[Federal Register: November 9, 2005 (Volume 70, Number 216)]
[Rules and Regulations]               
[Page 67923-67924]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]



48 CFR Part 250

[DFARS Case 2003-D048]

Defense Federal Acquisition Regulation Supplement; Extraordinary 
Contractual Actions

AGENCY: Department of Defense (DoD).

ACTION: Final rule.


SUMMARY: DoD has issued a final rule amending the Defense Federal 
Acquisition Regulation Supplement (DFARS) to update text pertaining to 
the processing of requests for extraordinary contract adjustments. This 
rule is a result of a transformation initiative undertaken by DoD to 
dramatically change the purpose and content of the DFARS.

EFFECTIVE DATE: November 9, 2005.

Acquisition Regulations System, OUSD(AT&L)DPAP(DAR), IMD 3C132, 3062 
Defense Pentagon, Washington, DC 20301-3062. Telephone (703) 602-0296; 
facsimile (703) 602-0350. Please cite DFARS Case 2003-D048.


A. Background

    DFARS Transformation is a major DoD initiative to dramatically 
change the purpose and content of the DFARS. The objective is to 
improve the efficiency and effectiveness of the acquisition process, 
while allowing the acquisition workforce the flexibility to innovate. 
The transformed DFARS will contain only requirements of law, DoD-wide 
policies, delegations of FAR authorities, deviations from FAR 
requirements, and policies/procedures that have a significant effect 
beyond the internal operating procedures of DoD or a significant cost 
or administrative impact on contractors or offerors. Additional 
information on the DFARS Transformation initiative is available at 

    This final rule is a result of the DFARS Transformation initiative. 
The rule--
     Updates requirements for DoD processing of requests for 
extraordinary contract adjustments; and
     Deletes procedures for preparation of records and 
submittal of requests to a contract adjustment board. This text has 
been relocated to the new DFARS companion resource, Procedures, 
Guidance, and Information (PGI), available at http://www.acq.osd.mil/dpap/dars/pgi

    DoD published a proposed rule at 70 FR 6393 on February 7, 2005. 
DoD received no comments on the proposed rule. Therefore, DoD has 
adopted the proposed rule as a final rule without change.
    This rule was not subject to Office of Management and Budget review 
under Executive Order 12866, dated September 30, 1993.

B. Regulatory Flexibility Act

    DoD certifies that this final rule will not have a significant 
economic impact on a substantial number of small entities within the 
meaning of the Regulatory Flexibility Act, 5 U.S.C. 601, et seq., 
because the rule relates primarily to DoD internal administrative 
procedures for the processing of requests for extraordinary contract 

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 Part 250

    Government procurement.

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

Therefore, 48 CFR Part 250 is amended as follows:


1. The authority citation for 48 CFR Part 250 continues to read as 

    Authority: 41 U.S.C. 421 and 48 CFR Chapter 1.
2. Section 250.105 is revised to read as follows:

250.105  Records.

    Follow the procedures at PGI 250.105 for preparation of records.
3. Section 250.201-70 is amended by revising paragraph (a) and the last 
sentence of paragraph (b) introductory text to read as follows:

250.201-70  Delegations.

    (a) Military Departments. The Departments of the Army, Navy, and 
Air Force will specify delegations and levels of authority for actions 
under the Act and the Executive Order in departmental supplements or 
agency acquisition guidance.
    (b) * * * The agency supplements or agency acquisition guidance 
shall specify the delegations and levels of authority.
* * * * *
4. Subpart 250.3 is revised to read as follows:

Subpart 250.3--Contract Adjustments

250.303-1 Contractor requests.
250.305 Processing cases.
250.306 Disposition.

250.303-1  Contractor requests.

    Requests should be filed with the procuring contracting officer 
(PCO). However, if filing with the PCO is impractical, requests may be 
filed with an authorized representative, an administrative contracting 
officer, or the Office of General Counsel of the applicable department 
or agency, for forwarding to the cognizant PCO.

250.305  Processing cases.

    (1) At the time the request is filed, the activity shall prepare 
the record described at PGI 250.105(1)(i) and forward it to the 
appropriate official within 30 days after the close of the month in 
which the record is prepared.
    (2) The officer or official responsible for the case shall forward 
to the contract adjustment board, through departmental channels, the 
documentation described at PGI 250.305.
    (3) Contract adjustment boards will render decisions as 
expeditiously as practicable. The Chair shall sign a memorandum of 
decision disposing of the case. The decision shall be dated and shall 
contain the information required by FAR 50.306. The memorandum of 
decision shall not contain any information classified ``Confidential'' 
or higher. The board's decision will be sent to the appropriate 
official for implementation.

[[Page 67924]]

250.306  Disposition.

    For requests denied or approved below the Secretarial level, follow 
the disposition procedures at PGI 250.306.

[FR Doc. 05-22106 Filed 11-8-05; 8:45 am]