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'Buy American' Stimulus Rule Begins Oct. 1

Thursday, September 16, 2010

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Subcontractors on new construction contracts funded by the American Recovery and Reinvestment Act will be required to use only U.S.-made steel, iron and other construction materials as of Oct. 1.

The "Buy American" provision of the Recovery Act, published Aug. 30 in the Federal Register, revises an interim rule published in 2009.

The new rule requires that contractors use only iron, steel and "manufactured goods used as construction material" that are produced or manufactured in the United States.

"Construction material" maintains the current government definition (FAR 25.003) of "an article, material, or supply brought to the construction site by the contractor or subcontractor for incorporation into the building or work."

Federal contracting officers may waive the requirements when American-made materials are not available in sufficient quantity and quality, or when materials are unreasonably expensive.

Trade Agreement Compliance

The rule "makes it clear that there will be full compliance with U.S. obligations under all international trade agreements when undertaking construction covered by such agreements with Recovery Act funds."

The requirements "implement U.S. obligations under our trade agreements in the same way as they are currently implemented in non-Recovery Act construction contracts," the rule says.

Caribbean Basin countries are excluded from the definition of "Recovery Act-designated country."

For questions about the rule's content, contact Cecelia L. Davis, Procurement Analyst, at 202-219-0202. For information pertaining to status or publication schedules, contact the Regulatory Secretariat at 202-501-4755. Cite FAC 2005-45, FAR case 2009-008.

   

Tagged categories: American Recovery and Reinvestment Act; Construction; Economic stimulus; Steel; Subcontractors

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