Made in the U.S.A. Act - Prohibits the head of a federal agency from obligating or expending funds or providing financial assistance for projects for the construction, alteration, maintenance, or repair of a public building or public work unless substantially all of the iron, steel, wood products, cement, and manufactured goods used in the project are produced in the United States (Buy American requirements).
Authorizes the head of an agency to waive such prohibition in certain circumstances.
Amends the Internal Revenue Code, with respect to the Build America Bond program, to: (1) extend permanently the authority to issue such bonds and the authority for payments to issuers of such bonds, (2) reduce the bond holder tax credit percentage, and (3) treat as bonds qualified for the tax credit any bond (or series of bonds) issued to refund a qualified bond if certain criteria are met.
Revises Buy American requirements with respect to federal-aid highways, particularly the handling of waiver requests.
Revises similar Buy American requirements with respect to public transportation and Amtrak, particularly rolling stock. Requires the cost of rolling stock components and subcomponents produced in the United States to increase from 60% in FY2015 by 10% annual increments up to 100% for FY2019 and ensuing fiscal years.
Prescribes Buy American requirements for procurement of a facility or equipment under federal aviation programs similar to those for rolling stock.
Requires the Secretary of Transportation (DOT) to report annually to Congress on: (1) each project for which a waiver of Buy American requirements was issued; and (2) the country of origin and product specifications for steel, iron, or manufactured goods acquired pursuant to each waiver.
[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[S. 2682 Introduced in Senate (IS)]
113th CONGRESS
2d Session
S. 2682
To require certain Federal agencies to use iron, steel, wood products,
cement and manufactured goods produced in the United States in public
construction projects, to permanently extend the Build America Bonds
program, to ensure that transportation and infrastructure projects
carried out using Federal financial assistance are constructed with
steel, iron, and manufactured goods that are produced in the United
States, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
July 29, 2014
Mr. Pryor (for himself and Mr. Walsh) introduced the following bill;
which was read twice and referred to the Committee on Finance
_______________________________________________________________________
A BILL
To require certain Federal agencies to use iron, steel, wood products,
cement and manufactured goods produced in the United States in public
construction projects, to permanently extend the Build America Bonds
program, to ensure that transportation and infrastructure projects
carried out using Federal financial assistance are constructed with
steel, iron, and manufactured goods that are produced in the United
States, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Made in the U.S.A. Act''.
SEC. 2. BUY AMERICAN.
(a) In General.--Notwithstanding any other provision of law, except
for the Trade Agreements Act of 1979 (19 U.S.C. 2501 et seq.), the head
of a Federal agency may not obligate or expend funds appropriated to
the agency, or provide financial assistance using funds appropriated to
the agency, for a project for the construction, alteration,
maintenance, or repair of a public building or public work unless
substantially all of the iron, steel, wood products, cement, and
manufactured goods used in the project are produced in the United
States.
(b) Waiver.--The head of a Federal agency may waive the provisions
of subsection (a) with respect to such if he or she determines that--
(1) the application of such provisions would be
inconsistent with the public interest;
(2) iron, steel, wood products, cement, and manufactured
goods are not produced in the United States in sufficient and
reasonably available quantities and of a satisfactory quality;
or
(3) inclusion of iron, steel, wood products, cement, and
manufactured goods produced in the United States will increase
the project schedule or total cost of the project by more than
25 percent (or by more than 50 percent for Department of
Defense projects).
(c) Waiver Requirements.--
(1) Detailed justification in federal register.--If the
head of a Federal agency issues a waiver under subsection (b),
he or she shall publish a detailed justification for such
waiver in the Federal Register.
(2) Annual report.--Not later than 2 years after the date
of the enactment of this Act, and annually thereafter, in any
year that the head of a Federal agency issues a waiver under
subsection (b), the agency head shall submit a report to
Congress that--
(A) specifies each project with respect to which
the agency head issued a waiver under subsection (b)
during the preceding calendar year;
(B) identifies the country of origin and product
specifications for steel, iron, wood products, cement
or manufactured goods acquired pursuant to each waiver
issued by the agency head under subsection (b) during
the preceding calendar year;
(C) summarizes the monetary value of contracts
awarded pursuant to each such waiver;
(D) summarizes the funds expended on--
(i) steel, iron, wood products, cement, and
manufactured goods produced in the United
States for projects with respect to which the
requirement under this section applied during
the preceding calendar year; and
(ii) steel, iron, wood products, cement,
and manufactured goods produced outside the
United States for projects with respect to
which the agency head issued a waiver under
subsection (b)(1) during the preceding calendar
year; and
(E) provides an employment impact analysis of the
cumulative effect of all waivers issued by the agency
head under subsection (b) during the preceding calendar
year on manufacturing employment in the United States.
(d) Excepted Items.--This section shall not apply to articles,
materials, or supplies--
(1) for use outside the United States (as described in
sections 8302(a)(2)(A) and 8303(b)(1)(A));
(2) below the micro-purchase threshold under section 1902
of title 41, United States Code;
(3) including information technology that is a commercial
item (as described in section 25.103(e) of title 48, Code of
Federal Regulations); or
(4) for commissary resale (as described in section
25.103(d) of title 48, Code of Federal Regulations).
(e) Relationship to State Requirements.--The head of a Federal
agency may not impose any limitation or condition on financial
assistance provided using funds appropriated to the agency that--
(1) restricts any State from imposing more stringent
requirements than the requirements under this section on the
use of iron, steel, wood products, cement, and manufactured
goods in foreign countries in projects carried out with such
assistance; or
(2) restricts any recipient of such assistance from
complying with such State requirements.
(f) Intentional Violations.--A person shall be ineligible to
receive any contract or subcontract made with funds authorized to be
appropriated to a Federal agency pursuant to the debarment, suspension,
and ineligibility procedures in subpart 9.4 of chapter 1 of title 48,
Code of Federal Regulations, for a 6-year period beginning on the date
of a determination under this subsection, if a court or the Federal
agency determines that the person intentionally represented that any
iron, steel, wood product, cement, or manufactured good used in
projects to which this section applies, sold in or shipped to the
United States that was not produced in the United States, was produced
in the United States.
(g) Application of Requirements to Entire Project.--The requirement
under subsection (a) and the exceptions specified in subsection (b)
shall apply to the total of obligations and expenditures for an entire
project and not only to obligations and expenditures for component
parts of such project.
(h) Definitions.--In this section, the terms ``public building''
and ``public work''--
(1) have the meanings given such terms in section 8301 of
title 41, United States Code; and
(2) include airports, bridges, canals, dams, dikes,
pipelines, railroads, multiline mass transit systems, roads,
tunnels, harbors, and piers.
(i) Effective Date.--This section shall apply to amounts
appropriated or otherwise made available at least 1 year after the date
of the enactment of this Act.
SEC. 3. PERMANENT EXTENSION OF BUILD AMERICA BONDS.
(a) Reduction in Bond Holder Credit Percentage.--Section 54AA(b) of
the Internal Revenue Code of 1986 is amended by striking ``35 percent''
and inserting ``28 percent (35 percent in the case of bonds issued
before January 1, 2011)''.
(b) Permanent Extension.--Section 54AA(d)(1)(B) of such Code is
amended by inserting ``or after the date of the enactment of the Made
in the U.S.A. Act,'' after ``January 1, 2011,''.
(c) Qualified Bond Defined.--Section 54AA(g) of such Code is
amended by striking paragraph (2) and inserting the following:
``(2) Qualified bond.--For purposes of this section, the
term `qualified bond'--
``(A) means any build America bond issued as part
of an issue if--
``(i) 100 percent of the excess of--
``(I) the available project
proceeds (as defined in section 54A) of
such issue, over
``(II) the amounts in a reasonably
required reserve (within the meaning of
section 150(a)(3)) with respect to such
issue, are to be used for capital
expenditures (including capital
expenditures for levees and other flood
control projects), and
``(ii) the issuer makes an irrevocable
election to have this subsection apply;
``(B) includes any bond (or series of bonds) issued
to refund a qualified bond if--
``(i) the average maturity date of the
issue of which the refunding bond is a part is
not later than the average maturity date of the
bonds to be refunded by such issue,
``(ii) the amount of the refunding bond
does not exceed the outstanding amount of the
refunded bond, and
``(iii) the refunded bond is redeemed not
later than 90 days after the date of the
issuance of the refunding bond,
``(C) includes any bond (or series of bonds) that
is reasonably expected to be used for the issuer's
operating expenses as long as the issue is limited to a
maturity of 13 months or less, and
``(D) includes any bond (or series of bonds) that
is a qualified 501(c)(3) bond (as defined in section
145).
``(3) Additional purposes.--
``(A) In the case of a refunding bond referred to
in paragraph (2)(B), the applicable percentage with
respect to such bond under section 6431(b) shall be the
lowest percentage specified in paragraph (2) of such
section.
``(B) For purposes of paragraph (2)(B)(i), average
maturity shall be determined in accordance with section
147(b)(2)(A).
``(C) Subchapter IV of chapter 31 of title 40,
United States Code, shall apply to projects financed
with the proceeds of any build America bond issued
after the date of the enactment of this paragraph.''.
(d) Payments to Issuers.--
(1) In general.--Section 6431 of such Code is amended--
(A) in subsection (a), by striking ``issued before
January 1, 2011''; and
(B) in subsection (f)(1)(B), by striking ``before
January 1, 2011'' and inserting ``during a particular
period''.
(2) Conforming amendments.--Section 54AA(g) of such Code is
amended--
(A) in the subsection heading, by striking
``Qualified Bonds Issued Before 2011'' and inserting
``Certain Qualified Bonds''; and
(B) in the matter preceding paragraph (1), by
striking ``before January 1, 2011''.
(e) Reduction in Percentage of Payments to Issuers.--Section
6431(b) of such Code is amended by striking ``35 percent'' and
inserting ``28 percent (35 percent in the case of bonds issued before
January 1, 2011)''.
SEC. 4. FEDERAL-AID HIGHWAY BUY AMERICA PROVISIONS.
(a) In General.--Section 313 of title 23, United States Code, is
amended to read as follows:
``Sec. 313. Buy America
``(a) Domestic Source Requirement for Steel, Iron, and Manufactured
Goods.--
``(1) In general.--Notwithstanding any other provision of
law, funds made available to carry out this title may not be
obligated for a project unless the steel, iron, and
manufactured goods used for the project are produced in the
United States.
``(2) Scope.--The requirements under this section shall
apply to all contracts for a project carried out within the
scope of the applicable finding, determination, or decision
under the National Environmental Policy Act of 1969 (42 U.S.C.
4321 et seq.), regardless of the funding source of such
contracts, if at least 1 contract for the project is funded
with amounts made available to carry out this title.
``(b) Exceptions.--
``(1) Issuance of waivers.--The Secretary may waive the
requirements of subsection (a) only if the Secretary determines
that--
``(A) applying subsection (a) would be inconsistent
with the public interest, as determined in accordance
with the regulations issued under paragraph (2);
``(B) the steel, iron, or manufactured goods
required for a project are not produced in the United
States--
``(i) in sufficient and reasonably
available quantities; and
``(ii) of a satisfactory quality; or
``(C) the use of steel, iron, and manufactured
goods produced in the United States for a project will
increase the project schedule or total cost of the
project by more than 25 percent.
``(2) Rulemaking.--The Secretary shall issue regulations
establishing the criteria that the Secretary shall use to
determine whether the application of subsection (a) is
inconsistent with the public interest for purposes of paragraph
(1)(A).
``(3) Labor costs.--For purposes of this subsection, labor
costs involved in final assembly shall not be included in
calculating the cost of components.
``(4) Requests for waivers.--A recipient of assistance
under this title seeking a waiver under paragraph (1) shall
submit a request for such waiver to the Secretary in such form
and containing such information as the Secretary may require.
``(c) Waiver Requirements.--
``(1) Public notification of and opportunity for comment on
request for a waiver.--
``(A) In general.--If the Secretary receives a
request for a waiver under subsection (b), the
Secretary shall provide notice of and an opportunity
for public comment on the request at least 30 days
before making a finding based on the request.
``(B) Notice requirements.--A notice provided under
subparagraph (A)--
``(i) shall include the information
available to the Secretary concerning the
request, including whether the request is being
made under subparagraph (A), (B), or (C) of
subsection (b)(1); and
``(ii) shall be provided by electronic
means, including on the official public
Internet website of the Department of
Transportation.
``(2) Detailed justification in federal register.--If the
Secretary issues a waiver under subsection (b), the Secretary
shall publish in the Federal Register a detailed justification
for the waiver that--
``(A) addresses the public comments received under
paragraph (1)(A); and
``(B) is published before the waiver takes effect.
``(d) State Requirements.--The Secretary may not impose a
limitation or condition on assistance provided under this title that
restricts--
``(1) a State from imposing requirements that are more
stringent than those imposed under this section with respect to
limiting the use of articles, materials, or supplies mined,
produced, or manufactured in foreign countries for projects
carried out with such assistance; or
``(2) any recipient of such assistance from complying with
such State requirements.
``(e) Intentional Violations.--Pursuant to procedures established
under subpart 9.4 of chapter 1 of title 48, Code of Federal
Regulations, a person shall be ineligible to receive a contract or
subcontract funded with amounts made available to carry out this title
if the Secretary, the head of any department, agency, or
instrumentality of the United States, or a court determines that such
person intentionally--
``(1) affixed a label bearing a `Made in America'
inscription, or any inscription with the same meaning, to any
steel, iron, or manufactured goods that--
``(A) were used in a project to which this section
applies; and
``(B) were not produced in the United States; or
``(2) represented that any steel, iron, or manufactured
goods were produced in the United States that--
``(A) were used in a project to which this section
applies; and
``(B) were not produced in the United States.
``(f) Consistency With International Agreements.--
``(1) In general.--This section shall be applied in a
manner that is consistent with United States obligations under
international agreements.
``(2) Treatment of foreign countries in violation of
international agreements.--The Secretary shall prohibit the use
of steel, iron, and manufactured goods produced in a foreign
country in a project funded with amounts made available to
carry out this title, including any project for which the
Secretary has issued a waiver under subsection (b), if the
Secretary, in consultation with the United States Trade
Representative, determines that the foreign country is in
violation of the terms of an agreement with the United States
by discriminating against steel, iron, or manufactured goods
that are produced in the United States and covered by the
agreement.''.
(b) Review of Nationwide Waivers.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, and at least every 5 years thereafter,
the Secretary of Transportation shall review each standing
nationwide waiver issued under section 313 of title 23, United
States Code, to determine whether continuing such waiver is
necessary.
(2) Public notification of and opportunity for comment on
review of standing nationwide waivers.--In conducting a review
under paragraph (1), the Secretary shall provide notice of and
an opportunity for public comment on the review at least 30
days before completing the review.
(3) Notice requirement.--A notice provided under paragraph
(2) shall be provided by electronic means, including on the
official public Internet website of the Department of
Transportation.
(4) Detailed justification in federal register.--If the
Secretary finds it is necessary to continue a standing
nationwide waiver after a review under paragraph (1), the
Secretary shall publish in the Federal Register a detailed
justification for such waiver that addresses the public
comments received under paragraph (2).
(c) Repeals.--
(1) Waiver notification and annual reports.--Section 117 of
the SAFETEA-LU Technical Corrections Act of 2008 (23 U.S.C. 313
note) is repealed.
(2) Notice and public comments.--Section 123 of title I of
division A of the Consolidated Appropriations Act, 2010 (23
U.S.C. 313 note) is repealed.
SEC. 5. PUBLIC TRANSPORTATION BUY AMERICA PROVISIONS.
(a) In General.--Section 5323(j) of title 49, United States Code,
is amended to read as follows:
``(j) Buy America.--
``(1) Domestic source requirement for steel, iron, and
manufactured goods.--
``(A) In general.--Notwithstanding any other
provision of law, and except as provided in
subparagraph (B), funds made available to carry out
this chapter may not be obligated for a project unless
the steel, iron, and manufactured goods used for the
project are produced in the United States.
``(B) Special rules for rolling stock.--Funds made
available to carry out this chapter may not be
obligated for the procurement of rolling stock
(including train control, communication, traction power
equipment, and rolling stock prototypes) unless--
``(i) the cost of components and
subcomponents produced in the United States--
``(I) for fiscal year 2015 is more
than 60 percent of the cost of all
components of the rolling stock;
``(II) for fiscal year 2016 is more
than 70 percent of the cost of all
components of the rolling stock;
``(III) for fiscal year 2017 is
more than 80 percent of the cost of all
components of the rolling stock;
``(IV) for fiscal year 2018 is more
than 90 percent of the cost of all
components of the rolling stock; and
``(V) for fiscal year 2019, and
each fiscal year thereafter, is 100
percent of the cost of all components
of the rolling stock; and
``(ii) final assembly of the rolling stock,
including rolling stock prototypes, occurs in
the United States.
``(C) Scope.--The requirements under this
subsection shall apply to all contracts for a public
transportation project carried out within the scope of
the applicable finding, determination, or decision
under the National Environmental Policy Act of 1969 (42
U.S.C. 4321 et seq.), regardless of the funding source
of such contracts, if at least one contract for the
public transportation project is funded with amounts
made available to carry out this chapter.
``(2) Exceptions.--
``(A) Issuance of waivers.--The Secretary may waive
the requirements of paragraph (1) only if the Secretary
finds that--
``(i) applying paragraph (1) would be
inconsistent with the public interest, as
determined in accordance with the regulations
issued under subparagraph (B);
``(ii) the steel, iron, or manufactured
goods required for a project are not produced
in the United States--
``(I) in sufficient and reasonably
available quantities; and
``(II) of a satisfactory quality;
or
``(iii) the use of steel, iron, and
manufactured goods produced in the United
States for a project will increase the project
schedule or total cost of the project by more
than 25 percent.
``(B) Rulemaking.--The Secretary shall issue
regulations establishing the criteria that the
Secretary shall use to determine whether the
application of paragraph (1) is inconsistent with the
public interest for purposes of subparagraph (A)(i).
``(C) Components of rolling stock.--If the
Secretary finds that a component of rolling stock is
not produced in the United States in sufficient and
reasonably available quantities or to a satisfactory
quality, the Secretary may issue a waiver under
subparagraph (A) with respect to such component.
``(D) Labor costs.--For purposes of this
subsection, labor costs involved in final assembly
shall not be included in calculating the cost of
components.
``(E) Requests for waivers.--A recipient of
assistance under this chapter seeking a waiver under
subparagraph (A) shall submit to the Secretary a
request for the waiver in such form and containing such
information as the Secretary may require.
``(3) Waiver requirements.--
``(A) Public notification of and opportunity for
comment on request for a waiver.--
``(i) In general.--If the Secretary
receives a request for a waiver under paragraph
(2), the Secretary shall provide notice of and
an opportunity for public comment on the
request at least 30 days before making a
finding based on the request.
``(ii) Notice requirements.--A notice
provided under clause (i) shall--
``(I) include the information
available to the Secretary concerning
the request, including whether the
request is being made under paragraph
(2)(A)(i), (2)(A)(ii), or (2)(A)(iii);
and
``(II) be provided by electronic
means, including on the official public
Internet website of the Department of
Transportation.
``(B) Detailed justification in federal register.--
If the Secretary issues a waiver under paragraph (2),
the Secretary shall publish in the Federal Register a
detailed justification for the waiver that--
``(i) addresses the public comments
received under subparagraph (A)(i); and
``(ii) is published before the waiver takes
effect.
``(4) State requirements.--The Secretary may not impose a
limitation or condition on assistance provided under this
chapter that restricts--
``(A) a State from imposing requirements that are
more stringent than those imposed under this subsection
with respect to limiting the use of articles,
materials, or supplies mined, produced, or manufactured
in foreign countries for projects carried out with such
assistance; or
``(B) any recipient of such assistance from
complying with such State requirements.
``(5) Intentional violations.--Pursuant to procedures
established under subpart 9.4 of chapter 1 of title 48, Code of
Federal Regulations, a person shall be ineligible to receive a
contract or subcontract funded with amounts made available to
carry out this chapter or any other law providing Federal
public transportation assistance if the Secretary, the head of
any department, agency, or instrumentality of the United
States, or a court determines that such person intentionally--
``(A) affixed a label bearing a `Made in America'
inscription, or any inscription with the same meaning,
to any steel, iron, or manufactured goods that--
``(i) were used in a project to which this
subsection applies; and
``(ii) were not produced in the United
States; or
``(B) represented that any steel, iron, or
manufactured goods were produced in the United States
that--
``(i) were used in a project to which this
subsection applies; and
``(ii) were not produced in the United
States.
``(6) Consistency with international agreements.--
``(A) In general.--This subsection shall be applied
in a manner that is consistent with United States
obligations under international agreements.
``(B) Treatment of foreign countries in violation
of international agreements.--The Secretary shall
prohibit the use of steel, iron, and manufactured goods
produced in a foreign country in a project funded with
amounts made available to carry out this chapter or any
other law providing Federal public transportation
assistance, including any project for which the
Secretary has issued a waiver under paragraph (2), if
the Secretary, in consultation with the United States
Trade Representative, determines that the foreign
country is in violation of the terms of an agreement
with the United States by discriminating against steel,
iron, or manufactured goods that are produced in the
United States and covered by the agreement.
``(7) Opportunity to correct inadvertent error.--The
Secretary may allow a manufacturer or supplier of steel, iron,
or manufactured goods to correct after bid opening an
incomplete Buy America certificate or an incorrect certificate
of noncompliance (but not a failure to sign a certificate, a
submission of both a certificate of compliance and a
certificate of noncompliance, or a failure to submit any
certificate) under this subsection if such manufacturer or
supplier attests under penalty of perjury that such
manufacturer or supplier submitted an incomplete or incorrect
certificate as a result of an inadvertent or clerical error.
The burden of establishing inadvertent or clerical error is on
the manufacturer or supplier.''.
(b) Review of General Public Interest Waivers.--Not later than 1
year after the date of enactment of this Act, and at least every 5
years thereafter, the Secretary of Transportation shall review the
general public interest waivers described in subsection (b) of Appendix
A of section 661.7 of title 49, Code of Federal Regulations, to
determine whether continuing such waivers is in the public interest.
SEC. 6. AMTRAK BUY AMERICA PROVISIONS.
(a) In General.--Section 24305(f) of title 49, United States Code,
is amended to read as follows:
``(f) Buy America.--
``(1) Domestic source requirement for steel, iron, and
manufactured goods.--
``(A) In general.--Notwithstanding any other
provision of law, amounts made available to Amtrak
under section 101(c) of the Passenger Rail Investment
and Improvement Act of 2008 (division B of Public Law
110-432; 122 Stat. 4908) may not be used for a capital
project (as defined in subparagraphs (A) and (B) of
section 24401(2)) to bring the Northeast Corridor to a
state-of-good-repair or for any other capital expense
of Amtrak unless the steel, iron, and manufactured
goods used for the project or other capital expense are
produced in the United States.
``(B) Scope.--The requirements under this
subsection shall apply to all contracts for a project
or other capital expense carried out within the scope
of the applicable finding, determination, or decision
under the National Environmental Policy Act of 1969 (42
U.S.C. 4321 et seq.), regardless of the funding source
of such contracts, if at least one contract with
respect to the project or other capital expense is
funded with amounts made available under section 101(c)
of the Passenger Rail Investment and Improvement Act of
2008 (122 Stat. 4908).
``(C) Special rules for rolling stock.--Funds made
available to carry out this chapter may not be
obligated for the procurement of rolling stock
(including train control, communication, traction power
equipment, and rolling stock prototypes) unless--
``(i) the cost of components and
subcomponents produced in the United States--
``(I) for fiscal year 2015 is more
than 60 percent of the cost of all
components of the rolling stock;
``(II) for fiscal year 2016 is more
than 70 percent of the cost of all
components of the rolling stock;
``(III) for fiscal year 2017 is
more than 80 percent of the cost of all
components of the rolling stock;
``(IV) for fiscal year 2018 is more
than 90 percent of the cost of all
components of the rolling stock; and
``(V) for fiscal year 2019, and
each fiscal year thereafter, is 100
percent of the cost of all components
of the rolling stock; and
``(ii) final assembly of the rolling stock,
including rolling stock prototypes, occurs in
the United States.
``(2) Exceptions.--
``(A) Issuance of waivers.--The Secretary of
Transportation may waive the requirements under
paragraph (1) only if the Secretary determines that--
``(i) applying paragraph (1) would be
inconsistent with the public interest, as
determined in accordance with the regulations
issued under subparagraph (B);
``(ii) the steel, iron, or manufactured
goods required for a project or other capital
expense are not produced in the United States--
``(I) in sufficient and reasonably
available quantities; and
``(II) of a satisfactory quality;
``(iii) the use of steel, iron, and
manufactured goods produced in the United
States for a project or other capital expense
will increase the project schedule or total
cost of the project by more than 25 percent; or
``(iv) the cost of articles, material, or
supplies bought is not more than $1,000,000.
``(B) Rulemaking.--The Secretary shall issue
regulations establishing the criteria that the
Secretary shall use to determine whether the
application of paragraph (1) is inconsistent with the
public interest for purposes of subparagraph (A)(i).
``(C) Components of rolling stock.--If the
Secretary finds that a component of rolling stock is
not produced in the United States in sufficient and
reasonably available quantities or to a satisfactory
quality, the Secretary may issue a waiver under
subparagraph (A) with respect to such component.
``(D) Labor costs.--For purposes of this paragraph,
labor costs involved in final assembly shall not be
included in calculating the cost of components.
``(E) Requests for waivers.--If Amtrak seeks a
waiver under subparagraph (A), Amtrak shall submit a
request for the waiver to the Secretary in such form
and containing such information as the Secretary may
require.
``(3) Waiver requirements.--
``(A) Public notification of and opportunity for
comment on request for a waiver.--
``(i) In general.--If the Secretary
receives a request for a waiver from Amtrak
under paragraph (2), the Secretary shall
provide notice of and an opportunity for public
comment on the request at least 30 days before
making a determination based on the request.
``(ii) Notice requirements.--A notice
provided under clause (i)--
``(I) shall include the information
available to the Secretary concerning
the request, including whether the
request is being made under clause (i),
(ii), or (iii) of paragraph (2)(A); and
``(II) shall be provided by
electronic means, including on the
official public Internet website of the
Department of Transportation.
``(B) Detailed justification in federal register.--
If the Secretary issues a waiver under paragraph (2),
the Secretary shall publish in the Federal Register a
detailed justification for the waiver that--
``(i) addresses the public comments
received under subparagraph (A)(i); and
``(ii) is published before the waiver takes
effect.
``(4) State requirements.--The Secretary may not impose a
limitation or condition on assistance provided with funds
described in paragraph (1)(A) that restricts--
``(A) a State from imposing requirements that are
more stringent than those imposed under this subsection
with respect to limiting the use of articles,
materials, or supplies mined, produced, or manufactured
in foreign countries for capital projects or other
capital expenses carried out with such assistance; or
``(B) any recipient of such assistance from
complying with such State requirements.
``(5) Intentional violations.--Pursuant to procedures
established under subpart 9.4 of chapter 1 of title 48, Code of
Federal Regulations, a person shall be ineligible to receive a
contract or subcontract funded with funds described in
paragraph (1)(A) if the Secretary, the head of any department,
agency, or instrumentality of the United States, or a court
determines that such person intentionally--
``(A) affixed a label bearing a `Made in America'
inscription, or any inscription with the same meaning,
to any steel, iron, or manufactured goods that--
``(i) were used in a capital project or
other capital expense to which this subsection
applies; and
``(ii) were not produced in the United
States; or
``(B) represented that any steel, iron, or
manufactured goods were produced in the United States
that--
``(i) were used in a capital project or
other capital expense to which this subsection
applies; and
``(ii) were not produced in the United
States.
``(6) Consistency with international agreements.--
``(A) In general.--This subsection shall be applied
in a manner that is consistent with United States
obligations under international agreements.
``(B) Treatment of foreign countries in violation
of international agreements.--The Secretary shall
prohibit the use of steel, iron, and manufactured goods
produced in a foreign country in a capital project or
other capital expense funded with funds described in
paragraph (1)(A), including any project or capital
expense for which the Secretary has issued a waiver
under paragraph (2), if the Secretary, in consultation
with the United States Trade Representative, determines
that the foreign country is in violation of the terms
of an agreement with the United States by
discriminating against steel, iron, or manufactured
goods that are produced in the United States and
covered by the agreement.''.
(b) Review of Nationwide Waivers.--Not later than 1 year after the
date of enactment of this Act, and at least every 5 years thereafter,
the Secretary of Transportation shall review each standing nationwide
waiver issued under section 24305(f) of title 49, United States Code,
to determine whether continuing such waiver is necessary.
SEC. 7. AVIATION BUY AMERICA PROVISIONS.
(a) Buy America Preferences.--Chapter 501 of title 49, United
States Code, is amended by striking the chapter heading and inserting
``BUY AMERICA''.
(b) Enhancements To Buy America Requirements.--Section 50101 of
such title is amended to read as follows:
``Sec. 50101. Buy America
``(a) Domestic Source Requirement for Steel, Iron, and Manufactured
Goods.--
``(1) In general.--Notwithstanding any other provision of
law, and except as provided in paragraph (2), amounts made
available to carry out section 106(k), 44502(a)(2), or 44509,
subchapter I of chapter 471 (except section 47127), or chapter
481 (except sections 48102(e), 48106, 48107, and 48110) of this
title may not be obligated for a project unless the steel,
iron, and manufactured goods used for the project are produced
in the United States.
``(2) Special rules for certain facilities and equipment.--
With respect to a project for the procurement of a facility or
equipment, funds made available to carry out the provisions
specified in paragraph (1) may not be obligated for the project
unless--
``(A) the cost of components and subcomponents
produced in the United States--
``(i) for fiscal year 2015 is more than 60
percent of the cost of all components of the
facility or equipment;
``(ii) for fiscal year 2016 is more than 70
percent of the cost of all components of the
facility or equipment;
``(iii) for fiscal year 2017 is more than
80 percent of the cost of all components of the
facility or equipment;
``(iv) for fiscal year 2018 is more than 90
percent of the cost of all components of the
facility or equipment; and
``(v) for fiscal year 2019, and each fiscal
year thereafter, is 100 percent of the cost of
all components of the facility or equipment;
and
``(B) final assembly of the facility or equipment
occurs in the United States.
``(3) Scope.--The requirements under this section shall
apply to all contracts for a project carried out within the
scope of the applicable finding, determination, or decision
under the National Environmental Policy Act of 1969 (42 U.S.C.
4321 et seq.), regardless of the funding source of such
contracts, if at least one contract for the project is funded
with amounts made available to carry out a provision specified
in paragraph (1).
``(b) Exceptions.--
``(1) Issuance of waivers.--The Secretary of Transportation
may waive the requirements of subsection (a) only if the
Secretary determines that--
``(A) applying subsection (a) would be inconsistent
with the public interest, as determined in accordance
with the regulations issued under paragraph (2);
``(B) the steel, iron, or manufactured goods
required for a project are not produced in the United
States--
``(i) in sufficient and reasonably
available quantities; and
``(ii) of a satisfactory quality; or
``(C) the use of steel, iron, and manufactured
goods produced in the United States for a project will
increase the project schedule or total cost of the
project by more than 25 percent.
``(2) Rulemaking.--The Secretary shall issue regulations
establishing the criteria that the Secretary shall use to
determine whether the application of subsection (a) is
inconsistent with the public interest for purposes of paragraph
(1)(A).
``(3) Labor costs.--For purposes of this section, labor
costs involved in final assembly are not included in
calculating the cost of components.
``(4) Requests for waivers.--An entity seeking a waiver
under paragraph (1) shall submit to the Secretary a request for
the waiver in such form and containing such information as the
Secretary may require.
``(5) Preference for american-assembled facilities and
equipment.--In the procurement of a facility or equipment
subject to a waiver issued under paragraph (1), the Secretary
shall give preference to a facility or equipment for which
final assembly occurred in the United States.
``(6) Limitation on waiver authority.--In the procurement
of a facility or equipment, if the Secretary determines that a
component of the facility or equipment is not produced in the
United States in sufficient and reasonably available quantities
or to a satisfactory quality, the Secretary may issue a waiver
under paragraph (1) with respect to such component.
``(c) Waiver Requirements.--
``(1) Public notification of and opportunity for comment on
request for a waiver.--
``(A) In general.--If the Secretary receives a
request for a waiver under subsection (b), the
Secretary shall provide notice of and an opportunity
for public comment on the request at least 30 days
before making a determination based on the request.
``(B) Notice requirements.--A notice provided under
subparagraph (A)--
``(i) shall include the information
available to the Secretary concerning the
request, including whether the request is being
made under subparagraph (A), (B), or (C) of
subsection (b)(1); and
``(ii) shall be provided by electronic
means, including on the official public
Internet website of the Department of
Transportation.
``(2) Detailed justification in federal register.--If the
Secretary issues a waiver under subsection (b), the Secretary
shall publish a detailed justification for the waiver in the
Federal Register that--
``(A) addresses the public comments received under
paragraph (1)(A); and
``(B) is published before the waiver takes effect.
``(d) State Requirements.--The Secretary may not impose a
limitation or condition on assistance provided with funds made
available to carry out a provision specified in subsection (a)(1) that
restricts--
``(1) a State from imposing requirements that are more
stringent than those imposed under this section with respect to
limiting the use of articles, materials, or supplies mined,
produced, or manufactured in foreign countries for projects
carried out with such assistance; or
``(2) any recipient of such assistance from complying with
such State requirements.
``(e) Consistency With International Agreements.--
``(1) In general.--This section shall be applied in a
manner that is consistent with United States obligations under
international agreements.
``(2) Treatment of foreign countries in violation of
international agreements.--The Secretary shall prohibit the use
of steel, iron, and manufactured goods produced in a foreign
country in a project funded with funds made available to carry
out a provision specified in subsection (a)(1), including any
project for which the Secretary has issued a waiver under
subsection (b), if the Secretary, in consultation with the
United States Trade Representative, determines that the foreign
country is in violation of the terms of an agreement with the
United States by discriminating against steel, iron, or
manufactured goods that are produced in the United States and
covered by the agreement.''.
(c) Clerical Amendments.--
(1) Subtitle analysis.--The analysis for subtitle VII of
title 49, United States Code, is amended by striking the item
relating to chapter 501 and inserting the following:
``501. Buy America.......................................... 50101''.
(2) Chapter analysis.--The analysis for chapter 501 of
title 49, United States Code, is amended by striking the item
relating to section 50101 and inserting the following:
``50101. Buy America.''.
(d) Prohibition on Contracting Upon Falsification of Label.--
Section 50105 of such title is amended by inserting ``steel, iron, or
manufactured'' before ``goods''.
(e) Review of Nationwide Waivers.--Not later than 1 year after the
date of the enactment of this Act, and at least every 5 years
thereafter, the Secretary of Transportation shall review each standing
nationwide waiver issued under section 50101 of title 49, United States
Code, to determine whether continuing such waiver is necessary.
SEC. 8. DEPARTMENT OF TRANSPORTATION BUY AMERICA ANNUAL REPORT.
Section 308 of title 49, United States Code, is amended by adding
at the end the following:
``(f) Buy America.--Not later than February 1 of each year
beginning at least 1 year after the date of the enactment of this
subsection, the Secretary shall submit a report to Congress that--
``(1) specifies each project with respect to which the
Secretary issued a waiver from a Buy America requirement during
the preceding calendar year;
``(2) identifies the country of origin and product
specifications for steel, iron, or manufactured goods acquired
pursuant to each waiver from a Buy America requirement issued
by the Secretary during the preceding calendar year;
``(3) summarizes the monetary value of contracts awarded
pursuant to each such waiver;
``(4) provides the justification for each such waiver,
including the specific law, treaty, or international agreement
under which the waiver was granted;
``(5) summarizes the funds expended on--
``(A) steel, iron, and manufactured goods produced
in the United States for projects with respect to which
a Buy America requirement, under which the Secretary
has waiver authority, applied during the preceding
calendar year; and
``(B) steel, iron, and manufactured goods produced
outside the United States for projects with respect to
which the Secretary issued a waiver from a Buy America
requirement during the preceding calendar year; and
``(6) provides an employment impact analysis of the
cumulative effect of all waivers from a Buy America requirement
issued by the Secretary during the preceding calendar year on
manufacturing employment in the United States.''.
<all>
Introduced in Senate
Read twice and referred to the Committee on Finance.
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