Domestic Sourcing: The Buy American Act and TAA Explained (with Karri Palmetier)

Karri Palmetier is a legal expert on one of the fastest evolving subjects in government contracting: domestic-sourcing requirements. She joined me after her well-attended session at NCMA World Congress in Orlando, and we started our discussion with a new Executive Order. The Order prioritizes domestic sourcing in the military supply chain. Underlying that Order is a combination of complicated laws, the Buy American Act and the Trade Agreements Act (or TAA). This is an area where knowing the caselaw is critical. Neither the FAR nor the statute provide much guidance on how those laws operate in real-world situations. Karri and I talked through some of the biggest cases. Then I couldn’t let Karri leave Orlando without asking her about an important SBIR case about national security reviews. If you’re watching this on YouTube or listening to the podcast, you can find the full auto-generated transcript at http://www.govconintelligence.com. Links Karri Palmetier on LinkedIn   / karri-palmetier-93094736   Palmetier Law https://palmetierlaw.com/ Executive Order on “Securing America’s Defense Supply Chains and Ensuring Domestic Sourcing of Critical Materials” https://www.whitehouse.gov/presidenti... Buy American Act https://uscode.house.gov/view.xhtml?p... Trade Agreements Act https://uscode.house.gov/view.xhtml?p... FAR Part 25, Foreign Acquisition https://www.acquisition.gov/far/part-25 OMB’s Made in America Office https://www.madeinamerica.gov/ The DaVinci Company LLC v. United States (COFC) https://ecf.cofc.uscourts.gov/cgi-bin... Energizer Battery LLC v. United States (CIT) https://law.justia.com/cases/federal/... Cyber Power Sys. (USA) Inc. v. United States (CIT) https://law.justia.com/cases/federal/... Acetris Health LLC v. United States (CAFC) https://www.cafc.uscourts.gov/opinion... Kayvan Space Corp. v. United States (COFC) https://ecf.cofc.uscourts.gov/cgi-bin... Chapters 00:00 - Introduction to GovCon Intelligence and Karri Palmetier 01:58 - The Securing America’s Defense Supply Chains Executive Order 05:44 - Balancing Supply Chain Requirements and Small Business Burdens 10:57 - Demystifying the Buy American Act Pricing Preference 14:00 - The Made in America Office and the Waiver Process 18:00 - Defining Manufacturing and the Component Test 22:12 - The Trade Agreements Act (TAA) and the Da Vinci Case 28:33 - The Substantial Transformation Test Under the TAA 36:52 - Bid Protests vs. Customs Cases: The Acetris Decision 44:55 - Compliance Tips for Prime Contractors and Subcontractors 48:36 - Knowing Your Competition and Pricing Trade-offs 52:19 - SBIR Contracts and Foreign Ownership, Control, or Influence (FOCI) 57:10 - Conclusion and Contact Information With 20 years of Federal legal experience, Sam Le counsels small businesses through government contracting matters, including bid protests, contract compliance, small business certifications, and procurement disputes. Sam received his law degree from the University of Virginia and formerly served as SBA’s director of procurement policy. His website is http://www.samlelaw.com. This video is for informational purposes only and does not constitute legal advice.