[Federal Register Volume 77, Number 99 (Tuesday, May 22, 2012)]
[Rules and Regulations]
[Pages 30359-30361]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-11559]
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DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System
48 CFR Part 252
RIN 0750-AH72
Defense Federal Acquisition Regulation Supplement: New Free Trade
Agreement With Colombia (DFARS Case 2012-D032)
AGENCY: Defense Acquisition Regulations System, Department of Defense
(DoD).
ACTION: Interim rule.
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SUMMARY: DoD is issuing an interim rule amending the Defense Federal
Acquisition Regulation Supplement (DFARS) to implement the United
States--Colombia Trade Promotion
[[Page 30360]]
Agreement. This Trade Promotion Agreement is a free trade agreement
that provides for mutually non-discriminatory treatment of eligible
products and services from Columbia.
DATES: Effective date: May 22, 2012.
Comment Date: Comments on the interim rule should be submitted in
writing to the address shown below on or before July 23, 2012, to be
considered in the formation of a final rule.
ADDRESSES: Submit comments identified by DFARS Case 2012-D032, using
any of the following methods:
[cir] Regulations.gov: http://www.regulations.gov. Submit comments
via the Federal eRulemaking portal by entering ``DFARS Case 2012-D032''
under the heading ``Enter keyword or ID'' and selecting ``Search.''
Select the link ``Submit a Comment'' that corresponds with ``DFARS Case
2012-D032.'' Follow the instructions provided at the ``Submit a
Comment'' screen. Please include your name, company name (if any), and
``DFARS Case 2012-D032'' on your attached document.
[cir] Email: [email protected]. Include DFARS Case 2012-D032 in the
subject line of the message.
[cir] Fax: 571-372-6094.
[cir] Mail: Defense Acquisition Regulations System, Attn: Ms. Amy
Williams, OUSD (AT&L) DPAP/DARS, Room 3B855, 3060 Defense Pentagon,
Washington, DC 20301-3060.
Comments received generally will be posted without change to http://www.regulations.gov, including any personal information provided. To
confirm receipt of your comment(s), please check www.regulations.gov
approximately two to three days after submission to verify posting
(except allow 30 days for posting of comments submitted by mail).
FOR FURTHER INFORMATION CONTACT: Ms. Amy Williams, Defense Acquisition
Regulations System, OUSD(AT&L)DPAP/DARS, Room 3B855, 3060 Defense
Pentagon, Washington, DC 20301-3060. Telephone 571-372-6106.
SUPPLEMENTARY INFORMATION:
I. Background
This interim rule amends DFARS part 252 to implement the United
States--Colombia Trade Promotion Agreement Implementation Act (Pub. L.
112-42) (19 U.S.C. 3805 note).
This Trade Promotion Agreement is designated in the Federal
Acquisition Regulation (FAR) as the Colombia Free Trade Agreement
(FTA). The FTA provides for--
Waiver of the applicability of the Buy American statute
(41 U.S.C. chapter 83) for some foreign supplies and construction
materials from Colombia; and
Applicability of specified procurement procedures designed
to ensure fairness in the acquisition of supplies and services (see FAR
25.408).
II. Discussion and Analysis
This interim rule adds Colombia to the definition of ``Free Trade
Agreement country'' in multiple locations in the DFARS. The Colombia
FTA covers acquisition of supplies and services equal to or exceeding
$77,494. The threshold for the Columbia FTA is $7,777,000 for
construction.
Because the Colombia FTA construction threshold of $7,777,000 is
the same as the World Trade Organization Government Procurement
Agreement threshold, no new clause alternates are required for the
Balance of Payments Program--Construction Material under the Trade
Agreements clause (DFARS 252.225-7045).
There are also conforming changes to the clause at DFARS 252.212-
7001, Contract Terms and Conditions Required to Implement Statutes or
Executive Orders Applicable to Defense Acquisitions of Commercial
Items.
III. Executive Orders 12866 and 13563
Executive Orders (E.O.s) 12866 and 13563 direct agencies to assess
all costs and benefits of available regulatory alternatives and, if
regulation is necessary, to select regulatory approaches that maximize
net benefits (including potential economic, environmental, public
health and safety effects, distributive impacts, and equity). E.O.
13563 emphasizes the importance of quantifying both costs and benefits,
of reducing costs, of harmonizing rules, and of promoting flexibility.
This is not a significant regulatory action and, therefore, was not
subject to review under section 6(b) of E.O. 12866, Regulatory Planning
and Review, dated September 30, 1993. This rule is not a major rule
under 5 U.S.C. 804.
IV. Regulatory Flexibility Act
DoD does not expect this rule to 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. Although the rule now
opens up Government procurement to the goods and services of Colombia
at or above the threshold of $77,494, DoD does not anticipate any
significant economic impact on U.S. small businesses. The Department of
Defense only applies the trade agreements to the non-defense items
listed at DFARS 225.401-70, and acquisitions that are set aside or
provide other forms of preference for small businesses are exempt. FAR
19.502-2 states that acquisitions that do not exceed $150,000 (with
some exceptions) are automatically reserved exclusively for small
business concerns. Therefore, DoD has not performed an Initial
Regulatory Flexibility Analysis. DoD invites comments from small
business concerns and other interested parties on the expected impact
of this rule on small entities.
DoD will also consider comments from small entities concerning the
existing regulations in subparts affected by the rule in accordance
with 5 U.S.C. 610. Interested parties must submit such comments
separately and should cite 5 U.S.C. 610 (DFARS Case 2012-D032), in
correspondence.
V. Paperwork Reduction Act
This rule affects the certification and information collection
requirements in the provisions at DFARS 252.225-7020 and 252.225-7035,
currently approved under OMB Control Number 0704-0229, titled Defense
Federal Acquisition Regulation Supplement part 225, Foreign
Acquisition, and related clauses, in accordance with the Paperwork
Reduction Act (44 U.S.C. chapter 35). The impact, however, is
negligible, because it is just a question of under which category
offered goods from Colombia would be listed.
VI. Determination To Issue an Interim Rule
A determination has been made under the authority of the Secretary
of Defense that urgent and compelling reasons exist to promulgate this
interim rule without prior opportunity for public comment. This action
is necessary because the Free Trade Agreement with Colombia entered
into force on May 15, 2012. This Trade Promotion Agreement is a
reciprocal agreement approved by Congress and the President of the
United States. It is important for the United States Government to
honor its new trade obligations to Colombia, as Colombia in turn honors
its new trade obligations to the United States. However, pursuant to 41
U.S.C. 1707 and FAR 1.501-3(b), DoD will consider public comments
received in response to this interim rule in the formation of the final
rule.
[[Page 30361]]
List of Subjects in 48 CFR Part 252
Government procurement.
Ynette R. Shelkin,
Editor, Defense Acquisition Regulations System.
Therefore, 48 CFR part 252 is amended as follows:
PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
0
1. The authority citation for 48 CFR part 252 continues to read as
follows:
Authority: 41 U.S.C. 1303 and 48 CFR chapter 1.
252.225-7017 [Amended]
0
2. Section 252.225-7017 is amended by--
0
a. In paragraph (a), in the definition of ``Designated country,''
paragraph (ii), by removing ``Australia, Bahrain, Canada, Chile, Costa
Rica'' and adding ``Australia, Bahrain, Canada, Chile, Columbia, Costa
Rica'' in its place; and
0
b. In paragraph (a) in the definition of ``Free Trade Agreement
country'' removing ``Australia, Bahrain, Canada, Chile, Costa Rica''
and adding ``Australia, Bahrain, Canada, Chile, Columbia, Costa Rica''
in its place.
252.225-7021 [Amended]
0
3. Section 252.225-7021 is amended in paragraph (a), in the definition
of ``Designated country,'' paragraph (ii), by removing ``Australia,
Bahrain, Canada, Chile, Costa Rica'' and adding ``Australia, Bahrain,
Canada, Chile, Columbia, Costa Rica'' in its place.
252.225-7045 [Amended]
0
4. Section 252.225-7045 is amended in paragraph (a), in the definition
of ``Designated country,'' paragraph (2), by removing ``Australia,
Bahrain, Canada, Chile, Costa Rica'' and adding ``Australia, Bahrain,
Canada, Chile, Columbia, Costa Rica'' in its place.
[FR Doc. 2012-11559 Filed 5-21-12; 8:45 am]
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