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Panoptic Enterprises' FEDERAL CONTRACTS DISPATCH

DATE: September 11, 2001

SUBJECT: Defense Federal Acquisition Regulation Supplement (DFARS); Preference for Local 8(a) Contractors -- Base Closure or Realignment

SOURCE: Federal Register, September 11, 2001, Vol. 66, No. 176, page 47158

AGENCIES: Department of Defense (DOD)

ACTION: Proposed Rule

SYNOPSIS: DOD is proposing to amend DFARS 226.7103, Procedure, to clarify that both competitive and noncompetitive acquisitions under the Section 8(a) program are permitted if an 8(a) contractor is located in the vicinity of the base to be closed or realigned.

EDITOR'S NOTE: For more on the 8(a) program, see Federal Acquisition Regulation (FAR) Subpart 19.8, Contracting with the Small Business Administration (The 8(a) Program).

DATES: Comments on the proposed rule must be submitted on or before November 13, 2001.

ADDRESSES: Respondents may submit comments directly on http://emissary.acq.osd.mil/dar/dfars.nsf/pubcomm; by e-mail to dfars@acq.osd.mil; to Defense Acquisition Regulations Council, Attn: Angelena Moy, OUSD (AT&L) DP (DAR), IMD 3C132, 3062 Defense Pentagon, Washington, DC 20301-3062; or by fax to 703-602-0350. Cite DFARS Case 2001-D007 when submitting comments.

FOR FURTHER INFORMATION CONTACT: Angelena Moy, 703-602-1302.

SUPPLEMENTAL INFORMATION: DFARS Subpart 226.71, Preference for Local and Small Businesses, implements Congressional policy that "businesses located in the vicinity of a military installation that is being closed or realigned under a base closure law...and small and small disadvantaged businesses shall be provided maximum practicable opportunity to participate in acquisitions that support the closure or realignment..."

Currently, paragraph (c) of DFARS 226.7103 permits award under the Section 8(a) program only if "the 8(a) contractor" is located in the vicinity of the base to be closed or realigned. To clarify that both competitive and noncompetitive 8(a) acquisitions are permitted, this proposed rule would revise paragraph (c) to permit use of 8(a) procedures if "at least one eligible 8(a) contractor" is located in the vicinity. Also, a similar clarifying amendment would be made to paragraph (c) pertaining to set-asides for small business concerns -- "if one of the expected offers is from a small business" would be changed to "if at least one of the expected offers is from a small business."

FOR FURTHER INFORMATION CONTACT: Panoptic Enterprises at 703-451-5953 or by e-mail to Panoptic@FedGovContracts.com.

Copyright 2001 by Panoptic Enterprises. All Rights Reserved.

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