[Federal Register Volume 59, Number 92 (Friday, May 13, 1994)] [Unknown Section] [Page 0] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 94-11421] [[Page Unknown]] [Federal Register: May 13, 1994] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF DEFENSE 48 CFR Parts 219 and 252 Defense Federal Acquisition Regulation Supplement; Indian Tribal or Alaska Native Corporation AGENCY: Department of Defense (DoD). ACTION: Interim rule with request for public comments. ----------------------------------------------------------------------- SUMMARY: The Department of Defense has amended the Defense Federal Acquisition Regulation Supplement so that a qualified Indian Tribal Corporation, including an Alaska Native Corporation, furnishing the product of a responsible small business concern is not denied the opportunity to compete for and be awarded a contract under small disadvantaged business preference programs. DATES: Effective Date: May 3, 1994. Comment Date: Comments on the interim DFARS rule should be submitted in writing to the address shown below on or before July 12, 1994, to be considered in the formulation of a final rule. ADDRESSES: Interested parties should submit written comments to The Defense Acquisition Regulations Council, ATTN: Mrs. Alyce Sullivan, PDUSD (A&T)DP(DAR), IMD 3D139, 3062 Defense Pentagon, Washington, DC 20301-3062. Telefax number (703) 604-5971. Please cite DFARS Case 93- D309 in all correspondence related to this issue. FOR FURTHER INFORMATION CONTACT: Mrs. Alyce Sullivan, (703) 604-5929. SUPPLEMENTARY INFORMATION: A. Background Section 8051 of the Fiscal Year 1994 Defense Appropriations Act, Public Law 103-139, provides that notwithstanding any other provision of law, a qualified Indian Tribal Corporation or Alaska Native Corporation furnishing the product of a responsible small business concern shall not be denied the opportunity to compete for and be awarded a contract under the Small Disadvantaged Business (SDB) preference programs. The Director, Defense Procurement, issued Departmental Letter 94- 009, May 3, 1994, to implement Section 8051 in the Defense Federal Acquisition Regulation Supplement. B. Regulatory Flexibility Act The interim rule may have 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 makes small disadvantaged businesses owned by Indian tribes, including Alaska Native Corporations, eligible for small disadvantaged business preferences when they furnish the product of a small business concern. An Initial Regulatory Flexibility Analysis (IRFA) has been prepared and will be provided to the Chief Counsel for Advocacy for the Small Business Administration. Comments from small entities concerning the affected DFARS subparts will be considered in accordance with 5 U.S.C. 610. Such comments must be submitted separately and cite DFARS Case 94- 610 in correspondence. C. Paperwork Reduction Act The Paperwork Reduction Act does not apply because the revisions in this rulemaking notice do not contain and/or affect information collection requirements which require the approval of OMB under 44 U.S.C. 3501 et seq. D. Determination To Issue an Interim Rule A determination has been made under the authority of the Secretary of Defense to issue this rule as an interim rule. Urgent and compelling reasons exist to promulgate this rule before affording the public an opportunity to comment. This action is necessary because Section 8051 became effective upon enactment of the Fiscal Year 1994 Defense Appropriations Act (Pub. L. 103-139), on November 11, 1993. However, pursuant to Public Law 98-577 and Federal Acquisition Regulation 1.501, public comments received in response to this interim rule will be considered in formulating the final rule. List of Subjects in 48 CFR Parts 219 and 252 Government procurement. Claudia L. Naugle, Deputy Director, Defense Acquisition Regulations Council. Therefore, 48 CFR Parts 219 and 252 are amended as follows: 1. The authority for 48 CFR parts 219 and 252 continues to read as follows: Authority: 41 U.S.C. 421 and 48 CFR Part 1. PART 219--SMALL BUSINESS AND SMALL DISADVANTAGED BUSINESS CONCERNS 2. Section 219.502-2-70 is amended by revising paragraph (a)(1)(ii) and adding (a)(1)(iii) to read as follows: 219.502-2-70 Total set-asides for small disadvantaged business concerns. (a) * * * (1) * * * (i) * * * (ii) In the case of an SDB regular dealer owned by an Indian tribe, including an Alaska Native Corporation, will provide the supplies of a small business for contracts awarded during fiscal year 1994, as provided in Section 8051 of Pub. L. 103-139; or, (iii) In the case of other SDB regular dealers, will provide the supplies of SDBs (except as provided in Alternate I of the clause at 252.219-7002, Notice of Small Disadvantaged Business Set-Aside). * * * * * PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES 3. Section 252.219-7001 is amended by revising the clause date to read ``(May 1994)'' in lieu of ``(Dec 1991)'', by adding a definition for United States to paragraph (a), and by revising paragraph (f)(2) and Alternate I to read as follows: 252.219-7001 Notice of Partial Small business Set-Aside with Preferential consideration for Small Disadvantaged Business Concerns. * * * * * (a) Definitions. * * * * * United States, as used in this clause, means the United States, its territories and possessions, the Commonwealth of Puerto Rico, the U.S. Trust Territory of the Pacific Islands, or the District of Columbia. * * * * * (f) Agreements. * * * * * (2) A manufacturer or regular dealer, which claims preference as a small disadvantaged business and submits an offer in its own name, agrees to furnish in performing this contract only end items manufactured or produced by small disadvantaged business concerns in the United States, except, as provided in Section 8051 of Pub. L. 103-139, for contracts awarded during fiscal year 1994, a small disadvantaged business manufacturer or regular dealer owned by an Indian tribe, including an Alaska Native Corporation, agrees to furnish only end items manufactured or produced by small business concerns in the United States. (End of clause) Alternate I (May 1994) As prescribed in 219.508(d), substitute the following paragraph (f)(2) for paragraph (f)(2) of the basic clause: (f)(2) A regular dealer, which claims preference as a small disadvantaged business and submits an offer in its own name, agrees to furnish in performing this contract only end items manufactured or produced by small business concerns in the United States. 4. Section 252.219-7002 is amended by revising the clause date to read ``(May 1994)'' in lieu of ``(Dec 1991)'', by revising the heading of paragraph (a), and adding a definition for United States to paragraph (a), and by revising paragraph (c) and Alternate I to read as follows: 252.219-7002 Notice of small disadvantaged business set-aside. * * * * * (a) Definitions. * * * * * United States, as used in this clause, means the United States, its territories and possessions, the Commonwealth of Puerto Rico, the U.S. Trust Territory of the Pacific Islands, or the District of Columbia. * * * * (c) Agreement. A small disadvantaged business manufacturer or regular dealer, submitting an offer in its own name, agrees to furnish in performing this contract only end items manufactured or produced by small disadvantaged business concerns in the United States, except, as provided in Section 8051 of Pub. L. 103-139, for contracts awarded during fiscal year 1994, a small disadvantaged business manufacturer or regular dealer owned by an Indian tribe, including an Alaska Native Corporation, agrees to furnish only end items manufactured or produced by small business concerns in the United States. (End of clause) Alternate I (May 1994) As prescribed in 219.508-70, substitute the following paragraph (c) for paragraph (c) of the basic clause: (c) Agreement. A small disadvantaged business regular dealer submitting an offer in its own name agrees to furnish in performing this contract only end items manufactured or produced by small business concerns in the United States. 5. Section 252.219-7006 is amended by revising the clause date to read ``(May 1994)'' in lieu of ``(Apr 1994)'', and by adding a definition of United States to paragraph (a) and by revising paragraph (d)(2) and Alternate I to read as follows: 252.219-7006 Notice of Evaluation Preference for Small Disadvantaged Business Concerns * * * * * (a) Definitions. * * * * * United States, as used in this clause, means the United States, its territories and possessions, the Commonwealth of Puerto Rico, the U.S. Trust Territory of the Pacific Islands, or the District of Columbia. * * * * * (d) Agreements. * * * * * (2) A small disadvantaged business, historically black college or university, or minority institution regular dealer submitting an offer in its own name agrees to furnish in performing this contract only end items manufactured or produced by small disadvantaged business concerns, historically black colleges or universities, or minority institutions in the United States, except, as provided in Section 8051 of Pub. L. 103-139, for contracts awarded during fiscal year 1994, a small disadvantaged business manufacturer or regular dealer owned by an Indian tribe, including an Alaska Native Corporation, agrees to furnish only end items manufactured or produced by small business concerns in the United States. * * * * * Alternate I (May 1994) As prescribed in 219.7003, substitute the following paragraph (d)(2) for paragraph (d)(2) of the basic clause: (d)(2) A small disadvantaged business, historically black college or university, or minority institution regular dealer submitting an offer in its own name agrees to furnish in performing this contract only end items manufactured or produced by small business concerns, historically black colleges or universities, or minority institutions in the United States. [FR Doc. 94-11421 Filed 5-12-94; 8:45 am] BILLING CODE 3810-01-M