49. System Approval

Comment: A respondent suggested that the rule make it clear that based on section 893(b)(4) of the NDAA for FY 2011, a business system is considered to be approved absent a finding by the contracting officer of a significant deficiency.

Response: Section 893(b)(4) of the NDAA for FY 2011 simply requires development of a program to "provide for the approval of any contractor business system that does not have a significant deficiency." Approval of a business system is an affirmative action. The absence of a finding of a significant deficiency is not considered a system approval; however, a system review or audit that does not result in a finding of one or more significant deficiencies will lead to a system approval under the rule.