[Federal Register: March 20, 2002 (Volume 67, Number 54)]
[Proposed Rules]
[Page 13079-13081]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr20mr02-51]
[[Page 13079]]
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Part V
Department of Defense
General Services Administration
National Aeronautics and Space Administration
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48 CFR Parts 25 and 52
Federal Acquisition Regulation; Prohibited Sources; Proposed Rule
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DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 25 and 52
[FAR Case 2001-015]
RIN: 9000-AJ35
Federal Acquisition Regulation; Prohibited Sources
AGENCIES: Department of Defense (DoD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Proposed rule.
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SUMMARY: The Civilian Agency Acquisition Council and the Defense
Acquisition Regulations Council (Councils) are proposing to amend the
Federal Acquisition Regulation (FAR) to implement Executive Order
13192, Lifting and Modifying Measures With Respect to the Federal
Republic of Yugoslavia (Serbia and Montenegro), and other regulations
of the Department of the Treasury that enforce economic sanctions
imposed by the President.
DATES: Interested parties should submit comments in writing on or
before May 20, 2002 to be considered in the formulation of a final
rule.
ADDRESSES: Submit written comments to: General Services Administration,
FAR Secretariat (MVP), 1800 F Street, NW., Room 4035, ATTN: Laurie
Duarte, Washington, DC 20405.
Submit electronic comments via the Internet to: farcase.2001-
015@gsa.gov. Please submit comments only and cite FAR case 2001-015 in
all correspondence related to this case.
FOR FURTHER INFORMATION CONTACT: The FAR Secretariat, Room 4035, GS
Building, Washington, DC, 20405, at (202) 501-4755 for information
pertaining to status or publication schedules. For clarification of
content, contact Ms. Cecelia Davis, Procurement Analyst, at (202) 219-
0202. Please cite FAR case 2001-015.
SUPPLEMENTARY INFORMATION:
A. Background
This rule amends FAR Subpart 25.7 and the clause at 52.225-13,
Restrictions on Certain Foreign Purchases, to implement Executive Order
13192, Lifting and Modifying Measures With Respect to the Federal
Republic of Yugoslavia (Serbia and Montenegro), and other regulations
of the Department of the Treasury that enforce economic sanctions
imposed by the President.
This proposed rule removes Serbia from the list of prohibited
sources at FAR 25.701; slightly modifies the restrictions relating to
acquisition of supplies or services from Cuba, Iran, Iraq, Libya, North
Korea, Sudan, and the territory of Afghanistan controlled by the
Taliban; and requires authorization by the Department of the Treasury
for any exceptions to these prohibitions, even when purchased overseas
for use overseas. In addition, the rule expands the prohibition against
acquisition from entities controlled by the Government of Iraq or other
specially designated nationals to include all blocked persons, and
provides the Department of Treasury website for access to the list of
Specially Designated Nationals and Blocked Persons.
This is not a significant regulatory action and, therefore, was not
subject to review under Section 6(b) of Executive Order 12866,
Regulatory Planning and Review, dated September 30, 1993. This rule is
not a major rule under 5 U.S.C. 804.
B. Regulatory Flexibility Act
The Councils do 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 the proposed amendments will only affect acquisitions from
prohibited sources. An Initial Regulatory Flexibility Analysis has,
therefore, not been performed. We invite comments from small businesses
and other interested parties. The Councils will consider comments from
small entities concerning the affected FAR Parts 25 and 52 in
accordance with 5 U.S.C. 610. Interested parties must submit such
comments separately and should cite 5 U.S.C. 601, et seq. (FAR case
2001-015), in correspondence.
C. Paperwork Reduction Act
The Paperwork Reduction Act does not apply because the proposed
changes to the FAR do not impose information collection requirements
that require the approval of the Office of Management and Budget under
44 U.S.C. 3501, et seq.
List of Subjects in 48 CFR Parts 25 and 52
Government procurement.
Dated: March 13, 2002.
Al Matera,
Director, Acquisition Policy Division.
Therefore, DoD, GSA, and NASA propose amending 48 CFR parts 25 and
52 as set forth below:
1. The authority citation for 48 CFR parts 25 and 52 continues to
read as follows:
Authority: 40 U.S.C. 486(c); 10 U.S.C. chapter 137; and 42
U.S.C. 2473(c).
PART 25--FOREIGN ACQUISITION
2. Revise section 25.701 to read as follows:
25.701 Restrictions.
(a) Except as authorized by the Office of Foreign Assets Control
(OFAC) in the Department of the Treasury, agencies and their
contractors and subcontractors must not acquire any supplies or
services, if any Executive order administered by OFAC, or the Foreign
Assets Control regulations set forth at 31 CFR chapter V would prohibit
such a transaction by a person subject to the jurisdiction of the
United States.
(b) Most transactions involving Cuba, Iran, Iraq, Libya, Sudan and
the Taliban-controlled regions of Afghanistan are prohibited, as are
most imports into the United States from North Korea. In addition,
lists of proscribed entities and individuals are included in OFAC's
list of Specially Designated Nationals and Blocked Persons. More
information about these restrictions is available in the Foreign Assets
Control regulations at 31 CFR chapter V and on OFAC's website at http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=leavingFR.html&log=linklog&to=http://www.treas.gov/ofac.
25.702 [Amended]
3. Amend section 25.702 by removing ``622-2520'' and adding ``622-
2490'' in its place.
25.1103 [Amended]
4. Amend section 25.1103 in paragraph (a) by removing ``with a
value exceeding $2,500''.
PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
52.212-5 [Amended]
5. Amend section 52.212-5 by redesignating paragraph (b)(20) as
(b)(21) and redesignating paragraph (b)(21) as (b)(20), and in newly
designated paragraph (b)(21) by removing ``13121,''.
52.213-4 [Amended]
6. Amend section 52.213-4 in paragraph (a)(1)(ii) by removing
``13121,''.
7. Amend section 52.225-13 by revising the date of the clause and
paragraphs (a) and (b) to read as follows:
[[Page 13081]]
52.225-13 Restrictions on Certain Foreign Purchases.
* * * * *
Restrictions on Certain Foreign Purchases (Date)
(a) Except as authorized by the Office of Foreign Assets Control
in the Department of the Treasury, the Contractor shall not acquire,
for use in the performance of this contract, any supplies or
services, if any Executive order administered by the Office of
Foreign Assets Control, or the Foreign Assets Control regulations
set forth at 31 CFR chapter V would prohibit such a transaction by a
person subject to the jurisdiction of the United States.
(b) Most transactions involving Cuba, Iran, Iraq, Libya, Sudan
and the Taliban-controlled regions of Afghanistan are prohibited, as
are most imports into the United States from North Korea. Lists of
proscribed entities and individuals are included in OFAC's list of
Specially Designated Nationals and Blocked Persons. More information
about these restrictions is available in the Foreign Assets Control
regulations at 31 CFR chapter V and on OFAC's website at http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=leavingFR.html&log=linklog&to=http://www.treas.gov/ofac.
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[FR Doc. 02-6515 Filed 3-19-02; 8:45 am]
BILLING CODE 6820-EP-P