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Payments for IE ISS S102 mm ** AKN the blind or other para entregues stilart shall normally be made in 2 KS. but in no erect sie 31 d. iz shipment of receipt of 2 wezens in or voucher $ 1-5.80546 Adjustmed

tion of onders When a central nonprofi sgear ca

problems can behar workshop fails to comply with the terms shop and the sig mer *** of a Government order, the ordering mittee and the central monte ANCHE office shall make every effort to nego

shall be adris tiate an adjustment before taking action to cancel the order. When a Government

$13.805-9 SperlRention change order is canceled for failure of the work (a) Specinoations ofted in the Piw shop to comply with the terms of the curement List may under # MOHON order, the central nonprofit agency shall changes, Indicated by mulownie be notified, and, if practicable, requested letters, to keep ourrent with indiana v to reallocate the order. The central non

changes and agency mood, Anne II profit agency shall notify the Committee

not sensible to show the labor avtalen of any cancellation af an order and the

current on the publication dute, oni reasons therefor.

basic specification is relevant in the $ 1-5.805–7 Quality of merchandise. Procurement List, Procurement MBRAPINA (a) Commodities furnished under

shall notify the central 10

concerned of the ixlo #pin Government specification by blind or

specification, other severely handicapped workshops

(b) When a (government department shall be manufactured in strict compli

or agency le chanuing the demon HI ANH ance with such specifications. Where no struction of Human Mon In specifications exist, commodities pro curement 1 Auf Wwwwwwwww ww watelem duced shall be of the highest quality and ment of a new pallHI MAMA W tenia lain equal to similar items available on the commercial market. Commodities shall be inspected utilizing nationally renized test methods and procedures 197

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$ 1-5.805-10

Title 41-Public Contracts, Property Management

8 1-5.805–10 Pricing policies.

the context otherwise requires, includes (a) The prices included in the Procure

subcontractors who qualify in accordment List are fair market prices estab

ance with the provisions of $ 1-5.902(b). lished by the Committee. Civilian agen

(The use of GSA sources by grantees is cies having responsibility for procure

not authorized.) ment of commodities or services gener

(39 FR 44463, Dec. 24, 1974) ally will be requested by the Committee to assist in establishing fair market

81-5.901 Policy. prices when a new commodity or service (a) It is the policy of the General is proposed by a central nonprofit agency Services Administration to make GSA for addition to the Procurement List or supply sources available to all eligible when a price revision is requested by a users in order to promote greater econcentral nonprofit agency. It is within the omy and efficiency in Government proCommittee's authority, however, to es curement programs. tablish prices without prior coordination (b) To the extent provided in this with the responsible procurement agency. subpart, the policy is applicable to con

(b) Recommendations for price revi tractors working wholly or substantially sions for commodities or services on the on cost-reimbursement contracts. Procurement List may be made at any time to the Committee by the procuring

§ 1-5.902 Authorization to contractors. activities concerned.

(a) When an agency determines that (c) Price changes for commodities and It is in the best Interest of the Governservices shall apply to all orders placed ment to do so, the agency shall authorize on or after the effective date of the in writing its prime contractors and, changes and in special cases, with the where appropriate, their subcontractors, concurrence of the purchasing activity, to utilize GSA supply sources in pershall apply to undelivered orders on hand forming Government contracts. Authori. at the workshop on the effective date of zations to subcontractors shall be issued the change.

through, and subject to the approval of, (d) Prices for commodities, except the prime contractor. Each authorizamilitary resale commodities, are for de tion (prime or sub) shall be supported Hvery aboard the vehicle of the initial by & written finding of the facts which carrier at the point of production (f.o.b. are the basis for the determination to isshipping point), and include packaging, sue the authorization. Such findings packing, and marking as shown on the shall be retained in agency contract illes. Procurement List.

(b) Except as provided in $ 101–26.407 (e) I an ordering office desires pack of this title regarding the procurement ing, packaging, or marking of products of security cabinets by fixed-price conother than the standard pack or as pro tractors, such authorization may be isvided in the Procurement List, the dit sued only where an agency deems it adference in cost thereof, if any, shall be visable for a contractor to utilize GSA added to the purchase price.

supply sources in performing:

(1) Government cost-reimbursement Subpart 1-5. Use of GSA Supply

contracts; and Sources by Contractors Performing

(2) Other types of negotiated conCost- Reimbursement Type Con- tracts where the agency determines that tracts

a substantial dollar portion of the con

tractor's contracts are of a Government Source: The provisions of this subpart 1-29 appear at 33 PR. 15874 Nov, 14. 1991.

cost-reimbursement nature. unless othervise noted

(c) Subject to the criteris set forth in

paragraph (b) of this section, the agency $15.900 Scope of subpart.

may ineiude in its written authorizations Thats subpart prescribes polietes and sueh limitations or conditions as it deems procedures for Federsi agencies regard necessary in the publie interest. For es. ing she use of General Services Adminis ample, it may choose to: trattea GSA suechy Purees (le, items 1 Authorize purchases from GSA available througe Feders. Supply Sched supply sources of any overhesd suppies, die cvetracts azd tren GSA sceres steet but no production suppies: er

cons setors in performing certain 21 Limit any authorization require Government centres. The term "con zer: to use GSA sourees to a specific tractors as used in this suocars, unless doar amcat, eaving the contractor

free to make smaller purchases from any source he chooses; or

(3) Restrict the authorization to certaln plants or facilities or to specific contracts; or

(4) Provide that title vest in or be retained by the Government when deLermined to be in the best interest of the Government. The terms and conditions which the agency may impose are not limited to the foregoing examples.

(d) In determining whether to issue such an authorization, consideration should be given, but not necessarily limIted to, the following factors:

(1) The administrative cost of placing orders with Government sources, and the program impact of delay factors, 11 any.

(2) Lower cost of purchased items.

(3) Suitability of Items available through GSA supply sources.

(4) Delivery factors such as cost and time.

(5) Recommendations of prime contractors.

(e) Each authorization issued under this subpart shall:

(1) Cite the number of the contract or contracts involved.

(2) Specify that the Federal Standard Requisitioning and Issue Procedure (FEDSTRIP) shall be utilized when ordering GSA stock Items, as required by Subpart 101-26.2 of this title, and include an address and billing code iden. tifying the ordering contractor. Such codes may be obtained from the Federal Supply Service of the appropriate GSA regional office.

(3) Whenever practicable, contain a limit upon the period of effectiveness of the authorization.

(f) Copies of each authorization shall be forwarded to General Services Administration (FFC), Washington, D.C. 20406.

(g) The authorizing agency shall promptly notify the offices named in paragraph (1) of this section whenever an authorization is withdrawn prior to the expiration of the established period of effectiveness or upon termination of & contract for which an authorization has been granted without limitation. The notification shall be in writing and shall:

(1) Cite the number of the contract Involved.

(2) Contain the effective date of withdrawal of the authorization which, in the case of the termination of a contract

for which an indefinite authorization was previously granted, shall be not later than the date of the termination of the contract.

(h) The authorizing agency shall be responsible for insuring that prime contractors and subcontractors comply with the terms of their authorizations and for Insuring that supplies and services obtained from GSA sources of supply are properly used. (32 FR 16674, Nov. 14, 1967, as amended at 41 FR 31207, July 27, 1976) § 1-5.903 Procedure for placing orders. 8 1-5.903-1 Orders under Federal Sup

ply Schedule contracts. (a) Orders placed by Government contractors under Federal Supply Schedule contracts shall be placed in accordance with the provisions of the applicable Federal Supply Schedule and the authorization issued to the contractor. Each order shall be accompanied by a copy of the authorization (unless a copy was previously furnished to the Federal Supply Schedule contractor) and shall contain a statement as follows:

This order is placed pursuant to written authorization from dated

1..

-----). In the event of any inconsistency between the terms and conditions of this order and those of your Federal Supply Schedule contract, the latter will govern.

1 Insert “a copy of which 18 attached," or "a copy of which you have on file," or other suitable language, as appropriate.

(b) In the event a Federal Supply Schedule contractor refuses to honor an order placed by a Government contractor in accordance with an agency authorization issued pursuant to this Subpart 1-5.9, the contracting agency shall report the facts and circumstances to General Services Administration (FFN), Washington, DC 20406. (32 FR 15674, Nov. 14, 1967, as amended at 41 FR 31207, July 27, 1976) 8 1-5.903–2 Orders for GSA stores stock.

(a) Orders placed by Government contractors for GSA stores stock shall be placed in accordance with the authorization, using the FEDSTRIP format In accordance with the provisions of Subpart 101-26.2. Each requisition shall include the address and billing codes indicated in the authorization. When orders are placed on GSA Form 1348m, Single Line Item Requisition System

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bestesource end product, only the end United State

Subpart 1-6.1-Buy American Act-futured in the United States in

SOURCE: The provisions of this Subpart tetal quantities and of a satisfactory

This subpart implements the Buy Buy American Act.
the policies set forth in Executive Order product other than a domestic
10582, December 17, 1954, as amended by turce and product.
27, 1962, with respect to supply and served price for a domestic source end

Domestic bid" means a bid or
ice contracts other than construction te, including transportation to

and price for a foreign end product

"Poreign bid" means a bid or of

wering transportation to destination As used in this subpart, the following duty (whether or not a duty-free terms have the meanings set forth below. S certificate may be issued.)

114.102 Statutory requirements.
contract, the end products are the items American Act requires that in the

nicement of supplies and services
domestic source end products shall
equired for public use. In deter- end product

og whether an end product is a do. sively for en blic Contracts, Property Management beyler 1–Federal Procurement Regulations Subpart 1–6.2—Buy American Act-Construc

6) "Components” means those arti product and tion Contracts

dis materials, and supplies which are considered. Sec.

directly incorporated in end products.

$ 1-6.103 E 1-6.201 Cross-reference.

"United States" means the States,

the District of Columbia, Puerto Rico, $ 1-6.103-1 Subpart 1-6.8—Balance of Payments Program American Samoa, the Canal Zone, the

States. 1-6.800 Scope. 00h3 ads ud on ligin Islands, and any other place The restric 1-6.801 General. dar basitjet to its jurisdiction.

Act do not ap 1-6.802 Definitions.

O "Domestic source end product" supplies for 1-8.809 Deviations from evaluation and

meals an unmanufactured end product preference procedures.

States.

Thish has been mined or produced in the
1-6.804 Policy.
1-6.805

$ 1-6.103–2
Exceptions.

bited States, or an end product man-
1-6.806

United S
Procedures.

dictured in the United States if the cost
1-6.806–1 Restricted solicitation.

di omponents which are mined, pro The Buy A 1-6.806–2 Method of purchase.

ded, or manufactured in the United to articles, n 1-6.806-3 Certificate.

šitas exceeds 50 percent of the cost of class or kind 1-6.806–4 Contract clause.

l its components. The cost of com- determined ? Subpart 1–6.9— [Reserved] ments shall include transportation or manufactu

oss to the place of incorporation into Subpart 1-6.10—Omission of the Examination

suficient and

te and product and, in the case of comof Records Clause From Contracts With Foreign

mercial quan

parasts of foreign origin, duty (whether quality. (See Contractors

a tot a duty-free entry certificate may 1-6.1000 Scope.

te sted. A component shall be con

$ 1-6.103-3
1-6.1001 Statutory requirements.

consister
1-6.1002 Policy.
1-6.1003 Requests for determinations and

The restric
findings.

Act do not a
1-6.1004 Determinations and findings.

by the head
1 Tested under sec. 205, 83 Stat. 390; 40 as and the component is of a class be unreasons
AUTHORITYof part

of a domestic
U.S.C. 486.

would be in
interest. Suc

made in accc
Supply and Service Contracts

§ 1-6.1034 1-6.1 appear at 29 F.R. 10189, July 24, 1984

Scrap gene unless otherwise noted.

prepared for § 1-6.100 Scope.

States shall

origin. American Act (41 U.S.C. 10a-10d) and

§ 1-6.103-5

use in C

Articles, n
Order No. 11051,

are mined,
contracts. (For construction contracts
see Subpart 1-6.2.)
§ 1-6.101 Definitions.

(a) “End products” means articles,
materials, and supplies which are to be
acquired for public use. As to a given

In the Repu
chased for u
exempted fro
American Ac
orandum of
ancillary to
derstanding
the United
Republic of
1955).
$ 1-6.104
$ 1-6.104-1

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, the law and duty (whether or not a duty-free et forth x entry certificate may be issued.)

(b) "Components” means those arti product and its components shall be cles, materials, and supplies which are considered. directly incorporated in end products.

$ 1-6.103 Exceptions. (c) "United States” means the States, the District of Columbia, Puerto Rico, 1-6.103–1 Use outside the United

States. cytes American Samoa, the Canal Zone, the

Virgin Islands, and any other place The restrictions of the Buy American subject to its jurisdiction.

Act do not apply to articles, materials, or (d) "Domestic source end product' supplies for use outside the United

means an unmanufactured end product States. edure

which has been mined or produced in the
United States, or an end product man-

8 1-6.103–2 Nonavailability the

United States. ufactured in the United States if the cost of Its components which are mined, pro The Buy American Act does not apply duced, or manufactured in the United to articles, materials, or supplies of a States exceeds 50 percent of the cost of class or kind which the Government has all its components. The cost of com determined are not mined, produced, ponents shall include transportation or manufactured in the United States in

costs to the place of incorporation into suficient and reasonably available comthe for the end product and, in the case of com mercial quantities and of a satisfactory

ponents of foreign origin, duty (whether quality. (See § 1-6.105.)
or not a duty-free entry certificate may

$ 1-6.103-3 Unreasonable cost

or in. be issued. A component shall be conDents sidered to have been mined, produced

consistency with the public interest. or manufactured in the United States

The restrictions of the Buy American (regardless of its source in fact) 11

Act do not apply when it is determined the end product in which it is incor

by the head of an agency that the cost porated is manufactured in the United

of a domestic source end product would ins of States and the component is of a class

be unreasonable or that its acquisition or kind (1) determined by the Govern

would be inconsistent with the public ment to be not mined, produced, or

interest. Such determination shall be merican manufactured in the United States in

made in accordance with § 1-6.104-4. Contrat sufficient and reasonably available com 8 1-6.1034 Scrap.

mercial quantities and of a satisfactory
quality, or (2) as to which the head of

Scrap generated in, collected in, and the agency concerned has determined

prepared for processing in the United that it would be inconsistent with the

States shall be considered as of domestic public interest to apply the restrictions

origin. of the Buy American Act.

§ 1-6.103–5 Panamanian supplies for (e) “Foreign end product" means an

use in Canal Zone.
end product other than a domestic
source end product.

Articles, materials, and supplies that (f) "Domestic bid” means a bid or

are mined, produced, or manufactured

In the Republic of Panama, when puroffered price for a domestic source end product, including transportation to

chased for use in the Canal Zone, are destination.

exempted from the provisions of the Buy

American Act (under item 3 of the Mem(g) "Foreign bid” means a bid or of. orandum of Understandings Reached fered price for a foreign end product

ancillary to the Treaty of Mutual UnIncluding transportation to destination

derstanding and Cooperation between the United States of America and the

Republic of Panama, signed January 25, jeans - § 1-6.102 Statutory requirements.

1955).
Except as provided in § 1-6.103, the

§ 1-6.104 Procedures.
Buy American Act requires that in the 8 1-6.104-1 Applicability,
procurement of supplies and services
only domestic source end products shall

The following procedures apply to all be acquired for public use. In deter

contracts involving the procurement of mining whether an end product is a do.

end products, except contracts exclu

sively for end products for use outside the mestic source end product, only the end

United States.

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