Dept. of Defense Announces that Threshold for Applicability of Berry Amended Will Remain Unchanged

The Berry Amendment, which requires domestic sourcing for most textiles and clothing acquired by the Department of Defense, does not apply if the government prime contract is below the Simplified Acquisition Threshold ("SAT"). If the prime contract is at or over the SAT, the prime contractor must comply with the restrictions of the Berry Amendment.

The SAT is currently $150.000. Every five years the SAT adjusted for inflation.

On November 6, 2014, the Defense Acquisition Regulations System published in the Federal Register inflation-adjusted SATs to go into effect October 1, 2015. In the case of the SAT that governs applicability of the Berry amendment, the amount of inflation was less than the rounding rule, therefore, there will be no adjustment to the SAT of $150,000, which determines the size of contracts subject to Berry Amendment restrictions.