Federal Manager's Daily Report

GSA, DoD and NASA have jointly issued proposed rules on the impact on agency purchasing of a 2019 Trump administration executive order expanding preferences for domestically produced goods, products and materials.

The notice in yesterday’s (September 14) Federal Register says that the Depression-era Buy American Act encourages the use of domestic end products and construction material by imposing a price preference for domestic end products and construction material—6 percent for large businesses and 12 percent for small businesses. However, the 2019 executive order increases that to 20 and 30 percent, respectively

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Also under that law, end products and construction materials must be manufactured in the U.S. and more than half of component parts, as determined by their cost, must also be mined, produced, or manufactured in the United States.

The order however increases the domestic content requirement for iron and steel end products to 95 percent and the domestic content requirement for everything else to 55 percent, the notice says.

The lengthy document would make numerous amendments to the Federal Acquisition Regulation to interpret those and other changes under the order, addressing matters such as definitions, special considerations for DoD procurements, evaluation of costs, and more.

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