DATE: December 15, 2004

SUBJECT: Defense Federal Acquisition Regulation Supplement (DFARS); Competition Requirements

SOURCE: Federal Register, December 15, 2004, Vol. 69, No. 240, page 74990

AGENCIES: Department of Defense (DOD)

ACTION: Final Rule

SYNOPSIS: DOD is amending DFARS Part 206, Competition Requirements, to update text pertaining to competition requirements.

EDITOR'S NOTE: On February 11, 2003, DOD announced plans for conducting a "major transformation" of the DFARS (see the February 11, 2003, FEDERAL CONTRACTS DISPATCH "Defense Federal Acquisition Regulation Supplement (DFARS) Transformation"). The objective of the DFARS transformation is to improve the efficiency and effectiveness of the acquisition process while allowing the acquisition workforce the flexibility to innovate. The transformed DFARS will contain only requirements of law, DOD-wide policies, delegations of Federal Acquisition Regulation (FAR) authorities, deviations from FAR requirements, and policies and procedures that have a significant effect beyond the internal operating procedures of DOD or a significant cost or administrative impact on contractors or offerors. All mandatory and non-mandatory internal DOD procedures, non-mandatory guidance, and supplemental information will be contained in the DFARS companion document, the Procedures, Guidance, and Information (PGI).

Additional information on the DFARS Transformation initiative is available at http://www.acq.osd.mil/dpap/dfars/transf.htm.

For more on the PGI, see the November 1, 2004, FEDERAL CONTRACTS DISPATCH "Defense Federal Acquisition Regulation Supplement (DFARS); Procedures, Guidance, and Information."

For more on the proposed rule, see the February 23, 2004, FEDERAL CONTRACTS DISPATCH "Defense Federal Acquisition Regulation Supplement (DFARS); Improper Business Practices and Contractor Qualifications Relating to Debarment, Suspension, and Business Ethics."

EFFECTIVE DATE: December 15, 2004.

FOR FURTHER INFORMATION CONTACT: Robin Schulze, Defense Acquisition Regulations Council, OUSD(AT&L)DPAP(DAR), IMD 3C132, 3062 Defense Pentagon, Washington, DC 20301-3062; 703-602-0326; fax: 703-602-0350.

SUPPLEMENTAL INFORMATION: In response to the DFARS Transformation initiative, DOD published a proposed rule on February 23, 2004, that would make the following changes to DFARS Part 206:

One comment was submitted on the proposed rule. In response to the comment, DOD is adopting the proposed rule as final with a clarification to DFARS 206.001 that the exception from competition for health care personal services contracts applies only to contracts awarded to individuals -- "contracts awarded to individuals using the procedures at [DFARS] 237.104(b)(ii) [Personal Services Contracts] are exempt from the competition requirements of FAR Part 6."

FOR FURTHER INFORMATION CONTACT: Panoptic Enterprises at 703-451-5953.

Copyright 2004 by Panoptic Enterprises. All Rights Reserved.

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