[Federal Register Volume 87, Number 44 (Monday, March 7, 2022)]
[Rules and Regulations]
[Page 12780]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-04179]



[[Page 12779]]

Vol. 87

Monday,

No. 44

March 7, 2022

Part II





Department of Defense





General Services Administration





National Aeronautics and Space Administration





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48 CFR Chapter 1





Federal Acquisition Regulations; Final Rules

  Federal Register / Vol. 87, No. 44 / Monday, March 7, 2022 / Rules 
and Regulations  

[[Page 12780]]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Chapter 1

[Docket No. FAR-2022-0051, Sequence No. 2]


Federal Acquisition Regulation; Federal Acquisition Circular 
2022-05; Introduction

AGENCY: Department of Defense (DoD), General Services Administration 
(GSA), and National Aeronautics and Space Administration (NASA).

ACTION: Summary presentation of a final rule.

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SUMMARY: This document summarizes the Federal Acquisition Regulation 
(FAR) rule agreed to by the Civilian Agency Acquisition Council and the 
Defense Acquisition Regulations Council (Councils) in this Federal 
Acquisition Circular (FAC) 2022-05. A companion document, the Small 
Entity Compliance Guide (SECG), follows this FAC.

DATES: For effective date see the separate documents, which follow.

FOR FURTHER INFORMATION CONTACT: Ms. Mahruba Uddowla, Procurement 
Analyst, at 703-605-2868 or by email at [email protected], for 
clarification of content. For information pertaining to status or 
publication schedules, contact the Regulatory Secretariat Division at 
202-501-4755 or [email protected]. Please cite FAC 2022-05, FAR Case 
2021-008.

                       Rule Listed in FAC 2022-05
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                           Subject                             FAR case
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Amendments to the FAR Buy American Act--Requirements........    2021-008
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ADDRESSES: The FAC, including the SECG, is available at https://www.regulations.gov.

SUPPLEMENTARY INFORMATION: A summary for the FAR rule follows. For the 
actual revisions and/or amendments made by this FAR rule, refer to the 
specific subject set forth in the document following this summary. FAC 
2022-05 amends the FAR as follows:

Amendments to the FAR Buy American Act Requirements (FAR Case 2021-008)

    This final rule amends the Federal Acquisition Regulation (FAR) to 
implement section 8 of E.O. 14005, Ensuring the Future Is Made in All 
of America by All of America's Workers. Upon the October 25, 2022, 
effective date, this final FAR rule changes the domestic content 
threshold to 60 percent immediately, then to 65 percent for items 
delivered starting in calendar year 2024, and then to 75 percent for 
items delivered starting in calendar year 2029. While a supplier that 
is awarded a contract with a period of performance that spans this 
schedule of domestic content threshold increases will be required to 
comply with each increased threshold for the items in the year of 
delivery, this rule allows for the agency senior procurement executive 
to apply an alternate domestic content test under which the contractor 
would be required to comply with the domestic content threshold in 
place at time of award for the entire life of the contract.
    This final rule also creates a fallback threshold that would allow 
for products and construction material meeting a 55 percent domestic 
content threshold to qualify as ``domestic'' under certain 
circumstances.
    In addition, the final rule creates a framework for application of 
an enhanced price preference for a domestic product/domestic 
construction material that is considered a critical item or made up of 
critical components. The list of critical items and critical 
components, along with the associated enhanced price preference, will 
be incorporated in the FAR through separate rulemaking.

William F. Clark,
Director, Office of Government-wide Acquisition Policy, Office of 
Acquisition Policy, Office of Government-wide Policy.

    Federal Acquisition Circular (FAC) 2022-05 is issued under the 
authority of the Secretary of Defense, the Administrator of General 
Services, and the Administrator of National Aeronautics and Space 
Administration.
    Unless otherwise specified, all Federal Acquisition Regulation 
(FAR) and other directive material contained in FAC 2022-05 is 
effective March 7, 2022 except for FAR Case 2021-008, which is 
effective October 25, 2022.

John M. Tenaglia,
Principal Director, Defense Pricing and Contracting, Department of 
Defense.

Jeffrey A. Koses,
Senior Procurement Executive/Deputy CAO, Office of Acquisition 
Policy, U.S. General Services Administration.

Karla Smith Jackson,
Assistant Administrator for Procurement, Senior Procurement 
Executive, National Aeronautics and Space Administration.

[FR Doc. 2022-04179 Filed 3-4-22; 8:45 am]
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