[Federal Register: August 17, 2007 (Volume 72, Number 159)]
[Rules and Regulations]               
[Page 46326-46327]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]





48 CFR Parts 1, 25, and 52

[FAC 2005-19; FAR Case 2005-034; Item I; Docket 2006-0020; Sequence 9]
RIN 9000-AK52

Federal Acquisition Regulation; FAR Case 2005-034, Reporting of 
Purchases from Overseas Sources

AGENCIES:  Department of Defense (DoD), General Services Administration 
(GSA), and National Aeronautics and Space Administration (NASA).

ACTION:  Final rule.


SUMMARY:  The Civilian Agency Acquisition Council and the Defense 
Acquisition Regulations Council (Councils) have agreed to adopt as a 
final rule with changes the interim rule published in the Federal 
Register at 71 FR 57375, September 28, 2006. This final rule implements 
41 U.S.C. 10a, Buy American Act, as amended by Section 8306 of Public 
Law 110-28.

DATES: Effective Date: August 17, 2007.

Procurement Analyst, at (202) 208-6925, for clarification of content. 
For information pertaining to status or publication schedules, contact 
the FAR Secretariat at (202) 501-4755. Please cite FAC 2005-19, FAR 
case 2005-034.


A. Background

    This final rule implements 41 U.S.C. 10a, which requires the head 
of each Federal agency to submit a report to Congress relating to 
acquisitions of articles, materials, or supplies that are manufactured 
outside the United States. The provision at 52.225-18 requests from 
offerors necessary data regarding place of manufacture.
    DoD, GSA, and NASA published an interim rule in the Federal 
Register at 71 FR 57375, September 28, 2006. The 60-day comment period 
on the interim rule ended on November 27, 2006. The Councils received 
one public comment.
    Comment: The respondent did not suggest any changes to the interim 
rule. Rather, the comment related to a statement in the Federal 
Register notice that the amendment is mandatory for solicitations 
issued and contracts awarded on or after October 1, 2006. The 
respondent considers this statement to be incorrect because the interim 
rule prescribes only a solicitation provision, which is to be 
incorporated in solicitations, not contracts.
    Response: The Federal Register notice states that the amendment is 
mandatory for solicitations issued and contracts awarded on or after 
October 1, 2006. The respondent is correct that the solicitation 
provision is used only in solicitations, not contracts. However, other 
aspects of the interim rule are applicable to contracts. The 
contracting officer is required to enter into the FPDS data on all 
contracts awarded on or after October 1, 2006, even if the solicitation 
did not include the new FAR provision at 52.225-18, Place of 
    Section 8306 of the U.S. Troop Readiness, Veterans' Care, Katrina 
Recovery, and Iraq Accountability Appropriations Act, 2007 (Pub. L. 
110-28), signed on May 25, 2007, amended the Buy American Act (41 
U.S.C. 10a) to include an agency reporting requirement for acquisition 
of articles manufactured outside the United States. Therefore, the 
statutory citation at FAR 25.004(a) is amended in this final rule to 
cite 41 U.S.C. 10a rather than Section 837 of Division A of the 
Transportation, Treasury, Housing and Urban Development, the Judiciary, 
the District of Columbia, and Independent Agencies Appropriations Act, 
2006 (Pub.L. 109-115) and similar sections in subsequent appropriations 
    As a conforming amendment, it is necessary to include the new 
Office of Management and Budget (OMB) Control Number in FAR 1.106. In 
addition, a technical correction deletes OMB Control Number 9000-0023 
as a control number associated with FAR clause 52.225-2, because 
52.225-2 no longer implements the Balance of Payments Program and OMB 
Control Number 9000-0023 has expired.
    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

    DoD, GSA, and NASA certify that this final rule will not 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 this final rule does not change the rules for buying, it 
only amends the statutory citation and finalizes an information 
collection requirement. It does not have a significant economic impact 
to ask offerors of manufactured end products

[[Page 46327]]

to check off a box to indicate whether products offered to the Federal 
Government are predominantly manufactured in the United States or 
outside the United States. The offeror is not even required to identify 
the country of manufacture if the product is manufactured outside the 
United States. No comments were received with regard to impact on small 

C. Paperwork Reduction Act

    The Paperwork Reduction Act does apply; however, these changes to 
the FAR do not impose additional information collection requirements to 
the paperwork burden previously approved under OMB Control Number 9000-
    The FAR Secretariat obtained an emergency approval of the new 
information collection requirement, estimated at 38,146 hours, under 
OMB Control Number 9000-0161, FAR Case 2005-034, Reporting of Overseas 
Purchases, from OMB under 44 U.S.C. 3501, et seq. An estimated burden 
of 38,146 hours was granted temporary approval under OMB Control Number 
9000-0161. We received no comments regarding the estimated burden 

List of Subjects in 48 CFR Parts 1, 25 and 5

    Government procurement.

    Dated: July 30, 2007.
Al Matera,
Acting Director, Contract Policy Division.

Interim Rule Adopted as Final With Changes

Accordingly, the interim rule amending 48 CFR parts 25 and 52 which was 
published at 71 FR 57375, September 28, 2006, is adopted as a final 
rule with changes.
1. The authority citation for 48 CFR parts 1, 25, and 52 continues to 
read as follows:

    Authority: 40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 42 
U.S.C. 2473(c).


1.106  [Amended]

2. Amend section 1.106 by removing from FAR Segment 52.225-2 ``9000-
0023 and'' and by adding, in numerical order, new FAR Segment ``52.225-
18'' with OMB Control Number ``9000-0161.''


3. Amend section 25.004 by revising paragraph (a) to read as follows:

25.004   Reporting of acquisition of end products manufactured outside 
the United States.

    (a) In accordance with the requirements of 41 U.S.C. 10a, the head 
of each Federal agency must submit a report to Congress on the amount 
of the acquisitions made by the agency from entities that manufacture 
end products outside the United States in that fiscal year.
* * * * *
[FR Doc. 07-3808 Filed 8-16-07; 8:45 am]