Recently released guidance on the Buy American provision within the $1.2 trillion Infrastructure Investment and Jobs Act released by the Office of Management and Budget includes a waiver process.
Three situations can prompt agency heads to issue waivers to the Buy American preferences: when it is not in the public interest; when the materials are not sufficiently available in the U.S.; or when using the materials would increase the cost of the project by more than 25%. Prior to issuing a waiver, a proposed waiver must be made publicly available on an agency’s website with a detailed explanation.
The public would be given at least 15 days to comment on the waiver. Agencies would then submit the proposed waiver to the Made in America Office, housed within OMB, for review for a decision on the waiver request.
The CEO of the Associated General Contractors of America, criticized the guidance for creating red tape that “undermines Americans’ confidence in the federal government’s ability to effectively use their tax dollars.” As currently constituted, the guidance would impose rules that are likely to cause delays and burden contractors, he said.
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