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DOD Issues Final DFARS Rule Implementing Increased Buy American Restrictions for Defense Procurements

Inside Government Contracts

The EO was intended to strengthen the requirements of the Buy American Act (“BAA”) by, among other things, directing the FAR Council to issue new rules increasing the domestic content threshold for determining whether a product qualifies as a domestic end product. Beginning in calendar year 2029, the threshold will be 75 percent.

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Back to Basics: The Buy American Act

SmallGovCon

That 65% will become 75% in 2029. However, this law does not actually prohibit the acquisition of non-U.S. One thing to note, if the end product is wholly or predominantly iron, steel, or both, the cost of any foreign iron or steel must constitute less than 5 percent of the cost of all components in the end product.

Price 99
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Understanding the new Procurement Act 2023: What suppliers need to know - Part 1

VWV

However, if you are a supplier under an existing framework agreement or dynamic purchasing system, these will continue under the old rules for their remaining term, with a long-stop date of 23 February 2029 for dynamic purchasing systems. For below threshold contracts , Contracts Finder will still be active.

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Friday Flash 04/26/2024

The Coalition for Government Procurement

NITAAC stated that orders placed on CIO-SP3 can have a five-year term, so task orders can potentially run through October 29, 2029. Entities that meet certain threshold criteria – regardless of size – are covered by the rule. The Proposed Rule includes threshold criteria for entities in 13 of the 16 critical infrastructure sectors.

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The FY 2024 National Defense Authorization Act: Key Provisions Government Contractors Should Know

Government Contracts Legal Forum

This provision of the NDAA seems targeted at bridging the communication gap between the agencies by requiring that the parties to a proposed transaction over the HSR threshold provide a copy of their HSR filing directly to DoD. The authority for this pilot program will sunset on January 1, 2029.

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Key Domestic Sourcing Provisions of the House and Senate Versions of the Fiscal Year (FY) 2024 National Defense Authorization Act (NDAA)

Inside Government Contracts

Even shipbuilding contracts related to research, development, testing, and evaluation activities would be required to meet these thresholds. That percentage would increase on a graduated scale until January 1, 2029, at which time at least 75% of each component article, material, or supply cost must be attributable to U.S.

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Friday Flash 3/08/2024

The Coalition for Government Procurement

Like the FAR rule, the new DFARS rule: Modifies the definition of domestic end product, qualifying country end product, and domestic construction material by increasing the domestic content threshold to 65 percent for calendar years 2024 through 2028, and to 75 percent beginning in calendar year 2029.