[Federal Register: February 23, 2006 (Volume 71, Number 36)]
[Rules and Regulations]               
[Page 9271-9272]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]



Defense Acquisition Regulations System

48 CFR Part 231

[DFARS Case 2004-D026]

Defense Federal Acquisition Regulation Supplement; Business 
Restructuring Costs--Delegation of Authority To Make Determinations 
Relating to Payment

AGENCY: Defense Acquisition Regulations System, Department of Defense 

ACTION: Final rule.


SUMMARY: DoD has adopted as final, without change, an interim rule 
amending the Defense Federal Acquisition Regulation Supplement (DFARS) 
to implement section 819 of the National Defense Authorization Act for 
Fiscal Year 2005. Section 819 contains changes concerning delegation of 
authority to make determinations relating to payment of defense 
contractors for business restructuring costs.

DATES: Effective Date: February 23, 2006.

FOR FURTHER INFORMATION CONTACT: Mr. Bill Sain, Defense Acquisition 
Regulations System, OUSD (AT&L) DPAP (DARS), IMD 3C132, 3062 Defense 
Pentagon, Washington, DC 20301-3062. Telephone (703) 602-0293; 
facsimile (703) 602-0350. Please cite DFARS Case 2004-D026.


[[Page 9272]]

A. Background

    DoD published an interim rule at 70 FR 43074 on July 26, 2005, to 
implement section 819 of the National Defense Authorization Act for 
Fiscal Year 2005 (Pub. L. 108-375). Section 819 amended 10 U.S.C. 
2325(a)(2) to permit 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. In addition, the DFARS rule removed unnecessary 
references to requirements for certifications for business combinations 
that occurred before November 1997; and clarified requirements for 
projected restructuring costs and savings to be computed on a present 
value basis.
    DoD received no comments on the interim rule. Therefore, DoD has 
adopted the interim 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 cost principle addressed in this rule applies only to DoD 
contractors that incur restructuring costs for external restructuring 

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 231

    Government procurement.

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

Interim Rule Adopted as Final Without Change

Accordingly, the interim rule amending 48 CFR part 231, which was 
published at 70 FR 43074 on July 26, 2005, is adopted as a final rule 
without change.

[FR Doc. 06-1633 Filed 2-22-06; 8:45 am]