1 / 18

Buy American Act

Glenn Franklin Bechtel Parsons Blue Grass. Buy American Act. OBJECTIVES: At the end of this session the participant will be able to: Understand the basic requirements of the “Buy American Act”.

Thomas
Download Presentation

Buy American Act

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Glenn Franklin Bechtel Parsons Blue Grass Buy American Act

  2. OBJECTIVES: At the end of this session the participant will be able to: Understand the basic requirements of the “Buy American Act”. Have the ability to apply these requirements to their day to day conduct of business for the BGCAPP. “BUY AMERICAN ACT”

  3. OBJECTIVES: 3. Ensure that the Supplier’s\Subcontractor’s understand that it is their responsibility to ensure that they are in compliance with BAA. 4. The Suppliers\Subcontractor’s need to know and document the origin of materials and products that they are supplying. 5. Understand the impact on Suppliers\Subcontractor’s and the Project “BUY AMERICAN ACT”

  4. GROUP DISCUSSION: For the Participants here today, what have they supplied to the BGCAPP. Explore and discuss the responses throughout the presentation. “BUY AMERICAN ACT”

  5. “BUY AMERICAN” ACT BUY AMERICAN ACT - Part of the Federal Acquisition Regulations System (FAR), Part 52, Subpart 2, Section 25, identified as FAR 52.225 During this session we will work through the following topics: • Construction Materials • Trade Agreements • Basic Scenarios & Discussions

  6. 52.225.2 : CONSTRUCTION MATERIALS - For the purposes of this discussion, construction materials are defined as permanent plant equipment, materials, or supplies. APPLICATION: Contracts for the construction, alteration, or repair of any public building or work in the U.S.. RESTRICTIONS: Incorporation of any construction materials NOT considered domestic. “BUY AMERICAN” ACT

  7. DOMESTIC CONSTRUCTION MATERIALS are defined as: An unmanufactured construction material mined or produced in the U.S. OR Manufactured product when cost of domestic components exceeds 50% of the cost of all of it’s components. “BUY AMERICAN” ACT

  8. SCENARIO #1 An A/C unit (skid mounted) arrives onsite for installation. Points of discussion: How does BGCAPP know it’s origin? What percentage of the assembly is required to be made in US? “BUY AMERICAN” ACT

  9. “BUY AMERICAN” ACT FAR 52.225-12 Trade Agreements Act - Waives the “Buy American Act” for eligible products purchased from countries that have signed an international trade agreement with the U.S..

  10. “BUY AMERICAN” ACT APPLICATION OF TRADE AGREEMENTS: Construction Materials may be purchased from the United States, Designated Countries (DC’s) and signatories to the North American Free Trade Agreement (NAFTA).

  11. “DESIGNATED COUNTRY” CONSTRUCTION MATERIALS are defined as: Wholly the growth, product or manufacture from a designated country. In the case of a construction material that consists in whole or in part of materials from another country, has been substantially transformed in a designated country into a new and different construction material distinct from the materials from which it was transformed. “BUY AMERICAN” ACT

  12. “BUY AMERICAN” ACT United States • 50 states • District of Columbia • Territories and possessions • Puerto Rico • Northern Mariana Islands • Any other place subject to US jurisdiction NAFTA Countries • Canada • Mexico

  13. “BUY AMERICAN” ACT “Designated Countries”

  14. “BUY AMERICAN” ACT • Restricted Countries: • BGCAPP cannot purchase or use supplies, material, or services originating in, transported from or through the following countries or entities: • Cuba • Iran • Iraq • Libya • North Korea • Sudan • The territory of Afghanistan controlled by the Taliban • Serbia (excluding Kosovo) • Entities controlled by the government of Iraq • There are no exceptions to the requirement!

  15. SCENARIO #2 A maintenance subcontractor is working to install barriers around the transformers located at the Jobsite. The fence fabric they are installing is labeled “Made in Sudan”. Points of discussion: Is this fabric allowed to be used since it has been received? What will the BGCAPP Project upon discovery? How is the problem properly resolved? “BUY AMERICAN” ACT

  16. SCENARIO #3 Fire sprinkler heads are required at the jobsite. The Offeror’s are only able to find the specified piping components that meet drawing specs which are “Made in China”. Points of discussion: What is the proper course of action by the Offeror? How long may this take to be resolved by the Buyer? What are the other possibilities to resolve? “BUY AMERICAN” ACT

  17. PRIOR APPROVAL IS REQUIRED IF WE CAN PROVE THAT: Public Interest - Requires “HEAD OF AGENCY” approval and foreign government agreements. Non-availability - ONLY if articles, materials, or supplies of the class or kind to be acquired are not mined, produced or manufactured in US/NAFTA/Designated Countries in sufficient and reasonably available commercial quantities. Determination by Contracting Officer is REQUIRED. Unreasonable Cost - Determination by Contracting Officer is REQUIRED. “BUY AMERICAN” ACT

  18. Questions? “BUY AMERICAN” ACT

More Related