48 CFR parts 212, 225, and 252 continues
to read as follows:
Authority: 41 U.S.C. 1303 and 48 CFR chapter 1.
PART 212--ACQUISITION OF COMMERCIAL PRODUCTS AND COMMERCIAL
SERVICES
0
2. Amend section 212.301 by--
0
a. Removing paragraphs (f)(x)(X) and (Y);
0
b. Redesignating paragraphs (f)(x)(M) through (W) as (f)(x)(N) through
(X);
0
c. Adding a new paragraph (f)(x)(M);
0
d. Redesignating paragraphs (f)(x)(Z) through (NN) as paragraphs
(f)(x)(Y) through (MM);
0
e. In the newly redesignated paragraph (f)(x)(Y), removing ``Pub. L.''
and adding ``Public Law'' in its place;
0
f. In the newly redesignated paragraph (f)(x)(MM), removing ``225.7010-
5'' and adding ``225.7004-7(b)'' in its place; and
0
g. Adding paragraphs (f)(x)(NN) and (OO).
The additions read as follows:
212.301 Solicitation provisions and contract clauses for the
acquisition of commercial products and commercial services.
* * * * *
(f) * * *
(x) * * *
(M) Use the clause at 252.225-7019, Restriction on Acquisition of
Anchor and Mooring Chain, as prescribed in 225.7004-7(a), to comply
with 10 U.S.C. 4864 and section 8041 of the Fiscal Year 1991 DoD
Appropriations Act (Pub. L. 101-511) and similar sections in subsequent
DoD appropriations acts.
* * * * *
(NN) Use the clause at 252.225-7063, Restriction on Acquisition of
Components of T-AO 205 and T-ARC Class Vessels, as prescribed in
225.7004-7(c), to comply with 10 U.S.C. 4864.
(OO) Use the clause at 252.225-7064, Restriction on Acquisition of
Certain Satellite Components, as prescribed in 225.7004-7(d), to comply
with 10 U.S.C. 4864.
* * * * *
PART 225--FOREIGN ACQUISITION
225.7001 [Amended]
0
3. Amend section 225.7001 in the definition of ``Component'' by
removing ``component except that for use in 225.7007'' and adding
``component, except that for use in 225.7004-2(b)(6)'' in its place.
0
4. Revise section 225.7004 to read as follows:
225.7004 Restrictions on the procurement of goods other than U.S.
goods.
0
5. Add section 225.7004-0 to read as follows:
225.7004-0 Scope.
This section implements 10 U.S.C. 4864.
0
6. Revise sections 225.7004-1 through 225.7004-4 to read as follows:
Sec.
* * * * *
225.7004-1 Definitions.
225.7004-2 Restrictions.
225.7004-3 Exceptions.
225.7004-4 Implementation of restriction on certain naval vessel
components.
* * * * *
225.7004-1 Definitions.
As used in this section--
National technology and industrial base means the persons and
organizations that are engaged in production activities conducted
within the United States, Australia, Canada,
[[Page 46814]]
New Zealand, and the United Kingdom of Great Britain and Northern
Ireland (United Kingdom). (10 U.S.C. 4801)
Star tracker means a navigational tool used in a satellite weighing
more than 400 pounds whose principal purpose is to support the national
security, defense, or intelligence needs of the U.S. Government.
225.7004-2 Restrictions.
Except as provided in 225.7004-3, do not acquire any of the
following items, either as end products or components, unless the
manufacturer of the items is part of the national technology and
industrial base:
(a) Buses, if multipassenger motor vehicles are purchased, leased,
rented, or made available under contracts for transportation services.
(b) Components for naval vessels, to the extent they are unique to
marine applications (see also 225.7004-4 for implementation of the
restriction for naval vessels):
(1) Gyrocompasses.
(2) Electronic navigation chart systems.
(3) Steering controls.
(4) Propulsion and machinery control systems.
(5) Totally enclosed lifeboats.
(6) Welded shipboard anchor and mooring chain. See also 225.7004-5.
(c) Large medium-speed diesel engines for new construction of
auxiliary ships using funds available for National Defense Sealift Fund
programs or Shipbuilding and Conversion, Navy.
(d) For T-AO 205 and T-ARC class vessels:
(1) Auxiliary equipment, including pumps, for all shipboard
services.
(2) Propulsion system components, including engines, reduction
gears, and propellers.
(3) Shipboard cranes.
(4) Spreaders for shipboard cranes.
(e) Star trackers.
225.7004-3 Exceptions.
(a) Contracts under the simplified acquisition threshold. The
restrictions at 225.7004-2 do not apply to a contract or subcontract
that does not exceed the simplified acquisition threshold.
(b) Buses. The restriction at 225.7004-2(a) does not apply in the
following circumstances:
(1) Buses manufactured outside the national technology and
industrial base are needed for temporary use because buses manufactured
in the national technology and industrial base are not available to
satisfy requirements that cannot be postponed. Such use may not,
however, exceed the lead time required for acquisition and delivery of
buses manufactured in the national technology and industrial base.
(2) The requirement for buses is temporary in nature. For example,
to meet a special, nonrecurring requirement or a sporadic and
infrequent recurring requirement, buses manufactured outside the
national technology and industrial base may be used for temporary
periods of time. Such use may not however, exceed the period of time
needed to meet the special requirement.
(3) Buses manufactured outside the national technology and
industrial base are available at no cost to the U.S. Government.
(c) Components for naval vessels. The restriction at 225.7004-2(b)
does not apply to acquisition of spare or repair parts needed to
support components for naval vessels manufactured outside the United
States. Support includes the purchase of spare gyrocompasses,
electronic navigation chart systems, steering controls, propulsion and
machinery control systems, totally enclosed lifeboats, and welded
shipboard anchor and mooring chain.
(d) Components for auxiliary ships. The restriction at 225.7004-
2(c) does not apply to large medium-speed engines for icebreakers or
special mission ships.
(e) Star trackers. The restriction at 225.7004-2(e) does not apply
to acquisition programs that have received Milestone A approval as
defined in 10 U.S.C. 4211 before October 1, 2021, as documented by the
requiring activity official performing program management
responsibilities. The contracting officer shall include the Milestone A
approval documentation in the contract file.
225.7004-4 Implementation of restriction on certain naval vessel
components.
(a) The statute at 10 U.S.C. 4864(h) prohibits the use of contract
clauses or certifications to implement the restriction at 225.7004-2(b)
for naval vessel components.
(b) Agencies shall accomplish implementation of the restriction at
225.7004-2(b) through use of management and oversight techniques that
achieve the objectives of this section without imposing a significant
management burden on the Government or the contractor involved.
0
7. Add sections 225.7004-5 through 225.7004-7 to read as follows:
Sec.
* * * * *
225.7004-5 Additional restrictions on anchor and mooring chain.
225.7004-6 Waiver of restrictions.
225.7004-7 Contract clauses.
* * * * *
225.7004-5 Additional restrictions on anchor and mooring chain.
(a) In accordance with section 8041 of the Fiscal Year 1991 DoD
Appropriations Act (Pub. L. 101-511) and similar sections in subsequent
DoD appropriations acts, do not acquire welded shipboard anchor and
mooring chain, unless--
(1) It is manufactured in the United States, including cutting,
heat treating, quality control, testing, and welding (both forging and
shot blasting process); and
(2) The cost of the components manufactured in the United States
exceeds 50 percent of the total cost of components.
(b) The statute at 10 U.S.C. 4864 also restricts acquisition of
welded shipboard anchor and mooring chain, when used as a component of
a naval vessel; however, the Appropriations Act restriction described
in paragraph (a) of this section takes precedence over the restriction
of 10 U.S.C. 4864 cited in 225.7004-2(b)(6).
225.7004-6 Waiver of restrictions.
(a) Welded shipboard anchor and mooring chain. (1) In accordance
with section 8016 of the Consolidated Appropriations Act, 2023 (Pub. L.
117-328), the secretary of the department responsible for acquisition
may waive the restrictions in 225.7004-2(b)(6) and 225.7004-5, on a
case-by-case basis, if--
(i) Sufficient domestic suppliers are not available to meet DoD
requirements on a timely basis; and
(ii) The acquisition is necessary to acquire capability for
national security purposes.
(2) Document the waiver in a written determination and findings
containing--
(i) The factors supporting the waiver; and
(ii) A certification that the acquisition must be made in order to
acquire capability for national security purposes.
(3) Provide a copy of the determination and findings to the House
and Senate Committees on Appropriations.
(b) Star trackers. The waiver criteria at paragraph (c) of this
section apply, except that the USD(A&S) may delegate the authority to
waive a restriction for a star tracker for a particular foreign country
to the service acquisition executive, without power of redelegation
(section 1603, National Defense Authorization Act for Fiscal Year 2021
(Pub. L. 116-283)).
[[Page 46815]]
(c) Waiver of restrictions of 10 U.S.C. 4864(a). The restrictions
on certain foreign purchases at 225.7004-2 may be waived, except as
provided in paragraphs (a) and (b) of this section, as follows:
(1)(i) USD(A&S), without power of delegation, may waive a
restriction for a particular item for a particular foreign country upon
determination that--
(A) U.S. producers of the item would not be jeopardized by
competition from a foreign country, and that country does not
discriminate against defense items produced in the United States to a
greater degree than the United States discriminates against defense
items produced in that country; or
(B) Application of the restriction would impede cooperative
programs entered into between DoD and a foreign country, or would
impede the reciprocal procurement of defense items under a memorandum
of understanding providing for reciprocal procurement of defense items
under 225.872, and that country does not discriminate against defense
items produced in the United States to a greater degree than the United
States discriminates against defense items produced in that country.
(ii) A notice of the determination to exercise the waiver authority
shall be published in the Federal Register and submitted to the
congressional defense committees at least 15 days before the effective
date of the waiver.
(iii) The effective period of the waiver shall not exceed 1 year.
(iv) For contracts entered into prior to the effective date of a
waiver, provided adequate consideration is received to modify the
contract, the waiver shall be applied as directed or authorized in the
waiver to--
(A) Subcontracts entered into on or after the effective date of the
waiver; and
(B) Options for the procurement of items that are exercised after
the effective date of the waiver, if the option prices are adjusted for
any reason other than the application of the waiver.
(2) The head of the contracting activity may waive a restriction on
a case-by-case basis upon execution of a determination and findings
that any of the following applies:
(i) The restriction would cause unreasonable delays.
(ii) Satisfactory quality items manufactured in the national
technology and industrial base are not available.
(iii) Application of the restriction would result in the existence
of only one source for the item in the national technology and
industrial base.
(iv) Application of the restriction is not in the national security
interests of the United States.
(v) Application of the restriction would adversely affect a U.S.
company.
(3) A restriction is waived when it would cause unreasonable costs.
The cost of an item of national technology and industrial base origin
is unreasonable if it exceeds 150 percent of the offered price,
inclusive of duty, of items that are not of national technology and
industrial base origin.
225.7004-7 Contract clauses.
(a) Unless a waiver has been granted, use the clause at 252.225-
7019, Restriction on Acquisition of Anchor and Mooring Chain, in
solicitations and contracts, including solicitations and contracts
using FAR part 12 procedures for the acquisition of commercial products
and commercial services, that exceed the simplified acquisition
threshold and that require welded shipboard anchor or mooring chain.
(b) Use the clause at 252.225-7062, Restriction on Acquisition of
Large Medium-Speed Diesel Engines, in solicitations and contracts,
including solicitations and contracts using FAR part 12 procedures for
the acquisition of commercial products and commercial services, that
exceed the simplified acquisition threshold and that require large
medium-speed diesel engines for new construction of auxiliary ships
using funds available for National Defense Sealift Fund programs or
Shipbuilding and Conversion, Navy unless--
(1) An exception at 225.7004-3(d) applies; or
(2) A waiver has been granted.
(c) Unless a waiver has been granted, use the clause at 252.225-
7063, Restriction on Acquisition of Components of T-AO 205 and T-ARC
Class Vessels, in solicitations and contracts, including solicitations
and contracts using FAR part 12 procedures for the acquisition of
commercial products and commercial services, that exceed the simplified
acquisition threshold and that require components of T-AO 205 and T-ARC
class vessels.
(d) Use the clause at 252.225-7064, Restriction on Acquisition of
Certain Satellite Components, in solicitations and contracts, including
solicitations and contracts using FAR part 12 procedures for the
acquisition of commercial products and commercial services, that exceed
the simplified acquisition threshold unless--
(1) An exception at 225.7004-3(e) applies; or
(2) A waiver has been granted.
225.7006 [Removed and Reserved]
0
8. Remove and reserve section 225.7006.
225.7006-1, 225.7006-2, 225.7006-3, and 225.7006-4 [Removed]
0
9. Remove sections 225.7006-1, 225.7006-2, 225.7006-3, and 225.7006-4.
225.7007 [Removed and Reserved]
0
10. Remove and reserve section 225.7007.
225.7007-1, 225.7007-2, and 225.7007-3 [Removed]
0
11. Remove sections 225.7007-1, 225.7007-2, and 225.7007-3.
225.7008 [Removed and Reserved]
0
12. Remove and reserve section 225.7008.
225.7009-1 [Amended]
0
13. Amend section 225.7009-1 by removing ``Section'' and adding
``section'' in its place.
225.7010 [Removed and Reserved]
0
14. Remove and reserve section 225.7010.
225.7010-1, 225.7010-2, 225.7010-3, 225.7010-4, and 225.7010-
5 [Removed]
0
15. Remove sections 225.7010-1, 225.7010-2, 225.7010-3, 225.7010-4, and
225.7006-5.
PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
0
16. Amend section 252.225-7019--
0
a. By revising the section heading, introductory text, clause date, and
paragraph (a);
0
b. In paragraph (b) by removing ``, four inches or less in diameter,'';
and
0
c. In paragraph (d) by removing ``, four inches or less in diameter''.
The revisions read as follows:
252.225-7019 Restriction on Acquisition of Anchor and Mooring Chain.
As prescribed in 225.7004-7(a), use the following clause:
Restriction On Acquisition of Anchor and Mooring Chain (MAY 2024)
(a) Definition. As used in this clause--
Component means an article, material, or supply incorporated
directly into an end product.
* * * * *
252.225-7037 and 252.22-7038 [Removed and Reserved]
0
17. Remove and reserve sections 252.225-7037 and 252.225-7038.
[[Page 46816]]
252.225-7062 [Amended]
0
18. Amend section 252.225-7062 introductory text by removing
``225.7010-5'' and adding ``225.7004-7(b)'' in its place.
0
19. Add section 252.225-7063 to read as follows:
252.225-7063 Restriction on Acquisition of Components of T-AO 205 and
T-ARC Class Vessels.
As prescribed in 225.7004-7(c), use the following clause:
Restriction on Acquisition of Components of T-AO 205 AND T-ARC Class
Vessels (MAY 2024)
(a) Restriction.
(1) In accordance with 10 U.S.C. 4864, the following components
of T-AO 205 and T-ARC class vessels must be manufactured in the
United States, Australia, Canada, New Zealand, or the United Kingdom
of Great Britain and Northern Ireland (United Kingdom):
(i) Auxiliary equipment, including pumps, for all shipboard
services.
(ii) Propulsion system components, including engines, reduction
gears, and propellers.
(iii) Shipboard cranes.
(iv) Spreaders for shipboard cranes.
(2) The Contractor shall deliver under this contract only T-AO
205 and T-ARC class vessel components, as described in paragraph
(a)(1) of this clause, manufactured in the United States, Australia,
Canada, New Zealand, or the United Kingdom (10 U.S.C. 4864).
(b) Subcontracts. The Contractor shall insert the substance of
this clause, including this paragraph (b), in subcontracts for the
components described in paragraph (a)(1) of this clause that exceed
the simplified acquisition threshold, including subcontracts for
commercial products and commercial services.
(End of Clause)
0
21. Add section 252.225-7064 to read as follows:
252.225-7064 Restriction on Acquisition of Certain Satellite
Components.
As prescribed in 225.7004-7(d), use the following clause:
Restriction On Acquisition of Certain Satellite Components (MAY 2024)
(a) Definition. As used in this clause--
Star tracker means a navigational tool used in a satellite
weighing more than 400 pounds whose principal purpose is to support
the national security, defense, or intelligence needs of the U.S.
Government.
(b) Restriction. In accordance with 10 U.S.C. 4864, a star
tracker must be manufactured in the United States, Australia,
Canada, New Zealand, or the United Kingdom of Great Britain and
Northern Ireland (United Kingdom). The Contractor shall deliver
under this contract only star trackers manufactured in the United
States, Australia, Canada, New Zealand, or the United Kingdom.
(c) Subcontracts. The Contractor shall insert the substance of
this clause, including this paragraph (c), in subcontracts for star
trackers that exceed the simplified acquisition threshold, including
subcontracts for commercial products and commercial services.
(End of clause)
[FR Doc. 2024-11514 Filed 5-29-24; 8:45 am]
BILLING CODE 6001-FR-P