Overview
This section establishes the government's obligation to fund the testing and qualification of industrial resources that were developed or manufactured using assistance from Title III of the Defense Production Act of 1950.
Key Rules
- Mandatory Payment: The government is required to pay for all testing and qualification costs necessary to use or incorporate specific industrial resources.
- Statutory Basis: This policy is mandated by Section 126 of Public Law 102-558.
- Scope of Coverage: The rule specifically applies to resources manufactured or developed with assistance provided under Title III of the Defense Production Act of 1950.
Practical Implications
- Financial Relief for Contractors: Contractors utilizing DPA Title III resources do not bear the financial burden of the rigorous testing required to certify those resources for government use.
- Encouraging Domestic Capability: By absorbing these costs, the government incentivizes the integration of critical domestic industrial capabilities into major systems and programs.