the Statistics and Reports Division, AID Washington, and filed with the AID Manual as Manual Order 302.1. Four principal codes are referred to in this subpart and standard forms in current use:

000-The United States, as defined in AIDPR 7-6.5201-6.

899-Any area or country in the Free World,

excluding the cooperating country itself when used as a possible source of AID-financed purchases.

901-Any area or country in the Free World, excluding the cooperating country itself and the developed countries listed in AIDPR 7-6.5202.

935-Any area or country in the Free World, including the cooperating country itself.

§ 7-6.5201-2 Commodity.

"Commodity" means any form of personal property, including articles, materials, goods, and supplies.

the Treasury Department, which establishes policies for the barring of procurement from sources outside the Free World. They are published in Parts 500 and 515 of Title 31 of the Code of Federal Regulations. In addition, section 604(a) of the Foreign Assistance Act, as implemented by a Presidential determination of October 18, 1961, as amended (26 FR 10543, 27 FR 7603), limits procurement, from these developed countries:

Australia, Austria, Belgium, Canada, Denmark, France, Germany (Federal Republic), Italy, Japan, Luxembourg, Monaco, Netherlands, New Zealand, Norway, South Africa, Spain, Sweden, Switzerland, and the United Kingdom.

Subsequent Presidential directives require that no dollar be sent abroad that can be sent instead in the form of U.S.goods and services.

§7-6.5203 AID policy.

Commodities procured with U.S. dollars rather than with local currencies for foreign assistance projects will be of U.S. source and shall have been mined, grown, or through manufacturing, processing, or assembly produced in the United States. Exceptions to this policy may be made in accordance with AID Handbook 15, Commodities. [33 FR 4253, Mar. 7, 1968, as amended at 42 FR 4842, Jan. 26, 1977]

§ 7-6.5204 Commodities procured under supply contracts.

The following certification must be attached to or endorsed on each invoice presented for payment under all supply contracts for procurement in the United States, and any supply contract which exceeds $2,500 for procurement outside the United States to which this subpart applies and must be signed by the supplier or his authorized representative:

I (We) hereby certify that the "source" (as defined by AID) of the commodities listed on the attached invoice or invoiced herein is as shown below and that such invoiced commodities were mined, grown, or produced in a country or countries covered by AID Geographic Code I (We) further certify that, to the best of my (our) information and belief, with respect to any produced commodity invoiced, (a) the cost

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of components (delivered to point of production) acquired by the producer of the commodity in the form in which imported into the country of production from Free World countries other than countries covered by AID Geographic Code does not exceed in total cost 50 percent of the lowest price (excluding the cost of ocean transportation and marine insurance) at which I (we) make the commodity available for export sale (whether or not financed by AID), and (b) the produced commodity does not contain any components (i) imported from countries not included under AID Geographic Code 899 or (ii) prohibited by the Foreign Assets Control (FAC) or Cuban Assets Control (CAC) Regulations of the U.S. Treasury Department, or (c) if AID has excepted the commodity from any of the foregoing requirements, the commodity meets all conditions specified by AID in connection with such exception. I (We) understand that a false certification made herein may be punishable by law.

Source of commodities

Authorized signature of supplier
Title
Date

[32 FR 8468, June 14, 1967, as amended at 40 FR 16205, Apr. 10, 1975]

§ 7-6.5205 Commodities procured under service contracts.

U.S. dollar funded contracts for the performance of services will require a U.S. source for all commodities to be delivered under the contract, in whatever form and for all commodities the cost of which (including charges for use) is subject to reimbursement in U.S. dollars. With respect to any such commodities which cost more than $2,500 to procure or acquire (including charges for use), they shall have been mined, grown, or through manufacturing, processing, or assembly produced in the United States and an appropriate certificate will be required. For cost reimbursement contracts, the certification requirement is generally met by the Contractor furnishing suppliers' certificates, as provided in the contract. A form for such certification is set out in Appendix A to AID Regulation 1 published in Part 201, Title 22 of the Code of Federal Regulations, and reproduced in AID Manual Order 1456.1. If (a) the effective use of printed or audiovisual teaching materials depends upon their being in the local language, and (b) such materials are