Panoptic Enterprises' FEDERAL CONTRACTS DISPATCH
DATE: May 24, 2005
SUBJECT: Defense Federal Acquisition Regulation Supplement (DFARS); Quality Assurance
SOURCE: Federal Register, May 24, 2005, Vol. 70, No. 99, page 29710
AGENCIES: Department of Defense (DOD)
ACTION: Proposed Rule
SYNOPSIS: DOD is proposing to amend DFARS Part 246, Quality Assurance, to update text pertaining to government contract quality assurance 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), which is available at http://www.acq.osd.mil/dpap/dars/pgi/index.htm.
Additional information on the DFARS Transformation initiative is available at http://www.acq.osd.mil/dpap/dars/dfars/transformation/index.htm.
For more on the PGI, see the November 1, 2004, FEDERAL CONTRACTS DISPATCH "Defense Federal Acquisition Regulation Supplement (DFARS); Procedures, Guidance, and Information."
DATES: Comments on the proposed rule must be submitted no later than July 25, 2005.
ADDRESSES: Respondents may submit comments directly on the Federal eRulemaking Portal at http://www.regulations.gov; on the web site at http://emissary.acq.osd.mil/dar/dfars.nsf/pubcomm; by e-mail to: firstname.lastname@example.org; by fax to 703-602-0350; by mail to Defense Acquisition Regulations Council, Attn: Deborah Tronic, OUSD(AT&L)DP(DAR), IMD 3C132, 3062 Defense Pentagon, Washington, DC 20301-3062; or by courier/hand to Defense Acquisition Regulations Council, Crystal Square 4, Suite 200A, 241 18th Street, Arlington, VA 22202-3402. Cite "DFARS Case 2003-D027" when making comments on this proposed rule.
FOR FURTHER INFORMATION CONTACT: Deborah Tronic, 703-602-0289.
SUPPLEMENTARY INFORMATION: This proposed rule would amend DFARS Part 246 to update its text and to delete unnecessary or redundant language as follows:
- DFARS 246.101, Definitions, would be removed because the definitions (“metrology,” “quality,” “quality assurance,” “quality audit,” and “quality program”) are considered unnecessary.
- The first sentence of paragraph (1) of DFARS 246.102, Policy, would be revised from “Develop and manage a cost-effective quality program to ensure that contract performance conforms to specified requirements” to “Develop and manage a systematic, cost-effective government contract quality assurance program to ensure that contract performance conforms to specified requirements.”
- DFARS 246.103, Contracting Office Responsibilities, would be deleted except for paragraphs (b) and (c), which are redesignated as paragraphs (1) and (2), respectively: “(1) The contracting office must coordinate with the quality assurance activity before changing any quality requirement. (2) The activity responsible for technical requirements may prepare instructions covering the type and extent of Government inspections for acquisitions that are complex, have critical applications, or have unusual requirements.” In addition, the guidance on preparing the instructions would be moved to PGI 246.103, Contracting Office Responsibilities, and a cross-reference to the moved text would be added to paragraph (2).
- DFARS 246.104, Contract Administration Office Responsibilities, would be removed.
- DFARS 246.203, Criteria for Use of Contract Quality Requirements, would be removed.
- In DFARS 246.406, Foreign Governments, paragraph (2), which addresses the quality assurance that agencies are required to do for non-North Atlantic Treaty Organization (NATO) international military sales, “(ii) ensure conformance to the technical and quality requirements of international military sales contracts;” and “(iv) Specify appropriate quality requirements in contracts awarded to other countries...” would be removed.
- DFARS 246.408-71, Aircraft, would be amended to remove the statement that the contract administration office shall ensure “the supplies and services conform to the terms of the contract...”
- DFARS 246.408-72, Construction Projects, would be removed.
- In DFARS 246.470, Government Contract Quality Assurance Actions, the following revisions would be made:
- DFARS 246.470-1, Planning, would be removed.
- DFARS 246.470-2, Evidence of Conformance, would be removed.
- Paragraph (a) of DFARS 246.470-3, Assessment of Additional Costs, which explains when the provisions of Federal Acquisition Regulation (FAR) 52.246-2, Inspection of Supplies –- Fixed-Price, for charging the contractor for delays in tests or inspections, would be removed.
- DFARS 246.470-4, Maintenance of Government Records, would be removed.
- The text of DFARS 246.470-5, Quality Evaluation Data, would be removed and relocated to PGI 246.470-2, Quality Evaluation Data. A cross-reference to PGI 246.470-2 would be substituted for the removed text.
- Paragraphs (a) through (d) of DFARS 246.472, Inspection Stamping, which address DOD quality inspection approval marking stamps, would be removed and relocated to PGI 246.472, Inspection Stamping. A cross-reference to PGI 246.472 would be substituted for the removed text. Paragraph (e), which addresses National Aeronautics and Space Administration (NASA) quality status stamps, would be retained.
- In DFARS Subpart 246.6, Material Inspection and Receiving Report, DFARS 246.670, General, would be removed. DFARS 246.671, Procedures, would be redesignated as DFARS 246.601, General.
- In DFARS Subpart 246.7, Warranties, DFARS 246.702, General, and DFARS 246.703, Criteria for Use of Warranties, would be deleted. To DFARS 246.704, Authority for Use of Warranties, would be added the following: “The chief of the contracting office shall approve the use of a warranty only when the benefits are expected to outweigh the cost.” Finally, in DFARS 246.710, Contract Clauses, which requires the use of DFARS 252.246-7001, Warranty of Data, when FAR clauses may not provide sufficient protection to DOD, several of the most commonly-used FAR clauses are listed: FAR 52.246-3, Inspection of Supplies -- Cost-Reimbursement; FAR 52.246-6, Inspection -- Time-and-Material and Labor-Hour; FAR 52.246-8, Inspection of Research and Development -- Cost-Reimbursement; and FAR 52.246-19, Warranty of Systems and Equipment Under Performance Specifications or Design Criteria. The listing of these FAR clauses would be removed, and a reference to “the inspection and warranty clauses prescribed in FAR Part 46” would be substituted.
FOR FURTHER INFORMATION CONTACT: Panoptic Enterprises at 703-451-5953.
Copyright 2005 by Panoptic Enterprises. All Rights Reserved.
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