[Federal Register Volume 61, Number 30 (Tuesday, February 13, 1996)]
[Rules and Regulations]
[Pages 5518-5520]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-3205]



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DEPARTMENT OF THE INTERIOR

Office of the Secretary

48 CFR Parts 1403, 1425, and 1452

RIN 1090-AA54


Department of the Interior Acquisition Regulation; Internal 
Procedures

AGENCY: Office of the Secretary, Interior.

ACTION: Final rule.

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SUMMARY: In the interests of streamlining processes and improving 
relationships with contractors, this final rule amends the Department 
of the Interior Acquisition Regulation (DIAR) by removing nonessential 
portions of those regulations. The material being removed deals with 
exclusively internal procedures. Other regulations that are not 
obsolete and not currently part of 48 CFR are being added.

EFFECTIVE DATE: March 14, 1996.

FOR FURTHER INFORMATION CONTACT:
Mary L. McGarvey, Office of Acquisition and Property Management, (202) 
208-3158.

SUPPLEMENTARY INFORMATION: Under the auspices of the National 
Performance Review, a thorough review of the DIAR was conducted. The 
review revealed unnecessary and outdated regulations, and some 
excessively burdensome procedures.
    In the interests of streamlining processes and improving 
relationships with contractors, nonessential portions of the DIAR are 
being removed from the CFR. The two subparts and two sections being 
removed from Parts 1403 and 1425 deal with exclusively internal 
procedures so codification is not necessary. Sections 1403.570 and 
1452.203-70 concerning Restrictions on Endorsements are being added to 
the CFR.
    When the DIAR was issued in 1984 as a supplement to the Federal 
Acquisition Regulation (FAR), FAR Part 3 required Agency regulations 
prescribing ``Standards of Conduct''. The Department of the Interior 
(DOI) regulations governing the conduct and responsibilities of regular 
and special employees are contained in 43 CFR Part 20. Additional 
guidance is contained in the DOI publication of ``Ethics, An Employee 
Guide''. This information is strictly limited to internal agency 
procedures and information and is issued as a supplement to the FAR 
Section 3.101-3.
    FAR 3.203 specifically requires agency personnel to report 
suspected violations of the Gratuities clause to the contracting 
officer or other designated official in accordance with agency 
procedures. DIAR 1403.2 provides the implementation of FAR 3.203 as 
required by the FAR. These are strictly limited to agency procedures in 
implementation of FAR 3.203. These agency procedures do not have a 
significant effect beyond the internal operating procedures of the 
agency nor do they have a significant cost or administrative impact on 
contractors or offerors. This language merely implements a higher level 
issuance (FAR) that has previously undergone the public comment 
process, and does not pose additional significant cost or 
administrative impact on contractors or offerors or effect beyond the 
internal operating procedures of DOI.
    DIAR 1425--Foreign Acquisition implements FAR 25.202, 25.203, 
25.204, and 25.205. This action will effect the removal of DIAR 
1425.202 and 1425.204 from 48 CFR. These are strictly limited to 
internal agency procedures in implementation of FAR. These agency 
procedures do not have a significant effect beyond the internal 
operating procedures of the agency or have a significant cost or 
administrative impact on contractors or offerors. This language merely 
implements a higher level issuance (FAR) that has previously undergone 
the public comment process, and does not pose additional significant 
cost or administrative impact on contractors or offerors or effect 
beyond the internal operating procedures of DOI. DIAR 1425.203 and 
1425.205 are revised and will be retained in 48 CFR. The revision and 
retained language will be submitted and published under another interim 
final action.
    DIAR Section 1403.570 Restrictions on Contractor Advertising and 
Section 1452.203-70 Restrictions on Endorsements are being added to 48 
CFR. This section and related clause inform contractors of DOI's 
position on endorsements and may have a minimal administrative impact 
on contractors.

Required Determinations

    The Department believes that public comment is unnecessary because 
the material being removed is outdated or deals exclusively with 
internal procedures. The added material is primarily normal Government 
operating procedures. Therefore, in accordance with 5 U.S.C. 553(b)(B), 
the Department finds good cause to publish this document as a final 
rule. This rule was not subject of Office of Management and Budget 
review under Executive Order 12866. This rule does not contain a 
collection of information subject to the Paperwork Reduction Act of 
1995 as amended (P.L. 104-13). In accordance with the Regulatory 
Flexibility Act (5 U.S.C. 601 et seq), the Department has determined 
that this rule will not have a significant economic impact on a 
substantial number of small entities because no requirements are being 
added for small businesses and no protections are being withdrawn. The 
Department has determined that this rule does not constitute a major 
Federal action having a significant impact on the human environment 
under the National Environmental Policy Act of 1969. The Department has 
certified that this rule meets the applicable standards provided in 
Sections 2(a) and 2(b)(2) of Executive Order 12778.

List of Subjects in 48 CFR Parts 1403, 1425, and 1452

    Government procurement, Reporting and recordkeeping requirements.

    Dated: January 26, 1996.
Bonnie Cohen,
Assistant Secretary--Policy, Management and Budget.

    Chapter 14 of Title 48 of the Code of Federal Regulations is 
amended as follows:
    1. The authority citation for 48 CFR parts 1403, 1425 and 1452 
continues to read as follows:

    Authority: Sec. 205(c), 63 Stat. 390; 40 U.S.C. 486(c), and 5 
U.S.C. 301.

    2. Part 1403 is amended by removing Subpart 1403.1 and 1403.2 and 
by adding new Subpart 1403.5 to read as follows:

PART 1403--IMPROPER BUSINESS PRACTICES AND PERSONAL CONFLICTS OF 
INTEREST

Subpart 1403.5--Other Improper Business Practices

Sec.
1403.570  Restrictions on contractor advertising.
1403.570-1  Policy.
1403.570-3  Contract clause.

Subpart 1403.5--Other Improper Business Practices


1403.570  Restrictions on contractor advertising.


1403.570-1  Policy.

    Award of a contract does not signify endorsement of the supplies or 
services purchased, nor does it signify agreement with any views 
espoused by officials of the awards. It is vital to the integrity of 
the procurement system to avoid even the appearance of an improper 
preference toward a particular vendor. Therefore, contractors shall not 
be permitted to publicize, or otherwise circulate, promotional 
materials which 

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state or imply Governmental endorsement of a product, service or 
position which the contractor represents.


1403.570-3  Contract clause.

    CO's shall include the clause at 48 CFR 1452.203-70, Restriction on 
Endorsements, in all solicitations, contracts and agreements which are 
not executed in accordance with SAT procedures.
    3. Part 1425 is amended by removing Sections 1425.202 and 1425.204.
    4. Part 1452 is amended by adding new Section 1452.203-70 to read 
as follows:

PART 1452--SOLICITATION PROVISIONS AND CONTRACT CLAUSES


1452.203-70  Restriction on endorsements.

    As prescribed in 48 CFR 1403.570-3, insert the following clause in 
all solicitations, contracts and agreements which are expected to 
exceed the simplified acquisition threshold.

Restriction on Endorsements--Department of the Interior (Nov 1995)

    The contractor shall not refer to contracts awarded by the 
Department of the Interior in commercial advertising, as defined in 
FAR 31.205-1, in a manner which states or implies that the product 
or service provided is approved or endorsed by the Government, or is 
considered by the Government to be superior to other products or 
services. This restriction is intended to avoid the appearance of 
preference by the Government toward any product or service. The 
contractor may request a determination as to the propriety of 
promotional material from the CO.

(End of Clause)

[FR Doc. 96-3205 Filed 2-12-96; 8:45 am]
BILLING CODE 4310-RF-M