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Panoptic Enterprises' FEDERAL CONTRACTS DISPATCH

DATE: December 15, 2004

SUBJECT: Defense Federal Acquisition Regulation Supplement (DFARS); Pilot Mentor-Protege Program

SOURCE: Federal Register, December 15, 2004, Vol. 69, No. 240, page 74995

AGENCIES: Department of Defense (DOD)

ACTION: Final Rule

SYNOPSIS: DOD is amending DFARS Subpart 219.71, Pilot Mentor-Protege Program, and DFARS Appendix I, Policy and Procedures for the DOD Pilot Mentor-Protege Program, to authorize each military department's or defense agency's Director of Small and Disadvantaged Business Utilization to approve mentor firms and mentor-protege agreements. In addition, the procedures for implementation of the DOD mentor-protege program are updated to reflect current requirements and procedures.

EDITOR'S NOTE: For more on the proposed rule, see the May 13, 2004, FEDERAL CONTRACTS DISPATCH "Defense Federal Acquisition Regulation Supplement (DFARS); Pilot Mentor-Protege Program."

EFFECTIvE DATE: December 15, 2004.

FOR FURTHER INFORMATION CONTACT: Thaddeus Godlewski, Defense Acquisition Regulations Council, OUSD(AT&L)DPAP(DAR), IMD 3C132, 3062 Defense Pentagon, Washington, DC 20301-3062; 703-602-2022; fax: 703-602-0350.

SUPPLEMENTAL INFORMATION: The DOD Office of Small and Disadvantaged Business Utilization (OSDBU) managed the Mentor-Protege program for DOD by approving contractors as mentor firms and approving mentor-protege agreements. On May 13, 2004, DOD published a proposed rule that would amend DFARS Subpart 219.71 and DFARS Appendix I to give the OSDBU director of each military department or defense agency the authority to approve mentor firms and mentor-protege agreements. However, under the proposed rule, the DOD OSDBU would retain policy and oversight responsibility for the offices participating in the program and would remain the program's principal budget authority.

In addition, the proposed rule would update procedures for implementation of the DOD mentor-protege program to reflect current requirements and procedures. The most significant of these would be the addition of:

Two respondents submitted comments on the proposed rule. One supported the proposed rule, and the other recommended that the rule be amended to allow service-disabled veteran-owned small businesses to participate as protege firms. Since Section 842 of the National Defense Authorization Act for Fiscal Year 2005 (Public Law 108-375) authorizes service-disabled veteran-owned small businesses to participate in the mentor-protege program, DOD will be implementing this authority under a separate rule. Therefore, DOD is adopting the proposed rule as final without change. (EDITOR'S NOTE: For more on the acquisition-related provisions of Public Law 108-375, see the October 29, 2004, FEDERAL CONTRACTS DISPATCH "Enactment of the National Defense Authorization Act for Fiscal Year 2005".)

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

Copyright 2004 by Panoptic Enterprises. All Rights Reserved.

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