Limited Public Interest Waiver Under the American Recovery and Reinvestment Act of 2009 (Recovery Act), 48864-48865 [2013-19477]
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48864
Federal Register / Vol. 78, No. 155 / Monday, August 12, 2013 / Notices
performance of duties imposed upon the
Department of Energy, by law and
agreement. The Committee will
continue to operate in accordance with
the provisions of the Federal Advisory
Committee Act, adhering to the rules
and regulations in implementation of
that Act.
FOR FURTHER INFORMATION CONTACT:
Edmund J. Synakowski at (301) 903–
4941.
Issued in Washington, DC, on August 5,
2013.
Carol A. Matthews,
Committee Management Officer.
[FR Doc. 2013–19473 Filed 8–9–13; 8:45 am]
BILLING CODE 6450–01–P
DEPARTMENT OF ENERGY
Office of Energy Efficiency and
Renewable Energy
Limited Public Interest Waiver Under
the American Recovery and
Reinvestment Act of 2009 (Recovery
Act)
Office of Energy Efficiency and
Renewable Energy, U.S. Department of
Energy (DOE).
ACTION: Notice of Limited Waiver.
AGENCY:
The U.S. Department of
Energy (DOE) is hereby granting a
determination of inapplicability
(unreasonable cost waiver) of section
1605 of the American Reinvestment and
Recovery Act of 2009 (Recovery Act Buy
American provisions) to the California
Energy Commission, recipient of EECBG
grant EE0000905, for the installation of
a heating, ventilation, and air
conditioning (HVAC) system at the City
˜
of La Canada Flintridge City Hall
building.
This waiver applies only to this
project.
DATES: Effective Date: September 12,
2012.
FOR FURTHER INFORMATION CONTACT:
Christine Platt-Patrick, Weatherization
and Intergovernmental Program, Office
of Energy Efficiency and Renewable
Energy (EERE), (202) 287–1553,
buyamerican@ee.doe.gov, Department of
Energy, 1000 Independence Avenue
SW., Mailstop EE–2K, Washington, DC
20585.
SUPPLEMENTARY INFORMATION: Under the
authority of the Recovery Act, section
1605(b)(3), the head of a Federal
department or agency may issue a
‘‘determination of inapplicability’’ (a
waiver of the Buy American provisions)
if the application of section 1605 would
represent an ‘unreasonable cost’. The
mstockstill on DSK4VPTVN1PROD with NOTICES
SUMMARY:
VerDate Mar<15>2010
14:51 Aug 09, 2013
Jkt 229001
authority of the Secretary of Energy to
make all inapplicability determinations
was re-delegated to the Assistant
Secretary for Energy Efficiency and
Renewable Energy (EERE), for EERE
projects under the Recovery Act, in
Redelegation Order No. 00–002.01E,
dated April 25, 2011, for EERE Recovery
Act projects.
Pursuant to this delegation, the
Assistant Secretary has determined that
application of section 1605 restrictions
represents an ‘unreasonable cost’ for the
project described herein.
Specifically, this unreasonable cost
determination waives the Buy American
requirements to the California Energy
Commission, recipient of EECBG grant
EE0000905, for the installation of a
heating, ventilation, and air
conditioning (HVAC) system at the at
˜
the City of La Canada Flintridge City
Hall building.
EERE has developed a robust process
to ascertain in a systematic and
expedient manner whether or not there
is domestic manufacturing capacity for
the items submitted for a waiver of the
Recovery Act Buy American provision.
This process involves a close
collaboration with the United States
Department of Commerce National
Institute of Standards and Technology
(NIST) Manufacturing Extension
Partnership (MEP), in order to scour the
domestic manufacturing landscape in
search of producers before making any
nonavailability or unreasonable cost
determinations.
The NIST MEP has 59 regional centers
with substantial knowledge of, and
connections to, the domestic
manufacturing sector. MEP uses their
regional centers to ‘scout’ for current or
potential manufacturers of the
product(s) submitted in a waiver
request. In the course of this interagency
collaboration, MEP has been able to find
exact or partial matches for
manufactured goods that EERE grantees
had been unable to locate. As a result,
in those cases, EERE was able to work
with the grantees to procure Americanmade products rather than granting a
waiver.
Upon receipt of completed waiver
requests for the product in the current
waiver, EERE reviewed the information
provided and submitted the relevant
technical information to the NIST MEP.
The MEP then used their network of
nationwide centers to scout for domestic
manufacturers.
In addition to the MEP collaboration
outlined above, the EERE Buy American
Team worked with labor unions, trade
associations and other manufacturing
stakeholders to scout for domestic
manufacturing capacity or an equivalent
PO 00000
Frm 00010
Fmt 4703
Sfmt 4703
product for the HVAC components
contained in this waiver. EERE also
conducted significant amounts of
independent research to supplement
MEP’s scouting efforts.
As a result of EERE’s efforts and
MEP’s scouting process, it was
determined that if the described HVAC
system was manufactured domestically,
it will increase the total project cost by
more than 25%.
The subject HVAC Replacement
Project entails the replacement of eight
(8) package rooftop units (gasheat/
˜
electric cool) at the City of La Canada
Flintridge City Hall building. Units are
in the range of 21⁄2 to 5 tons in cooling
capacity. New package units shall be
equipped with air-side economizers and
new roof curbs. The City solicited bid
proposals for the project through a
public bid process.
Contract drawings and specifications
were created based on a Carrier design
(Model 48ES Series) which at the time
of document preparation was believed
to be manufactured in the United States.
A ‘‘Product Bulletin’’ (dated July 26,
2010) from Carrier indicated that the
Carrier unit (Model 48ES) was indeed
manufactured in America not long ago.
Specifically, the subject HVAC unit
(48ES) was manufactured at Carrier’s
plant in Tyler, TX, before recently
moving its operation to Mexico.
The primary reason that Carrier
(Model 48ES) was used as the basis of
design for this project was because the
existing units presently serving the City
Hall building are also made by Carrier.
In an effort to reduce project complexity
and installation costs, it was understood
that the proposed units shall have equal
(or near equal) dimensions as the
existing units. The sure way this would
be accomplished is through use of new
Carrier units. While other manufacturers
may have equal performance
characteristics, dimensional data may be
significantly different. This includes but
is not limited to (a) Unit base
dimensions/footprint, (b) unit height, (c)
supply/return duct openings and
dimensions, (d) electrical and natural
gas line connection locations and
clearances, all of which could impact
the project’s complexity and costs. The
grant recipient provided a mechanical
unit schedule (from the Contract
Drawings) in the application for a
waiver, which includes a comparison of
existing and proposed HVAC unit
dimensions.
City and Contractor then conducted a
survey of the market to find HVAC
Packaged Units that meet both the
technical specs and the Buy American
requirements. Four manufacturers were
identified by the City, one was
E:\FR\FM\12AUN1.SGM
12AUN1
Federal Register / Vol. 78, No. 155 / Monday, August 12, 2013 / Notices
identified by MEP. Accordingly, the
City asked the Contractor to provide a
price proposal for a change order that
would accommodate the domestic units.
In order to accommodate the domestic
unit significant work would need to be
done to the roof and ductwork. This
work would include:
mstockstill on DSK4VPTVN1PROD with NOTICES
‘‘equipment curbs will be re-leveled using
sloped 4x lumber to match the original
rooftop duct work bottom layout and be
attached to the building structure. 4 of the
units will need to be set back to allow for the
hookup and transition to the existing duct
work. The roof portion from where the
existing equipment curb was will be properly
re-roofed. Some of the existing roof ductwork
will be demolished and disposed of properly
to allow for the hook up of new duct. All 8
units will get new rooftop duct transitions,
duct, fittings and duct supports to
accommodate the termination from the
existing roof duct work to the new HVAC
units and economizers. All utilities will be
extended to terminate on the new equipment.
The existing condensate system will be
reconfigured to terminate to the new
equipment. A/C #3 will have to have the
existing stub ups for the high & low voltage
relocated from the underside to
accommodate the new equipment curb
location and roofed in on completion.’’
(Contractor’s estimate, April 24, 2012)
The total cost of this additional work
would be approximately $29,770.00. The
total cost of the manufactured goods would
remain the same, $52,350.00. The additional
cost represents a 56.9% increase in total
project costs.
Section 176.110 of Title 2 of the Code of
Federal Regulations, entitled ‘‘Evaluating
proposals of foreign iron, steel, and/or
manufactured goods’’, states that if ‘‘the
award official receives a request for an
exception based on the cost of certain
domestic iron, steel, and/or manufactured
goods being unreasonable, in accordance
with § 176.80, then the award official shall
apply evaluation factors to the proposal to
use such foreign iron, steel, and/or
manufactured goods.’’
Per that section, the total evaluated
cost = project cost estimate + (.25 ×
project cost estimate). The total cost of
the project including the foreign
manufactured HVAC is $52,350. The
total evaluated cost is $52,350 + (.25 ×
$52,350) or $65,437.50
The minimum cost for the project
with US products is $82,120, a cost
increase of 56%. In light of the
foregoing, and under the authority of
section 1605(b)(3) of Public Law No.
111–5 and the Re-delegation Order
dated April 25, 2011, with respect to
Recovery Act projects funded by EERE,
on October 24, 2011, the Acting
Assistant Secretary issued a
determination of inapplicability
(unreasonable cost waiver) of section
1605 of the American Reinvestment and
Recovery Act of 2009 (Recovery Act Buy
VerDate Mar<15>2010
14:51 Aug 09, 2013
Jkt 229001
American provisions) to the California
Energy Commission, recipient of EECBG
grant EE0000905, for the installation of
a heating, ventilation, and air
conditioning (HVAC) system at the at
˜
the City of La Canada Flintridge City
Hall building. This waiver applies only
to this project.
This waiver determination was made
pursuant to the delegation of authority
by the Secretary of Energy to the
Assistant Secretary for Energy Efficiency
and Renewable Energy with respect to
expenditures within the purview of his
responsibility. Consequently, this
waiver applies only to EERE projects
carried out under the Recovery Act; and
only to this project specifically, waiver
requests, even for the same or similar
items, will be handled individually,
because individual factors apply to each
project.
Authority: Public Law 111–5, section 1605.
Issued in Washington, DC on September
12, 2012.
David T. Danielson,
Assistant Secretary, Energy Efficiency and
Renewable Energy, U.S. Department of
Energy.
Editorial Note: This document was
received at the Office of the Federal Register
August 7, 2013.
[FR Doc. 2013–19477 Filed 8–9–13; 8:45 am]
BILLING CODE 6450–01–P
DEPARTMENT OF ENERGY
Office of Energy Efficiency and
Renewable Energy
Nationwide Categorical Waivers Under
the American Recovery and
Reinvestment Act of 2009 (Recovery
Act)
Office of Energy Efficiency and
Renewable Energy, U.S. Department of
Energy (DOE).
ACTION: Notice of Amended Limited
Waivers.
AGENCY:
The U.S. Department of
Energy (DOE) is hereby granting an
Amended Waiver of section 1605 of the
American Reinvestment and Recovery
Act of 2009 (Recovery Act Buy
American provisions) in EERE-funded
projects limiting the waiver issued
February 11, 2010 to plug in CFLs of 10
inches or less and fluorescent electronic
ballasts not capable of dimming.
DATES: Effective Date: 01/31/2013.
FOR FURTHER INFORMATION CONTACT:
Christine Platt-Patrick, Office of Energy
Efficiency and Renewable Energy
(EERE), (202) 586–7691, Department of
Energy, 1000 Independence Avenue
SUMMARY:
PO 00000
Frm 00011
Fmt 4703
Sfmt 4703
48865
SW., Mailstop EE–2K, Washington, DC
20585.
SUPPLEMENTARY INFORMATION: Under the
authority of Recovery Act, Public Law
111–5, section 1605(b)(2), the head of a
Federal department or agency may issue
a ‘‘determination of inapplicability’’ (a
waiver of the Buy American provision)
if the iron, steel, or relevant
manufactured good is not produced or
manufactured in the United States in
sufficient and reasonably available
quantities and of a satisfactory quality
(‘‘nonavailability’’). The authority of the
Secretary of Energy to make all
inapplicability determinations was redelegated to the Assistant Secretary for
Energy Efficiency and Renewable
Energy (EERE), for EERE projects under
the Recovery Act, in Redelegation Order
No. 00–002.01F, dated October 31, 2012.
On February 11, 2010, The Assistant
Secretary issued a nonavailability
waiver for fluorescent electronic
ballasts.
As with all waivers, the Assistant
Secretary reserved the right to revisit
and amend this determination based on
any changes in the manufacturing
landscape, such as the entry into the
market of new domestic manufacturers.
In this case, domestic manufacturers
have retooled manufacturing lines and
increased manufacturing capacity to the
United States, reducing costs associated
with producing dimmable fluorescent
electronic ballasts and complete
dimming systems including controls,
decreasing the price and broadening the
scope of domestically manufactured
systems available for purchase.
The remaining items covered by the
February 2010 Waiver (Plug in CFLs of
10 inches or less and fluorescent
electronic ballasts not capable of
dimming) continue to be covered by the
February 11, 2010 waiver and remain
subject to the specifications and
conditions of that waiver.
In order for the withdrawn waivers to
continue to apply substantial steps to
commit funds for the purchase of the
formerly waived items must have been
made on or before March 31, 2013.
Substantial steps to commit funds
would include, but are not limited to,
(1) issuing a Request for Proposals (RFP)
on or before March 31, 2013 (applicable
only where the grantee accepts a
proposal received under that RFP); (2)
in the case of a sole source selection:
placing an order for the goods on or
before March 31, 2013; (3) commencing
a bidding process on or before March
31, 2013; (4) in circumstances where the
grantee solicited quotes without an RFP:
the grantee purchases the goods based
on a quote dated on or before March 31,
E:\FR\FM\12AUN1.SGM
12AUN1
Agencies
[Federal Register Volume 78, Number 155 (Monday, August 12, 2013)]
[Notices]
[Pages 48864-48865]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-19477]
-----------------------------------------------------------------------
DEPARTMENT OF ENERGY
Office of Energy Efficiency and Renewable Energy
Limited Public Interest Waiver Under the American Recovery and
Reinvestment Act of 2009 (Recovery Act)
AGENCY: Office of Energy Efficiency and Renewable Energy, U.S.
Department of Energy (DOE).
ACTION: Notice of Limited Waiver.
-----------------------------------------------------------------------
SUMMARY: The U.S. Department of Energy (DOE) is hereby granting a
determination of inapplicability (unreasonable cost waiver) of section
1605 of the American Reinvestment and Recovery Act of 2009 (Recovery
Act Buy American provisions) to the California Energy Commission,
recipient of EECBG grant EE0000905, for the installation of a heating,
ventilation, and air conditioning (HVAC) system at the City of La
Ca[ntilde]ada Flintridge City Hall building.
This waiver applies only to this project.
DATES: Effective Date: September 12, 2012.
FOR FURTHER INFORMATION CONTACT: Christine Platt-Patrick,
Weatherization and Intergovernmental Program, Office of Energy
Efficiency and Renewable Energy (EERE), (202) 287-1553,
buyamerican@ee.doe.gov, Department of Energy, 1000 Independence Avenue
SW., Mailstop EE-2K, Washington, DC 20585.
SUPPLEMENTARY INFORMATION: Under the authority of the Recovery Act,
section 1605(b)(3), the head of a Federal department or agency may
issue a ``determination of inapplicability'' (a waiver of the Buy
American provisions) if the application of section 1605 would represent
an `unreasonable cost'. The authority of the Secretary of Energy to
make all inapplicability determinations was re-delegated to the
Assistant Secretary for Energy Efficiency and Renewable Energy (EERE),
for EERE projects under the Recovery Act, in Redelegation Order No. 00-
002.01E, dated April 25, 2011, for EERE Recovery Act projects.
Pursuant to this delegation, the Assistant Secretary has determined
that application of section 1605 restrictions represents an
`unreasonable cost' for the project described herein.
Specifically, this unreasonable cost determination waives the Buy
American requirements to the California Energy Commission, recipient of
EECBG grant EE0000905, for the installation of a heating, ventilation,
and air conditioning (HVAC) system at the at the City of La
Ca[ntilde]ada Flintridge City Hall building.
EERE has developed a robust process to ascertain in a systematic
and expedient manner whether or not there is domestic manufacturing
capacity for the items submitted for a waiver of the Recovery Act Buy
American provision. This process involves a close collaboration with
the United States Department of Commerce National Institute of
Standards and Technology (NIST) Manufacturing Extension Partnership
(MEP), in order to scour the domestic manufacturing landscape in search
of producers before making any nonavailability or unreasonable cost
determinations.
The NIST MEP has 59 regional centers with substantial knowledge of,
and connections to, the domestic manufacturing sector. MEP uses their
regional centers to `scout' for current or potential manufacturers of
the product(s) submitted in a waiver request. In the course of this
interagency collaboration, MEP has been able to find exact or partial
matches for manufactured goods that EERE grantees had been unable to
locate. As a result, in those cases, EERE was able to work with the
grantees to procure American-made products rather than granting a
waiver.
Upon receipt of completed waiver requests for the product in the
current waiver, EERE reviewed the information provided and submitted
the relevant technical information to the NIST MEP. The MEP then used
their network of nationwide centers to scout for domestic
manufacturers.
In addition to the MEP collaboration outlined above, the EERE Buy
American Team worked with labor unions, trade associations and other
manufacturing stakeholders to scout for domestic manufacturing capacity
or an equivalent product for the HVAC components contained in this
waiver. EERE also conducted significant amounts of independent research
to supplement MEP's scouting efforts.
As a result of EERE's efforts and MEP's scouting process, it was
determined that if the described HVAC system was manufactured
domestically, it will increase the total project cost by more than 25%.
The subject HVAC Replacement Project entails the replacement of
eight (8) package rooftop units (gasheat/electric cool) at the City of
La Ca[ntilde]ada Flintridge City Hall building. Units are in the range
of 2\1/2\ to 5 tons in cooling capacity. New package units shall be
equipped with air-side economizers and new roof curbs. The City
solicited bid proposals for the project through a public bid process.
Contract drawings and specifications were created based on a
Carrier design (Model 48ES Series) which at the time of document
preparation was believed to be manufactured in the United States. A
``Product Bulletin'' (dated July 26, 2010) from Carrier indicated that
the Carrier unit (Model 48ES) was indeed manufactured in America not
long ago. Specifically, the subject HVAC unit (48ES) was manufactured
at Carrier's plant in Tyler, TX, before recently moving its operation
to Mexico.
The primary reason that Carrier (Model 48ES) was used as the basis
of design for this project was because the existing units presently
serving the City Hall building are also made by Carrier. In an effort
to reduce project complexity and installation costs, it was understood
that the proposed units shall have equal (or near equal) dimensions as
the existing units. The sure way this would be accomplished is through
use of new Carrier units. While other manufacturers may have equal
performance characteristics, dimensional data may be significantly
different. This includes but is not limited to (a) Unit base
dimensions/footprint, (b) unit height, (c) supply/return duct openings
and dimensions, (d) electrical and natural gas line connection
locations and clearances, all of which could impact the project's
complexity and costs. The grant recipient provided a mechanical unit
schedule (from the Contract Drawings) in the application for a waiver,
which includes a comparison of existing and proposed HVAC unit
dimensions.
City and Contractor then conducted a survey of the market to find
HVAC Packaged Units that meet both the technical specs and the Buy
American requirements. Four manufacturers were identified by the City,
one was
[[Page 48865]]
identified by MEP. Accordingly, the City asked the Contractor to
provide a price proposal for a change order that would accommodate the
domestic units.
In order to accommodate the domestic unit significant work would
need to be done to the roof and ductwork. This work would include:
``equipment curbs will be re-leveled using sloped 4x lumber to match
the original rooftop duct work bottom layout and be attached to the
building structure. 4 of the units will need to be set back to allow
for the hookup and transition to the existing duct work. The roof
portion from where the existing equipment curb was will be properly
re-roofed. Some of the existing roof ductwork will be demolished and
disposed of properly to allow for the hook up of new duct. All 8
units will get new rooftop duct transitions, duct, fittings and duct
supports to accommodate the termination from the existing roof duct
work to the new HVAC units and economizers. All utilities will be
extended to terminate on the new equipment. The existing condensate
system will be reconfigured to terminate to the new equipment. A/C
3 will have to have the existing stub ups for the high &
low voltage relocated from the underside to accommodate the new
equipment curb location and roofed in on completion.'' (Contractor's
estimate, April 24, 2012)
The total cost of this additional work would be approximately
$29,770.00. The total cost of the manufactured goods would remain
the same, $52,350.00. The additional cost represents a 56.9%
increase in total project costs.
Section 176.110 of Title 2 of the Code of Federal Regulations,
entitled ``Evaluating proposals of foreign iron, steel, and/or
manufactured goods'', states that if ``the award official receives a
request for an exception based on the cost of certain domestic iron,
steel, and/or manufactured goods being unreasonable, in accordance
with Sec. 176.80, then the award official shall apply evaluation
factors to the proposal to use such foreign iron, steel, and/or
manufactured goods.''
Per that section, the total evaluated cost = project cost estimate
+ (.25 x project cost estimate). The total cost of the project
including the foreign manufactured HVAC is $52,350. The total evaluated
cost is $52,350 + (.25 x $52,350) or $65,437.50
The minimum cost for the project with US products is $82,120, a
cost increase of 56%. In light of the foregoing, and under the
authority of section 1605(b)(3) of Public Law No. 111-5 and the Re-
delegation Order dated April 25, 2011, with respect to Recovery Act
projects funded by EERE, on October 24, 2011, the Acting Assistant
Secretary issued a determination of inapplicability (unreasonable cost
waiver) of section 1605 of the American Reinvestment and Recovery Act
of 2009 (Recovery Act Buy American provisions) to the California Energy
Commission, recipient of EECBG grant EE0000905, for the installation of
a heating, ventilation, and air conditioning (HVAC) system at the at
the City of La Ca[ntilde]ada Flintridge City Hall building. This waiver
applies only to this project.
This waiver determination was made pursuant to the delegation of
authority by the Secretary of Energy to the Assistant Secretary for
Energy Efficiency and Renewable Energy with respect to expenditures
within the purview of his responsibility. Consequently, this waiver
applies only to EERE projects carried out under the Recovery Act; and
only to this project specifically, waiver requests, even for the same
or similar items, will be handled individually, because individual
factors apply to each project.
Authority: Public Law 111-5, section 1605.
Issued in Washington, DC on September 12, 2012.
David T. Danielson,
Assistant Secretary, Energy Efficiency and Renewable Energy, U.S.
Department of Energy.
Editorial Note: This document was received at the Office of the
Federal Register August 7, 2013.
[FR Doc. 2013-19477 Filed 8-9-13; 8:45 am]
BILLING CODE 6450-01-P