52.225-12 Notice of Buy American Requirement-Construction Materials Under Trade Agreements
Source: FAR 52.225-12 on acquisition.gov
FAR 52.225-12 requires contractors to follow strict procedures for requesting exceptions to Buy American requirements for construction materials under trade agreements, including timely submission of supporting data and alternate offers.
Overview
FAR 52.225-12 provides notice to offerors regarding the Buy American requirements for construction materials under applicable trade agreements. It defines key terms by reference to FAR 52.225-11 and outlines procedures for requesting exceptions to the Buy American statute, including submission of supporting data and timing requirements. The provision details how offers will be evaluated when exceptions are claimed, including price adjustments for foreign materials and tie-breaking rules. It also allows for alternate offers using domestic or designated country materials and specifies the process for submitting such offers, including the use of separate Standard Form 1442 and price comparison tables. Alternate versions of the provision modify the timing for exception requests and address specific country exclusions (e.g., Bahrain, Mexico, Oman) under certain trade agreements. The regulation ensures compliance with trade agreements while maintaining transparency and fairness in the evaluation of construction material offers.
Key Rules
- Definitions Reference
- Key terms are defined in FAR 52.225-11 and must be understood for compliance.
- Requests for Exception
- Offerors must submit requests for Buy American exceptions with supporting data, either before or with their offer, depending on the solicitation instructions.
- Evaluation of Offers
- Offers requesting exceptions are evaluated with price adjustments for foreign materials; tie-breakers favor offers not requesting exceptions.
- Alternate Offers
- Offerors may submit alternate offers using domestic or designated country materials, with separate forms and price tables required.
- Rejection or Acceptance of Offers
- Offers based on foreign materials without approved exceptions may be rejected or accepted if revised, depending on the procurement method.
Responsibilities
- Contracting Officers: Evaluate exception requests, apply price adjustments, and ensure compliance with trade agreements.
- Contractors: Submit timely and complete exception requests, provide required supporting data, and use correct forms for alternate offers.
- Agencies: Oversee adherence to Buy American and trade agreement requirements, and ensure fair evaluation of offers.
Practical Implications
- This provision ensures that contractors are aware of and comply with Buy American and trade agreement requirements for construction materials. It impacts offer preparation, especially when foreign materials are involved, and requires careful documentation and timely communication. Common pitfalls include incomplete exception requests, failure to submit alternate offers correctly, and misunderstanding evaluation criteria.
As prescribed in 25.1102(d)(1), insert the following provision:
Notice of Buy American Requirement-Construction Materials Under Trade Agreements (May 2014)
(a) Definitions. "Commercially available off-the-shelf (COTS) item," "construction material," "designated country construction material," "domestic construction material," and "foreign construction material," as used in this provision, are defined in the clause of this solicitation entitled "Buy American-Construction Materials Under Trade Agreements" (Federal Acquisition Regulation (FAR) clause 52.225-11).
(b) Requests for determination of inapplicability. An offeror requesting a determination regarding the inapplicability of the Buy American statute should submit the request to the Contracting Officer in time to allow a determination before submission of offers. The offeror shall include the information and applicable supporting data required by paragraphs (c) and (d) of FAR clause 52.225-11 in the request. If an offeror has not requested a determination regarding the inapplicability of the Buy American statute before submitting its offer, or has not received a response to a previous request, the offeror shall include the information and supporting data in the offer.
(c) Evaluation of offers.
(1) The Government will evaluate an offer requesting exception to the requirements of the Buy American statute, based on claimed unreasonable cost of domestic construction materials, by adding to the offered price the appropriate percentage of the cost of such foreign construction material, as specified in paragraph (b)(4)(i) of FAR clause 52.225-11.
(2) If evaluation results in a tie between an offeror that requested the substitution of foreign construction material based on unreasonable cost and an offeror that did not request an exception, the Contracting Officer will award to the offeror that did not request an exception based on unreasonable cost.
(d) Alternate offers.
(1) When an offer includes foreign construction material, other than designated country construction material, that is not listed by the Government in this solicitation in paragraph (b)(3) of FAR clause 52.225-11, the offeror also may submit an alternate offer based on use of equivalent domestic or designated country construction material.
(2) If an alternate offer is submitted, the offeror shall submit a separate https://www.gsa.gov/forms-library/solicitation-offer-and-award-construction-alteration-or-repair" target="_blank">Standard Form 1442 for the alternate offer, and a separate price comparison table prepared in accordance with paragraphs (c) and (d) of FAR clause 52.225-11 for the offer that is based on the use of any foreign construction material for which the Government has not yet determined an exception applies.
(3) If the Government determines that a particular exception requested in accordance with paragraph (c) of FARclause 52.225-11 does not apply, the Government will evaluate only those offers based on use of the equivalent domestic or designated country construction material, and the offeror shall be required to furnish such domestic or designated country construction material. An offer based on use of the foreign construction material for which an exception was requested-
(i) Will be rejected as nonresponsive if this acquisition is conducted by sealed bidding; or
(ii) May be accepted if revised during negotiations.
(End of Provision)
Alternate I (May 2014). As prescribed in 25.1102 (d)(2), substitute the following paragraph (b) for paragraph (b) of the basic provision:
(b) Requests for determination of inapplicability. An offeror requesting a determination regarding the inapplicability of the Buy American statute shall submit the request with its offer, including the information and applicable supporting data required by paragraphs (c) and (d) of FAR clause 52.225-11.
Alternate II (Nov 2023). As prescribed in 25.1102 (d)(3), add the definition of "Bahraini, Mexican, or Omani construction material" to paragraph (a) and substitute the following paragraph (d) for paragraph (d) of the basic provision:
(d) Alternate offers. (1) When an offer includes foreign construction material, except foreign construction material from a designated country other than Bahrain, Mexico, or Oman that is not listed by the Government in this solicitation in paragraph (b)(3) of FAR clause 52.225-11, the offeror also may submit an alternate offer based on use of equivalent domestic or designated country construction material other than Bahraini, Mexican, or Omani construction material.
(2) If an alternate offer is submitted, the offeror shall submit a separate https://www.gsa.gov/forms-library/solicitation-offer-and-award-construction-alteration-or-repair" target="_blank">Standard Form 1442 for the alternate offer, and a separate price comparison table prepared in accordance with paragraphs (c) and (d) of FAR clause 52.225-11 for the offer that is based on the use of any foreign construction material for which the Government has not yet determined an exception applies.
(3) If the Government determines that a particular exception requested in accordance with paragraph (c) of FAR clause 52.225-11 does not apply, the Government will evaluate only those offers based on use of the equivalent domestic or designated country construction material other than Bahraini, Mexican, or Omani construction material. An offer based on use of the foreign construction material for which an exception was requested-
(i) Will be rejected as nonresponsive if this acquisition is conducted by sealed bidding; or
(ii) May be accepted if revised during negotiations.