The Department of Defense (DoD) issued four final rules, three proposed rules, and one interim rule for the Defense Federal Acquisition Regulation Supplement (DFARS) in the April 30, 2019, edition of the Federal Register. These changes do not affect the FedBizAssist Flowdown Matrices Subscriptions currently.
A proposed rule (DFARS Case No. 2019-D002) implementing §831 of the National Defense Authorization Act (NDAA) for Fiscal Year 2017. §831 amends 10 U.S.C. 2307(b)(1), by requiring, whenever practicable, payments made under the authority of 10 U.S.C. 2307(a) shall be made using performance-payments. Comments on the proposed rule are due on or before July 1, 2019. The proposed rule is shown at 84 FR 18221.
A proposed rule (DFARS Case No. 2018-D045) will modify the text of DFARS clause 252.239-7004, Orders for Facilities and Services, to incorporate the information currently included in DFARS clause 252.239-7005, Rates, Charges, and Services, and make minor changes to simplify the clause text. Combining these clauses will result in 252.239-7005 being removed from the DFARS. The proposed change is the result of action taken by the DoD Regulatory Reform Task Force. Public comments are due on or before July 1, 2019. The proposed rule is shown at 84 FR 18228.
A proposed rule (DFARS Case No. 2018-D035) will modify the text of DFARS Clause 252.239-7007, Cancellation or Termination of Orders, to (1) Clarify limitations on the Government’s obligation to reimburse a Contractor for nonrecoverable costs when the Government cancels an order for telecommunications services; and (2) incorporate the information currently included in DFARS clause 252.239-7008, Reuse Arrangements. Combining these clauses will result in 252.239-7008 being removed from the DFARS. Public comments are due on or before July 1, 2019. The proposed rule is shown at 84 FR 18225.
An interim rule, effective April 30, 2019 (DFARS Case No. 2018-D054) was issued amending the DFARS, implementing §871 of the John S. McCain NDAA for Fiscal Year 2019. §871 amends 10 U.S.C. 2533c, which prohibits acquisition of samarium-cobalt magnets, neodymium-iron-boron magnets, tungsten metal powder, and tungsten heavy alloy or any finished or semi-finished component containing tungsten heavy alloy melted or produced in North Korea, China, Russia, and Iran, because these materials play an essential role in national defense. Comments on the interim rule are due on or before July 1, 2019. The interim rule is shown at 84 FR 18156.
A final rule, effective April 30, 2019 (DFARS Case No. 2018-D057), implementing §2804 of the John S. McCain NDAA for Fiscal Year 2019. §2804 increases to $1 million the threshold at 10 U.S.C. 2855 for small business set-asides of acquisitions for architect-engineer services, including construction design, in connection with military construction projects or military family housing projects. In addition, section 2804 removes the prohibition on setting aside these acquisitions valued above the threshold. As a result of these statutory changes, these acquisitions must be set aside for small business, if valued below $1 million, and may be set aside for small business, if valued at $1 million or more. The final rule is shown at 84 FR 18160.
A final rule, effective April 30, 2019 (DFARS Case No. 2015-D035), amends the DFARS to expand the prescription for using Federal Acquisition Regulation (FAR) Clause 52.245-1, Government Property. Specifically, the final rule amends DFARS 245.107(1)(i) to require the use of FAR clause 52.245-1, Government Property, in all purchase orders for repair, maintenance, overhaul, or modification of Government property, regardless of the unit acquisition cost of the items to be repaired. The final rule is shown at 84 FR 18161.
A final rule, effective April 30, 2019 (DFARS Case No. 2018-D012), implementing the authority from §836 of NDAA for Fiscal Year 2017, as amended by §824 of NDAA for Fiscal Year 2018. This authority authorizes the Secretary of Defense to close out certain contracts or groups of contracts through modification of such contracts without completing a reconciliation audit or other corrective action. The authority provided by sections 824 and 836 applies to contracts entered into on a date that is at least 17 fiscal years before the current fiscal year, that have no further supplies or services due, and for which a determination has been made that the contract records are not otherwise reconcilable, because—
- The contract or related payment records have been destroyed or lost; or
- Although contracts records are available, the time or effort required to establish the exact amount owed to the U.S. Government or amount owed to the contractor is disproportionate to the amount at issue.
The final rule is shown at 84 FR 18153.
A final rule, effective April 30, 2019, implements technical amendments in the DFARS to update the list of DoD debarring and suspending officials. This final rule amends DFARS 209.403 to add the officials who have been delegated the authority to serve as the debarring and suspending official for their respective agencies. The Staff Judge Advocate has been delegated authority to serve as the debarring and suspending official for the United States Cyber Command. The General Counsel has been delegated authority to serve as the debarring and suspending official for the Defense Health Agency
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