This is related to buy American provisions under ARRA.
The threshold comes from 25.402 of the FAR and is set by the US Trade representative
My questions are related to the application of this clause. To what does the term “obligation” refer and to what does the threshold apply?
(ii) Section 1605(d), which requires application of the Buy American requirement in a
manner consistent with U.S. obligations under international agreements. The restrictions of section
1605 of the Recovery Act do not apply to designated country iron, steel, and/or manufactured goods.
The Buy American requirement in section 1605 shall not be applied where the iron, steel or
manufactured goods used in the project are from a Party to an international agreement that obligates
the recipient to treat the goods and services of that Party the same as domestic goods and services.
This obligation shall only apply to projects with an estimated value of
$7,443,000 or more.
Martha M. Taylor
Assistant VP for Research
Auburn University
310 Samford Hall
Auburn, AL 36849
xxxxxx@auburn.edu