Notice2022-01169
Federal Financial Assistance Infrastructure Programs Subject to the Build America, Buy America Provisions of the Infrastructure Investment and Jobs Act
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Published
January 21, 2022
Issuing agencies
Treasury Department
Abstract
Pursuant to section 70913 of the Infrastructure Investment and Jobs Act, the Department of the Treasury has prepared the report provided below regarding its financial assistance programs that provide funding that may be used by recipients for infrastructure projects.
Full Text
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<title>Federal Register, Volume 87 Issue 14 (Friday, January 21, 2022)</title>
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[Federal Register Volume 87, Number 14 (Friday, January 21, 2022)]
[Notices]
[Pages 3385-3388]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-01169]
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DEPARTMENT OF THE TREASURY
Federal Financial Assistance Infrastructure Programs Subject to
the Build America, Buy America Provisions of the Infrastructure
Investment and Jobs Act
AGENCY: Department of the Treasury.
ACTION: Notice.
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SUMMARY: Pursuant to section 70913 of the Infrastructure Investment and
Jobs Act, the Department of the Treasury has prepared the report
provided below regarding its financial assistance programs that provide
funding that may be used by recipients for infrastructure projects.
FOR FURTHER INFORMATION CONTACT:
For further information about the programs administered by the
Office of Recovery Programs, contact Brette Fishman, Director, Office
of Grant Policy, Office of Recovery Programs, at
<a href="/cdn-cgi/l/email-protection#7f301919161c1a30192d1a1c10091a0d062f0d10180d1e120c3f0b0d1a1e0c0a0d0651181009"><span class="__cf_email__" data-cfemail="2f604949464c4a60497d4a4c40594a5d567f5d40485d4e425c6f5b5d4a4e5c5a5d5601484059">[email protected]</span></a> or (844) 529-9527.
For further information about the RESTORE Act, Direct Component
program administered by the Office of Gulf Coast Restoration, contact
Maureen Klovers, Program Director, Office of Gulf Coast Restoration at
<a href="/cdn-cgi/l/email-protection#711c10040314141f5f1a1d1e07140302433105031410020403085f161e07"><span class="__cf_email__" data-cfemail="5d303c282f383833733631322b382f2e6f1d292f383c2e282f24733a322b">[email protected]</span></a> or (844) 529-9527.
SUPPLEMENTARY INFORMATION:
Treasury's Identification of Federal Financial Assistance
Infrastructure Programs Subject to the Build America, Buy America
Provisions of the Infrastructure Investment and Jobs Act
1. Introduction
On November 15, 2021, President Biden signed into law the
Infrastructure Investment and Jobs Act (IIJA), which includes the
``Build America, Buy America Act'' (the Act). This Act ensures that
Federal infrastructure programs require the use of materials produced
in the United States, increases the requirement for American-made
content, and strengthens the waiver process associated with Buy America
provisions.
The Act requires that within 60 days of its enactment, January 14,
2022, each agency must submit to the Office of Management and Budget
(OMB) and Congress and publish in the Federal Register a report (``60-
day report'') listing all Federal financial assistance programs for
infrastructure administered by the agency. In these 60-day reports,
agencies are required to identify and provide a list of which of these
programs are ``deficient,'' as defined in the Act.
In an effort to aid agencies towards compliance with Sections 70913
(Identification of Deficient Programs) and 70914 (Application of Buy
America Preference) of the IIJA, OMB issued memorandum M-22-08,
``Identification of Federal Financial Assistance Infrastructure
Programs Subject to the Build America, Buy America Provisions of the
Infrastructure Investment and Jobs Act'' on December 20, 2021. This
memorandum provides criteria that assist agencies in identifying which
programs constitute infrastructure programs and helps them determine if
any of these programs are considered deficient as described in section
70913(c) of the IIJA.
OMB memorandum M-22-08 also informs agencies regarding items that
are required to be contained in the 60-
[[Page 3386]]
day report for each infrastructure program, which includes identifying
all domestic content procurement preferences applicable to the program,
providing details on any preference requirement, and providing a
description of the types of infrastructure project that receive funding
under the program. Additionally, for each program, agencies should
include the number of recipients and the available funds for the
program in each fiscal year.
This report errs on the side of over-inclusiveness, given the
requirement to submit this report at this time. As instructed by OMB,
Treasury has included all programs for which funds may be obligated for
infrastructure under any award. After OMB releases implementation
guidance as outlined in Section 70915 of the IIJA, Treasury will re-
evaluate its identification of agency programs that are subject to
Build America, Buy America requirements.
2. Financial Assistance Programs for Infrastructure
Treasury's main organizational components that provide financial
assistance include: The Internal Revenue Service and the Departmental
Offices (including the Community Development Financial Institutions
Fund and the Office of Recovery Programs (ORP)). Of those components,
based on program analysis, only DO has Federal financial assistance
programs related to infrastructure that merit inclusion in the 60-day
report. This section identifies and describes the active programs
applicable to the IIJA.
2.1 ORP Active Financial Assistance Programs for Infrastructure
<bullet> Coronavirus State and Local Fiscal Recovery Fund CFDA #
21.027 (SLFRF)--Public Law 117-2. Sections 602 and 603 of the Social
Security Act, as added by section 9901 of the American Rescue Plan Act
(the ARP Act) established the Coronavirus State Fiscal Recovery Fund
and Coronavirus Local Fiscal Recovery Fund respectively (referred to as
the ``Coronavirus State and Local Fiscal Recovery Funds'' or
``SLFRF''). SLFRF provides $350 billion in total funding for Treasury
to make payments to States (defined to include the District of
Columbia), U.S. Territories (defined to include Puerto Rico, U.S.
Virgin Islands, Guam, Northern Mariana Islands, and American Samoa),
Tribes, Metropolitan cities, Counties, Consolidated Governments, and
(through States) Nonentitlement units of local government for eligible
activities outlined in sections 602(c) and 603(c) of the Social
Security Act, and Treasury's implementing regulations, 31 CFR part 35.
<bullet> Capital Projects Fund CFDA # 21.029 (CPF)--Public Law 117-
2. Title III Section 604 of the ARP Act established the Capital
Projects Fund and provides $10 billion for Treasury to make payments to
States, Tribes, Territories, and Freely Associated States to carry out
critical capital projects that directly enable work, education, and
health monitoring including remote options in response to the public
health emergency with respect to COVID-19.
<bullet> Homeownership Assistance Fund CFDA # 21.026 (HAF)--Public
Law 117-2. Title III, Subtitle B, Section 3206 of the ARP Act
established the Homeowner Assistance Fund and provides $9.9 billion for
Treasury to make payments to States (defined to include the District of
Columbia, Puerto Rico, U.S. Virgin Islands, Guam, Northern Mariana
Islands, and American Samoa), Tribes or tribally designated housing
entities, as applicable, and the Department of Hawaiian Home Lands to
mitigate financial hardships associated with the coronavirus pandemic,
including for the purposes of preventing homeowner mortgage
delinquencies, defaults, foreclosures, loss of utilities or home energy
services, and displacements of homeowners experiencing financial
hardship after January 21, 2020, through qualified expenses related to
mortgages and housing.
2.2 DO Active Financial Assistance Programs for Infrastructure
The Resources and Ecosystems Sustainability, Tourist Opportunities,
and Revived Economies of the Gulf Coast States Act of 2012 (RESTORE
Act) Direct Component Program, CFDA # 21.015--On July 6, 2012, the
President signed into law the RESTORE Act to respond to the April 20,
2010 Deepwater Horizon Oil Spill in the Gulf of Mexico and the
resulting ecological and economic disaster caused by the explosion on,
and sinking of, the mobile offshore drilling unit Deepwater Horizon.
The RESTORE Act authorized five grant programs to fund programs,
projects, and activities that restore and protect the environment and
economy of the Gulf Coast region. Treasury's Office of Gulf Coast
Restoration administers two of the five grant programs, the Direct
Component and Centers of Excellence Research Grants Programs, which are
listed under a single CFDA number. The RESTORE Act also established the
Gulf Coast Restoration Trust Fund that is funded by eighty percent of
the administrative and civil penalties paid by the responsible parties
pursuant to a court order, negotiated settlement, or other instrument
under section 311 of the Federal Water Pollution Control Act in
connection with the Deepwater Horizon oil spill. The Trust Fund
provides funding for the five federal financial assistance programs
authorized by the RESTORE Act (not appropriated funds). The Direct
Component program provides funding to four Gulf Coast States, twenty-
three Florida counties, and twenty Louisiana parishes, and the Centers
of Excellence Research Grants Program provide funding to five states
for eligible activities outlined in the RESTORE Act and Treasury's
implementing regulations, 31 CFR part 34. The Direct Component Program
funds some infrastructure projects as defined by Section 70912(5) of
the IIJA, but many projects funded by the Direct Component Program are
not for infrastructure. The Centers of Excellence Research Grants
Program does not fund any infrastructure. See Section 3 for further
details.
3. Financial Assistance Infrastructure Programs Deficiency
Determination
Table 3-1 depicts the deficiency status of each Treasury financial
assistance infrastructure program, as it relates to Section 70914 \1\
of the IIJA.
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\1\ Section 70914 of the IIJA provides that, as of May 14, 2022,
none of the funds made available for a Federal financial assistance
program for infrastructure, including each applicable program, may
be obligated for a project unless all of the iron, steel,
manufactured products, and construction materials used in the
project are produced in the United States.
[[Page 3387]]
Table 3-1 Deficiency Determination by Program
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Type of
Domestic content infrastructure # of recipients
Entity Program Deficiency status Reason for procurement projects that receive in FY 19, 20 and FY 19, 20 and 21 total
\2\ deficiency preference funding under the 21 available funding
applicable \3\ program
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ORP....... SLFRF............ Deficient as of 1/ The program is NA............... Recipients have FY 19-FY 20: NAFY FY 19, FY 20: NA.
14/21. deficient with significant 21: 4,921. FY 21:
respect to flexibility on how $350,000,000,000.
Section 70914, to allocate funds,
per item 1 of and projects may
section 70913 include necessary
(see footnote investments in
3). The Program water, sewer, or
does not plan broadband
to issue awards infrastructure; a
after May of broad variety of
2022. investments to
respond to the
public health and
negative economic
impacts of the
pandemic; and a
broad variety of
infrastructure that
might typically be
funded under the
provision of
government services.
CPF.............. Deficient as of 1/ The program is NA............... Recipients have FY 19-FY 20: NA.. FY 19, FY 20: NA.
14/21. deficient with significant FY 21: NA........ FY 21: NA.
respect to flexibility on how
Section 70914, to allocate funds.
per item 1 of We expect some
section 70913 funding to be used
(see footnote for broadband
3). All awards infrastructure
will be issued projects and for
before May construction of
2022, except community centers,
for a subset of and similar
Tribal awards. facilities.
HAF.............. Deficient as of 1/ The program is NA............... Projects include FY 19-FY 20: NA.. FY 19, FY 20: NA.
14/21. deficient with measures to prevent FY 21: 353....... FY 21: $9,961,000,000.
respect to homeowner
Section 70914, displacement, such
per item 1 of as home repairs to
section 70913 maintain the
(see footnote habitability of a
3) The Program home, including the
does not plan reasonable addition
to issue awards of habitable space
after May of to alleviate
2022. overcrowding, or
assistance to enable
households to
receive clear title
to their properties.
DO........ RESTORE Act...... Deficient as of 1/ The program is NA............... The RESTORE Act, FY 19: 11........ FY 19: $129,970,078.64.
14/21. deficient with which authorized the FY 20: 17........ FY 20: $99,265,125.10.
Section 70914, Direct Component FY 21: 14 \4\.... FY 21:
per item 1 of Program, lists $42,585,192.28.\5\
section 70913 eleven eligible
(see footnote 3 project or program
on page 6). purposes, two of
which are
``[i]infrastructure
projects benefitting
the economy or
ecological
resources, including
port
infrastructure'' and
``[c]coastal flood
protection or
related
infrastructure.''.
The Direct Component-
funded projects with
a primary eligible
purpose of
``infrastructure''
vary widely. To
date, these have
included building a
roll-on/roll-off
facility at a port,
wastewater treatment
plants, drinking
water treatment
plants, and roads
and bridges, as well
as the construction
or upgrading of
levees, rock
jetties, and other
flood protection
structures.
Other Direct
Component-funded
projects are not
considered to have a
primary purpose of
infrastructure
because they are
aligned to one of
the nine other
Direct Component
eligible purposes,
even though the
projects may involve
construction. For
example, the
construction of an
aquarium falls under
the Direct Component
eligible purpose of
``[p]promotion of
tourism in the Gulf
Coast Region,
including promotion
of recreational
fishing,'' not an
infrastructure
purpose.
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\2\ As discussed in M-22-08 and pursuant to the IIJA, an
infrastructure program is considered deficient and therefore
inconsistent with section 70914 if: Per section 70913 it does not
require that all of the iron, steel, manufactured products, and
construction materials used in the project are produced in the
United States; it does not issue waivers and written justifications
as specified in section 70914; or (3) it is subject to a waiver of
general applicability.
\3\ Domestic content procurement preferences include the
following: section 313 of title 23, United States Code; section
5323(j) of title 49, United States Code; section 22905(a) of title
49, United States Code; section 50101 of title 49, United States
Code; section 603 of the Federal Water Pollution Control Act (33
U.S.C. 1388); section 1452(a)(4) of the Safe Drinking Water Act (42
U.S.C. 300j-12(a)(4)); section 5035 of the Water Infrastructure
Finance and Innovation Act of 2014 (33 U.S.C. 3 3914); any domestic
content procurement preference included in an appropriations Act;
and any other domestic content procurement preference in Federal law
(including regulations). It does not include the Uniform Guidance.
\4\ This is the number of entities receiving new Direct
Component awards in each of the fiscal years indicated. This does
not include entities with active awards received in prior years.
\5\ The figures presented in this column include all new
Treasury RESTORE Act funded obligations for the Direct Component
Program (no Centers of Excellence Program obligations are included
since that program does not fund any infrastructure or
construction). This encompasses obligations related to all new
awards, all monetary amendments, and all closeouts (the latter often
resulting in a deobligation).
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(Authority: Pub. L. No 117-58 (Nov. 15, 2021))
Dated: January 18, 2022.
Marti Adams,
Executive Secretary.
[FR Doc. 2022-01169 Filed 1-20-22; 8:45 am]
BILLING CODE 4810-AK-P
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