Notice That the Build America, Buy America Requirement for Construction Materials Applies Effective November 10, 2022, and Notice of Proposed Waiver of That Requirement for a Narrow Category of Contracts and Solicitations, 68572-68576 [2022-24743]
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68572
Federal Register / Vol. 87, No. 219 / Tuesday, November 15, 2022 / Notices
Issued in Washington, DC.
Paul Nissenbaum,
Associate Administrator and Chief
Development Officer, Office of Railroad
Development.
[FR Doc. 2022–24860 Filed 11–14–22; 8:45 am]
BILLING CODE 4910–06–P
DEPARTMENT OF TRANSPORTATION
Federal Railroad Administration
FOR FURTHER INFORMATION CONTACT
[Docket No. FRA–2000–7257, Notice No. 92]
Railroad Safety Advisory Committee;
Notice of Meeting
Federal Railroad
Administration (FRA), Department of
Transportation (DOT).
ACTION: Notice of public meeting.
AGENCY:
FRA announces the sixtythird meeting of the Railroad Safety
Advisory Committee (RSAC), a Federal
Advisory Committee that develops
railroad safety regulations through a
consensus process.
DATES: The RSAC meeting is scheduled
for Monday, December 12, 2022. The
meeting will commence at 9:30 a.m. and
will adjourn by 11:30 a.m. (all times
Eastern Standard Time). Requests to
attend the meeting must be received by
December 2, 2022. Requests for
accommodations because of a disability
must be received by December 2, 2022.
ADDRESSES: The RSAC meeting will be
held by Microsoft Teams and by
telephone. Virtual and telephonic
attendance information will be provided
upon registration with either of the
individuals listed in the FOR FURTHER
INFORMATION CONTACT section. Copies of
the minutes of past meetings, along with
general information about the
committee, are available on the RSAC
internet website at https://
rsac.fra.dot.gov/.
FOR FURTHER INFORMATION CONTACT:
Kenton Kilgore, RSAC Designated
Federal Officer/RSAC Coordinator, FRA
Office of Railroad Safety, telephone:
(202) 365–3724 or email:
kenton.kilgore@dot.gov; or Thomas
Woodhams, Executive Officer, FRA
Office of Railroad Safety, telephone:
(504) 232–6601or email:
thomas.woodhams@dot.gov. Any
committee-related request should be
sent to the persons listed in this section.
SUPPLEMENTARY INFORMATION: Pursuant
to Section 10(a)(2) of the Federal
Advisory Committee Act (Pub. L. 92–
463), FRA is giving notice of a meeting
of the RSAC. The RSAC is composed of
51 voting representatives from 26
member organizations, representing
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SUMMARY:
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various rail industry perspectives. The
diversity of the Committee ensures a
representative range of views and
expertise necessary to discharge its
responsibilities.
Public Participation: The meeting will
be open to the public and attendance
may be limited due to virtual and
telephonic meeting constraints. To
register to attend, please send an email
to either of the individuals listed in the
section. The meeting is accessible to
individuals with disabilities. DOT and
FRA are committed to providing equal
access to this meeting for all
participants. If you need alternative
formats or services because of a
disability, please contact either of the
individuals listed in the FOR FURTHER
INFORMATION CONTACT section and
submit your request by December 2,
2022. Any member of the public may
submit a written statement to the
committee at any time. If a member of
the public wants to submit written
materials to be reviewed by the
committee during the meeting, the
submission must be received by
December 2, 2022.
Agenda Summary: The RSAC meeting
topics will include updates on recent
activity by RSAC Working Groups for:
Passenger Safety; Track Standards;
Roadway Worker Protection; Part 220
Electronic Devices; Confidential Close
Call Reporting System; and Critical
Incident Stress Plans. The detailed
agenda will be posted on the RSAC
internet website at least one week in
advance of the meeting.
Issued in Washington, DC.
Amitabha Bose,
Administrator.
[FR Doc. 2022–24730 Filed 11–14–22; 8:45 am]
BILLING CODE 4910–06–P
DEPARTMENT OF TRANSPORTATION
Office of the Secretary
[Docket No. DOT–OST–2022–0123]
Notice That the Build America, Buy
America Requirement for Construction
Materials Applies Effective November
10, 2022, and Notice of Proposed
Waiver of That Requirement for a
Narrow Category of Contracts and
Solicitations
ACTION:
Notice; request for comments.
The Department of
Transportation (DOT) seeks to maximize
the use of American-made products and
materials in all federally funded projects
as part of the Biden-Harris
SUMMARY:
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Administration’s implementation of the
Build America, Buy America Act (the
Act), which was included in the historic
Bipartisan Infrastructure Law (BIL). The
implementation of this law will
transform DOT’s approach to domestic
procurement requirements and is
designed to drive significant investment
in domestic manufacturing, spur job
creation and grow the economy. The
Department is taking three concurrent
actions: (1) DOT is not extending its
temporary waiver for construction
materials, making that requirement
applicable effective November 10, 2022;
(2) in a separate notice, DOT is
proposing a narrow waiver for de
minimis costs, small grants, and minor
components; and (3) in this notice, DOT
is proposing to take two actions to help
transition to the new construction
materials standard. First, for DOT
awards obligated on or after the effective
date of the final waiver, DOT is
proposing to waive the construction
materials requirements for any contracts
entered into before November 10, 2022.
Second, DOT is proposing to waive the
construction materials requirements for
any contracts entered into before March
10, 2023, that result from solicitations
published before May 14, 2022.
DATES: Comments must be received by
November 20, 2022. Late-filed
comments will be considered to the
extent practicable.
ADDRESSES: Please submit your
comments to the Federal eRulemaking
Portal at https://www.regulations.gov/,
Docket: DOT–OST–2022–0123.
Note: All submissions must contain the
agency name and the docket number. All
submissions received, including any personal
information therein, will be posted without
change or alteration to https://
www.regulations.gov. For more information,
you may review DOT’s complete Privacy Act
Statement published in the Federal Register
on April 11, 2000 (65 FR 19477).
For
questions about this notice, please
contact Darren Timothy, DOT Office of
the Assistant Secretary for
Transportation Policy, at
darren.timothy@dot.gov or at 202–366–
4051. For legal questions, please contact
Michael A. Smith, DOT Office of the
General Counsel, 202–366–2917, or via
email at michael.a.smith@dot.gov.
SUPPLEMENTARY INFORMATION:
FOR FURTHER INFORMATION CONTACT:
Background
In January 2021, President Biden
issued Executive Order 14005, titled
‘‘Ensuring the Future is Made in All of
America by All of America’s Workers,’’
launching a whole-of-government
initiative to strengthen Made in America
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standards. The Executive Order states
that the United States Government
‘‘should, consistent with applicable law,
use terms and conditions of Federal
financial assistance awards and Federal
procurements to maximize the use of
goods, products, and materials
produced in, and services offered in, the
United States.’’ DOT is committed to
ensuring strong and effective Buy
America implementation consistent
with Executive Order 14005 and has a
long track record of successfully
applying Made in America standards to
support American workers and
businesses through its more than $70
billion in grant programs and $700
million in direct purchases in FY 2020.
On November 15, 2021, President
Biden signed the Infrastructure
Investment and Jobs Act (IIJA or the
Bipartisan Infrastructure Law), Public
Law 117–58, which includes the Build
America, Buy America Act (BABA). IIJA
div. G §§ 70901–27. The Bipartisan
Infrastructure Law not only makes an
historic investment in American
transportation—from roads and bridges
to rail to transit—but also greatly
strengthens Made in America standards.
Specifically, BABA expands the
coverage and application of Buy
America preferences in Federal
financial assistance programs for
infrastructure. BABA requires that no
later than May 14, 2022—180 days after
the date of enactment—the head of each
covered Federal agency shall ensure that
‘‘none of the funds made available for a
Federal financial assistance program for
infrastructure . . . may be obligated for
a project unless all of the iron, steel,
manufactured products, and
construction materials used in the
project are produced in the United
States.’’ IIJA § 70914(a).
BABA provides that the preferences
under Section 70914 apply only to the
extent that a domestic content
procurement preference as described in
Section 70914 does not already apply to
iron, steel, manufactured products, and
construction materials. IIJA § 70917(a)–
(b). This provision allows Federal
agencies to preserve existing Buy
America policies and provisions that
meet or exceed the standards required
by BABA.
One of the new Buy America
preferences included under BABA is for
construction materials. By May 14,
2022, each covered Federal agency must
ensure that all manufacturing processes
for construction materials used in
federally assisted infrastructure projects
occur in the United States. None of the
specific statutes that apply particular
Buy America requirements to the
Federal financial assistance programs
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administered by DOT’s Operating
Administrations specifically covers
construction materials, other than to the
extent that such materials would
already be considered iron, steel, or
manufactured products. IIJA § 70914.
In addition to establishing Buy
America preferences, BABA also
provides certain statutory authorities for
the Made in America Office (MIAO) in
the Office of Management and Budget
(OMB). IIJA §§ 70915(b), 70923. MIAO
was first established by Section 4 of
Executive Order 14005. MIAO’s
authorities under the Bipartisan
Infrastructure Law include issuing
guidance to assist in applying BABA’s
requirements and issuing standards that
define the term ‘‘all manufacturing
processes’’ in the case of construction
materials. IIJA § 70915.
On April 18, 2022, OMB issued
memorandum M–22–11, ‘‘Initial
Implementation Guidance on
Application of Buy America Preference
in Federal Financial Assistance
Programs for Infrastructure’’
(Implementation Guidance). Under
Section VIII of the Implementation
Guidance, ‘‘construction materials’’
includes: an article, material, or
supply—other than an item of primarily
iron or steel; a manufactured product;
cement and cementitious materials;
aggregates such as stone, sand, or gravel;
or aggregate binding agents or
additives—that is or consists primarily
of:
• non-ferrous metals;
• plastic and polymer-based products
(including polyvinylchloride,
composite building materials, and
polymers used in fiber optic cables);
• glass (including optic glass);
• lumber; or
• drywall.
Implementation Guidance at 13–14.
The Implementation Guidance states
that ‘‘an article, material, or supply
should only be classified into one of the
following categories: (1) iron or steel; (2)
a manufactured product; or (3) a
construction material. For ease of
administration, an article, material, or
supply should not be considered to fall
into multiple categories.’’ Id. at 6. The
Implementation Guidance also explains
that ‘‘items that consist of two or more
of the listed materials that have been
combined together through a
manufacturing process, and items that
include at least one of the listed
materials combined with a material that
is not listed through a manufacturing
process, should be treated as
manufactured products, rather than as
construction materials.’’ Id. at 14. OMB
characterizes its guidance on which
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materials are construction materials as
‘‘preliminary and non-binding guidance
. . . so that agencies can begin applying
Buy America requirements to those
materials.’’ Id. at 13.
Section 70915(b) of BABA requires
OMB to issue standards that define ‘‘all
manufacturing processes’’ for
construction materials. Section VIII of
the Implementation Guidance provides
that, ‘‘[p]ending MIAO’s issuance of
final standards on construction
materials, and absent any existing
applicable standard in law or regulation
that meets or exceeds these preliminary
standards, agencies should consider ‘all
manufacturing processes’ for
construction materials to mean the final
manufacturing process and the
immediately preceding manufacturing
stage for the construction material.’’
Implementation Guidance at 14. After
considering information received
through stakeholder and industry
outreach, MIAO will issue further
guidance that identifies initial
manufacturing processes for each type
of construction material that should be
considered as part of ‘‘all manufacturing
processes.’’ Id. Agencies are also
directed to ‘‘consult with MIAO, as
needed, to ensure that any waiver
issued for construction materials is
explicitly targeted and time-limited, in
order to send a clear market signal that
additional standards for ‘all
manufacturing processes’ in the case of
construction materials will be
forthcoming.’’ Id.
In April 2022, DOT opened a public
docket (DOT–OST–2022–0047) to
receive comments in response to DOT’s
proposal to waive the construction
materials requirement for 180 days, to
allow for a longer transition period. On
May 19, 2022, DOT issued a temporary
waiver of the construction materials
requirement for 180 days: from May 14
until November 10, 2022. 87 FR 31931.
In the waiver notice, DOT stated its
expectation that States, industry, and
other participants establish procedures
to document compliance.
During the waiver period, DOT is
continuing its engagement to help
facilitate the creation of robust
enforcement and compliance
mechanisms and to rapidly encourage
domestic sourcing of construction
materials for transportation
infrastructure improvements. On July
28, 2022, DOT issued a Request for
Information (RFI) seeking input from the
public, including DOT’s project
sponsors, their contractors and offerors,
manufacturers, labor unions,
transportation and trade associations,
and other interested parties on
implementing BABA’s new construction
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materials requirement. 87 FR 45397.
DOT asked the public to submit
comments to the same docket DOT used
to propose the 180-day waiver.
Based on its review of comments
received on the RFI and other
engagement opportunities with
stakeholders, and consistent with the
purpose of the temporary transitional
waiver, DOT does not intend to modify
or extend the existing DOT waiver for
construction materials. As a result, DOT
awards obligated on or after November
10, 2022, from financial assistance
programs for infrastructure projects will
be subject to the BABA requirement that
construction materials used on those
projects be produced in the United
States.
The Need for a Waiver
The Implementation Guidance states
that a ‘‘waiver in the public interest may
be appropriate where an agency
determines that other important policy
goals cannot be achieved consistent
with the Buy America requirements
established by the Act.’’ Implementation
Guidance at 10. The guidance also
recognizes several instances in which
Federal agencies may consider issuing a
public interest waiver and encourages
agencies to consider an adjustment
period where time-limited waivers
would allow recipients and agencies to
transition to new Buy America
preferences, rules, and processes. Id. at
11.
Since enactment of the Bipartisan
Infrastructure Law, DOT has received
numerous inquiries and comments from
recipients raising concerns about the
applicability of the new construction
materials requirement to projects that
already are under construction or are in
advanced stages of planning. For
example, a large West Coast transit
system asked whether its projects
already under construction could
continue to comply with Buy America
requirements as they existed at the time
of contract award, or if they would be
affected by the new domestic preference
for construction materials. A large
northeastern transit system similarly
asked how the construction materials
requirement would apply to a major
construction project that is underway.
The project already has some Federal
financial assistance, and the transit
system is concerned about the project
remaining eligible for additional grant
awards on or after November 10.
Some commenters on the proposed
temporary waiver for construction
materials issued by DOT in April and on
the RFI issued in July also described
problems that would arise if DOT were
to apply the construction materials
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requirement to projects that have been
under development or construction
prior to the expiration of the temporary
waiver on November 10.
For example, the Santa Clara Valley
Transportation Authority asked whether
the construction materials requirement
will apply to construction contracts that
it already has executed under pre-award
authority for a project in the Federal
Transit Administration’s (FTA)
Expedited Project Delivery Pilot
Program, which may receive an FTA
grant that would be awarded on or after
November 10.1 The New York
Metropolitan Transportation Authority
requested that DOT waive the
construction materials requirement for,
inter alia, (a) any contracts awarded
during the waiver period, and (b) any
contracts executed during the DOT
waiver period using pre-award authority
if they are funded by grants awarded
after the waiver period.2 Capital Metro
requested that contracts awarded before
the construction materials requirement
takes effect be allowed to comply with
Buy America standards as they existed
at the time the contract was formed,
even if the contract is funded by grants
obligated in subsequent years.3
Several State departments of
transportation expressed similar
concerns in their submissions to the
docket. For example, the New Jersey
Department of Transportation
commented that redesigning projects
that are in an advanced state of design
could be expensive and negatively affect
project delivery and requested that such
projects be exempt from the new
construction materials requirement.4
Similarly, the South Dakota Department
of Transportation commented that it is
not appropriate or feasible to apply the
construction materials requirement to
projects where bids were already
submitted, and contracts awarded,
based on using materials with no
country-of-origin specifications; doing
so would possibly require cancelling
current contracts and would add delay
and additional costs for project
1 Comment from the Santa Clara Valley
Transportation Authority (Aug. 16, 2022), https://
www.regulations.gov/comment/DOT-OST-20220047-0122.
2 Comment from the New York Metropolitan
Transportation Authority (May 13, 2022), https://
www.regulations.gov/comment/DOT-OST-20220047-0037.
3 Comment from the Capital Metropolitan
Transportation Authority (May 13, 2022), https://
www.regulations.gov/comment/DOT-OST-20220047-0049.
4 Comment from the New Jersey Department of
Transportation (Aug. 12, 2022), https://
www.regulations.gov/comment/DOT-OST-20220047-0111.
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sponsors.5 The California Department of
Transportation reported that it has many
multi-year contracts in place that
incorporate Buy America standards as
they existed before BABA and asked
whether these contracts will remain
eligible for Federal grants obligated on
or after November 10.6 Additionally, a
joint comment submitted by the
transportation departments of Idaho,
Montana, North Dakota, South Dakota,
and Wyoming requested that DOT not
apply the new construction materials
requirement to projects where bids were
already submitted and awarded without
country-of-origin requirements, because
doing so could require project sponsors
and contractors to cancel orders or
cancel contracts and incur additional
costs and delays.7
Based on these and other inquiries
and comments, DOT has identified
certain categories of projects for which
application of the BABA construction
materials requirement after the DOT
waiver expires would present
significant concerns:
(1) projects that have received DOT
financial assistance awards before
November 10, 2022—and sometimes
even prior to enactment of the
Bipartisan Infrastructure Law—that
have completed procurements involving
construction materials or currently are
in the process of soliciting construction
contracts, and will receive additional
DOT financial assistance that will be
obligated on or after November 10, 2022;
(2) projects that will be funded by
DOT grants obligated on or after
November 10, 2022, for which
recipients have exercised DOTapproved pre-award authority before
November 10 to execute or solicit
construction contracts prior to grant
award;
(3) projects that will be funded by
DOT credit assistance obligated on or
after November 10, 2022, for which
recipients solicited construction
contracts before May 14, 2022;
Requiring compliance with the BABA
domestic preference for construction
materials would be unduly burdensome
for projects that already have executed
construction contracts, because they
already have received DOT financial
5 Comment from the South Dakota Department of
Transportation (Aug. 18, 2022), https://
www.regulations.gov/comment/DOT-OST-20220047-0167.
6 Comment from the California Department of
Transportation (Aug. 18, 2022), https://
www.regulations.gov/comment/DOT-OST-20220047-0170.
7 Comment from the Transportation Departments
of Idaho, Montana, North Dakota, South Dakota,
and Wyoming (Aug. 17, 2022), https://
www.regulations.gov/comment/DOT-OST-20220047-0132.
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assistance, are exercising DOT-approved
pre-award authority, or will receive
DOT credit assistance for activities
already in progress.8 Under these
circumstances, application of the
construction materials requirement
could compel contract terminations and
cause projects to be put on hold while
conducting new procurements.
Accordingly, application of the
construction materials requirement to
these categories of projects would result
in unacceptable delay, increased project
costs, and potential loss of jobs while
project construction is paused.
Additionally, for large infrastructure
projects, the preparation of solicitations
by project sponsors and the preparation
of bids and proposals by offerors require
significant time and investment, and are
based on project design that occurs well
in advance of the solicitations. DOT
recipients throughout the country have
exercised pre-award authority to solicit
construction contracts prior to the May
14, 2022, effective date of the
construction materials requirement, for
which contract award will not occur
until on or after November 10.
Applicants to DOT’s credit assistance
programs often have solicitations
underway concurrent with the
Department’s application and
creditworthiness reviews. In these
instances, amending the specifications
of the contract solicitations to impose
new requirements that were not
previously applicable would cause
considerable delay.
Proposed Waiver and Request for
Comments
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DOT recognizes the importance of
ensuring the use of domestically
produced construction materials on
infrastructure projects receiving Federal
assistance and the need to implement
the requirement in a way that does not
delay delivery of projects that were
sufficiently advanced before the
requirement applies to DOT funding.
Therefore, for DOT awards obligated on
or after the effective date of the waiver,
DOT proposes to issue a general public
interest waiver of BABA’s domestic
preference for construction materials
for:
(1) Any contract entered into before
November 10, 2022; and
8 For information related to pre-award costs, see
2 CFR 200.458, ‘‘Pre-award costs.’’ Some DOT OAs
have program-specific guidance on pre-award
authority, including FTA’s ‘‘Notice of FTA Transit
Program Changes, Authorized Funding Levels and
Implementation of the Infrastructure Investment
and Jobs Act; and FTA Fiscal Year 2022
Apportionments, Allocations, Program Information
and Interim Guidance’’, 87 FR 25362 (April 28,
2022).
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(2) Any contract entered into before
March 10, 2023, if the contract results
from a solicitation published prior to
May 14, 2022.
In these limited circumstances, DOT
recipients incurred costs, executed
contracts, are conducting procurements
with long lead times prior to the BABA
construction materials requirement
taking effect, though they will seek
Federal reimbursement through grants
obligated on or after November 10, 2022.
This proposed waiver would preserve
the eligibility of costs a project sponsor
already incurred or estimated before the
construction materials requirement took
effect. The purpose of covering contracts
through March 10, 2023, for contracts
resulting from solicitations published
before the May 14, 2022, BABA effective
date, is to provide recipients with
reasonable time to complete
procurements. Project sponsors and
offerors have invested significant
resources in such procurements, which
are based on design and engineering
conducted before the BABA
construction materials requirement
went into effect. A project sponsor
whose solicitation does not result in a
contract before March 10, 2023, would
have to take such measures as may be
necessary to ensure that its contract will
comply with the construction materials
requirement.
If issued, this waiver would apply
only to projects funded by DOT
financial assistance obligated on or after
the effective date of the waiver. DOT
financial assistance obligated before the
expiration of the temporary DOT waiver
on November 10, 2022 is not subject to
the BABA’s construction materials
requirement.
DOT requests comments on the
applicable dates proposed in this
waiver. DOT also requests comments on
whether this waiver should be timelimited or phased for certain long-term
contracts.
In order to support a more efficient
and targeted process for future waivers,
DOT requests comment on whether
there are other scenarios where project
delivery would be significantly
disrupted or delayed because of
circumstances such as the level of
design and engineering for a project that
has occurred in relation to the effective
date of the construction materials
preference and provide specific
information as to the construction
materials which may not be available.
For example, are there specific
circumstances that may justify a project
specific waiver, such as the
unavailability of specific construction
materials manufactured in the United
States in sufficient quantity or quality
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68575
for a particular DOT-funded
transportation project or category of
projects? Additionally, are there
transportation projects, such as projects
in various stages of FTA’s Capital
Investment Grants program, for which a
waiver may be justified due to
significant delay in project delivery. If
completed design and engineering must
be revised to comply with the
construction materials preference after
November 10, 2022, DOT seeks
comments on the length and type of
waiver which may be necessary to
mitigate a significant delay.
This proposed waiver would apply to
infrastructure projects funded by
financial assistance administered by the
Office of Secretary of Transportation or
any of DOT’s Operating Administrations
with financial assistance programs,
including the Federal Aviation
Administration (FAA); the Federal
Highway Administration (FHWA); the
Federal Motor Carrier Safety
Administration; the Federal Railroad
Administration (FRA); the Federal
Transit Administration (FTA); the
Maritime Administration (MARAD); the
National Highway Traffic
Administration (NHTSA); and the
Pipeline and Hazardous Materials Safety
Administration (PHMSA).
This proposed waiver would not
affect any domestic preference
requirements under other authorities,
including DOT’s non-BABA domestic
preference statutes: 49 U.S.C. 50101
(FAA); 23 U.S.C. 313 (FHWA and
NHTSA); 49 U.S.C. 22905(a) (FRA); 49
U.S.C. 5323(j) (FTA); and 46 U.S.C.
54101(d)(2) (MARAD).
The Implementation Guidance also
provides that, before granting a waiver
in the public interest, to the extent
permitted by law, agencies shall assess
whether a significant portion of any cost
advantage of a foreign-sourced product
is ‘‘the result of the use of dumped steel,
iron, or manufactured products or the
use of injuriously subsidized steel, iron,
or manufactured products.’’
Implementation Guidance at p. 12. E.O.
14005 at Section 5 includes a similar
requirement for ‘‘steel, iron, or
manufactured goods.’’ However,
because the public interest waiver that
DOT is proposing in this notice is not
based on consideration of the cost
advantage of any foreign-sourced steel,
iron, or manufactured product content,
there is not a specific cost advantage for
DOT to consider.
DOT will consider all comments
received in the 15-day comment period,
as required by section 70914(c)(2) of the
BIL. DOT will consider comments
received after the comment period to the
extent practicable.
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Issued in Washington, DC on: November 8,
2022.
Polly E. Trottenberg,
Deputy Secretary.
DEPARTMENT OF TRANSPORTATION
Note: All submissions received,
including any personal information
therein, will be posted without change
or alteration to https://
www.regulations.gov. For more
information, you may review DOT’s
complete Privacy Act Statement
published in the Federal Register on
April 11, 2000 (65 FR 19477).
Office of the Secretary
FOR FURTHER INFORMATION CONTACT:
[FR Doc. 2022–24743 Filed 11–14–22; 8:45 am]
BILLING CODE 4910–9X–P
[Docket No. DOT–OST–2022–0124]
Notice That the Build America, Buy
America Requirement for Construction
Materials Applies Effective November
10, 2022, and Notice of Proposed
Waiver of Buy America Requirements
for De Minimis Costs, Small Grants,
and Minor Components
ACTION:
lotter on DSK11XQN23PROD with NOTICES1
SUPPLEMENTARY INFORMATION:
Notice; request for comments.
The Department of
Transportation (DOT) seeks to maximize
the use of American-made products and
materials in all federally funded projects
as part of the Biden-Harris
Administration’s implementation of the
Build America, Buy America Act (the
Act), which was included in the historic
Bipartisan Infrastructure Law (BIL). The
implementation of this law will
transform the Department’s approach to
domestic procurement requirements.
The Department is taking three
concurrent actions: (1) DOT is not
extending its temporary waiver for
construction materials, making that
requirement applicable effective
November 10, 2022; (2) in a separate
notice, DOT is proposing a waiver for
narrow categories of contracts and
solicitations; and (3) in this notice, DOT
is proposing a narrow waiver to allow
DOT and its assistance recipients to
focus their domestic sourcing efforts on
products that provide the greatest
manufacturing opportunities for
American workers and firms and reduce
delays in the delivery of important
transportation infrastructure projects
that provide jobs and promote economic
growth. DOT is seeking comments on
whether a waiver of Buy America
requirements under the Act and related
domestic preference statutes
administered by DOT and its Operating
Administrations (OAs) should be
granted in the public interest for de
minimis costs, small grants, and minor
components.
DATES: Comments must be received by
November 20, 2022.
ADDRESSES: Please submit your
comments to the U.S. Government
electronic docket site at https://
www.regulations.gov, Docket: DOT–
OST–2022–0124.
SUMMARY:
VerDate Sep<11>2014
19:16 Nov 14, 2022
Jkt 259001
For questions about this notice, please
contact Darren Timothy, DOT Office of
the Assistant Secretary for
Transportation Policy, at
darren.timothy@dot.gov or at 202–366–
4051. For legal questions, please contact
Michael A. Smith, DOT Office of the
General Counsel, 202–366–2917, or via
email at michael.a.smith@dot.gov.
Background
In January 2021, President Biden
issued Executive Order (E.O.) 14005,
titled Ensuring the Future is Made in
All of America by All of America’s
Workers. The E.O. states that the United
States Government ‘‘should, consistent
with applicable law, use terms and
conditions of Federal financial
assistance awards and Federal
procurements to maximize the use of
goods, products, and materials
produced in, and services offered in, the
United States.’’ DOT is committed to
ensuring strong and effective Buy
America implementation consistent
with E.O. 14005.
On November 15, 2021, President
Biden signed the Bipartisan
Infrastructure Law (BIL) enacted as the
Infrastructure Investment and Jobs Act,
Public Law 117–58. The BIL includes
the Act, Public Law 117–58, div. G
§§ 70901–27, which greatly strengthens
Made in America standards by
expanding the coverage and application
of Buy America preferences in Federal
financial assistance programs for
infrastructure. The Act requires that the
head of each covered Federal agency
shall ensure that ‘‘none of the funds
made available for a Federal financial
assistance program for infrastructure
. . . may be obligated for a project
unless all of the iron, steel,
manufactured products, and
construction materials used in the
project are produced in the United
States.’’ BIL § 70914(a). However,
Federal agencies may waive the
application of Buy America in certain
circumstances, including where the
agency finds that applying the Buy
America requirement ‘‘would be
inconsistent with the public interest.’’
BIL § 70914(b)(1).
PO 00000
Frm 00140
Fmt 4703
Sfmt 4703
The Act required the Office of
Management and Budget (OMB) to issue
guidance to assist in applying the Act’s
requirements. BIL § 70915. On April 18,
2022, OMB issued memorandum M–22–
11, ‘‘Initial Implementation Guidance
on Application of Buy America
Preference in Federal Financial
Assistance Programs for Infrastructure’’
(‘‘Implementation Guidance’’). Section
VII(b) of the Implementation Guidance,
Waiver Principles and Criteria, states
that ‘‘Federal agencies may wish to
consider issuing a limited number of
general applicability public interest
waivers in the interest of efficiency and
to ease burdens for recipients.’’
Implementation Guidance at p. 10. The
Implementation Guidance goes on to
provide examples of certain types of
public interest waivers an agency may
consider issuing that would support that
goal, including infrastructure project
purchases below a de minimis
threshold; purchases made under small
Federal grant awards; and
miscellaneous minor components
within iron and steel products. As the
Implementation Guidance notes, such
waivers could help ‘‘ensure that
recipients and Federal agencies make
efficient use of limited resources,
especially if the cost of processing the
individualized waiver(s) would risk
exceeding the value of the items
waived.’’ Implementation Guidance at
p. 11.
The Act also provides that the
preferences under Section 70914 apply
only to the extent that a domestic
content procurement preference as
described in Section 70914 does not
already apply to iron, steel,
manufactured products, and
construction materials. BIL § 70917(a)–
(b). Federal financial assistance
programs administered by DOT’s
Operating Administrations (OAs) are
subject to a variety of mode-specific
statutes that apply particular Buy
America 1 requirements to iron, steel,
and manufactured products, including
49 U.S.C. 50101 (FAA); 23 U.S.C. 313
(FHWA and NHTSA); 49 U.S.C.
22905(a) (FRA); 49 U.S.C. 5323(j) (FTA);
and 46 U.S.C. 54101(d)(2) (MARAD).
Recent annual appropriations acts have
also required DOT to apply the Buy
American Act (41 U.S.C. Chapter 83) to
funds appropriated under those acts,2
1 In this notice, references to ‘‘Buy America’’
include domestic preference laws called ‘‘Buy
American’’ that apply to DOT financial assistance
programs.
2 For example, Section 409 of the Transportation,
Housing and Urban Development, and Related
Agencies Appropriations Act, 2022 states that ‘‘no
funds appropriated pursuant to this Act may be
expended by an entity unless the entity agrees that
E:\FR\FM\15NON1.SGM
15NON1
Agencies
[Federal Register Volume 87, Number 219 (Tuesday, November 15, 2022)]
[Notices]
[Pages 68572-68576]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-24743]
-----------------------------------------------------------------------
DEPARTMENT OF TRANSPORTATION
Office of the Secretary
[Docket No. DOT-OST-2022-0123]
Notice That the Build America, Buy America Requirement for
Construction Materials Applies Effective November 10, 2022, and Notice
of Proposed Waiver of That Requirement for a Narrow Category of
Contracts and Solicitations
ACTION: Notice; request for comments.
-----------------------------------------------------------------------
SUMMARY: The Department of Transportation (DOT) seeks to maximize the
use of American-made products and materials in all federally funded
projects as part of the Biden-Harris Administration's implementation of
the Build America, Buy America Act (the Act), which was included in the
historic Bipartisan Infrastructure Law (BIL). The implementation of
this law will transform DOT's approach to domestic procurement
requirements and is designed to drive significant investment in
domestic manufacturing, spur job creation and grow the economy. The
Department is taking three concurrent actions: (1) DOT is not extending
its temporary waiver for construction materials, making that
requirement applicable effective November 10, 2022; (2) in a separate
notice, DOT is proposing a narrow waiver for de minimis costs, small
grants, and minor components; and (3) in this notice, DOT is proposing
to take two actions to help transition to the new construction
materials standard. First, for DOT awards obligated on or after the
effective date of the final waiver, DOT is proposing to waive the
construction materials requirements for any contracts entered into
before November 10, 2022. Second, DOT is proposing to waive the
construction materials requirements for any contracts entered into
before March 10, 2023, that result from solicitations published before
May 14, 2022.
DATES: Comments must be received by November 20, 2022. Late-filed
comments will be considered to the extent practicable.
ADDRESSES: Please submit your comments to the Federal eRulemaking
Portal at https://www.regulations.gov/, Docket: DOT-OST-2022-0123.
Note: All submissions must contain the agency name and the
docket number. All submissions received, including any personal
information therein, will be posted without change or alteration to
https://www.regulations.gov. For more information, you may review
DOT's complete Privacy Act Statement published in the Federal
Register on April 11, 2000 (65 FR 19477).
FOR FURTHER INFORMATION CONTACT: For questions about this notice,
please contact Darren Timothy, DOT Office of the Assistant Secretary
for Transportation Policy, at [email protected] or at 202-366-
4051. For legal questions, please contact Michael A. Smith, DOT Office
of the General Counsel, 202-366-2917, or via email at
[email protected].
SUPPLEMENTARY INFORMATION:
Background
In January 2021, President Biden issued Executive Order 14005,
titled ``Ensuring the Future is Made in All of America by All of
America's Workers,'' launching a whole-of-government initiative to
strengthen Made in America
[[Page 68573]]
standards. The Executive Order states that the United States Government
``should, consistent with applicable law, use terms and conditions of
Federal financial assistance awards and Federal procurements to
maximize the use of goods, products, and materials produced in, and
services offered in, the United States.'' DOT is committed to ensuring
strong and effective Buy America implementation consistent with
Executive Order 14005 and has a long track record of successfully
applying Made in America standards to support American workers and
businesses through its more than $70 billion in grant programs and $700
million in direct purchases in FY 2020.
On November 15, 2021, President Biden signed the Infrastructure
Investment and Jobs Act (IIJA or the Bipartisan Infrastructure Law),
Public Law 117-58, which includes the Build America, Buy America Act
(BABA). IIJA div. G Sec. Sec. 70901-27. The Bipartisan Infrastructure
Law not only makes an historic investment in American transportation--
from roads and bridges to rail to transit--but also greatly strengthens
Made in America standards. Specifically, BABA expands the coverage and
application of Buy America preferences in Federal financial assistance
programs for infrastructure. BABA requires that no later than May 14,
2022--180 days after the date of enactment--the head of each covered
Federal agency shall ensure that ``none of the funds made available for
a Federal financial assistance program for infrastructure . . . may be
obligated for a project unless all of the iron, steel, manufactured
products, and construction materials used in the project are produced
in the United States.'' IIJA Sec. 70914(a).
BABA provides that the preferences under Section 70914 apply only
to the extent that a domestic content procurement preference as
described in Section 70914 does not already apply to iron, steel,
manufactured products, and construction materials. IIJA Sec. 70917(a)-
(b). This provision allows Federal agencies to preserve existing Buy
America policies and provisions that meet or exceed the standards
required by BABA.
One of the new Buy America preferences included under BABA is for
construction materials. By May 14, 2022, each covered Federal agency
must ensure that all manufacturing processes for construction materials
used in federally assisted infrastructure projects occur in the United
States. None of the specific statutes that apply particular Buy America
requirements to the Federal financial assistance programs administered
by DOT's Operating Administrations specifically covers construction
materials, other than to the extent that such materials would already
be considered iron, steel, or manufactured products. IIJA Sec. 70914.
In addition to establishing Buy America preferences, BABA also
provides certain statutory authorities for the Made in America Office
(MIAO) in the Office of Management and Budget (OMB). IIJA Sec. Sec.
70915(b), 70923. MIAO was first established by Section 4 of Executive
Order 14005. MIAO's authorities under the Bipartisan Infrastructure Law
include issuing guidance to assist in applying BABA's requirements and
issuing standards that define the term ``all manufacturing processes''
in the case of construction materials. IIJA Sec. 70915.
On April 18, 2022, OMB issued memorandum M-22-11, ``Initial
Implementation Guidance on Application of Buy America Preference in
Federal Financial Assistance Programs for Infrastructure''
(Implementation Guidance). Under Section VIII of the Implementation
Guidance, ``construction materials'' includes: an article, material, or
supply--other than an item of primarily iron or steel; a manufactured
product; cement and cementitious materials; aggregates such as stone,
sand, or gravel; or aggregate binding agents or additives--that is or
consists primarily of:
non-ferrous metals;
plastic and polymer-based products (including
polyvinylchloride, composite building materials, and polymers used in
fiber optic cables);
glass (including optic glass);
lumber; or
drywall.
Implementation Guidance at 13-14.
The Implementation Guidance states that ``an article, material, or
supply should only be classified into one of the following categories:
(1) iron or steel; (2) a manufactured product; or (3) a construction
material. For ease of administration, an article, material, or supply
should not be considered to fall into multiple categories.'' Id. at 6.
The Implementation Guidance also explains that ``items that consist of
two or more of the listed materials that have been combined together
through a manufacturing process, and items that include at least one of
the listed materials combined with a material that is not listed
through a manufacturing process, should be treated as manufactured
products, rather than as construction materials.'' Id. at 14. OMB
characterizes its guidance on which materials are construction
materials as ``preliminary and non-binding guidance . . . so that
agencies can begin applying Buy America requirements to those
materials.'' Id. at 13.
Section 70915(b) of BABA requires OMB to issue standards that
define ``all manufacturing processes'' for construction materials.
Section VIII of the Implementation Guidance provides that, ``[p]ending
MIAO's issuance of final standards on construction materials, and
absent any existing applicable standard in law or regulation that meets
or exceeds these preliminary standards, agencies should consider `all
manufacturing processes' for construction materials to mean the final
manufacturing process and the immediately preceding manufacturing stage
for the construction material.'' Implementation Guidance at 14. After
considering information received through stakeholder and industry
outreach, MIAO will issue further guidance that identifies initial
manufacturing processes for each type of construction material that
should be considered as part of ``all manufacturing processes.'' Id.
Agencies are also directed to ``consult with MIAO, as needed, to ensure
that any waiver issued for construction materials is explicitly
targeted and time-limited, in order to send a clear market signal that
additional standards for `all manufacturing processes' in the case of
construction materials will be forthcoming.'' Id.
In April 2022, DOT opened a public docket (DOT-OST-2022-0047) to
receive comments in response to DOT's proposal to waive the
construction materials requirement for 180 days, to allow for a longer
transition period. On May 19, 2022, DOT issued a temporary waiver of
the construction materials requirement for 180 days: from May 14 until
November 10, 2022. 87 FR 31931. In the waiver notice, DOT stated its
expectation that States, industry, and other participants establish
procedures to document compliance.
During the waiver period, DOT is continuing its engagement to help
facilitate the creation of robust enforcement and compliance mechanisms
and to rapidly encourage domestic sourcing of construction materials
for transportation infrastructure improvements. On July 28, 2022, DOT
issued a Request for Information (RFI) seeking input from the public,
including DOT's project sponsors, their contractors and offerors,
manufacturers, labor unions, transportation and trade associations, and
other interested parties on implementing BABA's new construction
[[Page 68574]]
materials requirement. 87 FR 45397. DOT asked the public to submit
comments to the same docket DOT used to propose the 180-day waiver.
Based on its review of comments received on the RFI and other
engagement opportunities with stakeholders, and consistent with the
purpose of the temporary transitional waiver, DOT does not intend to
modify or extend the existing DOT waiver for construction materials. As
a result, DOT awards obligated on or after November 10, 2022, from
financial assistance programs for infrastructure projects will be
subject to the BABA requirement that construction materials used on
those projects be produced in the United States.
The Need for a Waiver
The Implementation Guidance states that a ``waiver in the public
interest may be appropriate where an agency determines that other
important policy goals cannot be achieved consistent with the Buy
America requirements established by the Act.'' Implementation Guidance
at 10. The guidance also recognizes several instances in which Federal
agencies may consider issuing a public interest waiver and encourages
agencies to consider an adjustment period where time-limited waivers
would allow recipients and agencies to transition to new Buy America
preferences, rules, and processes. Id. at 11.
Since enactment of the Bipartisan Infrastructure Law, DOT has
received numerous inquiries and comments from recipients raising
concerns about the applicability of the new construction materials
requirement to projects that already are under construction or are in
advanced stages of planning. For example, a large West Coast transit
system asked whether its projects already under construction could
continue to comply with Buy America requirements as they existed at the
time of contract award, or if they would be affected by the new
domestic preference for construction materials. A large northeastern
transit system similarly asked how the construction materials
requirement would apply to a major construction project that is
underway. The project already has some Federal financial assistance,
and the transit system is concerned about the project remaining
eligible for additional grant awards on or after November 10.
Some commenters on the proposed temporary waiver for construction
materials issued by DOT in April and on the RFI issued in July also
described problems that would arise if DOT were to apply the
construction materials requirement to projects that have been under
development or construction prior to the expiration of the temporary
waiver on November 10.
For example, the Santa Clara Valley Transportation Authority asked
whether the construction materials requirement will apply to
construction contracts that it already has executed under pre-award
authority for a project in the Federal Transit Administration's (FTA)
Expedited Project Delivery Pilot Program, which may receive an FTA
grant that would be awarded on or after November 10.\1\ The New York
Metropolitan Transportation Authority requested that DOT waive the
construction materials requirement for, inter alia, (a) any contracts
awarded during the waiver period, and (b) any contracts executed during
the DOT waiver period using pre-award authority if they are funded by
grants awarded after the waiver period.\2\ Capital Metro requested that
contracts awarded before the construction materials requirement takes
effect be allowed to comply with Buy America standards as they existed
at the time the contract was formed, even if the contract is funded by
grants obligated in subsequent years.\3\
---------------------------------------------------------------------------
\1\ Comment from the Santa Clara Valley Transportation Authority
(Aug. 16, 2022), https://www.regulations.gov/comment/DOT-OST-2022-0047-0122.
\2\ Comment from the New York Metropolitan Transportation
Authority (May 13, 2022), https://www.regulations.gov/comment/DOT-OST-2022-0047-0037.
\3\ Comment from the Capital Metropolitan Transportation
Authority (May 13, 2022), https://www.regulations.gov/comment/DOT-OST-2022-0047-0049.
---------------------------------------------------------------------------
Several State departments of transportation expressed similar
concerns in their submissions to the docket. For example, the New
Jersey Department of Transportation commented that redesigning projects
that are in an advanced state of design could be expensive and
negatively affect project delivery and requested that such projects be
exempt from the new construction materials requirement.\4\ Similarly,
the South Dakota Department of Transportation commented that it is not
appropriate or feasible to apply the construction materials requirement
to projects where bids were already submitted, and contracts awarded,
based on using materials with no country-of-origin specifications;
doing so would possibly require cancelling current contracts and would
add delay and additional costs for project sponsors.\5\ The California
Department of Transportation reported that it has many multi-year
contracts in place that incorporate Buy America standards as they
existed before BABA and asked whether these contracts will remain
eligible for Federal grants obligated on or after November 10.\6\
Additionally, a joint comment submitted by the transportation
departments of Idaho, Montana, North Dakota, South Dakota, and Wyoming
requested that DOT not apply the new construction materials requirement
to projects where bids were already submitted and awarded without
country-of-origin requirements, because doing so could require project
sponsors and contractors to cancel orders or cancel contracts and incur
additional costs and delays.\7\
---------------------------------------------------------------------------
\4\ Comment from the New Jersey Department of Transportation
(Aug. 12, 2022), https://www.regulations.gov/comment/DOT-OST-2022-0047-0111.
\5\ Comment from the South Dakota Department of Transportation
(Aug. 18, 2022), https://www.regulations.gov/comment/DOT-OST-2022-0047-0167.
\6\ Comment from the California Department of Transportation
(Aug. 18, 2022), https://www.regulations.gov/comment/DOT-OST-2022-0047-0170.
\7\ Comment from the Transportation Departments of Idaho,
Montana, North Dakota, South Dakota, and Wyoming (Aug. 17, 2022),
https://www.regulations.gov/comment/DOT-OST-2022-0047-0132.
---------------------------------------------------------------------------
Based on these and other inquiries and comments, DOT has identified
certain categories of projects for which application of the BABA
construction materials requirement after the DOT waiver expires would
present significant concerns:
(1) projects that have received DOT financial assistance awards
before November 10, 2022--and sometimes even prior to enactment of the
Bipartisan Infrastructure Law--that have completed procurements
involving construction materials or currently are in the process of
soliciting construction contracts, and will receive additional DOT
financial assistance that will be obligated on or after November 10,
2022;
(2) projects that will be funded by DOT grants obligated on or
after November 10, 2022, for which recipients have exercised DOT-
approved pre-award authority before November 10 to execute or solicit
construction contracts prior to grant award;
(3) projects that will be funded by DOT credit assistance obligated
on or after November 10, 2022, for which recipients solicited
construction contracts before May 14, 2022;
Requiring compliance with the BABA domestic preference for
construction materials would be unduly burdensome for projects that
already have executed construction contracts, because they already have
received DOT financial
[[Page 68575]]
assistance, are exercising DOT-approved pre-award authority, or will
receive DOT credit assistance for activities already in progress.\8\
Under these circumstances, application of the construction materials
requirement could compel contract terminations and cause projects to be
put on hold while conducting new procurements. Accordingly, application
of the construction materials requirement to these categories of
projects would result in unacceptable delay, increased project costs,
and potential loss of jobs while project construction is paused.
---------------------------------------------------------------------------
\8\ For information related to pre-award costs, see 2 CFR
200.458, ``Pre-award costs.'' Some DOT OAs have program-specific
guidance on pre-award authority, including FTA's ``Notice of FTA
Transit Program Changes, Authorized Funding Levels and
Implementation of the Infrastructure Investment and Jobs Act; and
FTA Fiscal Year 2022 Apportionments, Allocations, Program
Information and Interim Guidance'', 87 FR 25362 (April 28, 2022).
---------------------------------------------------------------------------
Additionally, for large infrastructure projects, the preparation of
solicitations by project sponsors and the preparation of bids and
proposals by offerors require significant time and investment, and are
based on project design that occurs well in advance of the
solicitations. DOT recipients throughout the country have exercised
pre-award authority to solicit construction contracts prior to the May
14, 2022, effective date of the construction materials requirement, for
which contract award will not occur until on or after November 10.
Applicants to DOT's credit assistance programs often have solicitations
underway concurrent with the Department's application and
creditworthiness reviews. In these instances, amending the
specifications of the contract solicitations to impose new requirements
that were not previously applicable would cause considerable delay.
Proposed Waiver and Request for Comments
DOT recognizes the importance of ensuring the use of domestically
produced construction materials on infrastructure projects receiving
Federal assistance and the need to implement the requirement in a way
that does not delay delivery of projects that were sufficiently
advanced before the requirement applies to DOT funding. Therefore, for
DOT awards obligated on or after the effective date of the waiver, DOT
proposes to issue a general public interest waiver of BABA's domestic
preference for construction materials for:
(1) Any contract entered into before November 10, 2022; and
(2) Any contract entered into before March 10, 2023, if the
contract results from a solicitation published prior to May 14, 2022.
In these limited circumstances, DOT recipients incurred costs,
executed contracts, are conducting procurements with long lead times
prior to the BABA construction materials requirement taking effect,
though they will seek Federal reimbursement through grants obligated on
or after November 10, 2022. This proposed waiver would preserve the
eligibility of costs a project sponsor already incurred or estimated
before the construction materials requirement took effect. The purpose
of covering contracts through March 10, 2023, for contracts resulting
from solicitations published before the May 14, 2022, BABA effective
date, is to provide recipients with reasonable time to complete
procurements. Project sponsors and offerors have invested significant
resources in such procurements, which are based on design and
engineering conducted before the BABA construction materials
requirement went into effect. A project sponsor whose solicitation does
not result in a contract before March 10, 2023, would have to take such
measures as may be necessary to ensure that its contract will comply
with the construction materials requirement.
If issued, this waiver would apply only to projects funded by DOT
financial assistance obligated on or after the effective date of the
waiver. DOT financial assistance obligated before the expiration of the
temporary DOT waiver on November 10, 2022 is not subject to the BABA's
construction materials requirement.
DOT requests comments on the applicable dates proposed in this
waiver. DOT also requests comments on whether this waiver should be
time-limited or phased for certain long-term contracts.
In order to support a more efficient and targeted process for
future waivers, DOT requests comment on whether there are other
scenarios where project delivery would be significantly disrupted or
delayed because of circumstances such as the level of design and
engineering for a project that has occurred in relation to the
effective date of the construction materials preference and provide
specific information as to the construction materials which may not be
available. For example, are there specific circumstances that may
justify a project specific waiver, such as the unavailability of
specific construction materials manufactured in the United States in
sufficient quantity or quality for a particular DOT-funded
transportation project or category of projects? Additionally, are there
transportation projects, such as projects in various stages of FTA's
Capital Investment Grants program, for which a waiver may be justified
due to significant delay in project delivery. If completed design and
engineering must be revised to comply with the construction materials
preference after November 10, 2022, DOT seeks comments on the length
and type of waiver which may be necessary to mitigate a significant
delay.
This proposed waiver would apply to infrastructure projects funded
by financial assistance administered by the Office of Secretary of
Transportation or any of DOT's Operating Administrations with financial
assistance programs, including the Federal Aviation Administration
(FAA); the Federal Highway Administration (FHWA); the Federal Motor
Carrier Safety Administration; the Federal Railroad Administration
(FRA); the Federal Transit Administration (FTA); the Maritime
Administration (MARAD); the National Highway Traffic Administration
(NHTSA); and the Pipeline and Hazardous Materials Safety Administration
(PHMSA).
This proposed waiver would not affect any domestic preference
requirements under other authorities, including DOT's non-BABA domestic
preference statutes: 49 U.S.C. 50101 (FAA); 23 U.S.C. 313 (FHWA and
NHTSA); 49 U.S.C. 22905(a) (FRA); 49 U.S.C. 5323(j) (FTA); and 46
U.S.C. 54101(d)(2) (MARAD).
The Implementation Guidance also provides that, before granting a
waiver in the public interest, to the extent permitted by law, agencies
shall assess whether a significant portion of any cost advantage of a
foreign-sourced product is ``the result of the use of dumped steel,
iron, or manufactured products or the use of injuriously subsidized
steel, iron, or manufactured products.'' Implementation Guidance at p.
12. E.O. 14005 at Section 5 includes a similar requirement for ``steel,
iron, or manufactured goods.'' However, because the public interest
waiver that DOT is proposing in this notice is not based on
consideration of the cost advantage of any foreign-sourced steel, iron,
or manufactured product content, there is not a specific cost advantage
for DOT to consider.
DOT will consider all comments received in the 15-day comment
period, as required by section 70914(c)(2) of the BIL. DOT will
consider comments received after the comment period to the extent
practicable.
[[Page 68576]]
Issued in Washington, DC on: November 8, 2022.
Polly E. Trottenberg,
Deputy Secretary.
[FR Doc. 2022-24743 Filed 11-14-22; 8:45 am]
BILLING CODE 4910-9X-P