
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 49USC50103]

 
                        TITLE 49--TRANSPORTATION
 
                     SUBTITLE VII--AVIATION PROGRAMS
 
                          PART E--MISCELLANEOUS
 
                  CHAPTER 501--BUY-AMERICAN PREFERENCES
 
Sec. 50103. Contract preference for domestic firms

    (a) Definitions.--In this section--
        (1) ``domestic firm'' means a business entity incorporated, and 
    conducting business, in the United States.
        (2) ``foreign firm'' means a business entity not described in 
    clause (1) of this subsection.

    (b) Preference.--Subject to subsections (c) and (d) of this section, 
the Administrator of the Federal Aviation Administration may make, with 
a domestic firm, a contract related to a grant made under section 44511, 
44512, or 44513 of this title that, under competitive procedures, would 
be made with a foreign firm, if--
        (1) the Administrator decides, and the Secretary of Commerce and 
    the United States Trade Representative concur, that the public 
    interest requires making the contract with the domestic firm, 
    considering United States international obligations and trade 
    relations;
        (2) the difference between the bids submitted by the foreign 
    firm and the domestic firm is not more than 6 percent;
        (3) the final product of the domestic firm will be assembled 
    completely in the United States; and
        (4) at least 51 percent of the final product of the domestic 
    firm will be produced in the United States.

    (c) Nonapplication.--Subsection (b) of this section does not apply 
if--
        (1) compelling national security considerations require that 
    subsection (b) of this section not apply; or
        (2) the Trade Representative decides that making the contract 
    would violate the multilateral trade agreements (as defined in 
    section 3501(4) of title 19) or an international agreement to which 
    the United States is a party.

    (d) Application to Certain Grants.--This section applies only to a 
contract related to a grant made under section 44511, 44512, or 44513 of 
this title for which--
        (1) an amount is authorized by section 48102(a), (b), or (d) of 
    this title to be made available for the fiscal years ending 
    September 30, 1991, and September 30, 1992; and
        (2) a solicitation for bid is issued after November 5, 1990.

    (e) Report.--The Administrator shall submit a report to Congress 
on--
        (1) contracts to which this section applies that are made with 
    foreign firms in the fiscal years ending September 30, 1991, and 
    September 30, 1992;
        (2) the number of contracts that meet the requirements of 
    subsection (b) of this section, but that the Trade Representative 
    decides would violate the multilateral trade agreements (as defined 
    in section 3501(4) of title 19) or an international agreement to 
    which the United States is a party; and
        (3) the number of contracts made under this section.

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1298, Sec. 49103; 
renumbered Sec. 50103, Pub. L. 104-287, Sec. 5(88)(D), Oct. 11, 1996, 
110 Stat. 3398; amended Pub. L. 106-36, title I, Sec. 1002(i), June 25, 
1999, 113 Stat. 134.)

                                          Historical and Revision Notes
-------------------------------------------------------------------------------
---------------------------------
           Revised  Section                    Source (U.S. Code)              
 Source (Statutes at Large)
-------------------------------------------------------------------------------
---------------------------------
49103(a)..............................  49 App.:2226d(e).                Nov. 5
, 1990, Pub. L. 101-508, Sec.
                                                                          9207,
 104 Stat. 1388-375.
49103(b)..............................  49 App.:2226d(a).
49103(c)..............................  49 App.:2226d(b).
49103(d)..............................  49 App.:2226d(c).
49103(e)..............................  49 App.:2226d(d).
-------------------------------------------------------------------------------
---------------------------------

    In subsection (a), the text of 49 App.:2226d(e)(1) is omitted 
because the complete name of the Administrator of the Federal Aviation 
Administration is used the first time the term appears in a section.
    In subsection (b), before clause (1), the words ``Subject to 
subsections (c) and (d) of this section'' are added to alert the reader 
to the limitations in those subsections. In clause (1), the words 
``requires making the contract with the domestic firm'' are substituted 
for ``so requires'' for clarity. The words ``considering United States 
international obligations and trade relations'' are substituted for ``In 
determining under this subsection whether the public interest so 
requires, the Administrator shall take into account United States 
international obligations and trade relations'' to eliminate unnecessary 
words. In clause (4), the words ``when completely assembled'' are 
omitted as surplus. The words ``produced in the United States'' are 
substituted for ``domestically produced'' for consistency with clause 
(3).
    In subsection (c), the words ``(1) such applicability would not be 
in the public interest'' are omitted as redundant to subsection (b)(1) 
of the revised section.
    In subsection (e)(1), the words ``foreign firms'' are substituted 
for ``foreign entities'' for consistency in the revised section.
    Subsection (e)(3) is substituted for ``the number of contracts 
covered under this subtitle (including the amendments made by this 
subtitle) and awarded based upon the parameters of this section'' to 
eliminate unnecessary words.


                               Amendments

    1999--Subsecs. (c)(2), (e)(2). Pub. L. 106-36 substituted 
``multilateral trade agreements (as defined in section 3501(4) of title 
19)'' for ``General Agreement on Tariffs and Trade''.
    1996--Pub. L. 104-287 renumbered section 49103 of this title as this 
section.
