(iii) in the United States, building materials are not extracted, produced or manufactured in sufficient and reasonably available commercial quantities of satisfactory quality. i. The provision amends the term “component testing” to “domestic content control”, which may apply either to the content of components other than those of steel products or to the iron or steel content of steel products. With respect to inventories and materials produced (finished goods or building materials), the Buy American Statute requires that such materials and inventory, to be considered domestic, have been manufactured in the United States “primarily from items, materials, or inventory manufactured or manufactured in the United States. The new E.O. also increases the valuation factors to be applied to offers of foreign finished goods or building materials where it is established that the cost of the proposed domestic finished products or building materials is inappropriate. For acquisitions of finished products, the 20 per cent factor must be applied to a foreign tender if the potential domestic winner is not a small enterprise, and a factor of 30 per cent if the potential winner was a small enterprise (see FAR 25.105 (b), 25.204, 25.502 (c), 25.604, 25.605, 52.225-9 (b) (3) (i), 52.225-11 (b) (4) (i) and the provisions of the Recovery Act at 52.225-21 to 52.225-24. In accordance with the current FAR coverage for the acquisition of foreign building materials under a construction contract, the higher preference for small businesses is not applicable, since under a construction contract there are no separately identifiable offers for each building material, but is part of an overall offer for the project. Foreign material is evaluated on the basis of market research and not on the basis of a specific competing offer. Thus, only the factor of 20% would be applied to building materials. [Contract agents to list applicable eviscerated materials or indicate “none” The BAA and TAA apply to government contracts, subcontracts or orders through specific provisions of the Federal Acquisition Regulation (FAR).
These FAR rules are 52.225-1, Buy American-Supplies, 52.225-11, Buy American-Construction Materials, 52.225-5, Trade Agreements, or 52.225-11-Buy American Construction Materials under Trade Agreements. Since the wrong provision or conflicting provisions are often contained in the main contracts and subcontracts of the State, it is unfortunately up to you to determine which applications are applicable and how to comply with them. 2. In the performance of this Contract, the Contractor shall only use domestic or designated building materials, except in paragraphs (b) (3) and (b) (4) of this clause. Der Paperwork Reduction Act (44 U.S.C.