DATE: January 13, 2005

SUBJECT: Defense Federal Acquisition Regulation Supplement (DFARS); Australia and Morocco Free Trade Agreements

SOURCE: Federal Register, January 13, 2005, Vol. 70, No. 9, page 2361

AGENCIES: Department of Defense (DOD)

ACTION: Interim Rule

SYNOPSIS: This interim rule amends DFARS Part 225, Foreign Acquisition, and the corresponding provisions and clauses to implement the Australia Free Trade Agreement Implementation Act (Public Law 108-286) and the Morocco Free Trade Agreement Implementation Act (Public Law 108-302).

EDITOR'S NOTE: For more on Federal Acquisition Circular (FAC) 2001-27, see the December 28, 2004, FEDERAL CONTRACTS DISPATCH "Federal Acquisition Circular (FAC) 2001-27, Australia and Morocco Free Trade Agreements."

DATES: The interim rule is effective January 13, 2005. Comments on the interim rule should be submitted on of before March 14, 2005.

ADDRESSES: Respondents may submit comments on the interim rule directly on the Federal eRulemaking Portal at http://www.regulations.gov, or the Defense Acquisition Regulations website at http://emissary.acq.osd.mil/dar/dfars.nsf/pubcomm. As an alternative, respondents may e-mail comments to: dfars@acq.osd.mil. Also, respondents who cannot submit comments through the web sites or by e-mail may submit comments to Defense Acquisition Regulations Council, Attn: Amy Williams, OUSD(AT&L)DPAP(DAR), IMD 3C132, 3062 Defense Pentagon, Washington, DC 20301-3062; may hand- or courier-deliver to Defense Acquisition Regulations Council, Crystal Square 4, Suite 200A, 241 18th Street, Arlington, VA 22202-3402; or fax to 703-602-0350. Cite "DFARS Case 2004-D013" when making comments on this interim rule.

FOR FURTHER INFORMATION CONTACT: Amy Williams, 703-602-0328.

SUPPLEMENTAL INFORMATION: The Australian and Moroccan Free Trade Agreements (FTA) waive the applicability of the Buy American Act for certain supplies, services, and construction materials from Australia and Morocco.

On December 28, 2004, FAC 2001-27 was published to amend Federal Acquisition Regulation (FAR) Part 25 and the corresponding provisions and clauses to implement the Australia and Morocco FTAs. However, Congress has developed an entire body of legislation (primarily provisions in authorization and appropriations acts) that applies only to DOD and not to the rest of the government, primarily because of the amount of money DOD spends each year overseas and acquiring supplies and services from foreign firms. This is why DOD has its own extensive DFARS Part 225 and separate contract provisions and clauses. Therefore, at the request of the United States Trade Representative (USTR), DOD is revising DFARS Part 225 to be consistent with the FAR changes made by FAC 2001-27.

The following are the changes being made to the DFARS by this interim rule:

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

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