National Defense Authorization Act

The Berry Amendment (U.S.C. Title 10, Section 2533a), which goes back to 1941 and was first enacted as part of America's preparation for World War Two, requires the Department of Defense to give preference in procurement to domestically produced, manufactured, or home-grown products. In the case of clothing or textiles the Department is prohibited from foreign acquisitions above the simplified acquisition threshold of $150,000. Furthermore, the requirement is, for the most part, "fiber forward," meaning that, for example wool socks purchased with Department of Defense funds must be knit in America, of yarn spun in America, of wool fiber raised in America.

National Defense Authorization Act for Fiscal Year 2014 (Public Law No: 113-66) which was passed (H.R.3304) at the end of 2013 contains language, sought by the U.S. textile industry, calling for periodic audits of Berry Amendment compliance and semiannual reports on Berry compliance.

SEC. 1601. PERIODIC AUDITS OF CONTRACTING COMPLIANCE BY INSPECTOR GENERAL OF DEPARTMENT OF DEFENSE.

(a) Requirement for Periodic Audits of Contracting Compliance- The Inspector General of the Department of Defense shall conduct periodic audits of contracting practices and policies related to procurement under section 2533a of title 10, United States Code.

(b) Requirement for Additional Information in Semiannual Reports- The Inspector General of the Department of Defense shall ensure that findings and other information resulting from audits conducted pursuant to subsection (a) are included in the semiannual report transmitted to congressional committees under section 8(f)(1) of the Inspector General Act of 1978 (5 U.S.C. App.).