[Federal Register: September 8, 2006 (Volume 71, Number 174)]
[Rules and Regulations]               
[Page 53044-53045]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]



Defense Acquisition Regulations System

48 CFR Part 207

[DFARS Case 2003-D044]

Defense Federal Acquisition Regulation Supplement; Acquisition 

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 on acquisition 
planning. This rule is a result of a transformation initiative 
undertaken by DoD to dramatically change the purpose and content of the 

DATES: Effective Date: September 8, 2006.

Acquisition Regulations System, OUSD(AT&L)DPAP(DARS), IMD 3C132, 3062 
Defense Pentagon, Washington, DC 20301-3062. Telephone (703) 602-0302; 
facsimile (703) 602-0350. Please cite DFARS Case 2003-D044.


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.
    This final rule is a result of the DFARS Transformation initiative. 
The DFARS changes--
     Increase the dollar thresholds for preparation of written 
acquisition plans;
     Update acquisition planning requirements for consistency 
with changes to the DoD 5000 series publications;
     Delete unnecessary text relating to contract 
administration and class justifications for other than full and open 
     Clarify requirements for funding of leases; and
     Delete text addressing the contents of written acquisition 
plans. Text on this subject has been relocated to the DFARS companion 
resource, Procedures, Guidance, and Information (PGI), available at 

    DoD published a proposed rule at 70 FR 54693 on September 16, 2005. 
DoD received no comments on the proposed rule and has adopted the 
proposed rule as a final rule, with minor editorial changes at 
207.103(h) and 207.471(c).
    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 addresses internal DoD requirements for acquisition 

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 207

    Government procurement.

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

Therefore, 48 CFR part 207 is amended as follows:

[[Page 53045]]


1. The authority citation for 48 CFR part 207 continues to read as 

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

207.102  [Removed]

2. Section 207.102 is removed.

3. Section 207.103 is revised to read as follows:

207.103  Agency-head responsibilities.

    (d)(i) Prepare written acquisition plans for--
    (A) Acquisitions for development, as defined in FAR 35.001, when 
the total cost of all contracts for the acquisition program is 
estimated at $10 million or more;
    (B) Acquisitions for production or services when the total cost of 
all contracts for the acquisition program is estimated at $50 million 
or more for all years or $25 million or more for any fiscal year; and
    (C) Any other acquisition considered appropriate by the department 
or agency.
    (ii) Written plans are not required in acquisitions for a final buy 
out or one-time buy. The terms ``final buy out'' and ``one-time buy'' 
refer to a single contract that covers all known present and future 
requirements. This exception does not apply to a multiyear contract or 
a contract with options or phases.
    (e) Prepare written acquisition plans for acquisition programs 
meeting the thresholds of paragraphs (d)(i)(A) and (B) of this section 
on a program basis. Other acquisition plans may be written on either a 
program or an individual contract basis.
    (g) The program manager, or other official responsible for the 
program, has overall responsibility for acquisition planning.
    (h) For procurement of conventional ammunition, as defined in DoDD 
5160.65, Single Manager for Conventional Ammunition (SMCA), the SCMA 
will review the acquisition plan to determine if it is consistent with 
retaining national technology and industrial base capabilities in 
accordance with 10 U.S.C. 2304(c)(3) and Section 806 of Public Law 105-
261. The department or agency--
    (i) Shall submit the acquisition plan to the address in PGI 
207.103(h); and
    (ii) Shall not proceed with the procurement until the SMCA provides 
written concurrence with the acquisition plan. In the case of a non-
concurrence, the SCMA will resolve issues with the Army Office of the 
Executive Director for Conventional Ammunition.

207.104  [Removed]

4. Section 207.104 is removed.

5. Section 207.105 is revised to read as follows:

207.105  Contents of written acquisition plans.

    In addition to the requirements of FAR 7.105, planners shall follow 
the procedures at PGI 207.105.

6. Section 207.471 is amended by revising paragraphs (b) and (c) to 
read as follows:

207.471  Funding requirements.

* * * * *
    (b) DoD leases are either capital leases or operating leases. See 
FMR 7000.14-R, Volume 4, Chapter 7, Section 070207.
    (c) Use procurement funds for capital leases, as these are 
essentially installment purchases of property.

[FR Doc. E6-14907 Filed 9-7-06; 8:45 am]