§ 12-5.5002 Policy and procedures.

The policy and procedures applicable to the purchase of items from Federal Supply Schedule contracts are set forth in Subpart 101-26.4 of the Federal Property Management Regulations.

Subpart 12-5.51-Procurement From GSA Supply Depots

§ 12-5.5100 General.

Stock items available from General Services Administration shall be made in accordance with Subpart 101-26.3 of the Federal Property Management Regulations. That subpart "prescribes policy and procedures governing the procurement of items of supply stocked by GSA, including reporting and obtaining adjustments for overages, shortages, and damages; the return of GSA items for credit; and the issue of used, repaired, and rehabilitated items in serviceable condition."

Subpart 12-5.52-Procurement of Prison-Made Supplies

§ 12-5.5200 Policy.

Under 18 U.S.C. 4124, Federal departments and agencies are required to purchase at not-to-exceed current market prices, those products of the Federal Prison Industries, Inc., which are available and which meet the procurement agencies' requirements (also see FPMR 101-26.601).

§ 12-5.5201 Requests for the Schedule of Products made in Federal Penal and Correctional Institutions.

Copies of the Schedule of Products made in Federal Penal and Correctional Institutions may be obtained from the U.S. Department of Justice, Federal Prison Industries, Inc., Washington, D.C. 20537.

Subpart 12-5.53-Procurement of Blind-Made Supplies

§ 12-5.5300 Policy.

By the Wagner-O'Day Act of June 25, 1938 (41 U.S.C. 46-48), all Federal departments and agencies are required

to purchase their requirement of brooms, mops, ballpoint pens, and other suitable commodities from nonprofit-making agencies for the blind unless such commodities are available for procurement from Federal Prison Industries, Inc. The Federal Supply Service, under the direction of the Committee on Purchase of BlindMade-Products, issues semiannually, on January 1 and July 1, a new schedule (amendments are issued on April 1, and October 1 for interim changes) of Blind-Made-Products, listing commodities which must be procured through the National Industries for the Blind or workshops (see 41 CFR 51-1.4). This schedule includes item description, price and purchase procedures mandatory on Federal agencies. (Also see FPMR 101-26.601.)

supplies or services from Government agencies. Invitations for bids and requests for proposals shall not be sent to Government agencies. Current market prices, recent procurement prices, or prices obtained by informational bids as provided in FPR 1-1.314 may be used to ascertain whether procurement can be effected more cheaply from commercial sources.

(b) Each procuring activity, when it is in the interest of the Government to do so, may place orders with any other Government department or agency for supplies or services that any such requisitioned department or agency may be in a position to furnish or perform or to obtain by contract.

(c) Where the Department procures commercial or industrial products or services from another Government agency, any authorization required for the furnishing of such products or services, in accordance with BOB Circular No. A-76, dated August 30, 1967, shall be accomplished by the furnishing Government agency.

§ 12-5.5402 Execution of agreements with agency heads.

Execution of any interdepartmental or interagency agreement which is to be signed by the head of the other department or agency is reserved to the Secretary, as provided in section 1.44(i) of the DOT Organization Manual (DOT 1100.23).

Subpart 12-5.55-Procurement of Printing and Related Supplies

§ 12-5.5501 Printing and related supplies. The Government Printing and Binding Regulations of the Congressional Joint Committee on Printing set forth specific prohibitions and regulations for the acquisition of printing, binding, blankwork, envelopes, paper, and related supplies.

PART 12-6-FOREIGN PURCHASES

Sec.

12-6.000 Scope.

Subpart 12-6.1—Buy American Act-Supply and Service Contracts

12-6.103 Exceptions.

Subpart 12-6.1-Buy American ActSupply and Service Contracts

§ 12-6.103 Exceptions.

§ 12-6.103-2 Nonavailability in the United States.

(a) Certain items determined to be exempt under the exception in FPR 16.103-2 are set forth in DOTPR 126.105. Supplies not listed may be excepted only after a written determination has been made by the contracting officer. Each determination shall include the following information:

(1) Description of the item(s) to be procured with specific information pertaining to special features, performance, versatility, etc.

(2) Unit, quantity, estimated cost (including duty, if any, separately shown).

(3) Country of origin, and name and address of prospective contractor, if available.

(4) Brief statement as to the necessity for the procurement.

(5) Statement of effort made to procure a similar item of domestic origin or statement that there is no domestic item which can be used as a reasonable substitute.

When a determination has been made that the restrictions of the Buy American Act are inapplicable for the end products being purchased, notification to this effect shall be included in the solicitation and contract.

(b) Notwithstanding the foregoing, procurement of foreign end products on the basis of "nonavailability,” whether or not listed in DOTPR 126.105, shall be made only after a written determination has been made by the contracting officer and approved at a higher level in accordance with Administration procedures. Before granting such approval, or making such determination, the feasibility of foregoing the requirement or providing a United States substitute shall be considered.

(c) Notwithstanding paragraph (b) of this section, approvals and determinations may be made by the contracting officer covering individual procurements of spare and replacement parts for foreign manufactured items, if the procurement must be restricted to the original manufacturer or his supplier in accordance with FPR 1-3.313.

(d) Notwithstanding paragraph (b) of this section, approval is not required for:

(1) Purchases for resale in domestic commissaries of brand name subsistence items of foreign origin for which there are no substitutes of U.S. origin. All purchases of such brand name subsistence items of foreign origin shall be made from domestic concerns.

(2) Procurement of swords and scabbards.

(3) Procurement of books, pamphlets, newspapers, magazines, periodicals, and printed briefs and films not printed in the United States and for which domestic editions are not available.

§ 12-6.104 Procedures.

§ 12-6.104-4 Evaluation of bids and proposals.

When a proposed award is required to be submitted to the head of the agency for decision pursuant to FPR 1-6.104-4(b) or FPR 1-6.104-4 (c)(1) or (c)(2), the submission shall include a copy of each bid or offer being considered for award, the date the bids or offers expire, a copy of the abstract of bids or offers, and a statement justifying the proposed award.

§ 12-6.105 Excepted articles, materials, and supplies.

Pursuant to the Buy American Act, the Government has determined that the articles, materials, and supplies listed below are not mined, produced, or manufactured in the United States in sufficient and reasonably available commercial quantities of a satisfactory quality, or that it would be inconsistent with the public interest to apply the restrictions of the Act to such arti

cles, materials, and supplies. When required to be incorporated into an end product or construction material manufactured in the United States, these items may be regarded as components of domestic origin for the purpose of determining the origin of such manufactured end product or construction material. However, the procurement of any of these items other than as components of domestic source end products or construction materials must be approved by the appropriate authority designated by the Administration pursuant to DOTPR 12-6.103-2(b). Acetylene black.

Woods of the following species: Angelique, balsa, ekki, greenheart, lignum vitae, mahogany and teak.

(a) Crude oil means crude petroleum as it is produced at the wellhead and liquids (under atmospheric conditions) that have been recovered from mixtures of hydrocarbons which existed in a vaporous phase in a reservoir and that are not natural gas products.

(b) Finished products means any one or more of the following petroleum oils, or a mixture or combination of such oils, which are to be used without further processing except blending by mechanical means:

(i) Liquefied gases-hydrocarbon gases recovered from natural gas or produced from petroleum refining and kept under pressure to maintain a liquid state at ambient temperatures;

(ii) Gasoline-a refined petroleum distillate which by its composition, is suitable for use as a carburant in internal combustion engines;

(iii) Jet fuel-a refined petroleum distillate used to fuel jet propulsion engines;

(iv) Naphtha-a refined petroleum distillate falling within a distillation range overlapping the higher gasoline and the lower kerosenses;

(v) Fuel oil-a liquid or liquefiable petroleum product burned for lighting or for the generation of heat or power and derived directly or indirectly from crude oil, such as kerosene, range oil, distillate fuel oils, gas oil, diesel fuel, topped crude oil, residues;

(vi) Lubricating oil-a refined petroleum distillate or specially treated petroleum residue used to lessen friction between surfaces;

(vii) Residual fuel oil-a topped crude oil or viscous residuum which, as obtained in refining or after blending with other fuel oil, meets or is the equivalent of Military

Specification Mil-F-859 for Navy Special Fuel Oil and any other more viscous fuel oil, such as No. 5 or Bunker C;

(viii) Asphalt—a solid or semisolid cementitous material which gradually liquefies when heated, in which the predominating constituents are bitumins, and which is obtained in refining crude oil;

(ix) Natural gas products-liquids (under atmospheric conditions), including natural gasoline, which are recovered by a process of absorption, adsorption, compression, refrigeration, cycling, or a combination of such processes, from mixtures of hydrocarbons that existed in a vaporous phase in a reservoir and which, when recovered and without processing in a refinery, otherwise fall within any of the definitions of products contained in (ii) through (v), inclusive, of this paragraph (b).

(c) Unfinished oils means one or more of the petroleum oils listed in (b) above, or a mixture or combination of such oils, which are to be further processed other than by blending by mechanical means.

Subpart 12-6.8-Balance of Payments Program

§ 12-6.801 General.

§ 12-6.801-50 Use of excess and nearexcess foreign currencies.

Where practicable, contracts and other obligations incurred in excess and near-excess currency countries should provide for payment in foreign currencies rather than U.S. dollars notwithstanding the appropriation or fund that will be used for payment. This should include contracts with U.S. contractors to the extent that the contractor may be expected to require such currencies for necessary expenses ir. the country involved.

§ 12-6.806 Procedures.

§ 12-6.806-2 Method of purchase.

In lieu of the authority cited in FPR 1-6.806-2, the following is applicable to Coast Guard procurement: Contracts entered into pursuant to conventional negotiation shall cite exceptions (2) through (17) of 10 U.S.C. 2304(a), as appropriate. Where such negotiation authority is not applicable or where contracts are entered into pursuant to the Balance of Payments Restricted Advertising method of pro

Supplies originating from the following countries shall not be acquired for public use except as authorized by the Secretary of the Treasury or his designee:

(a) From China (except Formosa), North Korea, and North Vietnam, the items set forth in § 500.204 of Part 500 of Title 31 of the Code of Federal Regulations.

(b) From Cuba, any merchandise that is of Cuban origin, or is or has been located in or transported from or through Cuba, or is made or derived in whole or in part of any article which is the growth, produce, or manufacture of Cuba (§ 515.204 of Part 515 of Title 31 of the Code of Federal Regulations).

§ 12-6.5002 Contract provision.

(a) Instructions: The following clause shall be included in all contracts for supplies, services, or construction, where acceptance is to take place outside the United States, its possessions, or Puerto Rico. The clause need not be included in purchase orders for small purchases where there is reasonable assurance of compliance with § 12-6.5001. (b) Clause:

PROCUREMENT FROM CERTAIN COMMUNIST AREAS

Unless he first obtains the written approval of the Contracting Officer, the Contrac