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Public procurement localisation
On July 6, 2012, President Obama signed into law a bill (H.R.4348) known as the 'Moving Ahead for Progress in the 21st Century Act' (MAP-21). Now Public-Law 112-141, this law includes provisions tightening the application of Buy-American rules in the procurement of iron, steel, and other materials in transportation projects.
One provision (section 1518) amended existing law (Section 313 of title 23, United States Code) by adding the following: 'g) Application to Highway Programs.--The requirements under this section shall apply to all contracts eligible for assistance under this chapter 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.' The section thus broadens the applicability of Buy America to non-FHWA-funded utility relocations. These Buy America rules relate to iron and steel as well as manufactured products which are predominantly made of iron and steel (see the related State Act 11346 for further details).
The other provision (part of section 20016) amended existing law (Section 5323 of title 49, United States Code) to include (among other new provisions) a general rule by which the Secretary of Transportation 'may obligate an amount that may be appropriated to carry out this chapter for a project only if the steel, iron, and manufactured goods used in the project are produced in the United States.' That general is then modified by providing for waivers in certain circumstances (e.g., if applying this rule 'would be inconsistent with the public interest,' if 'the steel, iron, and goods produced in the United States are not produced in a sufficient and reasonably available amount or are not of a satisfactory quality,' etc.)
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