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President Biden signed an executive order (EO) on January 25, 2021, titled “Ensuring the Future Is Made in All of America by All of America’s Workers.” Referring broadly to all statutes, regulations, rules, and executive orders that relate to Buy America, Buy American, or domestic sourcing requirements as “Made in America Laws,” the EO expresses the new administration’s policy that the U.S. government should maximize the use of domestic products and services and “should, whenever possible, procure goods, products, materials, and services from sources that will help American businesses compete in strategic industries and help America’s workers thrive.” This new EO was issued just days after the Federal Acquisition Regulatory Council (FAR Council) finalized a rule to increase the Buy American Act (BAA) domestic content requirements.
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On January 25, President Biden signed an Executive Order that contemplates increasing the domestic content thresholds and price preferences for domestic goods under the Buy American Act ( BAA, 41 U.S.C. §§ 8301-8305).
1 The Order follows the Federal Acquisition Regulatory Council s issuance of a final rule on January 19 (the Trump administration s last full day in office) that increased the domestic content thresholds and price preferences under the BAA pursuant to a July 2019 Executive Order issued by President Trump.
2 President Biden s Order directs the FAR Council to consider proposing further increases, along with changes to the methodology used to measure domestic content under the BAA. The Order also establishes a new, centralized process aimed at minimizing federal agencies use of the waivers and exceptions authorized by the BAA, and by other statutes that require or give preference to the use of dome
Wednesday, February 3, 2021
Recent modifications to regulations and federal government acquisition policies portend big change for contractors across the US, and their suppliers around the world. Breaking away from traditional political positions, former President Donald Trump and newly-inaugurated President Joe Biden each took steps in January 2021 to revise Buy American Act (BAA) requirements, which could have significant impacts on companies doing business with the US government.
Federal Acquisition Council Issues Final Rule
On January 19, 2021 – the day before inauguration – the Federal Acquisition Regulatory Council (the FAR Council) issued its long-anticipated Final Rule, largely implementing a July 2019 Trump Administration Executive Order seeking to maximize the use of US-made goods. The Final Rule makes three key changes to BAA requirements.
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WHAT: President Biden continued his flurry of initial executive actions by signing an Executive Order (EO) on Tackling the Climate Crisis at Home and Abroad. The Executive Order builds on the Biden Administration’s previous climate change actions, such as submitting documentation to rejoin the Paris Agreement, and lays out the President’s plans to address climate change through both foreign policy and government-wide activities within the United States. When fully implemented, the Executive Order could affect the types of purchases the Government makes and impose additional environmental responsibilities on private sector entities that do business with the Government. Given the wide range of the Executive Order, the types of affected contractors could be similarly sweeping extending beyond traditional providers of goods and services to include industries such as communications, transportation, managed services, technol