DoD needs this information to ensure
that pass-through charges under DoD contracts and subcontracts are
not excessive, in accordance with Section 852 of Public Law
109-364. DoD contracting officers will use the information to
assess the value added by a contractor or subcontractor in relation
to proposed, billed, or claimed indirect costs or profit on work
performed by a subcontractor.
The Office of the Under
Secretary of Defense for Acquisition, Technology, and
Logistics/Defense Acquisition Regulations System (DARS) is
submitting the subject requirement for emergency review and
approval. This emergency submission is necessary and appropriate to
implement section 852 of Public Law 109-364. Section 852 requires
the Secretary of Defense to prescribe regulations, not later than
May 1, 2007, to ensure that pass-through charges on contracts or
subcontracts (or task or delivery orders) that are entered into for
or on behalf of the Department of Defense are not excessive in
relation to the cost of work performed by the relevant contractor
or subcontractor. The implementing amendments to the Defense
Federal Acquisition Regulation Supplement will include requirements
for an offeror or contractor to notify the contracting officer when
subcontracted effort will exceed 70 percent of the total cost of
work to be performed under a contract or subcontract, and to
describe the value added by the contractor or the subcontractor
that further subcontracts. If this data collection is not approved
under an emergency process, it will impede the Departments ability
to comply with the requirements of section 852 of Public Law
109-364.
On behalf of this Federal agency, I certify that
the collection of information encompassed by this request complies
with 5 CFR 1320.9 and the related provisions of 5 CFR
1320.8(b)(3).
The following is a summary of the topics, regarding
the proposed collection of information, that the certification
covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a
benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control
number;
If you are unable to certify compliance with any of
these provisions, identify the item by leaving the box unchecked
and explain the reason in the Supporting Statement.