[Federal Register: February 23, 2006 (Volume 71, Number 36)]
[Rules and Regulations]               
[Page 9267-9268]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]



Defense Acquisition Regulations System

48 CFR Part 204

[DFARS Case 2003-D084]

Defense Federal Acquisition Regulation Supplement; Administrative 

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 update text addressing 
administrative matters related to contract placement. This rule is a 
result of a transformation initiative undertaken by DoD to dramatically 
change the purpose and content of the DFARS.

DATES: Effective Date: February 23, 2006.

FOR FURTHER INFORMATION CONTACT: Ms. Robin Schulze, Defense Acquisition 
Regulations System, OUSD (AT&L) DPAP (DARS), IMD 3C132, 3062 Defense 
Pentagon, Washington, DC 20301-3062. Telephone (703) 602-0326; 
facsimile (703) 602-0350. Please cite DFARS Case 2003-D084.


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:
     Deletes administrative procedures for DoD signature of 
contract documents at DFARS 204.101. 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.

[[Page 9268]]

     Deletes unnecessary cross-references at DFARS 204.402(1) 
and 204.902(b).
     Deletes text on security requirements and IRS reporting 
requirements at DFARS 204.402(2) and 204.904, respectively, as these 
requirements are adequately addressed in the FAR or elsewhere in the 
    DoD published a proposed rule at 70 FR 19037 on April 12, 2005. DoD 
received comments from one respondent. The respondent agreed with the 
proposed change to DFARS 204.101, Contracting officer's signature, and 
the deletion of DFARS 204.904, Reporting payment information to the 
IRS. However, the respondent disagreed with deletion of the text at 
DFARS 204.402 addressing the contractor's obligations regarding the 
protection of a DoD employee's work product. The respondent stated that 
deletion of this text could lead contractor personnel to believe that a 
contractor's procedures trump the security requirements of a DoD 
employee. DoD does not believe that deletion of the text at DFARS 
204.402 will present such a problem, because the clause at DFARS 
252.204-7003, Control of Government Personnel Work Product, contains 
similar text, and that clause is included in all solicitations and 
contracts in accordance with DFARS 204.404-70(b). 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 updates and streamlines DFARS text, but makes no 
significant change to DoD contracting policy.

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 204

    Government procurement.

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

Therefore, 48 CFR part 204 is amended as follows:

1. The authority citation for 48 CFR part 204 continues to read as 

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


2. Section 204.101 is revised to read as follows:

204.101  Contracting officer's signature.

    Follow the procedures at PGI 204.101 for signature of contract 

3. Section 204.402 is revised to read as follows:

204.402  General.

    DoD employees or members of the Armed Forces who are assigned to or 
visiting a contractor facility and are engaged in oversight of an 
acquisition program will retain control of their work products, both 
classified and unclassified.

204.902  [Amended]

4. Section 204.902 is amended in paragraph (b) by removing the 
parenthetical ``(see 204.670)''.

204.904  [Removed]

5. Section 204.904 is removed.

[FR Doc. 06-1634 Filed 2-22-06; 8:45 am]