ECIA urges members to weigh in on anti-counterfeit regs

Industry trade group asks distributors and manufacturers to comment on proposed revisions to the Defense Federal Acquisition Regulation System by July 15

The U.S. Department of Defense recently published proposed revisions to the Defense Federal Acquisition Regulation System aimed at curtailing the flow of counterfeit electronic components into the defense supply chain. Industry is responding with comments on the changes, and at least one industry trade group is reaching out to members to ensure that they weigh in as well.

In a letter to members on May 24, the Electronic Components Industry Association urged distributors and manufacturers to contact the Department of Defense during the public comment period on the changes, which runs until July 15, 2013. ECIA will file comments on behalf of the electronic components industry, but spokesman Robin Gray asked that each member study the proposed legislation and it how it may affect their companies and file their own comments as well.

ECIA pointed to the following four provisions of the regulation in particular:

  • 202.101 Definitions. This section defines a counterfeit part as coming from a source other than the part’s “legally authorized source.”  The definition of “legally authorized source” does not mention distribution, distribute or authorized distributors.
  • 231.205-71(b) states that the regulation would only apply to contractors subject to the Cost Accounting Standards (CAS).  CAS generally excludes small businesses from compliance.
  • 246.870-2 (b)(5) uses the term “trusted suppliers” without defining the term.
  • 246.870-2(b) and 252.244-7001 spell out the elements that a contractor’s electronic part avoidance and detection system must contain.  Among those elements are mechanisms to enable traceability of parts to suppliers and flow down of counterfeit avoidance and detection requirements to subcontractors.

“ECIA believes that these four provisions have implications for component manufacturers and their authorized distributors,” Gray wrote in an e-mail to members. “If so, your company should consider informing DoD about how this proposed regulation will affect your business.” 

Submitted comments should be identified by DFARS Case 2012-D055, and sent using any of the following methods, according to ECIA:

  • Regulations.gov:http://www.regulations.gov. Submit comments via the Federal eRulemaking portal by entering “DFARS Case 2012-D055” under the heading “Enter keyword or ID” and selecting “Search.” Select the link “Submit a Comment” that corresponds with “DFARS Case 2012-D055.” Follow the instructions provided at the “Submit a Comment” screen. Please include your name, company name (if any), and “DFARS Case 2012-D055” on your attached document.
  • Email: [email protected]. Include DFARS Case 2012-D055 in the subject line of the message.
  • Fax: 571-372-6094.
  • Mail: Defense Acquisition Regulations System, Attn: Ms. Meredith Murphy, OUSD(AT&L)DPAP/DARS, Room 3B855, 3060 Defense Pentagon, Washington, DC 20301-3060.

More information on the proposed rule is available at the Federal Register. For more information on the counterfeit electronics issue, visit Globalpurchasing.com’s Counterfeit Components Resource Center.

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