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FOREIGN PURCHASES

6.204-2 Solicitation of Bids and Proposals. Invitations for bids and requests for proposals for construction shall include the following provision:

INFORMATION REGARDING BUY.AMERICAN ACT (JANUARY 1964)

(a) The Buy American Act (41 U.S.C. 10a-d) generally requires that only domestic construction materials be used in the performance of this contract. This requirement does not apply to construction materials or their components as set forth below: (Insert list here including the items set forth in 6.206)

(b)(1) Furthermore, bids or proposals offering the use of additional nondomestic construction materials may be acceptable for award if the Government determines that the use of comparable domestic construction materials is impracticable or would unreasonably increase the cost or that domestic construction materials (in sufficient and reasonably available commercial quantities and of a satisfactory quality) are unavailable. Reliable evidence shall be furnished justifying such use of additional nondomestic construction materials.

(2) Where it is alleged that the use of domestic construction materials would unreasonably increase the cost:

(i) data shall be included, based on a reasonable canvass of suppliers, demonstrating that the cost of each such domestic construction material would exceed by more than 6 percent the cost of the comparable nondomestic construction material. (All costs of delivery to the construction site shall be included, as well as any applicable duty.)

(ii) for evaluation purposes, 6 percent of the cost of all additional nondomestic construction materials which qualify under (i) above will be added to the bid or proposal.

(3) When offering additional nondomestic construction materials, bids or proposals may also offer, at stated prices, any available comparable domestic construction materials, so as to avoid the possibility that failure of a nondomestic construction material to be acceptable under (1) above will cause rejection of the entire bid.

6.204-3 Evaluation of Bids and Proposals.

(a) Determination. The Administrator, by NASA Management Instruction 5106.1, "Determinations Under the Buy American Act-End Products and Construction Material," has determined that where the procedures set forth in (b) below result in the use of nondomestic construction materials, the use of domestic construction materials would unreasonably increase the cost (see 6.203-2).

(b) Unreasonable Cost. If a bid or proposal is submitted in accordance with paragraph (b) of the provision set forth in 6.204-2, and if such bid or proposal would be the low acceptable bid or proposal but for the Buy American Act, award shall be made on such bid or proposal if all the following conditions are satisfied:

(i) the bid or proposal specifically designates the nondomestic construction materials (not listed as exceptions in the invitation for bids or request for proposals) proposed for use;

(ii) as to each such nondomestic construction material, accompanying data show that the cost of any available acceptable domestic construction material, delivered at the construction site, would exceed by more than 6 percent the cost of the designated nondomestic construction material delivered at the construction site (including any applicable duty);

(iii) as to each such nondomestic construction material, the contracting officer is satisfied that the showing required by (ii) above is correct as of the date of the opening of bids or proposals; and

(iv) the bid or proposal is low after adding, for evaluation purposes, to such bid or proposal 6 percent of the cost of all nondomestic construction

6.204-3

CFR TITLE 41 CHAPTER 18

BUY AMERICAN ACT-CONSTRUCTION CONTRACTS

materials (delivered at the construction site and including any applicable duty) which are offered in such bid or proposal and which qualify under (i) through (iii) above.

(c) Impracticability. If a bid or proposal is submitted in accordance with (b) of the provisions set forth in 6.204-2, and if such bid or proposal would be the low acceptable bid or proposal but for the Buy American Act, the proposed award shall be submitted together with all pertinent information and full justification for such action to the Assistant Administrator for Procurement for decision by the Administrator, if the following conditions exist:

(i) the bid or proposal specifically designates the nondomestic construction materials (not listed as exceptions in the invitation for bids or request for proposals) proposed for use; and

(ii) as to each such nondomestic construction material, accompanying data show that it would be impracticable to use domestic construction materials.

(d) If a contract is to be awarded under (b) or (c) above, the contracting officer shall place in the contract file (i) a copy of the data and justification in the case of an exception under (b) above, or (ii) a copy of the Administrator's finding of impracticability in the case of an exception under (c) above, and copies thereof shall be available for public inspection.

6.204-4 Small Business. Nothing in 6.204-3 shall affect the authority or responsibility of the NASA to place a fair proportion of its total contracts with small business concerns.

6.205 Penalty for Violation. If the Administrator finds that in the performance of a construction contract there has been a failure to comply with the clause in the contract entitled "Buy American Act," he shall make public his findings, including therein the name of the contractor obligated under the contract, and no other contract for construction in the United States or elsewhere shall be awarded to such contractor, or to subcontractors, materialmen, or suppliers with whom such contractor is associated or affiliated within a period of 3 years after such finding is made public.

6.206 List of Excepted Articles, Materials, and Supplies. The articles, materials, and supplies listed below may be used in construction without regard to country of origin, except as provided in Part 6, Subpart 4, of this Regulation, on the basis of the nonavailability provision of the Buy American Act. (See 6.203-1).

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Cobalt, in cathodes, rondelles, or other primary forms

Cork, wood or bark and waste

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FOREIGN PURCHASES

Logs, veneer, and lumber from Alaskan yellow cedar, angelique balsa, ekki, greenheart, lignum vitae, mahogany, and teak

Mica

Nickel, primary, in ingots, pigs, shot, cathodes, or similar forms; nickel oxide and nickel salts

Rubber, crude and latex

Shellac

Tin, in bars, blocks, and pigs

6.207 Contract Clauses.

(a) The clause set forth below shall be included in all contracts for construction, and any articles, materials, and supplies which have been the subject of additional determinations pursuant to 6.203-1 shall be listed thereunder.

NONDOMESTIC CONSTRUCTION MATERIALS (SEPTEMBER 1962)

The requirements of the clause of this contract entitled "Buy American Act" do not apply to construction materials or their components as set forth below: (Insert list here including the items set forth in 6.206)

(b) If a contract is to be awarded under 6.204-3 (b) or (c) and the use of designated nondomestic construction materials is to be permitted, the designated nondomestic construction materials shall be listed under the clause required by (a) above.

(c) The clause set forth below shall be inserted in all contracts for construction except those executed on Standard Form 19 and NASA Form 1379.

BUY AMERICAN (SEPTEMBER 1962)

(a) Agreement. In accordance with the Buy American Act (41 U.S.C. 10a-d) and Executive Order 10582, December 17, 1954 (3 CFR Supp.), the Contractor agrees that only domestic construction material will be used (by the Contractor, subcontractors, materialmen, and suppliers) in the performance of this contract, except for nondomestic material listed in the contract.

(b) Domestic construction material. “Construction material" means any article, material, or supply brought to the construction site for incorporation in the building or work. An unmanufactured construction material is a "domestic construction material" if it has been mined or produced in the United States. A manufactured construction material is "domestic construction material" if it has been manufactured in the United States and if the cost of its components which have been mined, produced, or manufactured in the United States exceeds 50 percent of the cost of all its components. “Component" means any article, material, or supply directly incorporated in a construction material.

(c) Domestic component. A component shall be considered to have been “mined, produced or manufactured in the United States" (regardless of its sources in fact) if the article, material, or supply in which it is incorporated was manufactured in the United States and the component is of a class or kind determined by the Government to be not mined, produced, or manufactured in the United States in sufficient and reasonably available commercial quantities and of a satisfactory quality.

6.207

CFR TITLE 41 CHAPTER 18

Subpart 4-Purchases From Rhodesia and Certain

Communist Areas

6,401 General Policy. It is the general policy of NASA that supplies originating from scurces within Rhodesia and supplies which originated in, were located in, or were transferred from or through the Communist areas cf North Korea, Vietnam, or Cuba (except supplies which have been lawfully imported into the United States, its possessions, or Puerto Rico), shall not be acquired for public use, notwithstanding the provisions cf any Subpart of this Part 6, and that NASA contractors and subcontractors shall nct acquire for tse in the performance of any NASA contract or subcontract thereunder any supplies or services criginating from Rhodesia or such Communist areas. For purposes of this paragraph ferrochronium and steel mill Froducts in their basic shapes and forms which contain more than three percent chromium shall be regarded as supplies originating from scurces within Rhodesia if they are produced outside of the United States and contain Rhodesian chromium.

6.402 Ccmmunist Areas, For the purpose of this Subpart, Communist areas are the areas listed in Faragraph (a) (i) of the clause in 6.404 (a).

6.403 Exceptions.

(a) Exceptions from the general pclicy will be made cnly in accordance with (b) below. Moreover, such Exceptions shall be made only in cases of emergency, or where supplies are not available from any other source and a substitute supply is not acceptable, or in other unusual situations.

(b) Supplies originating from sources within Fhodesia, or supplies from certain Commurist areas (see | 6.402), may be procured cnly when:

(i) the purchase is for $10,000 or less and the contracting officer determines there is a need for an exception in accordance with the procedures set forth in (c) (1) (i) or (c) (2) (i) below; or

(ii) the purchase is for more than $10,000 and an exception is approved by the Administrator in with the procedures set forth in (c) (1) (ii)

accordance

cr (c) (2) (ii) below.

(c) Frocedures,

(1) When it is froposed tc procure supplies criginating from sources within Rhodesia, or supplies| from certain Communist areas, for public use within the United States (as defined in 6.001 (c)), or when a ccnstruction contractor proposes to use such supplies in the performance of a contract for ccnstruction

NASA PROCUREMENT REGULATION

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