DOD adds extra oversight to avoid using counterfeit electronic parts

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The Defense Department finalized a new rule earlier this week to help stop contractors from buying counterfeit products.

DOD’s Defense Federal Acquisition Regulation Supplement, or DFARS, will require defense contractors purchasing electronic parts to only buy from trusted suppliers, according the rule that went into effect Tuesday. If they cannot get a trusted supplier, a DOD officer must oversee the contract.

More oversight should stop contractors from accidentally getting fake parts, the Federal Register says.

“This rule enhances DOD’s ability to strengthen the integrity of the process for acquisition of electronic parts and benefits both the Government and contractors,” the Federal Register says. “The avoidance of the proliferation of counterfeit electronic parts in the DOD supply chain reduces the risk of critical failure of fielded systems such as aircraft, ships, and other weapon systems, thus protecting troops’ lives and safety.”

Suspected counterfeit reports have sharply decreased since their four-year high in 2011 thanks to stronger requirements, according to a Government Accountability Office audit from last February. Still, the audit found that that the DOD continued to neglect the guidance and reporting needed to stop the problem.

While the DOD does not expect this change to have a large economic impact, it will apply to about 65,000 small businesses, organizations and local governments with DOD contracts, according to the register.

Contact the reporter on this story via email: Jeremy.Snow@FedScoop.com. Follow him on Twitter @JeremyM_Snow. Sign up for the Daily Scoop — all the federal IT news you need in your inbox every morning — here: fdscp.com/sign-me-on.

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Government IT News, oversight, Procurement, Regulations & Oversight
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