OMB: Guidance will leverage federal procurement dollars to strengthen domestic sourcing. Image: OlegD/Shutterstock.com
OMB has announced two separate steps under “Buy American” requirements for federal agencies, one related to supply chains agencies use in general and one specifically related to procurement of personal protective equipment.
The former memo establishes a pilot program for voluntary agency testing of enhanced price preferences (EPPs) “to provide additional incentives in federal acquisitions for the domestic manufacture of critical end products and critical construction materials” subject to the Buy American Act and “reminds agencies of authority that might be considered, as appropriate, to facilitate industrial mobilization.”
The guidance will “help agencies better leverage federal procurement dollars to strengthen domestic sourcing for critical products and supply chains,” a fact sheet says. “These actions will allow agencies to manage and mitigate supply chain risks, as well as take a targeted approach to support competition and combat harm to domestic industries. Before an enhanced price preference is used, agencies will provide public notice of their planned use on the MadeinAmerica.gov site and invite public comments on the plan.”
“A number of agencies—including the Departments of Energy, Health and Human Services, Defense, Homeland Security, and the National Aeronautics and Space Administration—have indicated their commitment to exploring EPP pilots, as warranted, to proactively advance the domestic manufacturing of critical items,” it adds.
The second is a notice to industry of expected federal agency demand under a provision of the Infrastructure Investment and Jobs Act that requires DHS, HHS, and VA to take certain actions to act to sustain and grow U.S. manufacturing capacity for items such as surgical masks, respirator masks, filters and protective eyewear.
Those agencies meanwhile are working “to help program, acquisition, and supply chain teams across agencies collaborate on common requirements and desired innovations to help contractors target production,” a fact sheet says.
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