FOREIGN ACQUISITION
SUBPART 25.1 - BUY AMERICAN ACT - SUPPLIES
25.102 Policy.
25.102-90 Procedure for submission of waiver requests.
SUBPART 25.3 - BALANCE OF PAYMENTS PROGRAM
25.302 Policy.
SUBPART 25.6 - CUSTOMS AND DUTIES
25.604 Exempted supplies.
SUBPART 25.7 - RESTRICTIONS ON CERTAIN FOREIGN PURCHASES
25.703 Exceptions.
SUBPART 25.8 - INTERNATIONAL AGREEMENTS AND COORDINATION
25.870 Contracting with Canadian contractors.
SUBPART 25.70 - AUTHORIZATION ACTS, APPROPRIATIONS ACTS, AND OTHER STATUTORY RESTRICTIONS ON FOREIGN PURCHASES
25.7002 Restriction on food, clothing, fabrics, and specialty
metals.
SUBPART 25.73 - ACQUISITIONS FOR FOREIGN MILITARY SALES
25.7302-90 Foreign Military Sales (FMS) shipping instructions.
SUBPART 25.1 - BUY AMERICAN ACT - SUPPLIES
(b) Prepare nonavailability determinations in Determination and Findings (D&F) form.
(b)(ii) For purposes of determining the approval level, do not add option totals to basic award amounts. Prior to exercising an option, however, a new determination of nonavailability (for the option total only) must be made.
(b)(ii)(D) The authority to approve determinations of nonavailability for acquisitions over $2 million is delegated to the HCA without redelegation authority. This delegation also applies to the following determinations tied to these approval levels:
(a) Inconsistent with the public interest under the Buy American Act for qualifying countries (DFARS 225.872-4(c));
(b) Nonavailability under the Defense Appropriations Act restrictions on food, clothing, fabrics, and specialty metals (DFARS 225.7002-2(a) and DLAD 25.7002-2(a)); and
25.102-90 Procedure for submission of waiver requests.
Submit requests for waivers which require approval at levels above the Head of the contracting activity (HCA) or by the Executive Director, Logistics Policy and Acquisition Management , as HCA, to HQ DLA, ATTN: J-336. Include the rationale for the waiver as well as all relevant facts.
SUBPART 25.3 - BALANCE OF PAYMENTS PROGRAM
(b)(i) Submit requests for determinations by the Executive Director, Logistics Policy and Acquisition Management , in the form of a proposed D&F to HQ DLA, ATTN: J-336. Include the rationale for the determination as well as all relevant facts. When the request is made under FAR 25.3, include a statement as to the consideration given to foregoing the requirement or providing a domestic substitute.
(b)(ii) For acquisitions estimated not to exceed $500,000, the authority in DFARS 225.302(b)(i) is delegated to the HCA. This authority may be redelegated to the chiefs of the contracting offices. DSCR may redelegate authority to purchase foreign books and publications not to exceed $10,000 to the contracting officer. Document all determinations in the contract file.
SUBPART 25.6 - CUSTOMS AND DUTIES
(2) The Commander, DFSC, or designee, is authorized to execute duty-free entry certificates for the supplies in DFARS 225.604(b)(i).
SUBPART 25.7 - RESTRICTIONS ON CERTAIN FOREIGN PURCHASES
(b) Contracting officer determinations under FAR 25.703(a) shall be in writing and made part of the contract file. For other than small purchases, forward requests for Agency Head approval to HQ DLA, ATTN: J-336, and include a full justification, with all pertinent details, for purchasing from a restricted source.
SUBPART 25.8 - INTERNATIONAL AGREEMENTS AND COORDINATION
25.870 Contracting with Canadian contractors.
(e)(90) See 15.403-3(c)(4)(A)(90)(91) for price analysis and price reasonableness determination requirements for offers from Canadian Commercial Corporation.
SUBPART 25.70 - AUTHORIZATION ACTS, APPROPRIATIONS ACTS, AND
OTHER STATUTORY RESTRICTIONS ON FOREIGN PURCHASES
25.7002 Restriction on food, clothing, fabrics, and specialty metals.
(a) All domestic non-availability determination approval requests made pursuant to section 9005 of Pub. L. 102-396 as amended (10 U.S.C. §2241, note 2, also known as the Berry Amendment) shall be forwarded from the Activity Commander to the Agency Director for submission to the Under Secretary of Defense (Acquisition Technology and Logistics). Options not exercised at time of award require a separate non-availability determination.
(c) Alternate 1 of the clause at 252.225-7014, preference for Domestic Speciality metals, must be used for weapon-systems-coded items procured for one of the enumerated programs.
SUBPART 25.73 - ACQUISITIONS FOR FOREIGN MILITARY SALES
25.7302-90 Foreign Military Sales (FMS) shipping instructions.
(a) In order to reduce misdirected shipments of FMS materiel, do not place shipping addresses on FMS contracts except as provided in paragraphs (b) and (c) below. Instead, place a notice in the contract requiring the contractor to contact the transportation officer (TO) at the contracting activity that awarded the contract or that placed the order, unless contract administration responsibilities were assigned to an office other than the contracting activity that awarded the contract. Orders and contracts assigned to DCMA for administration shall include a notice to require the contractor to submit a DD Form 1659, Application for U.S. Government Shipping Documentation/Instructions, to the transportation officer at the contract administration office for shipping instructions. Use a clause substantially the same as that provided at 52.225-9002, FMS Shipping Instructions (June 1998).
(b) A shipping address may be placed in FMS contracts if complete shipment is anticipated within 120 days of award.
(c) Contracts contemplating using f.o.b. origin shipping terms may include a firm shipping address.
(d) Additional contract provisions may be appropriate to satisfy unique requirements for requisitions that contain a "Z" or "Y" in card column 46. However, do not list the freight forwarder or embassy addresses in the contract.
(e) By memorandum dated August 10, 2000, the Defense Security Cooperation Agency approved the use of DVD with fast payment procedures as a means to improve support to foreign military sales customers. This approval will allow the inclusion of FMS customer requirements in many contract arrangements and eliminate unnecessary Government source inspections. However, the following considerations may affect the decision to include FMS requirements in DVD contracts:
(i) The ability to include FMS requirements in contracts may still be limited by preservation and packing requirements. Marking requirements must comply with MIL-STD-129 and the Security Assistance Management Manual for FMS requirements. Commercial marking practices do not generally contain all information required by those documents. It is particularly important to clearly mark the requisition number on the packaging.
(ii) Under the terms of the Letters of Offer and Acceptance (LOA) negotiated with foreign governments, title transfers to the foreign government at the contractor’s loading dock. [Note: The LOA language pertaining to title transfer at the contractor’s shipping dock does not require inspection and acceptance at origin or the use of f.o.b. origin shipping terms]. The LOAs also require repair and replacement of items for one year after shipment. Under fast payment procedures, the contractor is responsible for repair and replacement of items for a period of 180 days from the date title to the supplies vests in the Government. For FMS requirements, this would equate to 180 days from the date of shipment. In order to comply with the terms and conditions of the LOA when using fast payment procedures, problems not identified within 180 days of shipment must still be resolved by the Defense Supply Centers.
(iii) Material supplied to fulfill FMS requirements should receive the same level of inspection that is afforded to U.S. Military customers for the same material.
(iv) Direct Vendor Delivery of FMS shipments to freight forwarders may use Fast Payment procedures in accordance with 13.402(90)(2).