Buy American Act Research Paper

1071 Words5 Pages
Buy American it the Law The Buy American Act of 1933, abbreviated BAA (41 U.S.C. § 10a–10d) was passed by U.S. Congress in 1933. The act also includes the waiver of the component test of the Buy American Act for acquisitions of commercially available off-the-shelf (COTS) items in accordance with 41 U.S.C 431.The purpose of the Buy American Act is to provide preferential treatment for domestic sources of unmanufactured articles, manufactured goods, and construction material for public use unless a specific exemption applies. The act requires the federal government to purchase domestic supplies under the following guidelines: ◦The supply contract exceeds the micro-purchase threshold; ◦The supply portion of a contract for services…show more content…
The head of the agency determines that a domestic preference would be inconsistent with the public interest. This exception applies when an agency has an agreement with a foreign government that provides a blanket exception to the Buy American Act. DoD currently has the following agreements: World Trade Organization Government Procurement Agreement (WTO GPA), Free Trade Agreements (FTAs) with various countries (including Caribbean Basin Trade Initiative (CBTI)), Memorandum of Understandings (MOUs) with Qualifying Countries listed in DFARS 225.872 and North American Free Trade Agreement (NAFTA). 2.Non-availability. BAA does not apply with respect to articles, materials, or supplies not mined, produced, or manufactured in the U.S. in sufficient and reasonable available commercial quantities and of a satisfactory quality. FAR 25.104 and DFARS 225.104 list articles determined to be non-available. 3.Unreasonable Costs. If purchasing the material domestically would burden the government with an unreasonable cost. The unreasonable cost exception is implemented through the use of an evaluation factor applied to low foreign offers. The Contracting Officer may determine unreasonable cost in accordance with FAR 25.105/Subpart 25.5 and DFARS 225.105/Subpart 225.5. 4.Resale. The contracting officer may purchase foreign end products specifically for commissary…show more content…
• 252.225-7000 -- Buy American Act--Balance of Payments Program Certificate. • 252.225-7001 -- Buy American Act and Balance of Payments Program. • 252.225-7035 -- Buy American Act--Free Trade Agreements--Balance of Payments Program Certificate. •252.225-7036 -- Buy American Act--Free Trade Agreements--Balance of Payments Program.
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