Page:United States Statutes at Large Volume 102 Part 2.djvu/542

 102 STAT. 1546

PUBLIC LAW 100-418—AUG. 23, 1988

contract or class of contracts if the President or the head of the Federal agency— "(1) determines that such action is necessary— "(A) in the public interest; "(B) to avoid the restriction of competition in a manner which would limit the procurement in question to, or would establish a preference for, the services, articles, materials, • or supplies of a single manufacturer or supplier; or "(C) because there would be or are an insufficient number of potential or actual bidders to assure procurement of services, articles, materials, or supplies of requisite quality at competitive prices; and "(2) notifies the Committee on Grovernmental Affairs of the Senate, as well as other appropriate Senate committees, and the appropriate conmiittees of the House of Representatives, of such determination— "(A) not less than 30 days prior to the date of the award of the contract or the date of authorization of the award of a class of contracts; or "(B) if the agency's need for the service, article, material, or supply is of such urgency that the United States would be seriously injured by delaying the award or authorization, not more than 90 days after the date of such award or authorization. "(d) The authority of the head of a Federal agency under subsection (c) shall not apply to contracts subject to memorandums of understanding entered into by the Department of Defense (or any military department) and a representative of a foreign country (or agency or instrumentality thereof). In the case of any such contracts, any determinations and notice required by subsection (c) shall be made by— "(1) the President, or "(2) if delegated, by the Secretary of Defense or the Secretary of the Army, Navy, or Air Force, subject to review and policy guidance by the organization established under section 242(a) of the Trade Expansion Act of 1962 (19 U.S.C. 1872(a)). "(e) The authority of the head of a Federal agency under subsection (c) or (d) of this section may not be delegated. "(f) Nothing in this section shall restrict the application of the prohibition under section 302(a)(l) of the Trade Agreements Act of 1979. "(g)(1) For purposes of this section with respect to construction services, a contractor or subcontractor is owned or controlled directly or indirectly by citizens or nationals of a foreign country if— "(A) 50 percent or more of the voting stock of the contractor or subcontractor is owned by one or more citizens or nationals of the foreign country; "(B) the title to 50 percent or more of the stock of the contractor or subcontractor is held subject to trust or fiduciary obligations in favor of one or more citizens or nationals of the foreign country; "(C) 50 percent or more of the voting stock of the contractor or subcontractor is vested in or exercisable on behalf of one or more citizens or nationals of the foreign country; "(D) the case of a corporation— "(i) the number of its directors necessary to constitute a quorum are citizens or nationals of the foreign country; or

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