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2006 Change Notices (Archived)

DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20061219
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

On December 19, 2006, DoD published the following changes to the DFARS and the DFARS companion resource, Procedures, Guidance, and Information (PGI):

Final Rules :

Inflation Adjustment of Acquisition-Related Thresholds (DFARS Case 2004-D022)

Adjusts acquisition-related dollar thresholds for inflation. Section 807 of the National Defense Authorization Act for Fiscal Year 2005 requires periodic adjustment of statutory acquisition-related dollar thresholds for inflation, except those established by the Davis-Bacon Act, the Service Contract Act, or trade agreements. This rule also adjusts other acquisition-related thresholds that are based on policy rather than statute.

Affected subparts/sections: Part 201 Table of Contents; 201.1; 205.3; 207.1; 211.5; 217.1; 219.5; 223.8; 225.72; 228.1; 232.4; 232.5; 237.1; 252.209; 252.225; 252.232; 252.249; PGI 201.1

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the changes to PGI is here.

A matrix showing the thresholds reviewed in preparation of this rule is here.

Restriction on Carbon, Alloy, and Armor Steel Plate (DFARS Case 2005-D002)

Clarifies a restriction on the acquisition of foreign carbon, alloy, or armor steel plate. The restriction implements provisions of annual DoD appropriations acts, which prohibit the acquisition of carbon, alloy, or armor steel plate, that is not melted and rolled in the United States or Canada, for use in any Government-owned facility or property under the control of DoD. The rule clarifies that the restriction applies to the acquisition of carbon, alloy, or armor steel plate as a finished steel mill product, but does not apply to the acquisition of an end product that contains carbon, alloy, or armor steel plate as a component.

Affected subparts/sections: 225.70; 252.225

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

Material Inspection and Receiving Report (DFARS Case 2003-D085)

Updates requirements for preparation of DD Form 250, Material Inspection and Receiving Report; and relocates to PGI, procedures for documenting contract quality assurance performed at a subcontractor’s facility and for distribution and correction of DD Form 250-1, Tanker/Barge Material Inspection and Receiving Report.

Affected subparts/sections: DFARS Table of Contents; Appendix F Table of Contents; Appendix F; PGI F

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the changes to PGI is here.

Extension of 8(a) Partnership Agreement Between the U.S. Small Business Administration and the Department of Defense (Class Deviation 2006-O0005)

The on-line DFARS has been amended to include a reference to Class Deviation 2006-O0005 issued on December 1, 2006. The deviation extends, through January 30, 2007, the Partnership Agreement between DoD and the Small Business Administration that permits DoD to award 8(a) contracts directly to 8(a) Program participants in accordance with DFARS Subpart 219.8.

Affected subparts/sections: 219.8


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20061212

DoD published the following DFARS change in the Federal Register on December 12, 2006:

Interim Rule:

Labor Reimbursement on DoD Non-Commercial Time-and-Materials and Labor-Hour Contracts (DFARS Case 2006-D030)
This interim DFARS rule supplements the final FAR rule published as Item I of Federal Acquisition Circular 2005-15 on December 12, 2006 (FAR Case 2004-015, Payments Under Time-and-Materials and Labor-Hour Contracts). The FAR rule clarifies payment procedures for non-commercial time-and-materials and labor-hour contracts, and prescribes three options for establishing fixed hourly rates on competitively awarded non-commercial time-and-materials and labor-hour contracts. The DFARS rule requires use of the option that provides for separate rates for each category of labor performed by the contractor, its affiliates, and each subcontractor. This option is considered to be the most appropriate for DoD contracts.

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the text of the rule is here.

This rule will become effective on February 12, 2007, and will be incorporated into the DFARS on that date.

Extension of Public Comment Period for DFARS Case 2004-D017, Combating Trafficking in Persons
The public comment period for the interim rule published in DFARS Change Notice 20061026, under DFARS Case 2004-D017, Combating Trafficking in Persons, has been extended to January 25, 2007.

The Federal Register notice extending the public comment period is available here.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20061201
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

On December 1, 2006, DoD published the following changes to the DFARS and the DFARS companion resource, Procedures, Guidance, and Information (PGI):

Final Rules:

Contracting Officers’ Representatives (DFARS Case 2005-D022)
Clarifies the authority of personnel designated as contracting officers’ representatives; and relocates to PGI, procedures relating to the designation of a contracting officer’s representative.

Affected subparts/sections: 201.6; PGI 201.6

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the changes to PGI is here.

Levy on Payments to Contractors (DFARS Case 2004-D033)
Revises and finalizes an interim rule published in DFARS Change Notice 20050901 to address the effect of Internal Revenue Service levies on contract payments. Requires contractors to promptly notify the contracting officer when a levy may result in an inability to perform a contract. The contracting officer must notify the Director, Defense Procurement and Acquisition Policy, when the contractor’s inability to perform will adversely affect national security or will result in significant additional costs to the Government. The final rule contains additional clarifying changes as a result of public comments received on the interim rule.

Affected subparts/sections: 212.3; 232.71; 252.232; PGI 232.71

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the changes to PGI is here.

Contract Pricing and Cost Accounting Standards (DFARS Case 2003-D014)
Updates and clarifies text addressing contract pricing matters and cost accounting standards. Implements statutory provisions regarding exceptions to cost or pricing data requirements and waiver of cost accounting standards. Relocates internal DoD procedures relating to pricing considerations and cost accounting standards to PGI.

Affected subparts/sections: DFARS Table of Contents; 215.4; Part 230 Table of Contents; 230.2; 230.70; 230.71; 252.215; 253.215; PGI 215.4; PGI 230.2; PGI 253.215

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Technical Amendment
Amends DFARS 208.7003-2(a) to update a reference to the Federal Acquisition Regulation.

Affected subparts/sections: 208.70

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS change made by this technical amendment is here.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20061109
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

On November 9, 2006, DoD published the following changes to the DFARS and the DFARS companion resource, Procedures, Guidance, and Information (PGI):

Final Rule:

Trade Agreements Thresholds and Morocco Free Trade Agreement (DFARS Case 2005-D017)
Revises and finalizes the interim rule published in DFARS Change Notice 20060223 to update policy pertaining to trade agreements. The rule incorporates increased thresholds for application of the World Trade Organization Government Procurement Agreement and the Free Trade Agreements; implements a new Free Trade Agreement with Morocco; and amends the list of end products subject to trade agreements. The final rule contains additional changes to clarify that the term "designated country end products" includes Caribbean Basin and Free Trade Agreement country end products.

Affected subparts/sections: 252.212; 252.225

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

PGI Changes:

Foreign Acquisition (PGI Case 0000-P015/0000-P064)
Amends PGI Part 225 to update reference information and to add background documents.

Affected subparts/sections: PGI 225.8; PGI 225.74

A Microsoft Word format document showing the changes to the PGI text is here.

Background documents have been added to the Supplemental Information tabs in PGI Subparts 225.1; 225.4; 225.7; 225.70; 225.73; and 225.75.

Contract Administration and Audit Services (PGI Case 0000-P063)
Updates and clarifies PGI text relating to technical representation at contractor facilities and ACO surveillance functions.

Affected subparts/sections: PGI 242.74; PGI 244.3

A Microsoft Word format document showing the changes to the PGI text is here.

Proposed Rules:

Contracting Methods and Contract Type (DFARS Case 2006-D018)
Proposes to add an exception to the requirement for a written determination before using a fixed-price type contract for a development program effort. The exception would apply to contracts for systems integration of commercial off-the-shelf information technology products under the DoD Enterprise Software Initiative. The Enterprise Software Initiative promotes the use of enterprise software agreements with contractors that allow DoD to obtain favorable terms and pricing for commercial software and related services.

The Federal Register notice for this proposed rule is here.

A Microsoft Word format document showing the DFARS changes proposed by this rule is here.

Receiving Reports for Shipments (DFARS Case 2006-D024)
Proposes amendments to clarify that copies of material inspection and receiving reports must be distributed with contract shipments, including those reports produced using the Wide Area WorkFlow-Receipt and Acceptance electronic system.

The Federal Register notice for this proposed rule is here.

A Microsoft Word format document showing the DFARS changes proposed by this rule is here.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20061026
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

On October 26, 2006, DoD published the following changes to the DFARS and the DFARS companion resource, Procedures, Guidance, and Information (PGI):

Interim Rule:

Combating Trafficking in Persons (DFARS Case 2004-D017)
Implements DoD policy prohibiting contractor activities involving trafficking in persons. Contains a contract clause requiring contractors performing outside the United States to: establish policy and procedures prohibiting employee activities that support or promote trafficking in persons; provide awareness training for employees; notify the contracting officer of any violations and take appropriate corrective action; and face penalties for failure to comply with the requirements of the contract clause.

Affected subparts/sections: DFARS Table of Contents; 212.3; Part 222 Table of Contents; 222.17; Part 252 Table of Contents; 252.222; PGI 222.17

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Final Rules:

Foreign Acquisition Procedures (DFARS Case 2005-D012)
Relocates text to the DFARS companion resource, Procedures Guidance, and Information (PGI). The relocated text addresses procedures for requesting waivers of foreign source restrictions; for requesting waivers under North Atlantic Treaty Organization cooperative projects; for determining that it is necessary to award a contract for ballistic missile defense research, development, test, and evaluation to a foreign source; and for applying the Balance of Payments Program to an acquisition.

Affected subparts/sections: 225.8; 225.70; 225.75; 225.76; PGI 225.8; PGI 225.70; PGI 225.75; PGI 225.76

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

PAN Carbon Fiber - Deletion of Obsolete Restriction (DFARS Case 2006-D033)
Removes obsolete text relating to a restriction on the acquisition of polyacrylonitrile (PAN) carbon fiber from foreign sources. The restriction expired on May 31, 2006, as specified in the DFARS text.

Affected subparts/sections: Part 225 Table of Contents; 225.71; Part 252 Table of Contents; 252.225

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

Definition of Terrorist Country (DFARS Case 2006-D034)
Removes Libya from the list of terrorist countries subject to a prohibition on DoD contract awards. This DFARS change is a result of the Department of State's removal of Libya from the list of countries designated as state sponsors of terrorism.

Affected subparts/sections: 252.209

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

Technical Amendments

Updates DFARS cross-references and adds a reference to reporting instructions in PGI. Also see related PGI Cases 0000-P065 and 0000-P068 in this Change Notice.

Affected subparts/sections: 208.74; 209.1; 225.0

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

PGI Changes:

Submission of Nonresponsibility Determinations to the Debarring and Suspending Official (PGI Case 0000-P065)
Removes PGI 209.105-2 to establish a more direct cross-reference to the list of debarring and suspending officials in DFARS 209.403.

Affected subparts/sections: PGI 209.1

A Microsoft Word format document showing the change to PGI (and corresponding DFARS change) is here.

Reporting of Acquisitions of End Products Manufactured Outside the United States (PGI Case 0000-P068)
Provides instructions for entering data into the Federal Procurement Data System to permit the generation of reports on the acquisition of end products manufactured outside the United States.

Affected subparts/sections: PGI 225.0

A Microsoft Word format document showing the text added to PGI (and corresponding DFARS change) is here.

Class FAR/DFARS Deviations:

The on-line DFARS has been amended to include references and links to the following DoD-wide class deviations:

2006-O0003, Acceptable Passive Radio Frequency Identification (RFID) Tags, issued on October 16, 2006.

2006-O0002, Extension of 8(a) Partnership Agreement Between the U.S. Small Business Administration and the Department of Defense, issued on October 2, 2006.

A complete listing of class deviations is available at http://www.acq.osd.mil/dpap/dars/classdev/index.htm.

Affected subparts/sections: 211.2; 219.8

Order Code Assignments:

An update has been made to the list of Army order code assignments at http://www.acq.osd.mil/dpap/dars/ordercodes/index.htm.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20061004
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

On October 4, 2006, DoD published the following changes to the DFARS and the DFARS companion resource, Procedures, Guidance, and Information (PGI):

Interim Rules:

Berry Amendment Notification Requirement (DFARS Case 2006-D006)
Adds a requirement for FedBizOps synopsis of contract awards exceeding the simplified acquisition threshold, for the acquisition of (1) certain clothing, fiber, yarn, or fabric items, when the Secretary concerned determines that adequate domestic items are not available; or (2) chemical warfare protective clothing, when the contracting officer determines that an exception to domestic source requirements applies because the acquisition furthers an agreement with a qualifying country. Implements Section 833(a) of the National Defense Authorization Act for Fiscal Year 2006.

Affected subparts/sections: Part 205 Table of Contents; 205.3; 225.70

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

Acquisition of Major Weapon Systems as Commercial Items (DFARS Case 2006-D012)
Permits the acquisition of a major weapon system as a commercial item only if the Secretary of Defense determines that (1) the major weapon system is a commercial item within the definition specified in FAR 2.101; and (2) acquisition of the system as a commercial item is necessary to meet national security objectives. Implements Section 803 of the National Defense Authorization Act for Fiscal Year 2006.

Affected subparts/sections: DFARS Table of Contents; Part 212 Table of Contents; 212.2; Part 234 Table of Contents; 234.70; PGI 207.1; PGI 234.70

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the corresponding changes to PGI is here.

Congressional Notification of Architect-Engineer Services/Military Family Housing Contracts (DFARS Case 2006-D015)
Amends requirements for submission of a notification to Congress before award of a contract for architect-engineer services or construction design in connection with military construction, military family housing, or restoration or replacement of damaged or destroyed facilities. The amendments increase the dollar threshold for submission from $500,000 to $1,000,000; require electronic submission of unclassified notifications; and specify the timing and content of the notification. Implements Section 1031(a)(37) of the National Defense Authorization Act for Fiscal Year 2004.

Affected subparts/sections: 236.6

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

Free Trade Agreements - Guatemala and Bahrain (DFARS Case 2006-D028)
Implements the Dominican Republic-Central America-United States Free Trade Agreement with respect to Guatemala, and implements the United States-Bahrain Free Trade Agreement. The Free Trade Agreements waive the applicability of the Buy American Act for some foreign supplies and construction materials and specify procurement procedures designed to ensure fairness.

Affected subparts/sections: 252.212; 252.225

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

Final Rules:

Buy American Act Exemption for Commercial Information Technology (DFARS Case 2005-D011)
Provides an exemption from the Buy American Act and the Balance of Payments Program for the acquisition of commercial information technology, to implement provisions of annual appropriations acts. This DFARS change eliminates the need for issuance of annual DoD-wide deviations to address the exemption (previously issued as Class Deviations 2005-O0010, 2005-O0004, and 2004-O0003).

Affected subparts/sections: 225.11; 225.75

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

Technical Amendments
Updates a cross-reference and references to statutory provisions.

Affected subparts/sections: 216.6; 225.70

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20060908
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

On September 8, 2006, DoD published the following changes to the DFARS and the DFARS companion resource, Procedures, Guidance, and Information (PGI):

Interim Rules:

Limitations on Tiered Evaluation of Offers (DFARS Case 2006-D009)
Adds policy addressing tiered evaluation of offers, in accordance with Section 816 of the National Defense Authorization Act for Fiscal Year 2006. Tiered evaluation of offers is a procedure used in negotiated acquisitions whereby the contracting officer solicits offers from both small and other than small businesses, when market research does not result in sufficient justification for limiting competition to small business concerns. The contracting officer establishes a tiered order of precedence for evaluating offers that is specified in the solicitation.

Affected subparts/sections: DFARS Table of Contents; 202.1; 210.0; Part 213 Table of Contents; 213.1; Part 215 Table of Contents; 215.2; Part 219 Table of Contents; 219.11; 219.13

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

Prohibition on Acquisition from Communist Chinese Military Companies (DFARS Case 2006-D007)
Prohibits the award of a contract to a Communist Chinese Military Company, if the items being acquired appear on the U.S. Munitions List maintained by the Department of State. Implements Section 1211 of the National Defense Authorization Act for Fiscal Year 2006.

Affected subparts/sections: Part 225 Table of Contents; 225.7; 225.11; Part 252 Table of Contents; 252.225; PGI 225.7

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Final Rules:

Training for Contractor Personnel Interacting with Detainees (DFARS Case 2005-D007)
Revises and finalizes the interim rule published in DFARS Change Notice 20050901, addressing requirements for contractor personnel who interact with detainees to receive training regarding the applicable international laws and obligations of the United States. The rule implements Section 1092 of the National Defense Authorization Act for Fiscal Year 2005. The final rule contains additional changes that clarify the training requirements and the need for retention of related documents.

Affected subparts/sections: 237.1; 252.212; 252.237; PGI 237.1

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the corresponding change to PGI is here.

Acquisition Planning (DFARS Case 2003-D044)
Increases the dollar thresholds for preparation of written acquisition plans; updates acquisition planning requirements for consistency with changes to the DoD 5000 series publications; deletes unnecessary text relating to contract administration and class justifications for other than full and open competition; clarifies requirements for funding of leases; and relocates to PGI, text addressing the contents of written acquisition plans.

Affected subparts/sections: Part 207 Table of Contents; 207.1; 207.4; PGI 207.1

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Technical Amendments
Reflects the change in name of the "General Accounting Office" to the "Government Accountability Office"; and updates reference numbers.

Affected subparts/sections: 204.8; 236.6; 252.225

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20060814
(PGI Replacement Subparts Document in PDF)

On August 14, 2006, DoD published the following proposed change to the DFARS and the following amendments to the DFARS companion resource, Procedures, Guidance, and Information (PGI):

Proposed Rule:

Export-Controlled Information and Technology (DFARS Case 2004-D010)
This proposed change addresses requirements for preventing unauthorized disclosure of export-controlled information and technology under DoD contracts. As a result of public comments received on a previous proposed rule on this subject (DFARS Change Notice 20050712), this second proposed rule includes less prescriptive contractor requirements, in recognition of existing related Department of Commerce and Department of State regulations; addresses the responsibilities of the requiring activity in identifying acquisitions involving export-controlled information and technology; and contains three separate contract clauses tailored for use in contracts for research and development, fundamental research only, and supplies or services.

The Federal Register notice for this proposed rule is here.

A Microsoft Word format document showing the DFARS changes proposed by this rule is here.

A Microsoft Word format document showing the text proposed for addition to PGI is here.

PGI Amendments:
PGI Subpart 204.6 is corrected at 204.670-2(a)(1) and (2), and 204.670-6(b)(1)(iii), to reflect the threshold of $2,500 for contract action reporting requirements.

PGI Subpart 211.1 is amended to update references to Office of Federal Procurement Policy memoranda regarding publication of the supporting justification when using brand name specifications in a solicitation.

Affected subparts/sections: PGI 204.6; PGI 211.1


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20060808
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

On August 8, 2006, DoD published the following changes to the DFARS and the DFARS companion resource, Procedures, Guidance, and Information (PGI):

Final Rules:

Threshold for Small Business Specialist Review (DFARS Case 2003-D060)
Removes requirements for DoD small business specialists to review proposed acquisitions that are under $100,000 and totally set aside for small business concerns, and adds guidance to PGI addressing such reviews; updates policy regarding Small Business Administration procurement center representatives; and relocates text addressing the functions of small business specialists to PGI.

Affected subparts/sections: 219.2; PGI 219.2

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the corresponding changes to PGI is here.

Contract Administration Functions (DFARS Case 2003-D051)
Updates the list of contract administration functions to clarify responsibilities for payment administration and for verification of contractor compliance with earned value management system requirements; deletes obsolete text on mobilization production planning surveys; and relocates procedures for designation of contract payment offices to PGI.

Affected subparts/sections: 242.3; PGI 242.3

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the corresponding changes to PGI is here.

Contract Reporting (DFARS Case 2005-D004)
Relocates internal DoD contract action reporting requirements to PGI.

Affected subparts/sections: Part 204 Table of Contents; 204.6; Part 253 Table of Contents; 253.204; PGI 204.6; PGI 253.204

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the corresponding changes to PGI is here.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20060711
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

On July 11, 2006, DoD published the following changes to the DFARS and the DFARS companion resource, Procedures, Guidance, and Information (PGI):

Final Rules:

Required Sources of Supply (DFARS Case 2003-D072)
Deletes unnecessary text on GSA Federal Supply Schedules, the Defense National Stockpile, and the acquisition of helium; deletes obsolete text on the DoD Industrial Preparedness Production Planning Program; and relocates to PGI, procedures for ordering from central nonprofit agencies, for acquisition of items under the DoD Coordinated Acquisition Program, for contracting or performing field service functions for NASA, for use of the DoD Precious Metals Recovery Program, and for use of enterprise software agreements for acquiring commercial software and related services.

Affected subparts/sections: DFARS Table of Contents; Part 208 Table of Contents; 208.0; 208.7; 208.70; 208.71; 208.72; 208.73; 208.74; 225.70; 252.225; 253.208; Appendix B; PGI 208.7; PGI 208.70; PGI 208.71; PGI 208.73; PGI 208.74; PGI 253.208

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the corresponding changes to PGI is here.

Relocation of Subpart 225.6 to 225.76 (DFARS Case 2006-D003)
Relocates text addressing trade sanctions, from DFARS Subpart 225.6 to DFARS Subpart 225.76, since FAR Subpart 25.6 was removed by Federal Acquisition Circular 2005-09 on April 19, 2006. Retention of the DFARS coverage is necessary to implement DoD-unique statutory prohibitions on the award of contracts to certain foreign entities.

Affected subparts/sections: DFARS Table of Contents; 212.3; Part 225 Table of Contents; 225.6; 225.11; 225.76; 252.225; PGI 225.0

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the corresponding changes to PGI is here.

Types of Contracts (DFARS Case 2003-D078)
Streamlines text on the use of economic price adjustment clauses; increases, from 3 to 5 years, the standard maximum ordering period for basic ordering agreements; deletes obsolete text on the use of cost-plus-fixed-fee contracts for environmental restoration; deletes unnecessary text on design stability and use of incentive provisions; and relocates to PGI, procedures for selecting contract type and for use of special economic price adjustment clauses, incentive contracts, and basic ordering agreements.

Affected subparts/sections: Part 216 Table of Contents; 216.1; 216.2; 216.3; 216.4; 216.7; PGI 216.1; PGI 216.2; PGI 216.4; PGI 216.7

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the corresponding changes to PGI is here.

Extension of Contract Goal for Small Disadvantaged Businesses and Certain Institutions of Higher Learning (DFARS Case 2006-D010)
Extends, through fiscal year 2009, DoD's goal to award 5 percent of contract and subcontract dollars to small disadvantaged businesses, historically black colleges and universities, and minority institutions. Implements Section 842 of the National Defense Authorization Act for Fiscal Year 2006.

Affected subparts/sections: 219.0

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

Exchange or Sale of Government-Owned Information Technology (DFARS Case 2003-D094)
Deletes obsolete procedures for exchange or sale of Government-owned information technology. DoD now handles the exchange or sale of information technology equipment in the same manner as other personal property, in accordance with DoD 4140.1-R, DoD Supply Chain Materiel Management Regulation.

Affected subparts/sections: DFARS Table of Contents; Part 239 Table of Contents; 239.70

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

Acquisition of Information Technology (DFARS Case 2003-D068)
Deletes obsolete or unnecessary text relating to the acquisition of information technology; clarifies text addressing charges for special construction or assembly related to the acquisition of telecommunications services; clarifies the text of clauses used in basic agreements for telecommunications services; and relocates to PGI, information on acquiring telecommunications services from foreign carriers and examples of instances where additional information may be necessary to determine price reasonableness.

Affected subparts/sections: DFARS Table of Contents; Part 239 Table of Contents; 239.72; 239.74; 239.75; 252.239; PGI 239.74

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS changes made by this rule is here.

A Microsoft Word format document showing the corresponding changes to PGI is here.

Technical Amendments
Adds a reference to PGI guidance on domestic source requirements for specialty metals; updates an Internet address; and adds paragraph designations to the clause at 252.212-7001, Contract Terms and Conditions Required to Implement Statutes or Executive Orders Applicable to Defense Acquisitions of Commercial Items.

Affected subparts/sections: 225.70; 225.74; 252.212

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the DFARS technical amendments is here.

Berry Amendment Compliance for Specialty Metals (PGI Case 0000-P062)
Adds a reference to guidance documents addressing domestic source requirements for specialty metals and procedures for dealing with noncompliance with those requirements.

Affected subparts/sections: PGI 225.70

A Microsoft Word format document showing the changes to PGI is here.

Contract Modifications (PGI Case 0000-P003)
Updates and clarifies PGI text addressing preparation of contract modifications.

Affected subparts/sections: PGI 243.1; PGI 243.2

A Microsoft Word format document showing the changes to PGI is here.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20060616
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

On June 16, 2006, DoD published the following changes and proposed changes to the DFARS and the DFARS companion resource, Procedures, Guidance, and Information (PGI):

Interim Rules:

Contractor Personnel Authorized to Accompany U.S. Armed Forces (DFARS Case 2005-D013)
Amends DFARS policy on contractor personnel that accompany U.S. Armed Forces outside the United States, for consistency with DoD Instruction 3020.41, Contractor Personnel Authorized to Accompany the U.S. Armed Forces, dated October 3, 2005. Clarifies that contractor personnel are not authorized to use deadly force against enemy armed forces other than in self-defense or in the performance of a contract for security services. Also clarifies the responsibilities of the combatant commander regarding the protection of contractor personnel, and makes other changes to conform to the requirements of the DoD instruction.

Affected subparts/sections: 212.3; Part 225 Table of Contents; 225.74; Part 252 Table of Contents; 252.225; PGI 225.74

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the changes to PGI is here.

Berry Amendment Exceptions - Acquisition of Perishable Food, and Fish, Shellfish, or Seafood (DFARS Case 2006-D005)
Expands the exception that permits the acquisition of non-domestic perishable foods by activities located outside the United States, to also permit acquisition of such foods by activities that are making purchases on behalf of activities located outside the United States. Also contains changes to reflect the permanent requirement for the acquisition of domestic fish, shellfish, and seafood, including fish, shellfish, and seafood contained in foods manufactured or processed in the United States. Implements Section 831 of the National Defense Authorization Act for Fiscal Year 2006 and Section 8118 of the DoD Appropriations Act for Fiscal Year 2005.

Affected subparts/sections: 225.70

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

Security-Guard Services Contracts (DFARS Case 2006-D011)
Extends, through September 30, 2007, the period during which contractor performance of security-guard functions at military installations or facilities is authorized to fulfill additional requirements resulting from the terrorist attacks on the United States on September 11, 2001. Implements Section 344 of the National Defense Authorization Act for Fiscal Year 2006.

Affected subparts/sections: 237.1; PGI 237.1

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the changes to PGI is here.

Free Trade Agreement - El Salvador, Honduras, and Nicaragua (DFARS Case 2006-D019)
Implements the Dominican Republic-Central America-United States Free Trade Agreement with respect to El Salvador, Honduras, and Nicaragua. The Free Trade Agreement waives the applicability of the Buy American Act for some foreign supplies and construction materials and specifies procurement procedures designed to ensure fairness.

Affected subparts/sections: 252.212; 252.225

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

Final Rule:

Sole Source 8(a) Awards to Small Business Concerns Owned by Native Hawaiian Organizations (DFARS Case 2004-D031)
Revises and finalizes the interim rule published in DFARS Change Notice 20050726 permitting sole source awards to small business concerns owned by Native Hawaiian Organizations. Applies to manufacturing contracts exceeding $5 million and non-manufacturing contracts exceeding $3 million under the Small Business Administration's 8(a) Program. The final rule contains an additional change to reflect the provisions of Section 8020 of the DoD Appropriations Act for Fiscal Year 2006, which made this policy permanent.

Affected subparts/sections: 219.8

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

Proposed Rules:

Aviation Into-plane Reimbursement (AIR) Card (DFARS Case 2006-D017)
Updates text pertaining to DoD fuel card programs. Addresses use of the AIR card as an alternative to Standard Form 44, Purchase Order-Invoice-Voucher, for purchases of aviation fuel and oil.

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the changes proposed by this rule is here.

Protests, Disputes, and Appeals (DFARS Case 2003-D010)
Deletes obsolete and unnecessary text regarding the processing of contractor claims submitted under DoD contracts.

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing the changes proposed by this rule is here.

PGI Changes:

United States Forces Japan (USFJ) - Status of Forces Agreement (PGI Case 0000-P060)
Adds a reference to the USFJ website as a source for guidance on the preparation of solicitations and contracts involving work performed in Japan.

Affected subparts/sections: PGI 225.74

A Microsoft Word format document showing the changes to PGI is here.

Use of Clause on Training for Contractor Personnel Interacting with Detainees (PGI Case 0000-P061)
Adds the clause at DFARS 252.237-7019, Training for Contractor Personnel Interacting with Detainees, to the list of clauses that should be considered when using the clause at DFARS 252.225-7040, Contractor Personnel Authorized to Accompany U.S. Armed Forces Deployed Outside the United States.

Affected subparts/sections: PGI 225.74

A Microsoft Word format document showing the changes to PGI is here.

Order Code Assignments
An update has been made to the list of Marine Corps order code assignments at http://www.acq.osd.mil/dpap/dars/ordercodes/index.htm.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20060519
(DFARS Replacement Subparts Document in PDF)

DoD published the following DFARS changes on May 19, 2006:

Interim Rule:

Radio Frequency Identification (DFARS Case 2006-D002)
Amends the clause at DFARS 252.211-7006, Radio Frequency Identification, to specify additional commodities and locations that require package marking with passive radio frequency identification (RFID) tags.

o The additional commodities are: Petroleum, lubricants, oils, preservatives, chemicals, additives, construction and barrier materials, and medical materials.

o The additional locations are: Defense Distribution Depots in Albany, GA; Anniston, AL; Barstow, CA; Cherry Point, NC; Columbus, OH; Corpus Christi, TX; Hill, UT; Jacksonville, FL; Oklahoma City, OK; Norfolk, VA; Puget Sound, WA; Red River, TX; Richmond, VA; San Diego, CA; Tobyhanna, PA; and Warner Robins, GA; and the Air Mobility Command Terminals at Charleston Air Force Base, Charleston, SC; Naval Air Station, Norfolk, VA; and Travis Air Force Base, Fairfield, CA.

DoD has developed a three-year roll-out plan for supplier implementation of RFID. This interim rule contains the second year requirements. Use of RFID technology improves the accuracy of shipment and receipt data, increases the visibility of assets throughout the DoD supply chain, and permits DoD to optimize the manner in which it moves and accounts for materiel .

Affected subparts/sections: 211.2; 252.211

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

References to FAR/DFARS Deviations :
The Director of Defense Procurement and Acquisition Policy issues class deviations when necessary to allow organizations to deviate from FAR and DFARS requirements. The on-line DFARS has been amended to include references and links to the existing deviations in the applicable DFARS sections. A complete listing of the deviations is available at http://www.acq.osd.mil/dpap/dars/classdev/index.htm.

Affected subparts/sections: DFARS Table of Contents; 202.1; Part 212 Table of Contents; 212.1; 212.3; Part 213 Table of Contents; 213.2; 215.3; 219.11; 225.11; Part 231 Table of Contents; 231.2; Part 242 Table of Contents; 242.15; Part 245 Table of Contents; 245.1; 245.3; 245.5; 253.204

A Microsoft Word format document showing the deviation references added is here.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20060512
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

DoD published the following final and proposed DFARS changes on May 12, 2006:

Final Rules:

Authorization for Continued Contracts (DFARS Case 2003-D052)
Permits assignment of an additional identification number to an existing contract, by issuing a separate “continued” contract, when continued performance under the existing contract number is not practical for administrative reasons. The continued contract will incorporate all prices, terms, and conditions of the predecessor contract. Use of this procedure is expected to be limited, but will help to simplify administration, payment, and closeout of lengthy, complex contracts; and will help in situations where a contracting activity has exhausted its assigned series of identification numbers for orders placed against another activity’s contract.

Affected subparts/sections: 204.70; PGI 204.70

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Describing Agency Needs (DFARS Case 2003-D073)
Updates references to the DoD 5000 series publications and the DoD database for specifications and standards; and relocates to PGI, procedures for use of specifications and standards and for encouraging use of Single Process Initiative processes instead of military or Federal specifications and standards.

Affected subparts/sections: 211.0; 211.2; Part 252 Table of Contents; 252.211; PGI 211.2

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Special Contracting Methods (DFARS Case 2003-D079)
Clarifies text on the use of option clauses for industrial capability production planning; deletes unnecessary text on determinations for interagency acquisitions under the Economy Act; deletes restrictive requirements relating to use of master agreements for vessel repair; deletes obsolete procedures for acquisition of bakery and dairy products; lowers the level for approval of profit on undefinitized contract actions for which substantial performance has been completed; and relocates to PGI, guidance on the use of options, and procedures for preparation of master agreements and job orders, for breakout and acquisition of spare parts, and for acquisition of work over and above contract requirements.

Affected subparts/sections: DFARS Table of Contents; Part 217 Table of Contents; 217.2; 217.5; 217.71; 217.72; 217.74; 217.75; 217.76; 217.77; Part 252 Table of Contents; 252.217; Appendix E; PGI 217.2; PGI 217.71; PGI 217.75; PGI 217.76; PGI 217.77

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Contract Termination (DFARS Case 2003-D046)
Relocates text on termination of Canadian Commercial Corporation contracts, from Part 225, Foreign Acquisition, to a more appropriate location in Part 249, Termination of Contracts; and relocates to PGI, procedures for documentation of termination settlement actions and for congressional notification of significant contract terminations.

Affected subparts/sections: 225.8; Part 249 Table of Contents; 249.1; 249.70; PGI 249.1; PGI 249.70

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Basic Agreements for Telecommunications Services (DFARS Case 2003-D056)
Relocates to PGI, procedures for use of basic agreements and communication service authorizations in the acquisition of telecommunications services.

Affected subparts/sections: Part 239 Table of Contents; 239.74; PGI 239.74

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Quality Assurance (DFARS Case 2003-D027)
Updates and clarifies requirements for Government contract quality assurance and use of warranties; deletes unnecessary text on technical requirements matters, responsibilities of contract administration offices, and material inspection and receiving reports; and relocates to PGI, procedures for preparing quality assurance instructions and for use of quality inspection approval stamps, and information on types of quality evaluation data.

Affected subparts/sections: Part 246 Table of Contents; 246.1; 246.2; 246.4; 246.6; 246.7; PGI 246.1; PGI 246.4

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Technical Amendment
Updates the Internet address for locating guides for the submission of electronic payment requests; and updates cross-references in the clause at 252.232-7007, Limitation of Government’s Obligation.

Affected subparts/sections: 232.70; 252.212; 252.232

The Federal Register notice for this technical amendment is available here.

A Microsoft Word format document showing all additions and deletions made by this technical amendment is here.

Proposed Rule:

Contracting Officers’ Representatives (DFARS Case 2005-D022)
Clarifies the authority of personnel designated as contracting officers’ representatives; and relocates to PGI, procedures relating to the designation of a contracting officer’s representative.

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions proposed by this rule is here.

A Microsoft Word format document showing the text proposed for addition to PGI is here.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20060412
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

On April 12, 2006, DoD published the following final and proposed changes to the DFARS and its companion resource, Procedures, Guidance, and Information (PGI):

Final Rules:

Transition of Weapons-Related Prototype Projects to Follow-On Contracts (DFARS Case 2003-D106)
Revises and finalizes the interim rule published in DFARS Change Notice 20041101 to implement Section 847 of the National Defense Authorization Act for Fiscal Year 2004. The interim rule established a pilot program that permits the use of FAR Part 12 (Acquisition of Commercial Items) procedures to award follow-on contracts for the production of items begun as prototype projects under other transaction agreements. The changes in the final rule clarify the applicability of the program to subcontracts, and clarify delivery requirements and license rights for technical data and computer software under the program.

Affected subparts/sections: Part 212 Table of Contents; 212.70

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

Labor Laws (DFARS Case 2003-D019)
Updates requirements for dealing with labor relations matters that affect DoD contracts; deletes obsolete text; and relocates to PGI, procedures for referral of labor relations matters to the appropriate authorities, for reporting labor disputes and the impact of those disputes on DoD requirements, for conducting investigations of suspected violations of labor standards, and for preparation of notices and waiver requests relating to certain labor requirements.

Affected subparts/sections: DFARS Table of Contents; Part 222 Table of Contents; 222.1; 222.4; 222.8; 222.10; 222.13; 222.14; 222.71; 222.72; PGI 222.1; PGI 222.4; PGI 222.8; PGI 222.10; PGI 222.13

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Incremental Funding of Fixed-Price Contracts (DFARS Case 1990-D037)
Amends DFARS text addressing incremental funding of fixed-price contracts. The DFARS establishes a preference for full funding of fixed-price contracts, but permits the use of incremental funding under certain circumstances. The DFARS changes clarify the circumstances under which incremental funding may be used, and clarify that the contractor is not authorized to continue work beyond the funded amount.

Affected subparts/sections: Part 232 Table of Contents; 232.0; 232.7; 252.232

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

Prohibition of Foreign Taxation on U.S. Assistance Programs (DFARS Case 2004-D012)
Finalizes, without change, the interim rule published in DFARS Change Notice 20050930 to implement a statutory prohibition on foreign taxation under contracts funded by U.S. assistance programs. Foreign governments receiving U.S. assistance are prohibited from imposing taxes on commodities acquired under contracts funded by such U.S. assistance. The DFARS rule addresses the responsibilities of the contractor and the contracting officer regarding this prohibition.

Affected subparts/sections: None.

The Federal Register notice for this rule is available here.

Proposed Rules:

Buy American Act Exemption for Commercial Information Technology (DFARS Case 2005-D011)
Provides an exemption from the Buy American Act and the Balance of Payments Program for the acquisition of commercial information technology. The exemption implements provisions of annual appropriations acts. The proposed DFARS change would eliminate the need for issuance of an annual DoD-wide deviation to address the exemption.

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions proposed by this rule is here.

Definitions of Component and Domestic Manufacture (DFARS Case 2005-D010)
Clarifies use of the term "component", to make a distinction between foreign acquisition policies that apply to top-level components only and those that also apply to lower-tier components. Revises the definition of "domestic manufacture" to remove obsolete references to the DoD Industrial Preparedness Production Planning Program.

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions proposed by this rule is here.

PGI Changes:

Environment, Energy, and Water Efficiency, Occupational Safety, and Drug-Free Workplace (PGI Case 0000-P011)
Updates information regarding reporting of contractor information received under the clause at FAR 52.223-9, Estimate of Percentage of Recovered Material Content for EPA-Designated Products.

Affected subparts/sections: PGI 223.4

A Microsoft Word format document showing the changes to PGI text is here.

Contract Performance Outside the United States (PGI Case 0000-P049)
Expands guidance regarding the additional requirements that apply to contracts involving performance outside the United States.

Affected subparts/sections: PGI 225.74

A Microsoft Word format document showing the changes to PGI text is here.

PGI Technical Amendments
Updates text addressing the agency-designated legal counsel for tax matters; and updates the Army address for submission of notices regarding novation and change-of-name agreements.

Affected subparts/sections: PGI 229.1; PGI 242.12

A Microsoft Word format document showing the changes to PGI text is here.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20060321
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

DoD published the following final and proposed DFARS changes on March 21, 2006:

Final Rules :  

Consolidation of Contract Requirements (DFARS Case 2003-D109)  
Finalizes the interim rule published on September 17, 2004 (DFARS Change Notice 20040917), placing restrictions on consolidating two or more separate requirements into a single solicitation and contract with a total value exceeding $5 million. Implements Section 801 of the National Defense Authorization Act for Fiscal Year 2004.

The final rule contains additional changes to clarify the applicability of the rule and the requirements for market research before soliciting offers for acquisitions that could lead to a consolidation of contract requirements.

Affected subparts/sections: 207.1; Part 210 Table of Contents; 210.0

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

Component Breakout (DFARS Case 2003-D071)
Relocates policy on component breakout from DFARS Appendix D to DFARS Part 207; and relocates procedures for component breakout from DFARS Appendix D to PGI. Breakout of components of end items permits the Government to purchase the components directly from the manufacturer or supplier and furnish them to the end item manufacturer as Government-furnished material for future acquisitions.  

Affected subparts/sections: Part 207 Table of Contents; 207.1; Appendix D; PGI 207.1

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Contractor Performance of Acquisition Functions Closely Associated with Inherently Governmental Functions (DFARS Case 2004-D021)
Finalizes the interim rule published on March 23, 2005 (DFARS Change Notice 20050323), that permits contracting for acquisition functions closely associated with inherently governmental functions only if: appropriate DoD personnel are not available to perform the functions; appropriate DoD personnel will oversee contractor performance and will perform all associated inherently governmental functions; and the agency addresses any potential contractor organizational conflict of interest. Implements Section 804 of the National Defense Authorization Act for Fiscal Year 2005. The final rule contains an additional change to clarify the requirement for Government oversight of contractor personnel.

Affected subparts/sections: 207.5

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

Competition Requirements for Federal Supply Schedules and Multiple Award Contracts (DFARS Case 2004-D009)
Updates and clarifies requirements for competition in the placement of orders for supplies or services under Federal Supply Schedules and multiple award contracts. The rule establishes approval requirements for noncompetitive orders that are consistent with the approval requirements found in the FAR and makes additional changes for consistency with current FAR requirements for use of Federal Supply Schedules; relocates procedural information on the use of Federal Supply Schedules to PGI; and adds PGI guidance on the appropriate use of exceptions to competition requirements.  

Affected subparts/sections: Part 208 Table of Contents; 208.4; Part 216 Table of Contents; 216.5; PGI 208.4; PGI 216.5

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Approval of Service Contracts and Task and Delivery Orders (DFARS Case 2002-D024)  
Finalizes the interim rule published on May 24, 2005 (DFARS Change Notice 20050524), requiring DoD activities to comply with review and approval requirements when acquiring supplies or services through the use of non-DoD contracts in amounts exceeding the simplified acquisition threshold. Implements Section 801 of the National Defense Authorization Act for Fiscal Year 2002 and Section 854 of the National Defense Authorization Act for Fiscal Year 2005. The final rule contains additional changes to address requirements for departments and agencies to submit an annual report on the use of non-DoD contracts.

Affected subparts/sections: Part 208 Table of Contents; 208.4; 216.5; 217.78; 237.1; PGI 217.78

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Incentive Program for Purchase of Capital Assets Manufactured in the United States (DFARS Case 2005-D003)  
Finalizes the interim rule published on May 24, 2005 (DFARS Change Notice 20050524), requiring consideration of the purchase of capital assets (including machine tools) manufactured in the United States, when conducting source selections and making award fee determinations for major defense acquisition programs. Implements Section 822 of the National Defense Authorization Act for Fiscal Year 2004. The final rule contains additional changes to clarify the statutory requirements.  

Affected subparts/sections: 215.3; 216.4

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

Acquisition of Ball and Roller Bearings (DFARS Case 2003-D021)
Updates requirements for the acquisition of ball and roller bearings from domestic sources, and clarifies the applicability of these requirements to components of commercial items. Addresses the provisions of annual DoD appropriations acts and eliminates text addressing obsolete statutory provisions.

Affected subparts/sections: Part 225 Table of Contents; 225.70; 252.212; 252.225

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

Technical Amendment
Adds references to text contained in the DFARS companion resource, Procedures, Guidance, and Information (PGI).

Affected subparts/sections: 203.5; 207.1; Part 209 Table of Contents; 209.1; 229.1; 252.225

The Federal Register notice for this technical amendment is available here.

A Microsoft Word format document showing all additions and deletions made by this technical amendment is here.

Proposed Rules :

Electronic Submission and Processing of Payment Requests (DFARS Case 2005-D009)
Proposes amendments to the exceptions to the general requirement for contractors to submit payment requests in electronic form. The DFARS presently provides an exception for contractors that are unable to submit electronic payment requests. This exception has been subject to differing interpretations as to what constitutes a contractor’s inability to submit an electronic payment request. The proposed rule replaces this exception with one that applies when the administrative contracting officer determines that electronic submission would be unduly burdensome to the contractor.  

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions proposed by this rule is here.

Reports of Government Property (DFARS Case 2005-D015) 
Proposes revisions to requirements for reporting of Government property in the possession of DoD contractors. The proposed rule replaces existing DD Form 1662 reporting requirements with requirements for DoD contractors to electronically submit, to the Item Unique Identification (IUID) Registry, the IUID data applicable to the Government property in the contractor’s possession. This will result in more accurate and efficient reporting and record keeping.

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions proposed by this rule is here.

PGI Changes :  

Debarment, Suspension, and Business Ethics (PGI Case 0000-P010)
Adds information on contractor responsibility matters and use of GSA’s Excluded Parties List System. 

Affected subparts/sections: PGI 203.5; PGI 209.1; PGI 209.4

A Microsoft Word format document showing the changes to PGI text is here.

CONUS Antiterrorism Requirements (PGI Case 0000-P046)
Adds requirements for consideration of antiterrorism measures in acquisition planning.

Affected subparts/sections: PGI 207.1

A Microsoft Word format document showing the changes to PGI text is here.

Taxes (PGI Case 0000-P024)
Contains information for use in addressing tax issues under DoD contracts.

Affected subparts/sections: PGI 229.1

A Microsoft Word format document showing the changes to PGI text is here.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20060223
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

DoD published the following interim, final, and proposed DFARS rules on February 23, 2006:

Interim Rule:

Trade Agreements Thresholds and Morocco Free Trade Agreement (DFARS Case 2005-D017)
Incorporates increased thresholds for application of the World Trade Organization Government Procurement Agreement and the Free Trade Agreements, as determined by the United States Trade Representative; implements a new Free Trade Agreement with Morocco; and amends the list of end products that are subject to trade agreements.

Affected subparts/sections: 225.4; 225.11; 225.75; 252.212; 252.225

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

Final Rules:

Administrative Matters (DFARS Case 2003-D084)
Relocates administrative procedures for signature of contract documents to PGI; and deletes text on security requirements and IRS reporting requirements that are adequately addressed in the FAR.

Affected subparts/sections: Part 204 Table of Contents; 204.1; 204.4; 204.9; PGI 204.1

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Uniform Contract Line Item Numbering (DFARS Case 2003-D082)
Eliminates certain exceptions to requirements for uniform contract line item numbering, to promote standardization in contract writing; and relocates to PGI, procedures for use and numbering of contract exhibits and attachments.

Affected subparts/sections: 204.71; PGI 204.71

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Construction Contracting (DFARS Case 2003-D034)
Updates requirements for contracting for construction; and relocates to PGI, procedures for distribution and use of contractor performance reports, handling of Government estimates of construction costs, use of bid schedules with additive or deductive items, and establishment of technical working agreements with foreign governments.

Affected subparts/sections: Part 236 Table of Contents; 236.1; 236.2; PGI 236.2

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Contractor Insurance/Pension Reviews (DFARS Case 2003-D050)
Clarifies responsibilities of administrative contracting officers and auditors in conducting reviews of a contractor's insurance programs, pension plans, and other deferred compensation plans; and updates and relocates to PGI, the procedures for those reviews.

Affected subparts/sections: Part 242 Table of Contents; 242.73; PGI 242.73

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Business Restructuring Costs (DFARS Case 2004-D026)
Finalizes, without change, the interim rule published on July 26, 2005 (DFARS Change Notice 20050726) addressing procedures for allowing contractor external restructuring costs when savings will result for DoD. The rule authorizes the Director of the Defense Contract Management Agency to make determinations of savings related to contractor restructuring costs that are expected to be less than $25 million over a 5-year period; and clarifies requirements for projected restructuring costs and savings to be computed on a present value basis.

Affected subparts/sections: None.

The Federal Register notice for this rule is available here.

Technical Amendment
Updates a cross-reference at DFARS 212.301(f)(ii).

Affected subparts/sections: 212.3

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

Proposed Rule:

Small Business Programs (DFARS Case 2003-D047)
Updates requirements for contracting with small business and small disadvantaged business concerns; and relocates to PGI, procedures for referring matters to the Small Business Administration, information on the DoD test program for negotiation of comprehensive small business subcontracting plans, and procedures for processing contract awards under the 8(a) Program.

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions proposed by this rule is here.

A Microsoft Word format document showing the text proposed for addition to PGI is here.


DEFENSE FAR SUPPLEMENT (DFARS) Change Notice 20060123
(DFARS Replacement Subparts Document in PDF)
(PGI Replacement Subparts Document in PDF)

DoD published the following final and proposed DFARS rules on January 23, 2006:

Final Rules:  

Simplified Acquisition Procedures (DFARS Case 2003-D075)
Updates and consolidates text on the use of imprest funds and third-party drafts; deletes unnecessary cross-references; and relocates to PGI, guidance on the use of unilateral contract modifications and procedures for use of forms for purchases made using simplified acquisition procedures.

Affected subparts/sections: Part 213 Table of Contents; 213.3; 213.70; Part 253 Table of Contents; 253.213; PGI 213.3; PGI 253.213

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Contracting by Negotiation (DFARS Case 2003-D077)
Deletes unnecessary text on structuring of contracts and unnecessary cross-references; updates policy on source selection evaluation factors; and relocates to PGI, procedures for preparation of source selection plans and examples of source selection evaluation factors.

Affected subparts/sections: DFARS Table of Contents; Part 215 Table of Contents; 215.0; 215.2; 215.3; PGI 215.3

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Specialized Service Contracting (DFARS Case 2003-D041)
Relocates to PGI, procedures for defining the geographical area to be covered by mortuary services contracts, and procedures for distribution of those contracts; deletes a contract clause containing facility requirements for mortuary services, as these requirements are adequately addressed in State law; and deletes unnecessary requirements relating to contracting for laundry and dry cleaning services.

Affected subparts/sections: Part 237 Table of Contents; 237.70; 237.71; Part 252 Table of Contents; 252.237; PGI 237.70

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Acquisition of Utility Services (DFARS Case 2003-D069)
Deletes text on the use of competitive procedures and delegated authority to acquire utility services, as these issues are adequately addressed in the FAR; deletes obsolete text on preaward contract reviews; and relocates to PGI, procedures and corresponding definitions related to connection charges and award of separate contracts for utility services.

Affected subparts/sections: Part 241 Table of Contents; 241.1; 241.2; PGI 241.1; PGI 241.2

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

A Microsoft Word format document showing the text added to PGI is here.

Utility Rates Established by Regulatory Bodies (DFARS Case 2003-D096)
Clarifies that utility rates established by independent regulatory bodies may be relied upon as fair and reasonable; and clarifies requirements for use of contract clauses addressing changes in rates for regulated and unregulated utility services.

Affected subparts/sections: Part 241 Table of Contents; 241.2; 241.5

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions made by this rule is here.

DoD Pilot Mentor-Protégé Program (DFARS Case 2004-D028)
Finalizes, without change, the interim rule published in DFARS Change Notice 20050524 regarding the DoD Pilot Mentor-Protégé Program. The rule extends, through September 30, 2010, the period during which companies may enter into agreements under the Program. In addition, the rule expands the Program to permit service-disabled veteran-owned small business concerns and HUBZone small business concerns to participate in the Program as protégé firms. The rule implements Sections 841 and 842 of the National Defense Authorization Act for Fiscal Year 2005.

Affected subparts/sections: None.

The Federal Register notice for this rule is available here.

Technical Amendment:
Corrects typographical errors in the tables shown in the clauses at 252.227-7017 and 252.227-7018, in paragraphs (d) and (e)(3) respectively.

Affected subparts/sections: 252.227 (pages 1, 32, and 40)

(There is no Federal Register notice for this technical amendment. The errors were in the on-line DFARS only.)

Proposed Rules:

Earned Value Management Systems (DFARS Case 2005-D006)
Updates policy on contractor earned value management systems (EVMS) to revise the contract dollar thresholds at which EVMS requirements are applied and to eliminate requirements for contractors to submit cost/schedule status reports. Requires compliance with American National Standards Institute/Electronic Industries Alliance Standard 748, Earned Value Management Systems, for cost or incentive contracts and subcontracts valued at $20,000,000 or more; and requires a formally validated and accepted EVMS for cost or incentive contracts and subcontracts valued at $50,000,000 or more. The objective is to streamline, improve, and increase consistency in earned value management requirements.

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions proposed by this rule is here.

A Microsoft Word format document showing the text proposed for addition to PGI is here.

Inflation Adjustment of Acquisition-Related Thresholds (DFARS Case 2004-D022)
Adjusts acquisition-related dollar thresholds for inflation. Section 807 of the National Defense Authorization Act for Fiscal Year 2005 requires periodic adjustment of the statutory acquisition-related dollar thresholds in the Federal Acquisition Regulation (FAR) for inflation, except for those established by the Davis-Bacon Act, the Service Contract Act, or trade agreements. The proposed FAR changes were published in the Federal Register on December 12, 2005. This proposed DFARS rule makes comparable changes to acquisition-related thresholds in the DFARS.

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions proposed by this rule is here.

A Microsoft Word format document showing the text proposed for addition to PGI is here.
Download Section 807 of the National Defense Authorization Act.
Download the matrix of escalation, DFARS acquisition-related statutory thresholds.

Foreign Acquisition Procedures (DFARS Case 2005-D012)
Relocates to PGI, procedures for requesting waivers of foreign source restrictions; for requesting waivers under North Atlantic Treaty Organization cooperative projects; for determining that it is necessary to award a contract for ballistic missile defense research, development, test, and evaluation to a foreign source; and for applying the Balance of Payments Program to an acquisition.

The Federal Register notice for this rule is available here.

A Microsoft Word format document showing all additions and deletions proposed by this rule is here.

A Microsoft Word format document showing the text proposed for addition to PGI is here.