FAC Number: 2022-08
Effective Date: 09/23/2022

Subpart 34.1 - Testing, Qualification and Use of Industrial Resources Developed Under TitleIII, Defense Production Act

34.100 Scope of subpart.

This subpart prescribes policies and procedures for the testing, qualification, and use of industrial resources manufactured or developed with assistance provided under section 301, 302, or 303 of the Defense Production Act ( 50 U.S.C. App.2091-2093). TitleIII of the Defense Production Act authorizes various forms of Government assistance to encourage expansion of production capacity and supply of industrial resources essential to national defense.

34.101 Definitions.

Item of supply, as used in this subpart, means any individual part, component, subassembly, assembly, or subsystem integral to a major system, and other property which may be replaced during the service life of the system. The term includes spare parts and replenishment parts, but does not include packaging or labeling associated with shipment or identification of an "item."

34.102 Policy.

It is the policy of the Government, as required by Section 126 of Public Law102-558, to pay for any testing and qualification required for the use or incorporation of the industrial resources manufactured or developed with assistance provided under TitleIII of the Defense Production Act of1950.

34.103 Testing and qualification.

      (a) Contractors receiving requests from a TitleIII project contractor for testing and qualification of a TitleIII industrial resource shall refer such requests to the contracting officer. The contracting officer shall evaluate the request in accordance with agency procedures to determine whether: (1) the TitleIII industrial resource is being or potentially may be used in the development or manufacture of a major system or item of supply; and (2) for major systems in production, remaining quantities to be acquired are sufficient to justify incurring the cost of testing and qualification. In evaluating this request, the contracting officer shall consult with the Defense Production Act Office, TitleIII Program, located at:

     Wright Patterson Air Force Base OH 45433-7739.

      (b) If the determination at 34.103(a) is affirmative, the contracting officer shall modify the contract to require the contractor to test the TitleIII industrial resource for qualification.

      (c) The Defense Production Act Office, TitleIII Program, shall provide to the contractor the industrial resource produced by the TitleIII project contractor in sufficient amounts to meet testing needs.

34.104 Contract clause.

Insert the clause at 52.234-1, Industrial Resources Developed under TitleIII, Defense Production Act, in all contracts for major systems and items of supply.

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