Government Contracts DFARS Rule Would Update Nonmanufacturer Rule Requirements
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Friday, April 19, 2019

DFARS Rule Would Update Nonmanufacturer Rule Requirements

By Government Contracts Editorial Staff

A Department of Defense proposed rule would amend the Defense Federal Acquisition Regulation Supplement to implement a Small Business Administration final rule (¶70,425.572) implementing section 1651 of the National Defense Authorization Act for Fiscal Year 2013 (PL 112-239). The SBA rule revised and standardized limitations on subcontracting, including the non manufacturer rule, as applied to small business concerns, including participants in the 8(a) Program. Small business concerns must meet certain requirements when they offer an end item they did not manufacture, process, or produce. These requirements are known as the non manufacturer rule. The clause at DFARS 252.219-7010, Notification of Competition Limited to Eligible 8(a) Concerns—Partnership Agreement, includes an outdated version of these requirements. This rule proposes to update DFARS 252.219-7010 to include the revised non manufacturer rule provided by section 1651 and implemented in SBA’s final rule. The rule would also make a technical change at DFARS 219.811-3. Comments on this proposed rule, identified by DFARS Case 2019-D004, are due May 31, 2019. For the text of the rule, see ¶70,020.429.

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