[Federal Register Volume 87, Number 32 (Wednesday, February 16, 2022)]
[Notices]
[Page 8852]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-03363]


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DEPARTMENT OF HEALTH AND HUMAN SERVICES


60-Day Report to Congress on Domestic Content Procurement 
Preferences Applicable to Federal Financial Assistance

AGENCY: Assistant Secretary for Financial Resources (ASFR), Health and 
Human Services (HHS or the Department).

ACTION: Notice.

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SUMMARY: The Infrastructure Investment and Jobs Act (IIJA) requires 
Federal awarding agencies to identify and report to Congress each 
Federal financial assistance program for infrastructure administered by 
the Federal awarding agency.

FOR FURTHER INFORMATION CONTACT: Johanna Nestor at 
<a href="/cdn-cgi/l/email-protection#c48eabaca5aaaaa5ea8aa1b7b0abb684acacb7eaa3abb2"><span class="__cf_email__" data-cfemail="f1bb9e99909f9f90dfbf9482859e83b1999982df969e87">[email protected]</span></a> or (202) 631-0420.

SUPPLEMENTARY INFORMATION: Section 70913(b) of the IIJA requires that 
the report:
    <bullet> Identify all domestic content procurement preferences 
applicable to the Federal financial assistance;
    <bullet> Assess the applicability of the domestic content 
procurement preference requirements, including--(A) section 313 of 
title 23, United States Code; (B) section 5323(j) of title 49, United 
States Code; (C) section 22905(a) of title 49, United States Code; (D) 
section 50101 of title 49, United States Code; (E) section 603 of the 
Federal Water Pollution Control Act (33 U.S.C. 1388); (F) section 
1452(a)(4) of the Safe Drinking Water Act (42 U.S.C. 300j-12(a)(4)); 
(G) section 5035 of the Water Infrastructure Finance and Innovation Act 
of 2014 (33 U.S.C. 3914); (H) any domestic content procurement 
preference included in an appropriations Act; and (I) any other 
domestic content procurement preference in Federal law (including 
regulations);
    <bullet> Provide details on any applicable domestic content 
procurement preference requirement, including the purpose, scope, 
applicability, and any exceptions and waivers issued under the 
requirement; and,
    <bullet> Include a description of the type of infrastructure 
projects that receive funding under the program, including information 
relating to--
    [cir] the number of entities that are participating in the program;
    [cir] the amount of Federal funds that are made available for the 
program for each fiscal year; and,
    [cir] any other information the head of the Federal agency 
determines to be relevant.
    In accordance with the Office of Management and Budget (OMB) 
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,'' Federal 
awarding agencies must also include a separate notice to each 
appropriate congressional committee, including the Committee on 
Homeland Security and Governmental Affairs, the Committee on Commerce, 
Science, and Transportation, the Committee on Environment and Public 
Works, the Committee on Banking, Housing, and Urban Affairs, and the 
Committee on Armed Services of the Senate; and the Committee on 
Oversight and Reform, the Committee on Armed Services, and the 
Committee on Transportation and Infrastructure of the House of 
Representatives.
    The following report provides the Department of Health and Human 
Services (HHS) initial analysis of its programs and the Build America, 
Buy America requirements.
    Background: Title IX of the IIJA, entitled ``Build America, Buy 
America'' (BABA), requires that no later than May 14, 2022, each 
Federal awarding agency must ensure that none of the funds made 
available for a Federal financial assistance program for infrastructure 
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 (absent a waiver authorized by 
statute). Section 70912(5) of the IIJA, defines ``infrastructure'' to 
include at a minimum, the structures, facilities, and equipment for, in 
the United States--roads, highways, and bridges; public transportation; 
dams, ports, harbors, and other maritime facilities; intercity 
passenger and freight railroads; freight and intermodal facilities; 
airports; water systems, including drinking water and waste-water 
systems; electrical transmission facilities and systems; utilities; 
broadband infrastructure; and buildings and real property.
    Analysis: The financial assistance programs funded by HHS focus on 
medical research, health services, and essential human services. As 
part of this focus, HHS occasionally provides construction support for 
health centers, medical centers, and research facilities. The IIJA, 
through the BABA imposes requirements on Federal financial assistance 
for infrastructure projects, and focuses on sectors of domestic 
infrastructure beyond the scope of HHS's programs. HHS has determined 
that such construction support is not subject to BABA requirements. If 
it is determined on a case-by-case basis that the BABA requirements 
apply to any particular Federal financial assistance provided by HHS, 
HHS will evaluate whether pursuing a waiver authorized by statute is 
appropriate.
    Historically, most recently in May 2019, OMB has concurred with 
HHS's characterization of HHS financial assistance programs. On 
December 20, 2021, OMB issued to Federal awarding agencies, 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.'' The 
Memorandum provides additional implementation instructions, however, 
the Memorandum did not alter HHS's current assessment. Should OMB issue 
additional guidance, HHS will re-evaluate the applicability of the BABA 
requirements to our financial assistance programs.

Alice Bettencourt,
Deputy Assistant Secretary for Grants.
[FR Doc. 2022-03363 Filed 2-15-22; 8:45 am]
BILLING CODE 4150-24-P


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