Companion Guide to Video August 2012

www.fhwa.dot.gov/federal-aidessentials

When construction has begun on your Federal-aid 

project, it is critical to ensure the contractor 

complies with the Buy America contract 

provisions. All steel and iron products permanently 

incorporated into your project must be 

domestically produced and have appropriate 

certification statements provided by the contractor.

Domestically produced means that manufacturing 

and fabrication of steel or iron products and the 

application of coatings are performed within the 

United States or its territories. Products used 

temporarily during construction are not subject to 

this requirement.

Manufacturing or fabrication performed outside of 

the United States on a domestic iron or steel 

product makes the entire product a foreign source 

material that does not conform to the Buy America 

provisions. For example, 100 pieces of steel 

guardrail that are rolled to shape in Detroit, and 

then hot-dip galvanized in the Canadian city of 

Toronto, does not constitute conformance with the 

Buy America requirements. 

Such products should not be installed on a Federalaid project.

As the local public agency, or LPA, you must 

confirm that all steel and iron products meet the 

Buy America requirements before the contractor 

installs the products into your Federal-aid project. 

Contractors must provide a signed 

certification statement regarding the 

manufacture of the iron and steel 

products to meet Buy America 

requirements. 

Although there is no standard format, the intent of 

requiring a Buy America certification statement is to 

make the contractor liable for meeting contract 

requirements for steel or iron materials installed. 

As such, having traceable records for the products 

installed is a critical component of any Buy America 

certification.

Project Construction and Contract Administration

Contract Administration

Buy America Field Compliance

All steel and iron products permanently incorporated into your 

project must be domestically produced
Federal-aid Essentials for Local Public Agencies

The Federal Highway Administration (FHWA)

endorses a concept called “step certification” to 

meet the Buy America requirements. This type of 

certification creates a paper trail that documents 

the location of each manufacturing step for every 

piece of steel or iron material used on a project. 

For instance, in the case of a shipment of 

reinforcing steel, each bundle of steel that is 

delivered is accompanied by a series of 

certification statements including:

• A description that identifies the location of 

the rebar manufacturing plant

• A separate statement that addresses where 

the rebar is cut to length and bent to final 

dimension

A third certification may be needed if an epoxy 

coating has been applied to the reinforcing steel. 

The company responsible for each separate 

process that changes the steel or iron product 

certifies that each step was completed 

domestically, not the contractor who installs the 

product.

There are many ways to prepare acceptable 

certification statements. The prime contractor may 

certify all materials for the entire project at once, or 

suppliers can certify each individual step or 

separate production process. A variation that uses 

elements of these two extremes is commonly 

used.

The most common method of tracing steel or iron 

material is by the “heat number.” A heat number 

is an identification stamped on a steel piece or iron 

casting at the production location. It identifies a 

specific amount of material produced and the 

associated quality testing performed. 

Every certification should clearly reference the heat 

number. When reviewing certifications, compare 

the heat numbers or other tracing methods on 

delivered material to the certification document to 

ensure that the information is the same.

One piece of documentation you should expect to 

receive for all steel and iron is the mill certification. 

The steel producer prepares the mill certification to 

prove that the raw steel or iron was smelted and 

formed in the United States. The certification can 

be a signed letter or merely included as a signed 

statement on delivery tickets.

Fabricated, structural steel shapes must have a 

certification statement showing the location of the 

fabrication plant and information about the 

originating mill work. Fabrication includes cutting, 

welding and even drilling holes. Bolts, nuts, and 

washers used as connectors require separate 

certification statements since these are produced at 

different locations and use different manufacturing 

methods than the structural elements.

The location of the final step where a product was 

coated with paint, or galvanized, must also conform 

to the Buy America provisions. However, Buy 

America material requirements do not apply to the 

coating material because it is neither steel nor iron.

Verify certification statements at the time of 

material delivery to the project site. Certification 

statements are usually printed directly on the 

shipment bill of lading and must be signed. 

Documentation supporting the certification 

statements should include enough detail to trace 

the steel or iron from the mill producing the raw 
Federal-aid Essentials for Local Public Agencies

material through all manufacturing processes and 

coating activities.

The Buy America provisions specifically address 

pre-assembled manufactured products that 

contain steel or iron components. Your contractor 

should identify steel or iron components of any 

pre-assembled, manufactured product. When this 

is the case, the company who completed the 

assembly should provide the appropriate 

certification statement of conformance with the 

Buy America regulation. You need to track the 

value of those components in contract 

administration records if certification statements 

are not provided to avoid exceeding the minimum 

use threshold.

Steel or iron products without certification 

statements confirming domestic manufacturing are 

non-conforming to the Buy America requirements. 

Obvious evidence of foreign manufacturing might 

include foreign language script on products and 

foreign country names stamped on an item or on 

invoices. Non-conforming materials also include 

items with improper, or incomplete, certification 

statements.

Confirm that the cumulative value of nonconforming material does not exceed 0.1 percent 

of the total contract amount, or $2,500, whichever 

is greater. If this cumulative value exceeds the 

minimum threshold limit, then additional installed 

material must be of domestic origin.

Many State departments of transportation, or State 

DOTs, have developed required certification 

processes for use on Federal-aid projects in their 

States. So check with your State DOT for guidance

in administering the certification process on your 

project. Your responsibility is to ensure the steel or 

iron is certified to meet Buy America contract 

provisions.
Federal-aid Essentials for Local Public Agencies

The content of this 

document is not a 

substitute for 

information obtained 

from State departments 

of transportation, 

appropriate FHWA 

Division Offices, and 

applicable laws. 

Scenarios have been 

simplified for emphasis 

and do not necessarily 

reflect the actual range of 

requirements applicable 

to the scenario or this 

topic. This document

was created under 

contract number

DTFH63-11-F-00066 by 

the Federal Highway 

Administration, U.S. 

Department of 

Transportation, and is 

offered to the public to 

heighten and focus 

awareness of Federal-aid 

requirements within the 

local public agencies 

community and 

reinforces the 

importance of these 

necessary policies, 

procedures, and 

practices.

This companion resource 

is the script content for 

the video production of 

the same name. 

Web Resources

• FHWA guidance on Buy America regulations includes links to current 

material.

http://www.fhwa.dot.gov/construction/cqit/buyam.cfm

• Link to Buy America waiver request for steel and iron

http://www.fhwa.dot.gov/construction/contracts/waivers.cfm

• FHWA guidance on Buy America regulations in Q & A format

http://www.fhwa.dot.gov/construction/contracts/buyam_qa.cfm

• FHWA guidance on Buy America found in Section B, subsection 1

http://www.fhwa.dot.gov/programadmin/contracts/core02.cfm#s2B01

• Buy America regulations for steel and iron permanently incorporated into a 

Federal-aid project 

http://www.ecfr.gov/cgi/t/text/textidx?c=ecfr&sid=a825bd455136916aaef4f47bd2d69e88&rgn=div5&view=text

&node=23:1.0.1.7.23&idno=23#23:1.0.1.7.23.4.1.6

• Overview of the various Buy American product requirements for all USDOT

http://www.dot.gov/highlights/buyamerica