52.225-3  Buy American Act-Free Trade Agreements-Israeli Trade Act.

11. Amend section 52.225-3 by-

a.  Revising the date of the provision;

b.  In paragraph (a) in the definition "Free Trade Agreement country" removing "Honduras, Mexico" and adding "Honduras, Korea (Republic of), Mexico" in its place;

c.  Removing from the first sentence of paragraph (c) "(41 U.S.C. 10a- 10d)" and adding "(41 U.S.C. chapter 83)" in its place;

d.  Removing from the second sentence of paragraph (c) "41 U.S.C. 431" and adding "41 U.S.C. 1907" in its place;

e.  Removing from the introductory text of Alternate I "(JAN 2004)" and adding "(MAR 2012)" in its place;

f.  Removing from the first sentence in paragraph (c) of Alternate I "The Contracting Officer" and adding "41 U.S.C. chapter 83 provides a preference for domestic end products for supplies acquired for use in the United States. In accordance with 41 U.S.C. 1907, the component test of the Buy American Act is waived for an end product that is a COTS item (See 12.505(a)(1)). In addition, the Contracting Officer" in its place;

g.  Removing from the introductory text of Alternate II "(JAN 2004)" and adding "(MAR 2012)" in its place;

h.  Removing from the first sentence in paragraph (c) of Alternate II "The Contracting Officer" and adding "41 U.S.C. chapter 83 provides a preference for domestic end products for supplies acquired for use in the United States. In accordance with 41 U.S.C. 1907, the component test of the Buy American Act is waived for an end product that is a COTS item (See 12.505(a)(1)). In addition, the Contracting Officer" in its place; and

i.  Adding Alternate III.

The revised and added text reads as follows:

52.225-3  Buy American Act-Free Trade Agreements-Israeli Trade Act.

* * * * *

BUY AMERICAN ACT-FREE TRADE AGREEMENTS-ISRAELI TRADE ACT (MAR 2012)

* * * * *

Alternate III (MAR 2012). As prescribed in 25.1101(b)(1)(iv), delete the definition of "Bahrainian, Moroccan, Omani, or Peruvian end product" and add in its place the following definition of "Bahrainian, Korean, Moroccan, Omani, or Peruvian end product" in paragraph (a) of the basic clause; and substitute the following paragraph (c) for paragraph (c) of the basic clause:

Bahrainian, Korean, Moroccan, Omani, or Peruvian end product means an article that-

(1)  Is wholly the growth, product, or manufacture of Bahrain, Korea (Republic of), Morocco, Oman, or Peru; or

(2)  In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in Bahrain, Korea (Republic of), Morocco, Oman, or Peru into a new and different article of commerce with a name, character, or use distinct from that of the article or articles from which it was transformed. The term refers to a product offered for purchase under a supply contract, but for purposes of calculating the value of the end product includes services (except transportation services) incidental to the article, provided that the value of those incidental services does not exceed that of the article itself.

(c)  Delivery of end products. 41 U.S.C. chapter 83 provides a preference for domestic end products for supplies acquired for use in the United States. In accordance with 41 U.S.C. 1907, the component test of the Buy American Act is waived for an end product that is a COTS item (See 12.505(a)(1)). In addition, the Contracting Officer has determined that FTAs (except the Bahrain, Korea (Republic of), Morocco, Oman, and Peru FTAs) and the Israeli Trade Act apply to this acquisition. Unless otherwise specified, these trade agreements apply to all items in the Schedule. The Contractor shall deliver under this contract only domestic end products except to the extent that, in its offer, it specified delivery of foreign end products in the provision entitled "Buy American Act-Free Trade Agreements-Israeli Trade Act Certificate." If the Contractor specified in its offer that the Contractor would supply a Free Trade Agreement country end product (other than a Bahrainian, Korean, Moroccan, Omani, or Peruvian end product) or an Israeli end product, then the Contractor shall supply a Free Trade Agreement country end product (other than a Bahrainian, Korean, Moroccan, Omani, or Peruvian end product), an Israeli end product or, at the Contractor's option, a domestic end product.