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Federal Register / Vol. 71, No.

70 / Wednesday, April 12, 2006 / Rules and Regulations 18671

Subpart 222.13—Special Disabled (DFARS) to implement a statutory List of Subjects in 48 CFR Parts 225,
Veterans, Veterans of the Vietnam Era, prohibition on foreign taxation under 229, and 252
and Other Eligible Veterans contracts funded by U.S. assistance Government procurement.
programs. The rule addresses the
222.1305 Waivers. responsibilities of the contractor and the Michele P. Peterson,
(c) Follow the procedures at PGI contracting officer regarding the Editor, Defense Acquisition Regulations
222.1305(c) for submission of waiver prohibition. System.
requests.
DATES: Effective Date: April 12, 2006. Interim Rule Adopted as Final Without
222.1308 Complaint procedures. Change
FOR FURTHER INFORMATION CONTACT: Ms.
The contracting officer shall— ■ Accordingly, the interim rule
(1) Forward each complaint received Debra Overstreet, Defense Acquisition
Regulations System, OUSD (AT&L) amending 48 CFR parts 225, 229, and
as indicated in FAR 22.1308; and
DPAP (DARS), IMD 3C132, 3062 252, which was published at 70 FR
(2) Notify the complainant of the
Defense Pentagon, Washington, DC 57191 on September 30, 2005, is
referral. The contractor in question shall
20301–3062. Telephone (703) 602–0310; adopted as a final rule without change.
not be advised in any manner or for any
reason of the complainant’s name, the facsimile (703) 602–0350. Please cite [FR Doc. 06–3453 Filed 4–11–06; 8:45 am]
nature of the complaint, or the fact that DFARS Case 2004–D012. BILLING CODE 5001–08–P
the complaint was received. SUPPLEMENTARY INFORMATION:

222.1310 Solicitation provision and A. Background DEPARTMENT OF DEFENSE


contract clauses.
DoD published an interim rule at 70
(a)(1) Use of the clause at FAR Defense Acquisition Regulations
FR 57191 on September 30, 2005, to
52.222–35, Equal Opportunity for System
implement Section 579 of Division E of
Special Disabled Veterans, Veterans of
the Consolidated Appropriations Act,
the Vietnam Era, and Other Eligible 48 CFR Parts 232 and 252
2003 (Pub. L. 108–7); Section 506 of
Veterans, with its paragraph (c), Listing
Division D of the Consolidated [DFARS Case 1990–037]
Openings, also satisfies the requirement
Appropriations Act, 2004 (Pub. L. 108–
of 10 U.S.C. 2410k. Defense Federal Acquisition
■ 16. Section 222.1406 is revised to read
199); and Section 506 of Division D of
the Consolidated Appropriations Act, Regulation Supplement; Incremental
as follows: Funding of Fixed-Price Contracts
2005 (Pub. L. 108–447). These statutes
222.1406 Complaint procedures. require that a bilateral agreement AGENCY: Defense Acquisition
The contracting officer shall notify the providing for U.S. assistance to a foreign Regulations System, Department of
complainant of such referral. The country must specify that the U.S. Defense (DoD).
contractor in question shall not be assistance shall be exempt from taxation
ACTION: Final rule.
advised in any manner or for any reason by the foreign government. Therefore,
of the complainant’s name, the nature of the foreign government is prohibited SUMMARY: DoD has adopted as final,
the complaint, or the fact that the from imposing taxes on commodities with changes, an interim rule amending
complaint was received. acquired under contracts funded by the Defense Federal Acquisition
such U.S. assistance. This DFARS rule Regulation Supplement (DFARS) to
222.7100 and 222.7200 [Removed] addresses the responsibilities of the address the use of incrementally funded
■ 17. Sections 222.7100 and 222.7200 contractor and the contracting officer fixed-price contracts. The rule contains
are removed. regarding the prohibition. a contract clause for use in those
[FR Doc. 06–3456 Filed 4–11–06; 8:45 am] DoD received no comments on the situations where incremental funding of
BILLING CODE 5001–08–P interim rule. Therefore, DoD has fixed-price contracts is permitted.
adopted the interim rule as a final rule DATES: Effective Date: April 12, 2006.
without change. FOR FURTHER INFORMATION CONTACT: Mr.
DEPARTMENT OF DEFENSE This rule was not subject to Office of Bill Sain, Defense Acquisition
Management and Budget review under Regulations System,
Defense Acquisition Regulations Executive Order 12866, dated OUSD(AT&L)DPAP(DARS), IMD 3C132,
System September 30, 1993. 3062 Defense Pentagon, Washington, DC
B. Regulatory Flexibility Act 20301–3062. Telephone (703) 602–2022;
48 CFR Parts 225, 229, and 252
facsimile (703) 602–0350. Please cite
[DFARS Case 2004–D012] DoD certifies that this final rule will DFARS Case 1990–037.
not have a significant economic impact SUPPLEMENTARY INFORMATION:
Defense Federal Acquisition on a substantial number of small entities
Regulation Supplement; Prohibition of within the meaning of the Regulatory A. Background
Foreign Taxation on U.S. Assistance Flexibility Act, 5 U.S.C. 601, et seq., This rule revises and finalizes the
Programs because the administrative notification interim rule published at 58 FR 46091
AGENCY: Defense Acquisition requirements of the rule are expected to on September 1, 1993, regarding
Regulations System, Department of affect less than 10 contracts per year. incremental funding of fixed-price
Defense (DoD). C. Paperwork Reduction Act contracts. Prior to the issuance of the
cprice-sewell on PROD1PC66 with RULES

ACTION: Final rule. interim rule, incrementally funded


The information collection fixed-price contracts had been used in
SUMMARY: DoD has adopted as final, requirements of the rule do not reach limited situations throughout DoD for a
without change, an interim rule the threshold for requiring Office of number of years. This technique
amending the Defense Federal Management and Budget approval permitted DoD to award fixed-price
Acquisition Regulation Supplement under 44 U.S.C. 3501, et seq. contracts in specific circumstances

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