ANNOUNCED AS TEMPORARYYes
Public procurement localisation
On March 23, 2018 President Trump signed into law the Consolidated Appropriations Act, 2018 (H.R.1625), which is now Public Law No. 115-141. The bill generally makes appropriations for operations of the Federal government through the fiscal year ending September 30, 2018. It includes numerous separate provisions requiring Buy-American policies for specific types of procurement, all of which appear to be reiterations of similar provisions made in previous fiscal years. Most of the items summarized below include language that permits the relevant authority to waive the requirement in certain circumstances, such as findings that the requirement would be inconsistent with the public interest; the items in question are not produced in the United States in sufficient and reasonably available quantities or of a satisfactory quality, or would be inconsistent with U.S. obligations under international agreements.
Section 746 provides that no Federal funds will be made available for rural water, waste water, waste disposal, and solid waste management programs for the construction, alteration, maintenance, or repair of a public water or wastewater system unless all of the iron and steel products used in the project are produced in the United States. The term ‘‘iron and steel products’’ means the following products made primarily of iron or steel: lined or unlined pipes and fittings, manhole covers and other municipal castings, hydrants, tanks, flanges, pipe clamps and restraints, valves, structural steel, reinforced precast concrete, and construction materials.
Under Section 506, if it has been finally determined by a court or Federal agency that any person intentionally affixed a label bearing a ‘‘Made in America’’ inscription, or any inscription with the same meaning, to any product sold in or shipped to the United States that is not made in the United States, the person shall be ineligible to receive any contract or subcontract made with funds made available in this Act. The provision further states that, to the extent practicable, with respect to authorized purchases of promotional items, funds made available by this Act shall be used to purchase items that are manufactured, produced, or assembled in the United States, its territories or possessions.
Section 8016 requires that any welded shipboard anchor and mooring chain 4 inches in diameter and under purchased by the Department of Defense must be manufactured in the United States from components which are substantially manufactured in the United States.
Under Section 8017 the Department of Defense may not procure malt beverages and wine for resale on a military installation located in the United States unless such malt beverages and wine are procured within that State.
Section 8025 provides that no funds shall be used to procure carbon, alloy, or armor steel plate for use in any Government-owned facility or property under the control of the Department of Defense which were not melted and rolled in the United States or Canada.
Section 8028 provides that if the Secretary of Defense determines that a foreign country which is party to a trade agreement has violated the terms of the agreement by discriminating against certain types of products produced in the United States that are covered by the agreement, the Secretary of Defense shall rescind the Secretary’s blanket waiver of the Buy American Act with respect to such types of products produced in that foreign country.
Section 8050 specifies that no funds may be used to purchase any supercomputer which is not manufactured in the United States, unless the Secretary of Defense certifies to the congressional defense committees that such an acquisition must be made in order to acquire capability for national security purposes that is not available from United States manufacturers.
An unnumbered provision appropriates funds for the Secret Service to purchase motorcycles made in the United States.
Under Section 424, funds made available by a State water pollution control revolving fund for a project for the construction, alteration, maintenance, or repair of a public water system or treatment works must purchase iron and steel products that are produced in the United States. This means the following products made primarily of iron or steel: lined or unlined pipes and fittings, manhole covers and other municipal castings, hydrants, tanks, flanges, pipe clamps and restraints, valves, structural steel, reinforced precast concrete, and construction materials.
Under Section 112, none of the funds for military construction in the United States territories and possessions in the Pacific and on Kwajalein Atoll, or in countries bordering the Arabian Gulf, may be used to award any contract estimated by the Government to exceed $1,000,000 to a foreign contractor: Provided, That this section shall not be applicable to contract awards for which the lowest responsive and responsible bid of a United States contractor exceeds the lowest responsive and responsible bid of a foreign contractor by greater than 20 percent:
Section 511 specifies that none of the funds made available in this Act may be used in contravention of the applicable provisions of the Buy American Act.
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