Nebraska Government Contractors Engage Whay Law Firm to Determine Product Compliance with the Buy American Act (BAA)

Learn More About TAA & BAA Compliance

Although the federal, state and local laws related to product compliance under the Buy American Act (BAA) may seem simple at first, in practice the regulations and procedures are complex. Both contractors and sub-contractors may experience a significant financial loss if products are found to be non-compliant. The Whay Law Firm assists Nebraska businesses in determining product compliance with the Buy American Act and related state or local regulations.

What is the BAA?

The BAA (41 U.S.C. §§ 8301–8305) passed in March 1933 during the height of the depression, represents the federal government’s preference for U.S.-made materials when procured by the U.S. government for public use. Like all states, Nebraska state laws include requirements to purchase U.S.-made goods for public contracts, state construction contracts, and local schools contracts. Also, third-party purchases, such as contractors’ purchases for highway and other government-funded transit programs, are subject to BAA requirements.

Some exceptions to the BAA include the Trade Agreements Act (TAA), Price Reasonableness, and Department of Defense (DoD) contracts. Here are some details:

• The President can waive BAA requirements under the TAA for certain goods from designated countries. BAA requirements are generally satisfied if the products subject to the Trade Agreements Act requirements.
• If the U.S.-made product is significantly more expensive than the foreign product, the agency may purchase the foreign product. This is referred to as Price Reasonableness. A compliance decision depends on business size, among other details of the procurement.
• Application of the BAA by the DoD is significantly different than by a civilian agency. DoD procurements that are subject to the BAA require that 50% of the component costs of end products be from the United States or a Qualifying Country.

Contact the Whay Law Firm’s BAA Experts Before You Bid on Government Contracts

Companies may run the risk of over-certifying when bidding on a government contract. It takes deep legal experience to determine product compliance. The Whay Law Firm government contract experts will work with you to analyze the product components and parts, review the relevant FAR clauses included in the prime contract/solicitation to determine your specific product compliance with the requirements of the RFP.