[Federal Register Volume 77, Number 167 (Tuesday, August 28, 2012)]
[Proposed Rules]
[Pages 51957-51958]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-21052]



Defense Acquisition Regulations System

48 CFR Part 204

RIN 0750-AH80

Defense Federal Acquisition Regulation Supplement: Clarification 
of ``F'' Orders in the Procurement Instrument Identification Number 
Structure (DFARS Case 2012-D040)

AGENCY: Defense Acquisition Regulations System, Department of Defense 

ACTION: Proposed rule.


SUMMARY: DoD is proposing to amend the Defense Federal Acquisition 
Regulation Supplement (DFARS) to update instructions for assigning 
basic and supplementary procurement instrument identification numbers.

DATES: Comments on the proposed rule should be submitted in writing to 
the address shown below on or before October 29, 2012, to be considered 
in the formation of a final rule.

ADDRESSES: Submit comments identified by DFARS Case 2012-D040, 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-D040'' 
under the heading ``Enter keyword or ID'' and selecting ``Search.'' 
Select the link ``Submit a Comment'' that corresponds with ``DFARS Case 
2012-D040.'' Follow the instructions provided at the ``Submit a 
Comment'' screen. Please include your name, company name (if any), and 
``DFARS Case 2012-D040'' on your attached document.
    [cir] Email: dfars@osd.mil. Include DFARS Case 2012-D040 in the 
subject line of the message.
    [cir] Fax: 571-372-6094.
    [cir] Mail: Defense Acquisition Regulations System, Attn: Veronica 
Fallon, 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: Veronica Fallon, telephone 571-372-


I. Background

    DoD is proposing to revise the DFARS to eliminate the requirement 
to utilize an ``F'' in the 9th position of the procurement instrument 
identification number (PIIN) to identify awards to certain vendors, 
including AbilityOne and Federal Prison Industries (UNICOR), and to 
other Government organizations. These vendors are uniquely identified 
today by their DUNS number and/or CAGE code and, therefore, associated 
contract actions are easily tracked. There is no longer any need for 
DoD to uniquely identify contract actions with these vendors. Under the 
proposed rule, contract actions with these vendors will be treated and 
identified in the same manner as those with any other vendor. This 
change proposes to limit the use of ``F'' in the 9th position of the 
PIIN to those task and delivery orders issued under a non-DoD issued 
contract or agreement. It is anticipated that this proposed change, 
which further standardizes DoD procedures, will also reduce data errors 
and interoperability problems throughout the Department's business 

II. Discussion and Analysis

    DoD is proposing the following changes to the DFARS:
     Revise 204.7003, Basic PII number, paragraph (a)(3), 
Position 9, by--

--Deleting from subparagraph (iii) instrument type C, the exception for 
contracts placed with or through other Government departments or 
--Deleting from subparagraph (vi) instrument type F, contracting 
actions placed with or through other Government departments or agencies 
or against contracts placed by such departments or agencies outside the 
DoD (including actions from nonprofit agencies employing people who are 
blind or severely disabled (AbilityOne), and the Federal Prison 
Industries (UNICOR));
--Providing at subparagraph (vi) instrument type F direction for its 
use with blanket purchase agreement calls, orders under contracts, 
including Federal Supply Schedules, Governmentwide acquisition 
contracts, and multi-agency contracts, basic ordering agreements issued 
by departments or agencies outside of DoD; and
 Revising 204.7004, Supplementary PII numbers, paragraph 
(d)(2)(ii) by providing direction to use ``F'' in position 9 for calls 
against blanket purchase agreements and orders placed under non-DoD 
issued contracts including Federal Supply Schedules, Governmentwide 
acquisition contracts, and multi-agency contracts, or basic ordering 
agreements. The proposed text also directs that a supplementary PII 
number with an ``F'' in the 9th position is to be used only once, and 
not for more than one order.

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 

[[Page 51958]]

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 proposed 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., 
because it applies to a narrowly limited population of contract 
actions. However, an initial regulatory flexibility analysis has been 
performed and is summarized as follows:
    This proposed rule would affect how DoD contracting officers assign 
Procurement Instrument Identification Numbers (PIINs) to procurement 
actions. The proposed rule does not impact small entities as it only 
impacts the internal operating procedures of the Government by 
specifying how the assigned PIIN is constructed for certain procurement 
actions. This change would limit the use of ``F'' in the 9th position 
to those calls or orders issued under non-DoD issued contracts, basic 
ordering agreements, or blanket purchase agreements. As a result of the 
proposed rule, new awards under the AbilityOne program and the Federal 
Prison Industries program would no longer reflect an ``F'' in the PIIN.
    The rule does not duplicate, overlap, or conflict with any other 
Federal rules. There are no significant alternatives to accomplish the 
stated objectives of this rule. 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 this 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-D040) in the 

IV. Paperwork Reduction Act

    The rule does not contain any information collection requirements 
that require the approval of the Office of Management and Budget under 
the Paperwork Reduction Act (44 U.S.C. chapter 35).

List of Subjects in 48 CFR Part 204

    Government procurement.

Manuel Quinones,
Editor, Defense Acquisition Regulations System.

    Therefore, 48 CFR part 204 is proposed to be amended as follows:

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

    Authority:  41 U.S.C. 1303 and 48 CFR chapter 1.


    2. Section 204.7003(a)(3) is amended by revising paragraphs (iii) 
and (vi) to read as follows:

204.7003  Basic PII number.

    (a) * * *
    (3) * * *
    (iii) Contracts of all types except indefinite-delivery contracts, 
sales contracts, and short form research contracts. Do not use this 
code for contracts or agreements with provisions for orders or calls--C
* * * * *
    (vi) Calls against blanket purchase agreements and orders under 
contracts (including Federal Supply Schedules, Governmentwide 
acquisition contracts, and multi-agency contracts) and basic ordering 
agreements issued by departments or agencies outside DoD. Do not use 
the F designation on DoD-issued purchase orders, contracts, agreements, 
or orders placed under DoD-issued contracts or agreements--F
* * * * *
    3. Section 204.7004(d)(2) is amended by revising paragraph (ii) to 
read as follows:

204.7004  Supplementary PII numbers.

* * * * *
    (d) * * *
    (2) * * *
    (ii) If an office is placing calls against blanket purchase 
agreements or orders under non-DoD issued contracts (including Federal 
Supply Schedules, Governmentwide acquisition contracts, and multi-
agency contracts), or basic ordering agreements, the office shall 
identify the instrument with a 13 position supplementary PII number 
using an F in the 9th position. Do not use the same supplementary PII 
number with an F in the 9th position on more than one order. 
Modifications to these calls or orders shall be numbered in accordance 
with paragraph (c) of this section.
* * * * *
[FR Doc. 2012-21052 Filed 8-27-12; 8:45 am]