[Federal Register: January 24, 2008 (Volume 73, Number 16)]
[Rules and Regulations]               
[Page 4116-4117]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]



Defense Acquisition Regulations System

48 CFR Parts 232 and 252

RIN 0750-AF76

Defense Federal Acquisition Regulation Supplement; Payment 
Withholding--Deletion of Duplicative Text (DFARS Case 2007-D010)

AGENCY: Defense Acquisition Regulations System, Department of Defense 

ACTION: Final rule.


SUMMARY: DoD has issued a final rule amending the Defense Federal 
Acquisition Regulation Supplement (DFARS) to remove text addressing 
withholding of payments under time-and-materials and labor-hour 
contracts. The DFARS text is no longer necessary, since similar policy 
has been added to the Federal Acquisition Regulation (FAR).

[[Page 4117]]

DATES: Effective Date: January 24, 2008.

FOR FURTHER INFORMATION CONTACT: Ms. Robin Schulze, Defense Acquisition 
Regulations System, OUSD(AT&L)DPAP(DARS), IMD 3D139, 3062 Defense 
Pentagon, Washington, DC 20301-3062. Telephone 703-602-0326; facsimile 
703-602-7887. Please cite DFARS Case 2007-D010.


A. Background

    DFARS 232.111 and 252.232-7006 provide that, under time-and-
materials and labor-contracts, there normally should be no need to 
withhold payment for a contractor with a record of timely submittal of 
a release discharging the Government from all liabilities, obligations, 
and claims under the contract. Similar policy was added to FAR 32.111 
and 52.232-7 in the final rule published at 70 FR 43580 on July 27, 
2005. Therefore, the DFARS text is no longer necessary, and sections 
232.111 and 252.232-7006 are removed.
    This rule was not subject to Office of Management and Budget review 
under Executive Order 12866, dated September 30, 1993.

B. Regulatory Flexibility Act

    This rule will not have a significant cost or administrative impact 
on contractors or offerors, or a significant effect beyond the internal 
operating procedures of DoD. Therefore, publication for public comment 
under 41 U.S.C. 418b is not required. However, DoD will consider 
comments from small entities concerning the affected DFARS subparts in 
accordance with 5 U.S.C. 610. Such comments should cite DFARS Case 

C. Paperwork Reduction Act

    The Paperwork Reduction Act does not apply, because the rule does 
not impose any information collection requirements that require the 
approval of the Office of Management and Budget under 44 U.S.C. 3501, 
et seq.

List of Subjects in 48 CFR Parts 232 and 252

    Government procurement.

Michele P. Peterson,
Editor, Defense Acquisition Regulations System.

Therefore, 48 CFR parts 232 and 252 are amended as follows:

1. The authority citation for 48 CFR parts 232 and 252 continues to 
read as follows:

    Authority: 41 U.S.C. 421 and 48 CFR Chapter 1.


232.111  [Removed]

2. Section 232.111 is removed.


252.232-7006  [Removed and Reserved]

3. Section 252.232-7006 is removed and reserved.

[FR Doc. E8-1091 Filed 1-23-08; 8:45 am]