2-36.7 Construction Materials

The procedures in this part apply to all construction contracts. Deviations may be authorized by the VP, SM. For the purposes of this practice, the following definitions apply:

• Construction material components are articles, materials, and supplies incorporated directly into construction materials.
• Construction materials are articles, materials, and supplies brought to the construction site for incorporation into the building or work.
• Domestic construction material is (1) an unmanufactured construction material mined or produced in the U.S., or (2) a construction material manufactured in the U.S., if the cost of its components mined, produced, or manufactured in the U.S. exceeds 50 percent of the cost of all its components. The cost of each component includes transportation costs to the place of incorporation into the construction material and any applicable duty (whether or not a duty-free entry certificate is issued). Components of foreign origin of the same class or kind as those listed in Non-Available Products (subsection to this practices) are treated as domestic.
• Foreign construction material is a construction material other than a domestic construction material.

Only domestic construction materials may be used in construction, except:

• When the CO determines that use of a particular domestic construction material would be impracticable, or that its cost would be unreasonable, under guidelines established by the VP, SM, in the relevant handbook.
• When the VP, SM, determines that a construction material is not mined, produced, or manufactured in the U.S. in sufficient and reasonably available commercial quantities of satisfactory quality (see Non-Available Products).

Provision 1-3: Domestic Source Certificate — Construction Materials is incorporated by reference in Provision 4-3: Representations and Certifications, and must be checked-off by COs when the RFP calls for the purchase of construction materials. Clause 1-10: Preference for Domestic Construction Materials is incorporated by reference in Clause 4-2: Contract Terms and Conditions Required to Implement Policies, Statutes or Executive Orders, and must be checked-off by COs when the contract calls for the purchase of construction materials.