[Federal Register Volume 63, Number 47 (Wednesday, March 11, 1998)]
[Rules and Regulations]
[Pages 11850-11852]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-6166]
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DEPARTMENT OF DEFENSE
48 CFR Parts 209, 212, 213, 217, 222, and 252
[DFARS Case 97-D314]
Defense Federal Acquisition Regulation Supplement; Veterans
Employment Emphasis
AGENCY: Department of Defense (DoD).
ACTION: Interim rule with request for comments.
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SUMMARY: The Director of Defense Procurement has issued an interim rule
amending the Defense Federal Acquisition Regulation Supplement (DFARS)
to implement Section 8117 of the National Defense Appropriations Act
for Fiscal Year 1998, which prohibits the obligation or expenditure of
funds under a contract with a contractor that has not submitted a
required report pertaining to employment of veterans.
DATES: Effective date: March 11, 1998.
Comment date: Comments on the interim rule should be submitted in
writing to the address shown below on or before May 11, 1998, to be
considered in the formulation of the final rule.
ADDRESSES: Interested parties should submit written comments to:
Defense Acquisition Regulations Council, Attn: Michael Pelkey, PDUSD
(A&T) DP
[[Page 11851]]
(DAR), IMD 3D139, 3062 Defense Pentagon, Washington, DC 20301-3062.
Telefax number (703) 602-0350.
E-mail comments submitted over the Internet should be addressed to:
dfars@acq.osd.mil
Please cite DFARS Case 97-D314 in all correspondence related to
this issue, E-mail comments should cite DFARS Case 97-D314 in the
subject line.
FOR FURTHER INFORMATION CONTACT:
Michael Pelkey, (703) 602-0131.
SUPPLEMENTARY INFORMATION:
A. Background
Section 8117 of the National Defense Appropriations Act for Fiscal
Year 1998 (Pub. L. 105-56) prohibits the obligation or expenditure of
funds appropriated by the Act to enter into or renew a contract with a
contractor that is subject to the reporting requirements of 38 U.S.C.
4212(d), but has not submitted the most recent report required for 1997
or a subsequent year. The report is prescribed in 41 CFR 61-250 and is
known as the ``Federal Contractor Veterans' Employment Report VETS-
100.'' Reports for 1997 are due on March 31, 1998.
B. Regulatory Flexibility Act
The proposed rule is not expected 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 the rule
requires only that an offeror represent, by submission of its offer,
that is has submitted the most recent report required by 38 U.S.C.
4212(d) pertaining to employment of veterans. An initial regulatory
flexibility analysis has therefore not been performed. Comments are
invited from small businesses and other interested parties. Comments
from small entities concerning the affected DFARS subparts also will be
considered in accordance with 5 U.S.C. 610. Such comments should be
submitted separately and should cite DFARS Case 97-D314 in
correspondence.
C. Paperwork Reduction Act
The Paperwork Reduction Act does not apply because the rule does
not impose any information collection requirements that require
approval by the Office of Management and Budget 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 that urgent and compelling reasons exist to publish this
interim rule prior to affording the public an opportunity to comment.
This interim rule implements Section 8117 of the National Defense
Appropriations Act for Fiscal Year 1998, which prohibits the obligation
or expenditure of fiscal year 1998 funds under a contract with a
contractor that has not submitted the most recent report required by 38
U.S.C. 4212(d) for 1997 or a subsequent year. Immediate implementation
is necessary to preclude violation of the prohibition, which could
occur after the 1997 reports are due to the Department of Labor on
March 31, 1998. Comments received in response to the publication of
this interim rule will be considered in formulating the final rule.
List of Subjects in 48 CFR Parts 209, 212, 213, 217, 222, and 252
Government procurement.
Michele P. Peterson,
Executive Editor, Defense Acquisition Regulations Council.
Therefore, 48 CFR Parts 209, 212, 213, 217, 222, and 252 are
amended as follows:
1. The authority citation for 48 CFR Parts 209, 212, 213, 217, 222,
and 252 continues to read as follows:
Authority: 41 U.S.C. 421 and 48 CFR Chapter 1.
PART 209--CONTRACTOR QUALIFICATIONS
2. Section 209.104-1 is amended by adding paragraph (g)(iii) at the
end of the section to read as follows:
Sec. 209.104-1 General standards.
* * * * *
(g) * * *
(iii) A contracting officer shall not enter into or renew a
contract with a contractor that is subject to the reporting
requirements of 38 U.S.C. 4212(d) pertaining to employment of veterans,
but has not submitted the most recent report required by 38 U.S.C.
4212(d) for 1997 or a subsequent year (see 222.1304(b)).
3. Section 209.104-70 is amended by adding paragraph (c) to read as
follows:
Sec. 209.104-70 Solicitation provisions.
* * * * *
(c) Use the provision at 252.209-7003, Compliance with Veterans'
Employment Reporting Requirements, in solicitations with a value
estimated to exceed the simplified acquisition threshold.
PART 212--ACQUISITION OF COMMERCIAL ITEMS
4. Section 212.503 is amended by adding paragraph (a)(xii) to read
as follows:
Sec. 212.503 Applicability of certain laws to Executive Agency
contracts for the acquisition of commercial items.
(a) * * *
(xii) Section 8117, Pub. L. 105-56, Restriction on Use of Funds
Appropriated for Fiscal Year 1998 (see 222.1304(b)).
* * * * *
PART 213--SIMPLIFIED ACQUISITION PROCEDURES
5. Section 213. 005 is added immediately following section 213.000
to read as follows:
Sec. 213.005 Federal Acquisition Streamlining Act of 1994 list of
inapplicable laws.
(a) The restriction on use of funds appropriated for fiscal year
1998 in Section 8117 of the National Defense Appropriations Act for
Fiscal Year 1998 (Pub. L. 105-56) is inapplicable to contracts at or
below the simplified acquisition threshold (see 222.1304(b)).
PART 217--SPECIAL CONTRACTING METHODS
6. Section 217.207 is added to read as follows:
Sec. 217.207 Exercise of options.
(c) Except for contracts for the acquisition of commercial items,
if the contractor has any contract containing the clause at FAR 52.222-
37, Employment Reports on Disabled Veterans and Veterans of the Vietnam
Era, the contracting officer may exercise an option with a value
exceeding the simplified acquisition threshold only after determining
that the contractor has submitted the most recent report required by
that clause (see 222.1304(b)).
PART 222--APPLICATION OF LABOR LAWS TO GOVERNMENT ACQUISITIONS
7. Section 222.1304 is added to read as follows:
Sec. 222.1304 Department of Labor notices and reports.
(b) As provided in Section 8117 of the National Defense
Appropriations Act for Fiscal Year 1998 (Pub. L. 105-56), no funds made
available in that Act may be obligated or expended to enter into or
renew a contract with a contractor that is subject to the reporting
requirements of 38 U.S.C. 4212(d) (i.e., the VETS-100 report required
by FAR 52.222-37, Employment Reports on Disabled Veterans and Veterans
of the Vietnam Era) but has not submitted the most recent report
required by 38 U.S.C. 4212(d) for 1997 or a subsequent year.
[[Page 11852]]
PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
8. Section 252.209-7003 is added to read as follows:
Sec. 252.209-7003 Compliance with Veterans' Employment Reporting
Requirements.
As prescribed in 222.1304(b) use the following provision:
Compliance With Veterans' Employment Reporting Requirements (Mar 1998)
By submission of its offer, the offeror represents that, if it
is subject to the reporting requirements of 37 U.S.C. 4212(d) (i.e.,
the VETS-100 report required by Federal Acquisition Regulation
clause 52.222-37, Employment Reports on Disabled Veterans and
Veterans of the Vietnam Era), it has submitted the more recent
report required by 37 U.S.C. 4212(d).
(End of provision)
[FR Doc. 98-6166 Filed 3-10-98; 8:45 am]
BILLING CODE 5000-04-M
