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Panoptic Enterprises' FEDERAL CONTRACTS DISPATCH

DATE: March 20, 2002

SUBJECT: Federal Acquisition Regulation (FAR); Prohibited Sources

SOURCE: Federal Register, March 20, 2002, Vol. 67, No. 54, page 13079

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

ACTION: Proposed Rule

SYNOPSIS: It is proposed that FAR 25.701, Restrictions, and FAR 52.225-13, Restrictions on Certain Foreign Purchases, be revised 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: Comments must be submitted before May 20, 2002, to be considered in the formulation of a final rule.

ADDRESSES: Submit comments to General Services Administration, FAR Secretariat (MVP), 1800 F Street, NW, Room 4035, ATTN: Laurie Duarte, Washington, DC 20405, or by e-mail to farcase.2001-015@gsa.gov. Cite FAR case 2001-015 in all correspondence related to this proposed rule.

FOR FURTHER INFORMATION CONTACT: Cecelia Davis, 202-219-0202.

SUPPLEMENTAL INFORMATION: FAR 25.701 and FAR 52.225-13 state that "agencies and their contractors and subcontractors must not acquire any supplies or services originating from sources within, or that were located in or transported from or through Cuba, Iran, Iraq, Libya, North Korea, Sudan, Territory of Afghanistan controlled by the Taliban, or Serbia (excluding the territory of Kosovo)..." In addition, the prohibition applies to "entities controlled by the government of Iraq or other specially designated nationals..."

This proposed rule would revise FAR 25.701 and FAR 52.225-13 to: (1) remove Serbia from the list of prohibited sources; (2) modify the restrictions relating to acquisition of supplies or services from Cuba, Iran, Iraq, Libya, Sudan, and the territory of Afghanistan controlled by the Taliban ("most transactions...are prohibited"), and North Korea ("most imports into the United States [are prohibited]"); and (3) require authorization by the Department of the Treasury for any exceptions to these prohibitions, even when purchased overseas for use overseas. In addition, the prohibition against acquisition from "entities controlled by the government of Iraq or other specially designated nationals" would be expanded to include all "blocked persons," and the Department of Treasury website for access to the list of Specially Designated Nationals and Blocked Persons would be provided (http://www.treas.gov/ofac).

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

Copyright 2002 by Panoptic Enterprises. All Rights Reserved.

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