[Code of Federal Regulations]
[Title 22, Volume 1]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 22CFR228.14]

[Page 1040]
 
                       TITLE 22--FOREIGN RELATIONS
 
            CHAPTER II--AGENCY FOR INTERNATIONAL DEVELOPMENT
 
PART 228_RULES ON SOURCE, ORIGIN AND NATIONALITY FOR COMMODITIES 
AND SERVICES FINANCED BY USAID--Table of Contents
 
   Subpart B_Conditions Governing Source and Nationality of Commodity 
              Procurement Transactions for USAID Financing
 
Sec. 228.14  Nationality of suppliers of commodities.

    (a) The rules on nationality of suppliers of commodities relate only 
to the suppliers, and not to the commodities they supply. The 
nationality of the supplier is an additional eligibility criterion to 
the rules on source, origin and componentry.
    (b) A supplier providing commodities must fit one of the following 
categories for the transaction to be eligible for USAID financing:
    (1) An individual who is a citizen or a lawfully admitted permanent 
resident of a country or area included in the authorized geographic 
source code, except as provided in paragraph (c) of this section;
    (2) A corporation or partnership organized under the laws of a 
country or area included in the authorized geographic source code and 
with a place of business in such country;
    (3) A controlled foreign corporation (within the meaning of section 
957 et seq. of the Internal Revenue Code) as attested by current 
information on file with the Internal Revenue Service of the United 
States (on IRS Form 959, 2952, 3646, or on substitute or successor 
forms) submitted by shareholders of the corporation; or
    (4) A joint venture or unincorporated association consisting 
entirely of individuals, corporations, or partnerships which are 
eligible under either paragraph (b) (1), (2) or (3) of this section.
    (c) Citizens of any country or area, or firms or organizations 
located in, organized under the laws of, or owned in any part by 
citizens or organizations of any country or area not included in 
Geographic Code 935 are ineligible for financing by USAID as suppliers 
of commodities. Limited exceptions to this rule are:
    (1) Individuals lawfully admitted for permanent residence in the 
United States are eligible, as individuals or owners, regardless of 
their citizenship; and
    (2) The USAID Procurement Executive may authorize the eligibility of 
organizations having minimal ownership by citizens or organizations of 
non-Geographic Code 935 countries.

[61 FR 53616, Oct. 15, 1996; 62 FR 314, Jan. 3, 1997]

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