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Barry McVay's FEDERAL CONTRACTS DISPATCH

DATE: January 13, 2000

FROM: Barry McVay, CPCM

SUBJECT: Defense Federal Acquisition Regulation Supplement (DFARS); Manufacturing Technology Program (MTP)

SOURCE: Federal Register, January 13, 2000, Vol. 65, No. 9, page 2057

AGENCIES: Department of Defense (DOD)

ACTION: Interim Rule

SYNOPSIS: DOD is amending DFARS 235.006-70, Manufacturing Technology Program, to implement Section 216 of the National Defense Authorization Act for Fiscal Year 2000 (Public Law 106-65), Manufacturing Technology Program, which eliminates the mandatory cost-sharing requirements of the MTP and provides that cost sharing be included as a factor in competitive procedures for evaluating proposals under manufacturing technology projects. Section 216 went into effect October 5, 1999.

DATES: This interim rule is effective January 13, 2000. Comments on the interim rule should be submitted on or before March 13, 2000.

ADDRESS: Submit comments to Defense Acquisition Regulations Council, Attn: Ms. Amy Williams, PDUSD (AT&L) DP (DAR), IMD 3D139, 3062 Defense Pentagon, Washington, DC 20301-3062; fax: 703-602-0350; e-mail: dfars@acq.osd.mil. Cite DFARS Case 99-D302 in all correspondence related to this interim rule.

FOR FURTHER INFORMATION CONTACT: Ms. Amy Williams, 703-602-0288.

SUPPLEMENTAL INFORMATION: Section 216 of the FY2000 Defense Authorization Act amended Title 10 of the United States Code, Section 2525 (10 U.S.C. 2525) to remove the mandatory cost-sharing requirements in the MTP and, instead, require "the factors to be considered in the evaluation of each proposed grant, contract, cooperative agreement, or other transaction for a project under the program shall include the extent to which that proposed transaction provides for the proposed recipient to share in the cost of the project."

To implement this change, DFARS 235.006-70 is revised to read as follows:

"In accordance with 10 U.S.C. 2525(d), for acquisitions under the Manufacturing Technology Program --
  1. Award all contracts using competitive procedures; and
  2. Include in all solicitations an evaluation factor that addresses the extent to which offerors propose to share in the cost of the project (see FAR 15.304 [Evaluation Factors and Significant Subfactors])."

FOR FURTHER INFORMATION CONTACT: Barry McVay at 703-451-5953 or by e-mail at BarryMcVay@FedGovContracts.com.

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