DFARS CHANGE NOTICE, 19990223

Deviations from Cost Accounting Standards

Administration Requirements

DFARS Case 97-D016

Final Rule

SUBPART 201.4--DEVIATIONS FROM THE FAR

201.402 Policy.

(1) The Director of Defense Procurement, Office of the Under

Secretary of Defense (Acquisition & [and] Technology),

USD(A&T)DP, is the approval authority within the DoD for-

(i) Any individual deviation from--

Rights in Data and Copyrights;

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(3) * * *

(iii) * * * .[;]

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Part 230-Cost Accounting Standards [Administration]

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Specifications and Standards Requisition

DFARS Case 98-D022

Final Rule

PART 211--DESCRIBING AGENCY NEEDS

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SUBPART 211.2--USING AND MAINTAINING REQUIREMENTS DOCUMENTS

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211.201 Identification and availability of specifications.

(a) The DoD index of data item descriptions is DoD 5010.12-L, Acquisition Management Systems and Data Requirements Control List (AMSDL).

(b) Also, furnish data item descriptions which [that] are not listed in the AMSDL, except when it is not feasible, e.g., documents are bulky or only a limited number of copies are available at the contracting activity.

(d) The AMSDL, all unclassified specifications and standards listed in the DODISS, and data item descriptions listed in the AMSDL may also [may] be purchased from the Standardization Documents Desk [Department of Defense Single Stock Point (DoDSSP)], Building 4[, Section] D, 700 Robbins Avenue, Philadelphia, PA 19111-5094. Include with the letter or DD Form 1425 [request]--

(i) The requester's customer number; and

(ii) Complete return mailing address, including any "mark for" instructions.

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PART 253--FORMS

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SUBPART 253.3--ILLUSTRATION OF FORMS

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253.303-1425 Specifications and Standards Requisition.

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DFARS Case 98-D305

People's Republic of China

Interim Rule

PART 212-ACQUISITION OF COMMERCIAL ITEMS

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212.301 Solicitation provisions and contract clauses for the acquisition of commercial items.

(f) * * *

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[(v) Use the provision at 252.225-7017, Prohibition on Award to Companies Owned by the People's Republic of China, as prescribed in 225.771.]

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PART 225-FOREIGN ACQUISITION

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SUBPART 225.7-RESTRICTIONS ON CERTAIN FOREIGN PURCHASES

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[225.771 Prohibition on acquisition from the People's Republic of China.

225.771-1 Definition.

"People's Republic of China" is defined in the provision at 252.225-7017, Prohibition on Award to Companies Owned by the People's Republic of China.

225.771-2 Legal authority.

This section implements Section 8120 of the DoD Appropriations Act for fiscal year 1999 (Pub. L. 105-262).

225.771-3 Prohibition on contract award.

Do not award or renew a contract with any company owned or partially owned by the People's Republic of China or the People's Liberation Army of the People's Republic of China, if using funds made available by Title III (Procurement) or Title IV (Research, Development, Test and Evaluation) of Pub. L. 105-262.

225.771-4 Solicitation provision.

Use the provision at 252.225-7017, Prohibition on Award to Companies Owned by the People's Republic of China, in solicitations for contracts that will use funds made available by Title III or IV of Pub. L. 105-262.]

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PART 252-SOLICITATION PROVISIONS AND CONTRACT CLAUSES

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[252.225-7017 Prohibition on Award to Companies Owned by the People's Republic of China.

As prescribed in 225.771-4, use the following provision:

PROHIBITION ON AWARD TO COMPANIES OWNED BY

THE PEOPLE'S REPUBLIC OF CHINA (DATE)

(a) Definition. "People's Republic of China," as used in this provision, means the government of the People's Republic of China, including its political subdivisions, agencies, and instrumentalities.

(b) Prohibition on award. Section 8120 of the Department of Defense Appropriations Act for fiscal year 1999 (Pub. L. 105-262) prohibits the award of a contract under this solicitation to any company owned, or partially owned, by the People's Republic of China or the People's Liberation Army of the People's Republic of China.

(c) Representation. By submission of an offer, the offeror represents that it is not owned, or partially owned, by the People's Republic of China or the People's Liberation Army of the People's Republic of China.

(End of provision)]

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DFARS Case 98-D029

Singapore Accession to Government Procurement Agreement

Final Rule

PART 225-FOREIGN ACQUISITION

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SUBPART 225.4-TRADE AGREEMENTS

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225.408 Solicitation provisions and contract clauses.

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PART 252-SOLICITATION PROVISIONS AND CONTRACT CLAUSES

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252.225-7007 Buy American Act--Trade Agreements--Balance of Payments Program.

As prescribed in 225.408(a)(ii), use the following clause:

BUY AMERICAN ACT--TRADE AGREEMENTS--BALANCE OF
PAYMENTS PROGRAM (MAR 1998)

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ALTERNATE I (MAR 1998).

As prescribed in 225.408(a)(ii), delete Singapore from the list of designated countries in paragraph (a)(4) of the basic clause.

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252.225-7021 Trade Agreements.

As prescribed in 225.408(a)(iv), use the following clause:

TRADE AGREEMENTS (MAR 1998)

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ALTERNATE I (MAR 1998).

As prescribed in 225.408(a)(iv), delete Singapore from the list of designated countries in paragraph (a)(4) of the basic clause.

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IR&D/B&P for Fiscal Year 1996 and Beyond

DFARS Case 95-D040

Final Rule

PART 225--FOREIGN ACQUISITION

SUBPART 225.73--ACQUISITIONS FOR FOREIGN MILITARY SALES

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225.7303-2 Cost of doing business with a foreign government or an international organization.

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(c) The provisions of 10 U.S.C. 2372 do not apply to contracts for FMS. Therefore, t[T]he cost limitations [for major contractors] on independent research and development and bid and proposal (IR&D/B&P) costs [for projects that are of potential interest to DoD,] in FAR 31.205-18 [231.205-18(c)(iii),] do not apply to such [FMS] contracts, except as provided in 225.7303-5. * * *

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PART 231--CONTRACT COST PRINCIPLES AND PROCEDURES

SUBPART 231.2--CONTRACTS WITH COMMERCIAL ORGANIZATIONS

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231.205-18 Independent research and development and bid and proposal costs.

(c)(l)(i)(C)(1) Total incurred IR&D/B&P costs, including total IR&D/B&P ceiling amounts which are negotiated pursuant to FAR 31.205-18(c)(1), are fully allocable to all final cost objectives of the contractor. The amount of IR&D/B&P costs allowable under contracts which are subject to advance agreements negotiated by DoD shall not exceed the lesser of--

(3) The contracting officer will-

(4) See 225.7303 for additional allowability provisions affecting foreign military sale contracts.

(c) Allowability.

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PART 242--CONTRACT ADMINISTRATION

SUBPART 242.7--INDIRECT COST RATES

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242.771 Independent research and development/[and] bid and proposal [costs].

242.771-1 Scope of subpart.

242.771-2 Policy.

242.771-3 Responsibilities.

(a) The cognizant administrative contracting officer (ACO) or corporate ACO shall--

(b) The Defense Contract Management Command of the Defense Logistics Agency or the M[m]ilitary D[d]epartment responsible for performing contract administration functions is responsible for-- (1) Implementing the requirements of Section 802 of Pub. L. 102-190 as set forth in 231.205--18(c)(2) and FAR 31.205-18. [providing the Defense Contract Audit Agency (DCAA) with IR&D/B&P statistical information, as necessary, to assist DCAA in the annual report required by paragraph (c) of this subsection.

(c)] (2) [DCAA is responsible for] S[s]ubmitting an annual report to the Director of Defense Procurement (USD(A&T)DP) setting forth required statistical information relating to the DoD-wide IR&D/B&P program. The Report Control Symbol is DD-ACQ(A)1139.

[(d)] (c) The Director, Defense Research and Engineering (USD(A&T)DDR&E), is responsible for establishing a regular method for communication--

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Flexible Progress Payments

DFARS Case 98-D400

Final Rule

SUBPART 232.5--PROGRESS PAYMENTS BASED ON COSTS

232.501 General.

232.501-1 Customary progress payment rates.

(a)(i) The customary uniform progress payment rate for DoD contracts is 75 percent for large businesses, 90 percent for small businesses, and 95 percent for small disadvantaged businesses.

(ii) The progress payment rates applicable to foreign military sale requirements are the same rates applicable to DoD requirements.

232.501-2 Unusual progress payments.

(a) Unusual progress payment arrangements require the advance approval of the USD(A&T)DP. Contracting officers shall submit all unusual progress payment requests to the department or agency contract financing office for approval, coordination with the Contract Finance Committee ([see] 232.1[0]71), and submission to the USD(A&T)DP.

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232.502 Preaward matters.

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DELETE TABLE

232.502-4 Contract clauses.

232.502-4-70 Additional clauses.

Foreign Military Sales Acquisitions, in any contract that

provides for progress payments and contains foreign

military sale requirements.

([b]e) Use the clause at 252.232-7004, DoD Progress Payment

Rates, in addition to the clauses prescribed at FAR 32.502-4.

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Part 252-Solicitation Provisions and Contract Clauses

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252.232-7003 Flexible [Reserved.]

252.232-7004 DoD Progress Payment Rates.

As prescribed in 232.502-4-70(b) and (c), use the following clause:

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DFARS Case 98-D008

Television-Audio Support Activity (T-ASA)

Final Rule

DFARS APPENDIX B

COORDINATED ACQUISITION ASSIGNMENTS

PART 1--ARMY ASSIGNMENTS

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Federal Supply Commodity

Class Code

5815 P Teletype and Facsimile Equipment

5820 P Radio and Television Communication Equipment, except Airborne

5830 P Intercommunication and Public Address Systems; except Airborne

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PART 4--DEFENSE LOGISTICS AGENCY ASSIGNMENTS

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Federal Supply Commodity DLA Center6

Class Code

5680 P Miscellaneous Construction Materials DCSC

[5820 P10 Radio and Television Communication T-ASA

5905 Resistors DESC

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FOOTNOTES:

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6 DLA centers are identified as follows--

DCSC - Defense Construction Supply Center

DESC - Defense Electronics Supply Center

DFSC - Defense Fuel Supply Center

DGSC - Defense General Supply Center

DISC - Defense Industrial Supply Center

DPSC - Defense Personnel Support Center

[DLA also serves as the head of the contracting activity for the Television-Audio Support Activity (T-ASA).]

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[10 This partial assignment applies to broadcasting, visual information, and graphics presentation communications equipment used by the Armed Forces Radio and Television Services, centralized visual information support activities, media centers, closed circuit educational and training programs, language training activities, combat camera units, and individual base visual information centers. This assignment does not apply to equipment with airborne applications. Examples of the types of equipment covered by this assignment include radio and television transmitters, video recording and playback equipment, video cameras, editing and switching equipment, electronic imaging equipment, language training equipment, monitors, audio equipment, and other nontactical, off-the-shelf, commercially available, nondevelopmental electronic equipment used to support broadcast and visual information missions.]