On July 29, the Federal Acquisition Regulation (FAR) Council issued a proposed rule to add and expand on direct federal construction projects (not federal-aid transportation projects). The proposed rule increases the domestic content required to 60% with increases in two years to 70% and then 75% in five years. It permits acceptance of products and construction materials up to six years after publication of the rule which are unavailable at an acceptable cost. It also states that a higher price preference may be identified for critical end products and construction materials. The rule was initiated as a result of President Biden’s Executive Order on . White House staff briefed Íæż½ã½ã on the direction of the proposed rulemaking and Íæż½ã½ã gave feedback to inform the FAR Council’s process. Íæż½ã½ã will provide feedback on how this rule should not exacerbate continuing construction material shortages and price spikes.
For more information, contact jordan.howard@agc.org or (703) 837-5368.