SOURCE FOR PROCUREMENT OF CERTAIN VALVES AND MACHINE TOOLS

SEC. 822. SOURCE FOR PROCUREMENT OF CERTAIN VALVES AND MACHINE TOOLS Section 2507 of title 10, United States Code, as redesignated by section 821, is amended by adding at the end the following new subsection: “(d) Valves and Machine Tools.—(1) During fiscal years 1989, 1990, and 1991, funds appropriated or otherwise made available to the Department of Defense may not be used to enter into a contract for the procurement of items described in paragraph (2) that are not manufactured in the United States or Canada. “(2) Items covered by paragraph (1) are the following: “(A) Powered and non-powered valves in Federal Supply Classes 4810 and 4820 used in piping for naval surface ships and submarines. “(B) Machine tools in the Federal Supply Classes for metal-working machinery numbered 3405, 3408, 3410 through 3419, 3426, 3433, 3438, 3441 through 3443, 3445, 3446, 3448, 3449, 3460, and 3461. “(3) The Secretary of Defense may waive the requirement of paragraph (1) with respect to the procurement of an item if the Secretary determines that any of the following apply with respect to that item: “(A) The restriction would cause unreasonable costs or delays to be incurred. “(B) United States producers of the item would not be jeopardized by competition from a foreign country and that country does not discriminate against defense items produced in the United States to a greater degree than the United States discriminates against defense items produced in that country. “(C) Satisfactory quality items manufactured in the United States or Canada are not available. “(D) The restriction would impede cooperative programs entered into between the Department of Defense and a foreign country and that country does not discriminate against defense items produced in the United States to a greater degree than the United States discriminates against defense items produced in that country. 102 STAT. 2018 “(E) The procurement is for an amount less than $25,000 and simplified small purchase procedures are being used. “(F) The restriction would result in the existence of only one United States or Canadian source for the item. “(4) The provisions of this section may be renewed with respect to any item by the Secretary of Defense at the end of fiscal year 1991 for an additional two fiscal years if the Secretary determines that a continued restriction on that item is in the national security interest.”.