Enacts the "New York Buy American act"; provides that all contracts over one million dollars in value and made and awarded by any department or agency of the state for the construction, reconstruction, alteration, repair, maintenance or improvement of any roads or bridges shall contain a provision that the iron, steel and concrete used or supplied in the performance of the contract or any subcontract thereto and permanently incorporated into such road or bridge, shall be produced or made in whole or substantial part in the United States, its territories or possessions; enacts provisions relating to a working group between NYS and Canada.
STATE OF NEW YORK
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6639--A
2017-2018 Regular Sessions
IN SENATE
June 9, 2017
___________
Introduced by Sens. ROBACH, AKSHAR, AVELLA, BONACIC, CROCI, FUNKE,
GALLIVAN, HAMILTON, HANNON, HELMING, JACOBS, LANZA, MARCHIONE, MURPHY,
PERALTA, SAVINO, YOUNG -- read twice and ordered printed, and when
printed to be committed to the Committee on Rules -- committee
discharged, bill amended, ordered reprinted as amended and recommitted
to said committee
AN ACT to amend the state finance law and the public authorities law, in
relation to enacting the "New York Buy American Act"; and providing
for the repeal of such provisions upon expiration thereof
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Short title. This act shall be known and may be cited as
2 the "New York Buy American Act".
3 § 2. Section 146 of the state finance law, as added by chapter 1014 of
4 the laws of 1981, is amended to read as follows:
5 § 146. Certain construction contracts involving steel. 1. Notwith-
6 standing any other provisions of law, all contracts over one hundred
7 thousand dollars in value made and awarded by any department or agency
8 of the state for the construction, reconstruction, alteration, repair,
9 maintenance or improvement of any public works shall require that struc-
10 tural steel, reinforcing steel and/or other major steel items to be
11 incorporated in the work of the contract shall be produced or made in
12 whole or substantial part in the United States, its territories or
13 possessions.
14 2. Notwithstanding the provisions of subdivision one of this section,
15 all contracts over one million dollars in value and made and awarded by
16 the department of transportation, the office of general services, and
17 the state university of New York construction fund for the construction,
18 reconstruction, alteration, repair, maintenance or improvement of any
19 surface roads or bridges, shall contain a provision that the structural
20 iron and structural steel used or supplied in the performance of the
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD13106-09-7
S. 6639--A 2
1 contract or any subcontract thereto and permanently incorporated into
2 such surface road or bridge, shall be produced or made in whole or
3 substantial part in the United States, its territories or possessions.
4 In the case of a structural iron or structural steel product all manu-
5 facturing must take place in the United States, from the initial melting
6 stage through the application of coatings, except metallurgical proc-
7 esses involving the refinement of steel additives. For the purposes of
8 this section, "permanently incorporated" shall mean an iron or steel
9 product that is required to remain in place at the end of the project
10 contract, in a fixed location, affixed to the public work to which it
11 was incorporated. Iron and steel products that are capable of being
12 moved from one location to another are not permanently incorporated into
13 a public work.
14 3. The provisions of this section shall not apply if the head of the
15 department or agency constructing the public works, in his or her sole
16 discretion, determines that such provisions would not be in the public
17 interest, would result in unreasonable costs or that such iron or steel,
18 including without limitation structural iron and structural steel,
19 cannot be produced or made in the United States in sufficient and
20 reasonably available quantities and of satisfactory quality[.], or would
21 result in the loss or reduction of federal funding for the subject
22 contract or the ability to obtain such federal funding would be limited
23 or jeopardized by compliance with this section; or there is an immedi-
24 ate or emergency need existing for the structural steel or structural
25 iron; or the structural steel or structural iron is not manufactured in
26 the United States in sufficient and reasonably available quantities or
27 of satisfactory quality or design to meet the department's or agency's
28 requirements; or obtaining such steel or iron in the United States would
29 increase the cost of the contract by an unreasonable amount; or such
30 steel or iron is necessary for the operation of or repairs of critical
31 infrastructure that is necessary to avoid a delay in the delivery of
32 critical services that could compromise the public welfare; or a recip-
33 rocal trade agreement or treaty has been negotiated by the state or by
34 the United States government on behalf of or including this state with a
35 foreign nation or government for nondiscriminatory governmental procure-
36 ment practices or policies with such foreign nation or government.
37 4. Nothing in this section is intended to contravene any existing
38 treaties, laws, trade agreements, or regulations of the United States or
39 subsequent trade agreements entered into between any foreign countries
40 and the state or the United States.
41 5. Any agency subject to the provisions of this section shall be
42 authorized to establish rules and regulations for the effective adminis-
43 tration of this section, provided however, nothing in this section shall
44 be interpreted to require a contractor to certify that the structural
45 iron or structural steel used in a road or bridge pursuant to this
46 section is made in whole or in substantial part in the United States.
47 § 3. Section 2603-a of the public authorities law, as added by chapter
48 441 of the laws of 1983, is amended to read as follows:
49 § 2603-a. Letting of certain contracts involving steel products. 1.
50 Notwithstanding any other provision of law, all public authorities shall
51 award contracts involving steel products as follows:
52 a. All purchase contracts for supplies, material or equipment involv-
53 ing an estimated expenditure in excess of fifty thousand dollars shall
54 require with respect to materials, supplies and equipment made of,
55 fabricated from, or containing steel components, that such steel compo-
56 nents be produced or made in whole or substantial part in the United
S. 6639--A 3
1 States, its territories or possessions. The provisions of this paragraph
2 shall not apply to motor vehicles and automobile equipment assembled in
3 Canada in conformity with the United States-Canadian trade agreements
4 known as the "Automotive Products Trade Act of 1965" or any amendments
5 thereto.
6 b. All contracts in excess of one hundred thousand dollars for the
7 construction, reconstruction, alteration, repair, maintenance or
8 improvement of public works shall require that all structural steel,
9 reinforcing steel or other major steel items to be incorporated in the
10 work of the contract shall be produced or made in whole or substantial
11 part in the United States, its territories or possessions.
12 2. Notwithstanding the provisions of subdivision one of this section,
13 all contracts over one million dollars in value made and awarded by the
14 dormitory authority, the metropolitan transportation authority, the
15 bridge authority or the thruway authority, on its account or for the
16 benefit of a state agency or authority, for the construction, recon-
17 struction, alteration, repair, maintenance or improvement of any road or
18 bridge, shall contain a provision that the structural iron and struc-
19 tural steel used or supplied in the performance of the contract or any
20 subcontract thereto and permanently incorporated into the surface road
21 or bridge shall be produced or made in whole or substantial part in the
22 United States, its territories or possessions. In the case of a struc-
23 tural iron or structural steel product all manufacturing must take place
24 in the United States, from the initial melting stage through the appli-
25 cation of coatings, except metallurgical processes involving the refine-
26 ment of steel additives. For purposes of this section, "permanently
27 incorporated" shall mean an iron or steel product that is required to
28 remain in place at the end of the project contract, in a fixed location,
29 affixed to the public work to which it was incorporated. Iron and steel
30 products that are capable of being moved from one location to another
31 are not permanently incorporated into a public building or public work.
32 3. The provisions of this section shall not apply if the governing
33 board or body of such public authority, in its discretion, determines
34 that such provisions would result in unreasonable costs or that such
35 iron, steel products or steel components including without limitation
36 structural iron and steel; cannot be produced or made in the United
37 States in sufficient and reasonably available quantities or of satisfac-
38 tory quality or design[.], or would result in the loss or reduction of
39 federal funding for the subject contract or the ability to obtain such
40 federal funding would be limited or jeopardized by compliance with this
41 section; or there is an immediate or emergency need existing for such
42 structural iron, structural steel products or structural steel compo-
43 nents; or such steel or iron is not manufactured in the United States in
44 sufficient and reasonably available quantities or of satisfactory quali-
45 ty or design to meet the authority's requirements; or obtaining for such
46 iron, steel products or steel components in the United States would
47 increase the cost of the contract by an unreasonable amount; or for such
48 iron, steel products or steel components is necessary for the operation
49 of or repairs of critical infrastructure that is necessary to avoid a
50 delay in the delivery of critical services that could compromise the
51 public welfare; or a reciprocal trade agreement or treaty has been
52 negotiated by the state or by the United States government on behalf of
53 or including this state with a foreign nation or government for nondis-
54 criminatory governmental procurement practices or policies with such
55 foreign nation or government.
S. 6639--A 4
1 4. Nothing in this section is intended to contravene any existing
2 treaties, laws, trade agreements, or regulations of the United States or
3 subsequent trade agreements entered into between any foreign countries
4 and the state or the United States.
5 5. Any authority subject to the provisions of this section shall be
6 authorized to establish rules and regulations for the effective adminis-
7 tration of this section, provided however, nothing in this section shall
8 be interpreted to require a contractor to certify that the iron or steel
9 used in a road or bridge pursuant to this section is made in whole or in
10 substantial part in the United States.
11 § 4. A workgroup shall be convened to evaluate reciprocal trade access
12 for any foreign state that may be significantly impacted by the imple-
13 mentation of this act to the detriment of New York state, the provisions
14 of any formal trade agreements established by the governments of the
15 United States and such foreign state, the expansion of the application
16 of this act to include other products manufactured in the United States,
17 which shall include but not be limited to concrete, cement and aluminum,
18 the certification processes for these products, and the fiscal impact of
19 such implementation and expansion of this act. Additionally, the work-
20 group shall report on the impact of this act on the capital plans of the
21 department of transportation, the metropolitan transportation authority,
22 and the thruway authority, including but not limited to any amendments
23 to such capital plans necessary as a result of this act, any change in
24 cost of projects as a result of this act, and any cost savings discerni-
25 ble due to quality improvements or maintenance reductions due to materi-
26 als used as a result of this act. The members of the workgroup shall
27 consist of seven representatives appointed by the governor, two
28 appointed by the temporary president of the senate, two appointed by the
29 speaker of the assembly, one appointed by the minority leader of the
30 senate, and one appointed by the minority leader of the assembly. The
31 workgroup shall be chaired by a designee of the governor. The chair may
32 appoint other state agencies or public authorities which may prove bene-
33 ficial to the workgroup as ad hoc members. The chair may also appoint
34 individuals and representatives of organizations other than state agen-
35 cies and public authorities to an advisory committee to advise on any
36 aspect of its functions and duties. The workgroup shall provide an
37 interim report on their findings to the governor, the temporary presi-
38 dent of the senate and the speaker of the assembly on or before January
39 1, 2019 and a final report on January 1, 2020.
40 § 5. This act shall take effect April 1, 2018 and shall apply to any
41 state contracts executed and entered into on or after such date and
42 shall exclude such contracts that have been previously awarded or have
43 pending bids or pending requests for proposals issued as of April 1,
44 2018, and shall not apply to projects that have commenced project design
45 and environmental studies prior to such date; provided, however, that
46 this act shall expire and be deemed repealed April 15, 2020.