Defense Acquisition: Rationale for Imposing Domestic Source Restrictions.
Abstract
In response to your request, we reviewed the basis for domestic source restrictions imposed by Department of Defense (DOD) policy and by 10 U.S.C 2534. We did not assess other congressionally imposed restrictions. Specifically, we reviewed DOD'S policy for restricting procurement to domestic sources and examined the rationale for the legislative restrictions. As requested, we also identified the suppliers and manufacturing locations for items currently restricted. There are numerous legislative authorities by which domestic source restrictions are imposed to limit DOD procurement. Under 10 U.S.C. 2534, which contains restrictions on several types of items, the Secretary of Defense is permitted to procure only from manufacturers in the national technology and industrial base. This restriction can be waived when, for example, unreasonable cost or delays would result, items of satisfactory quality are not available, or the limitation would adversely affect a U.S. company. DOD also has the authority to administratively restrict items for reasons of national security and industrial base preservation, including protection of sensitive technologies and products. The Buy American Act, Trade Agreements Act, and various appropriations legislation, including the Berry Amendment, are other legislative tools for imposing domestic source restrictions. Appendix I describes these legislative authorities.
Document Details
- Document Type
- Technical Report
- Publication Date
- Jul 01, 1998
- Accession Number
- ADA349557
Entities
Organizations
- United States Government Accountability Office