Notice2025-18277
Notice of Final Nonavailability Waiver of Buy American Act Requirements: Port of Corpus Christi Authority To Purchase Marine Loading Arms
Primary source
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Published
September 22, 2025
Effective
September 22, 2025
Issuing agencies
Transportation DepartmentMaritime Administration
Abstract
MARAD is issuing a limited waiver of the Buy American Act requirements for non-domestic marine loading arms for the Port of Corpus Christi Authority's (PCCA) Avery Point Public Oil Docks Redevelopment--Phase 1: Expanding Oil Dock 3 project, which received funding under the FY 2019 Port Infrastructure Development Program (PIDP). The Buy American Act requires that manufactured articles, materials, or supplies be manufactured in the United States substantially all from articles, materials, or supplies mined, produced, or manufactured in the United States. The final waiver applies only to the procurement of eight non-domestic 8-inch diameter manually operated marine loading arms based on nonavailability.
Full Text
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<title>Federal Register, Volume 90 Issue 181 (Monday, September 22, 2025)</title>
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[Federal Register Volume 90, Number 181 (Monday, September 22, 2025)]
[Notices]
[Pages 45461-45463]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-18277]
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DEPARTMENT OF TRANSPORTATION
Maritime Administration
Notice of Final Nonavailability Waiver of Buy American Act
Requirements: Port of Corpus Christi Authority To Purchase Marine
Loading Arms
AGENCY: Maritime Administration (MARAD), U.S. Department of
Transportation (DOT).
ACTION: Notice.
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SUMMARY: MARAD is issuing a limited waiver of the Buy American Act
requirements for non-domestic marine loading arms for the Port of
Corpus Christi Authority's (PCCA) Avery Point Public Oil Docks
Redevelopment--Phase 1: Expanding Oil Dock 3 project, which received
funding under the FY 2019 Port Infrastructure Development Program
(PIDP). The Buy American Act requires that manufactured articles,
materials, or supplies be manufactured in the United States
substantially all from articles, materials, or supplies mined,
produced, or manufactured in the United States. The final waiver
applies only to the procurement of eight non-domestic 8-inch diameter
manually operated marine loading arms based on nonavailability.
DATES: This waiver is effective on September 22, 2025.
FOR FURTHER INFORMATION CONTACT: Wade Morefield, Transportation
Industry Analyst, Office of Port Infrastructure Development, Maritime
Administration, 1200 New Jersey Avenue SE, Washington, DC 20590, email:
<a href="/cdn-cgi/l/email-protection#dd8abcb9b8f390b2afb8bbb4b8b1b99db9b2a9f3bab2ab"><span class="__cf_email__" data-cfemail="cb9caaafaee586a4b9aeada2aea7af8bafa4bfe5aca4bd">[email protected]</span></a>, telephone: (202) 366-6025. For legal questions,
please contact Colleen Smith, Attorney-Advisor, Office of Chief
Counsel, Maritime Administration, 1200 New Jersey Avenue SE,
Washington, DC 20590, email: <a href="/cdn-cgi/l/email-protection#adeec2c1c1c8c8c383fec0c4d9c5edc9c2d983cac2db"><span class="__cf_email__" data-cfemail="783b1714141d1d16562b15110c10381c170c561f170e">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION:
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Electronic Access and Filing
An electronic copy of this document may also be downloaded by
accessing the Office of the Federal Register's home page at:
<a href="http://www.federalregister.gov">www.federalregister.gov</a>. The website is available 24 hours each day,
365 days each year.
Project History and Background
On June 18, 2019, MARAD published a Notice of Funding Opportunity
(84 FR 28386) announcing application requirements and establishing
selection criteria to obtain grant funding under the FY 2019 PIDP. The
FY 2019 round of PIDP provided Federal funding to make grants to
improve port facilities at coastal seaports.
On February 5, 2020, MARAD selected PCCA to receive a FY 2019 PIDP
grant in the amount of $17,600,000 for its Avery Point Public Oil Docks
Redevelopment--Phase 1: Expanding Oil Dock 3 project. The project will
double the capacity at Dock 3 at Avery Point, enabling PCCA to meet
growing demand for berth space to support exports of refined petroleum
products. The project includes refurbishment of the existing docks and
construction of a second dock and related infrastructure to expand
capacity by accommodating barges discharging and loading cargo.
The project includes the installation of new marine loading arms.
Marine loading arms are comprised of a riser, baseplate, an inboard arm
pivotally mounted to the riser, an outboard arm pivotally mounted to
the inboard arm, and a triple swivel connection pivotally mounted to
the outboard arm. They are used to connect a tankship or barge to a
cargo terminal to load and unload liquid or gaseous products from
barges and tankers safely and efficiently.
PCCA submitted a Buy American Act waiver request to MARAD on
January 23, 2024, after completing a public search for domestic marine
loading arms. On August 10, 2023, PCCA released a request for
Competitive Sealed Proposals (CSP) for Dock 3 design, fabrication, and
delivery of marine loading arms. PCCA received three proposals in
response to the CSP request. All responders were advised of the Buy
American Act requirements and were asked follow-up questions. None of
the responders indicated that they could provide a fully Buy American-
compliant marine loading arm.
In its request for a waiver, based on the results of the CSP, PCCA
concluded that it believes a waiver is justified because there are no
domestically manufactured marine loading arms that comply with the Buy
American Act requirements. In the absence of a waiver, the project
could not be delivered as intended since there are no domestic
manufacturers of marine loading arms that can make a Buy American Act-
compliant product.
On January 7, 2025, after reviewing PCCA's request and conducting
its own due diligence, MARAD published a proposed waiver for the
project based on nonavailability of marine loading arms for a 15-day
public comment period on its ``Made in America'' web page.\1\ The
proposed waiver was cross-posted to the DOT's ``Made in America'' web
page \2\ and the Made in America Office (MIAO) website.\3\ This notice
summarizes MARAD's domestic content requirements and policy, PCCA's
request for a waiver, and MARAD's findings and final waiver.
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\1\ <a href="https://www.maritime.dot.gov/grants-finances/made-america">https://www.maritime.dot.gov/grants-finances/made-america</a>.
\2\ <a href="https://www.transportation.gov/office-policy/transportation-policy/made-in-america">https://www.transportation.gov/office-policy/transportation-policy/made-in-america</a>.
\3\ <a href="https://www.madeinamerica.gov/waivers/">https://www.madeinamerica.gov/waivers/</a>.
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MARAD's Domestic Content Requirements and Policy
MARAD does not have its own program-specific Buy America statutory
authority that applies to PIDP grants. Instead, consistent with the
congressional directive in the Consolidated Appropriations Act,
2019,\4\ MARAD applied the domestic content requirements of the Buy
American Act, 41 U.S.C. chapter 83, to grants awarded under the FY 2019
PIDP. As a result, FY 2019 PIDP recipients must purchase domestic
products and materials when using those appropriated Federal dollars.
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\4\ See the Consolidated Appropriations Act, 2019 (Pub. L. 116-
6, div. G, tit. IV, Sec. 410 (Feb. 15, 2019)): ``No funds
appropriated pursuant to this Act may be expended by an entity
unless the entity agrees that in expending the assistance the entity
will comply with sections 2 through 4 of the Act of March 3, 1933
(41 U.S.C. 8301-8305, popularly known as the `Buy American Act').''
Although the Buy American Act normally governs acquisitions made
directly by the Federal government, through this provision, Congress
extended the requirements of the Buy American Act to recipients of
Federal assistance using appropriated funds under DOT programs.
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MARAD implemented the Buy American Act requirements by contract in
each FY 2019 PIDP grant agreement executed. In PCCA's agreement
(executed on March 30, 2022), these requirements were included in
section 18.2 of the general terms and conditions of the grant.\5\ MARAD
considers FY 2019 PIDP projects as public works of the Federal
Government under 41 U.S.C. 8301.\6\
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\5\ See <a href="https://www.maritime.dot.gov/sites/marad.dot.gov/files/2021-06/FINAL.FY2019%20PIDP%20Grant%20Agreement%20template%20general%20terms%20and%20conditions.rev_.6.23.21.docx.pdf">https://www.maritime.dot.gov/sites/marad.dot.gov/files/2021-06/FINAL.FY2019%20PIDP%20Grant%20Agreement%20template%20general%20terms%20and%20conditions.rev_.6.23.21.docx.pdf</a>.
\6\ Infrastructure projects funded under PIDP in more recent
years are subject to the domestic preference requirements of the
Build America, Buy America Act (BABA) (Pub. L. 117-58, Sec.
70901(a) (Nov. 15, 2021)). However, as the grant agreement for the
PCCA project was executed prior to the May 14, 2022, effective date
of BABA, only the Buy American Act requirements apply.
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The Buy American Act requires that manufactured articles,
materials, or supplies be manufactured in the United States
substantially all from articles, materials, or supplies mined,
produced, or manufactured in the United States. Pursuant to 41 U.S.C.
chapter 83, manufactured articles, materials, and supplies of iron and
steel are deemed manufactured in the United States only if all
manufacturing processes involved in the production of such iron and
steel, from the initial melting stage through the application of
coatings, occur in the United States. See 41 U.S.C. 8303.
MARAD strictly enforces compliance with its domestic content
requirements to ensure that MARAD-funded projects maximize the use of
materials produced in the United States. MARAD expects grantees to work
with suppliers to conduct thorough market research and adequately
consider, where appropriate, qualifying alternate items, products, or
materials. Compliance with MARAD's domestic content requirements
supports industry and well-paying jobs.
MARAD's Authority To Waive Domestic Content Requirements
There are limited circumstances in which MARAD can waive the
domestic content requirements applied to its financial assistance
programs. MARAD will grant a waiver request that is consistent with the
statutory criteria for a waiver and where a grantee has adequately
justified the need for a waiver.
Under 41 U.S.C. 8303, MARAD may consider a waiver of the Buy
American Act requirements if MARAD determines that applying the
requirements: (1) would be impracticable or inconsistent with the
public interest; (2) the item is not mined, produced, or manufactured
in the United States in sufficient and reasonably available commercial
quantities of a satisfactory quality; or (3) the cost of the item is
unreasonable.\7\
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\7\ Per the terms of PCCA's grant, the cost of a domestic
construction material is considered unreasonable if the cost of that
material exceeds the cost of comparable foreign material by more
than 6 percent. This percentage was based on the similar percentage
outlined in the Buy American Act implementing regulations (48 CFR
part 25) in effect at the time PCCA's grant was executed.
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Specifically, when determining whether the articles, materials, or
supplies are not produced in a sufficient
[[Page 45463]]
and reasonably available amount or are not of a satisfactory quality
pursuant to 41 U.S.C. 8303, MARAD considers whether the recipient has
used appropriate due diligence, such as market research or by
soliciting proposals through an open procurement process, to identify
domestic products or domestically available alternative products that
meet the recipient's specifications. A comparable product that performs
a similar function is not necessarily a domestic alternative; the
product must also meet the recipient's specific requirements. The Buy
American Act requirements do not require recipients to change product
specifications in order to utilize domestic products that do not meet
the recipient's original specifications. If there are no domestically
produced products that also meet the recipient's specifications, and
the recipient has exercised appropriate diligence, MARAD may waive the
Buy American Act requirements based on nonavailability, consistent with
41 U.S.C. 8303.
If MARAD determines a waiver is appropriate, MARAD will provide
notice and seek comment from the public. Unless otherwise specified,
waiver decisions are non-precedential and are only applicable to the
entities and components for the specific project identified in the
final decision.
Summary of the Proposed Waiver
On January 7, 2025, MARAD issued the Notice of Proposed
Nonavailability Waiver of Buy American Act requirements: Port of Corpus
Christi Authority to Purchase Marine Loading Arms on MARAD's website
and the MIAO website. Based on its review of the waiver request and
PCCA's efforts in sourcing a domestic item, MARAD determined that the
marine loading arms that meet PCCA's technical specifications are not
produced in the United States in a sufficient and reasonably available
amount or satisfactory quality, consistent with 41 U.S.C. 8303, nor are
there domestically produced options that would meet the standard.
Discussion of Public Comments
MARAD did not receive any comments on the January 7, 2025 notice
and thus is finalizing the waiver as proposed.
Final Waiver
Based on its review of the waiver request, MARAD is waiving the Buy
American Act for the following items to be purchased under the Avery
Point Public Oil Docks Redevelopment--Phase 1: Expanding Oil Dock 3
project:
<bullet> 8-inch diameter manually operated marine loading arms.
The waiver will apply only to the items listed above for use in
PCCA's project, as described in the grant agreement between MARAD and
PCCA. The waiver will not apply to other MARAD grantees or to other
grants that might be made to PCCA for other projects (including future
phases related to the FY 2019 PIDP project). The waiver is effective
from the date of the final waiver through the period of performance and
closeout of MARAD's financial assistance for the project, which is
estimated to be August 31, 2030.
By order of the Maritime Administration.
T. Mitchell Hudson, Jr.,
Secretary, Maritime Administration.
[FR Doc. 2025-18277 Filed 9-19-25; 8:45 am]
BILLING CODE 4910-81-P
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