Pentagon Mulls Elimination Of US Component Test

Law360, New York (June 6, 2011, 8:11 PM EDT) -- A U.S. Department of Defense rule proposed Monday would amend acquisition regulations to delete a test used to determine if commercially available off-the-shelf items could be considered American-made, bringing previous waivers of the test into line.

Under the Buy American Act, an item sold to the federal government may only qualify as American-made if the cost of its domestic components exceeds 50 percent of the cost of all components.

But the Federal Acquisition Regulatory Council and the Pentagon determined that tracking the components of widely-available, commercial...
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