This section of the FEDERAL REGISTER

contains regulatory documents having general

applicability and legal effect, most of which

are keyed to and codified in the Code of

Federal Regulations, which is published under

50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by

the Superintendent of Documents. Prices of

new books are listed in the first FEDERAL

REGISTER issue of each week.

Rules and Regulations Federal Register

18449 

Vol. 74, No. 77 

Thursday, April 23, 2009 

OFFICE OF MANAGEMENT AND 

BUDGET 

2 CFR Part 176 

Requirements for Implementing 

Sections 1512, 1605, and 1606 of the 

American Recovery and Reinvestment 

Act of 2009 for Financial Assistance 

Awards 

AGENCY: Office of Federal Financial 

Management, Office of Management and 

Budget (OMB). 

ACTION: Interim final guidance. 

SUMMARY: The Office of Federal 

Financial Management (OFFM) is 

establishing Governmentwide guidance 

and standard award terms for agencies 

to include in financial assistance awards 

(namely, grants, cooperative agreements, 

and loans) as part of their 

implementation of sections 1512, and 

1605, and 1606 of the American 

Recovery and Reinvestment Act of 2009 

(Pub. L. 111–5). This guidance does not 

cover all award terms that may be 

needed on financial assistance awards 

funded directly or assisted by the 

Federal Government under the Recovery 

Act. The focus of this guidance is on 

implementing Recovery Act provisions 

that may require greater clarification in 

order to foster consistent application 

across the Federal Government. Under 

the interim final guidance, agencies 

would use the standard award terms in 

their financial assistance awards to 

require recipients and subrecipients 

(first-tier that are not individuals) to 

maintain current registrations in the 

Central Contractor Registration (CCR) 

database; to require recipients to report 

quarterly on project or activity status, 

subgrant and subcontract information; 

to notify recipients of the domestic 

sourcing (‘‘Buy American’’) 

requirements that apply to certain iron, 

steel and manufactured goods; to notify 

recipients of the wage rate requirements 

that apply to certain projects; and to 

ensure proper accounting and reporting 

of Recovery Act expenditures in single 

audits. 

DATES: This document is effective April 

23, 2009. To be considered in 

preparation of the final guidance, 

comments on the interim final guidance 

must be received by no later than June 

22, 2009. 

ADDRESSES: Due to potential delays in 

OMB’s receipt and processing of mail 

sent through the U.S. Postal Service, we 

encourage respondents to submit 

comments electronically to ensure 

timely receipt. We cannot guarantee that 

comments mailed will be received 

before the comment closing date. 

Comments may be sent to via http:// 

www.regulations.gov—a Federal 

E-Government Web site that allows the 

public to find, review, and submit 

comments on documents that agencies 

have published in the Federal Register 

and that are open for comment. Simply 

type ‘‘Recovery Act Guidance’’ (in 

quotes) in the Comment or Submission 

search box, click Go, and follow the 

instructions for submitting comments. 

Comments received by the date 

specified above will be included as part 

of the official record. 

Electronic mail comments may also be 

submitted to: Marguerite Pridgen at 

mpridgen@omb.eop.gov. Please include 

‘‘Recovery Act Guidance’’ in the subject 

line and the full body of your comments 

in the text of the electronic message and 

not as an attachment. Please include 

your name, title, organization, postal 

address, telephone number, and e-mail 

address in the text of the message. 

Comments may also be submitted via 

facsimile to (202) 395–3952. 

Comments may be mailed to 

Marguerite Pridgen, Office of Federal 

Financial Management, Office of 

Management and Budget, Room 6025, 

New Executive Office Building, 

Washington, DC 20503. 

All responses will be summarized and 

included in the request for OMB 

approval. 

FOR FURTHER INFORMATION CONTACT: 

Marguerite Pridgen, Office of Federal 

Financial Management, Office of 

Management and Budget, telephone 

(202) 395–7844 (direct) or (202) 395– 

3993 (main office) and e-mail: 

Marguerite_E._Pridgen@omb.eop.gov. 

SUPPLEMENTARY INFORMATION: 

I. Background 

A. Section 1512(c) of the American 

Recovery and Reinvestment Act of 2009 

(Pub. L. 111–5, hereafter referred to as 

‘‘the Recovery Act’’ or ‘‘the Act’’) 

requires, as a condition of receipt of 

funds, quarterly reporting on the use of 

funds. The data elements proposed for 

reporting the information described in 

section 1512(c) were published in the 

Federal Register on April 1, 2009 [74 FR 

14824]. An entity that receives 

assistance funding under the Recovery 

Act must report information including, 

but not limited to, 

i. The total amount of recovery funds 

received from that agency; 

ii. The amount of recovery funds 

received that were expended or 

obligated to projects or activities; and 

iii. A detailed list of all projects or 

activities for which recovery funds were 

expended or obligated, including— 

1. The name of the project or activity; 

2. A description of the project or 

activity; 

3. An evaluation of the completion 

status of the project or activity; 

4. An estimate of the number of jobs 

created and the number of jobs retained 

by the project or activity; and 

5. For infrastructure investments 

made by State and local governments, 

the purpose, total cost, and rationale of 

the agency for funding the infrastructure 

investment with funds made available 

under this Act, and name of the person 

to contact at the agency if there are 

concerns with the infrastructure 

investment. 

iv. Detailed information on any 

subcontracts or subgrants awarded by 

the recipient to include the data 

elements required to comply with the 

Federal Funding Accountability and 

Transparency Act of 2006, as amended 

(Pub. L. 109–282, hereafter referred to as 

‘‘the Transparency Act’’), allowing 

aggregate reporting on awards below 

$25,000 or to individuals, as prescribed 

by the Director of the Office of 

Management and Budget. The 

Transparency Act identifies specific 

data elements that the Web site 

(USAspending.gov) must include for 

each Federal award and authorizes OMB 

to specify additional elements for other 

relevant information. A 2008 

amendment to the Transparency Act 

called the ‘‘Government Funding 

Transparency Act of 2008’’ (Pub. L. 

110–252) added a requirement to collect 


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compensation information on certain 

chief executive officers (CEOs) of the 

recipient and subrecipient entity. An 

entity that receives assistance funding 

under the Recovery Act must report 

information required under the 

Transparency Act including, but not 

limited to, 

1. The name of the entity receiving 

the award; 

2. The amount of the award; 

3. The transaction type; 

4. The funding agency; 

5. The Catalog of Federal Domestic 

Assistance number; 

6. The program source; 

7. The location of the entity receiving 

the award, including four data elements 

for the city, State, Congressional district, 

and country; 

8. The location of the primary place 

of performance under the award, 

including four data elements for the 

city, State, Congressional district, and 

country; 

9. A unique identifier of the entity 

receiving the award; 

10. A unique identifier of the parent 

entity of the recipient, should the 

recipient be owned by another entity; 

and 

11. The names and total 

compensation of the five most highly 

compensated officers of the company if 

it received (1) 80% or more of its annual 

gross revenues in Federal awards; and 

(2) $25M or more in annual gross 

revenue from Federal awards. 

B. Section 1512(h) of the Recovery 

Act requires recipients of Recovery Act 

funds, including those receiving funds 

directly from the Federal Government, 

to register in the Central Contractor 

Registration (CCR) database at http:// 

www.ccr.gov. Because recipients must 

report information on their first-tier 

contracts and awards, 2 CFR part 176 

would establish a requirement for 

subrecipient registration in the CCR as 

a way to help ensure consistent 

reporting of data about each entity and 

thereby make the data more useful to 

the public. Without the requirement, 

multiple recipients doing business with 

the same entity may use different 

variations of the entity’s name, address, 

or parent organization when they each 

report on their awards to the entity. It 

should be noted that in order to register 

in CCR, a valid Data Universal 

Numbering System (DUNS) Number is 

required. 

C. Section 1605 of the Recovery Act 

requires that projects, funded by the 

Recovery Act, for the construction, 

alteration, maintenance, or repair of a 

public building or public work use 

American iron, steel, and manufactured 

goods in the project unless one of the 

specified exemptions applies. The Act 

provides that this requirement be 

applied in a manner consistent with 

U.S. obligations under international 

agreements. Definitions of 

‘‘manufactured good,’’ ‘‘public building 

and public work,’’ and other terms as 

they pertain to the Buy American 

guidance in 2 CFR part 176 are found 

in § 176.140 and § 176.160. 

D. Section 1606 of the Recovery Act 

requires the payment of Davis-Bacon 

Act (40 U.S.C. 31) wage rates to 

‘‘laborers and mechanics employed by 

contractors and subcontractors on 

projects funded directly by or assisted 

in whole or in part by and through the 

Federal Government’’ pursuant to the 

Recovery Act. 

E. To maximize the transparency and 

accountability of funds authorized 

under the Recovery Act as required by 

Congress and in accordance with 2 CFR 

215.21, ‘‘Uniform Administrative 

Requirements for Grants and 

Agreements With Institutions of Higher 

Education, Hospitals, and other NonProfit Organizations’’ and OMB Circular 

A–102 Common Rules provisions, 

recipients agree to maintain records that 

identify adequately the source and 

application of Recovery Act funds. 

Guidance and an award term are 

provided in part 176 to help ensure that 

recipients understand their 

responsibilities with respect to tracking, 

accounting and reporting transactions 

during the award and in preparing audit 

documentation and reports in 

accordance with OMB Circular A–133, 

if applicable. 

II. Next Steps 

We will consider all comments 

received on the interim final version of 

the OMB guidance as we develop the 

final guidance. Federal agencies that 

award grants, cooperative agreements, 

and other financial assistance awards 

will immediately implement this 

interim final guidance through the 

appropriate award terms. The award 

terms on awards made while this 

interim final version of this guidance is 

in effect do not need to be modified to 

reflect any modified award terms in the 

final guidance unless specifically 

required in the final guidance. 

List of Subjects in 2 CFR Part 176 

Assistance awards, Authorized agency 

action official, Award officials, Buy 

American, Classified, Davis-Bacon Act, 

Grants, Cooperative agreements, Loans, 

Recovery Act, Wage rate. 

Danny Werfel, 

Deputy Controller. 

■ For the reasons set forth above, the 

Office of Management and Budget 

amends 2 CFR chapter I by adding part 

176 to read as follows: 

PART 176—AWARD TERMS FOR 

ASSISTANCE AGREEMENTS THAT 

INCLUDE FUNDS UNDER THE 

AMERICAN RECOVERY AND 

REINVESTMENT ACT OF 2009, PUBLIC 

LAW 111–5 

Sec. 

176.10 Purpose of this part. 

176.20 Agency responsibilities (general). 

176.30 Definitions. 

Subpart A—Reporting and Registration 

Requirements under Section 1512 of the 

American Recovery and Reinvestment Act 

of 2009 

176.40 Procedure. 

176.50 Award term—Reporting and 

registration requirements under section 

1512 of the Recovery Act. 

Subpart B—Buy American Requirement 

Under Section 1605 of the American 

Recovery and Reinvestment Act of 2009 

176.60 Statutory requirement. 

176.70 Policy. 

176.80 Exceptions. 

176.90 Non-application to acquisitions 

covered under international agreements. 

176.100 Timely determination concerning 

the inapplicability of section 1605 of the 

Recovery Act. 

176.110 Evaluating proposals of foreign 

iron, steel, and/or manufactured goods. 

176.120 Determinations on late requests. 

176.130 Noncompliance. 

176.140 Award term—Required Use of 

American Iron, Steel, and Manufactured 

Goods—Section 1605 of the American 

Recovery and Reinvestment Act of 2009. 

176.150 Notice of Required Use of 

American Iron, Steel, and Manufactured 

Goods—Section 1605 of the American 

Recovery and Reinvestment Act of 2009. 

176.160 Award term—Required Use of 

American Iron, Steel, and Manufactured 

Goods (covered under International 

Agreements)—Section 1605 of the 

American Recovery and Reinvestment 

Act of 2009. 

176.170 Notice of Required Use of 

American Iron, Steel, and Manufactured 

Goods (covered under International 

Agreements)—Section 1605 of the 

American Recovery and Reinvestment 

Act of 2009. 

Appendix to Subpart B of Part 176—U.S. 

States, Other Sub-Federal Entities, and Other 

Entities Subject to U.S. Obligations Under 

International Agreements 

Subpart C—Wage Rate Requirements Under 

Section 1606 of the American Recovery and 

Reinvestment Act of 2009 

176.180 Procedure. 


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176.190 Award term—Wage Rate 

Requirements under Section 1606 of the 

American Recovery and Reinvestment 

Act of 2009. 

Subpart D—Single Audit Information for 

Recipients of Recovery Act Funds 

176.200 Procedure. 

176.210 Award term—Recovery Act 

Transactions listed in Schedule of 

Expenditures of Federal Awards and 

Recipient Responsibilities for Informing 

Subrecipients. 

Authority: American Recovery and 

Reinvestment Act of 2009, Public Law 111– 

5; Federal Funding Accountability and 

Transparency Act of 2006, (Pub. L. 109–282), 

as amended. 

§ 176.10 Purpose of this part. 

This part establishes Federal 

Governmentwide award terms for 

financial assistance awards, namely, 

grants, cooperative agreements, and 

loans, to implement the cross-cutting 

requirements of the American Recovery 

and Reinvestment Act of 2009, Public 

Law 111–5 (Recovery Act). These 

requirements are cross-cutting in that 

they apply to more than one agency’s 

awards. 

§ 176.20 Agency responsibilities (general). 

(a) In any assistance award funded in 

whole or in part by the Recovery Act, 

the award official shall indicate that the 

award is being made under the Recovery 

Act, and indicate what projects and/or 

activities are being funded under the 

Recovery Act. This requirement applies 

whenever Recovery Act funds are used, 

regardless of the assistance type. 

(b) To maximize transparency of 

Recovery Act funds required for 

reporting by the assistance recipient, the 

award official shall consider structuring 

assistance awards to allow for separately 

tracking Recovery Act funds. 

(c) Award officials shall ensure that 

recipients comply with the Recovery 

Act requirements of Subpart A. If the 

recipient fails to comply with the 

reporting requirements or other award 

terms, the award official or other 

authorized agency action official shall 

take the appropriate enforcement or 

termination action in accordance with 2 

CFR 215.62 or the agency’s 

implementation of the OMB Circular A– 

102 grants management common rule. 

OMB Circular A–102 is available at 

http://www.whitehouse.gov/omb/ 

circulars/a102/a102.html. 

(d) The award official shall make the 

recipient’s failure to comply with the 

reporting requirements a part of the 

recipient’s performance record. 

§ 176.30 Definitions. 

As used in this part— 

Award means any grant, cooperative 

agreement or loan made with Recovery 

Act funds. Award official means a 

person with the authority to enter into, 

administer, and/or terminate financial 

assistance awards and make related 

determinations and findings. 

Classified or ‘‘classified information’’ 

means any knowledge that can be 

communicated or any documentary 

material, regardless of its physical form 

or characteristics, that— 

(1)(i) Is owned by, is produced by or 

for, or is under the control of the United 

States Government; or 

(ii) Has been classified by the 

Department of Energy as privately 

generated restricted data following the 

procedures in 10 CFR 1045.21; and 

(2) Must be protected against 

unauthorized disclosure according to 

Executive Order 12958, Classified 

National Security Information, April 17, 

1995, or classified in accordance with 

the Atomic Energy Act of 1954. 

Recipient means any entity other than 

an individual that receives Recovery Act 

funds in the form of a grant, cooperative 

agreement or loan directly from the 

Federal Government. 

Recovery funds or Recovery Act funds 

are funds made available through the 

appropriations of the American 

Recovery and Reinvestment Act of 2009, 

Public Law 111–5. 

Subaward means— 

(1) A legal instrument to provide 

support for the performance of any 

portion of the substantive project or 

program for which the recipient 

received this award and that the 

recipient awards to an eligible 

subrecipient; 

(2) The term does not include the 

recipient’s procurement of property and 

services needed to carry out the project 

or program (for further explanation, see 

§ll.210 of the attachment to OMB 

Circular A–133, ‘‘Audits of States, Local 

Governments, and Non-Profit 

Organizations’’). OMB Circular A–133 is 

available at http://www.whitehouse.gov/ 

omb/circulars/a133/a133.html. 

(3) A subaward may be provided 

through any legal agreement, including 

an agreement that the recipient or a 

subrecipient considers a contract. 

Subcontract means a legal instrument 

used by a recipient for procurement of 

property and services needed to carry 

out the project or program. 

Subrecipient or Subawardee means a 

non-Federal entity that expends Federal 

awards received from a pass-through 

entity to carry out a Federal program, 

but does not include an individual that 

is a beneficiary of such a program. A 

subrecipient may also be a recipient of 

other Federal awards directly from a 

Federal awarding agency. Guidance on 

distinguishing between a subrecipient 

and a vendor is provided in §ll.210 

of OMB Circular A–133. 

Subpart A—Reporting and Registration 

Requirements Under Section 1512 of 

the American Recovery and 

Reinvestment Act of 2009 

§ 176.40 Procedure. 

The award official shall insert the 

standard award term in this Subpart in 

all awards funded in whole or in part 

with Recovery Act funds, except for 

those that are classified, awarded to 

individuals, or awarded under 

mandatory and entitlement programs, 

except as specifically required by OMB, 

or expressly exempted from the 

reporting requirement in the Recovery 

Act. 

§ 176.50 Award term—Reporting and 

registration requirements under section 

1512 of the Recovery Act. 

Agencies are responsible for ensuring 

that their recipients report information 

required under the Recovery Act in a 

timely manner. The following award 

term shall be used by agencies to 

implement the recipient reporting and 

registration requirements in section 

1512: 

(a) This award requires the recipient 

to complete projects or activities which 

are funded under the American 

Recovery and Reinvestment Act of 2009 

(Recovery Act) and to report on use of 

Recovery Act funds provided through 

this award. Information from these 

reports will be made available to the 

public. 

(b) The reports are due no later than 

ten calendar days after each calendar 

quarter in which the recipient receives 

the assistance award funded in whole or 

in part by the Recovery Act. 

(c) Recipients and their first-tier 

recipients must maintain current 

registrations in the Central Contractor 

Registration (http://www.ccr.gov) at all 

times during which they have active 

federal awards funded with Recovery 

Act funds. A Dun and Bradstreet Data 

Universal Numbering System (DUNS) 

Number (http://www.dnb.com) is one of 

the requirements for registration in the 

Central Contractor Registration. 

(d) The recipient shall report the 

information described in section 1512(c) 

of the Recovery Act using the reporting 

instructions and data elements that will 

be provided online at http:// 

www.FederalReporting.gov and ensure 

that any information that is pre-filled is 

corrected or updated as needed. 


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Subpart B—Buy American 

Requirement Under Section 1605 of the 

American Recovery and Reinvestment 

Act of 2009 

§ 176.60 Statutory requirement. 

Section 1605 of the Recovery Act 

prohibits use of recovery funds for a 

project for the construction, alteration, 

maintenance, or repair of a public 

building or public work unless all of the 

iron, steel, and manufactured goods 

used in the project are produced in the 

United States. The law requires that this 

prohibition be applied in a manner 

consistent with U.S. obligations under 

international agreements, and it 

provides for waiver under three 

circumstances: 

(a) Iron, steel, or relevant 

manufactured goods are not produced in 

the United States in sufficient and 

reasonably available quantities and of a 

satisfactory quality; 

(b) Inclusion of iron, steel, or 

manufactured goods produced in the 

United States will increase the cost of 

the overall project by more than 25 

percent; or 

(c) Applying the domestic preference 

would be inconsistent with the public 

interest. 

§ 176.70 Policy. 

Except as provided in § 176.80 or 

§ 176.90— 

(a) None of the funds appropriated or 

otherwise made available by the 

Recovery Act may be used for a project 

for the construction, alteration, 

maintenance, or repair of a public 

building or public work (see definitions 

at §§ 176.140 and 176.160) unless— 

(1) The public building or public 

work is located in the United States; and 

(2) All of the iron, steel, and 

manufactured goods used in the project 

are produced or manufactured in the 

United States. 

(i) Production in the United States of 

the iron or steel used in the project 

requires that all manufacturing 

processes must take place in the United 

States, except metallurgical processes 

involving refinement of steel additives. 

These requirements do not apply to iron 

or steel used as components or 

subcomponents of manufactured goods 

used in the project. 

(ii) There is no requirement with 

regard to the origin of components or 

subcomponents in manufactured goods 

used in the project, as long as the 

manufacturing occurs in the United 

States. 

(b) Paragraph (a) of this section shall 

not apply where the Recovery Act 

requires the application of alternative 

Buy American requirements for iron, 

steel, and manufactured goods. 

§ 176.80 Exceptions. 

(a) When one of the following 

exceptions applies in a case or category 

of cases, the award official may allow 

the recipient to use foreign iron, steel 

and/or manufactured goods in the 

project without regard to the restrictions 

of section 1605 of the Recovery Act: 

(1) Nonavailability. The head of the 

Federal department or agency may 

determine that the iron, steel or relevant 

manufactured good is not produced or 

manufactured in the United States in 

sufficient and reasonably available 

commercial quantities of a satisfactory 

quality. The determinations of 

nonavailability of the articles listed at 

48 CFR 25.104(a) and the procedures at 

48 CFR 25.103(b)(1) also apply if any of 

those articles are manufactured goods 

needed in the project. 

(2) Unreasonable cost. The head of 

the Federal department or agency may 

determine that the cost of domestic iron, 

steel, or relevant manufactured goods 

will increase the cost of the overall 

project by more than 25 percent in 

accordance with § 176.110. 

(3) Inconsistent with public interest. 

The head of the Federal department or 

agency may determine that application 

of the restrictions of section 1605 of the 

Recovery Act would be inconsistent 

with the public interest. 

(b) When a determination is made for 

any of the reasons stated in this section 

that certain foreign iron, steel, and/or 

manufactured goods may be used— 

(1) The award official shall list the 

excepted materials in the award; and 

(2) The head of the Federal 

department or agency shall publish a 

notice in the Federal Register within 

two weeks after the determination is 

made, unless the item has already been 

determined to be domestically 

nonavailable. A list of items that are not 

domestically available is at 48 CFR 

25.104(a). The Federal Register notice 

or information from the notice may be 

posted by OMB to Recovery.gov. The 

notice shall include— 

(i) The title ‘‘Buy American Exception 

under the American Recovery and 

Reinvestment Act of 2009’’; 

(ii) The dollar value and brief 

description of the project; and 

(iii) A detailed written justification as 

to why the restriction is being waived. 

§ 176.90 Non-application to acquisitions 

covered under international agreements. 

Acquisitions covered by international 

agreements. Section 1605(d) of the 

Recovery Act provides that the Buy 

American requirement in section 1605 

shall be applied in a manner consistent 

with U.S. obligations under 

international agreements. 

(a) The Buy American requirement set 

out in § 176.70 shall not be applied 

where the iron, steel, or manufactured 

goods used in the project are from a 

Party to an international agreement, 

listed in paragraph (b)(2) of this section, 

and the recipient is required under an 

international agreement, described in 

the appendix to this subpart, to treat the 

goods and services of that Party the 

same as domestic goods and services. 

This obligation shall only apply to 

projects with an estimated value of 

$7,443,000 or more and projects that are 

not specifically excluded from the 

application of those agreements. 

(b) The international agreements that 

obligate recipients that are covered 

under an international agreement to 

treat the goods and services of a Party 

the same as domestic goods and services 

and the respective Parties to the 

agreements are: 

(1) The World Trade Organization 

Government Procurement Agreement 

(Aruba, Austria, Belgium, Bulgaria, 

Canada, Cyprus, Czech Republic, 

Denmark, Estonia, Finland, France, 

Germany, Greece, Hong Kong, Hungary, 

Iceland, Ireland, Israel, Italy, Japan, 

Korea (Republic of), Latvia, 

Liechtenstein, Lithuania, Luxembourg, 

Malta, Netherlands, Norway, Poland, 

Portugal, Romania, Singapore, Slovak 

Republic, Slovenia, Spain, Sweden, 

Switzerland, and United Kingdom); 

(2) The following Free Trade 

Agreements: 

(i) Dominican Republic-Central 

America-United States Free Trade 

Agreement (Costa Rica, Dominican 

Republic, El Salvador, Guatemala, 

Honduras, Nicaragua); 

(ii) North American Free Trade 

Agreement (NAFTA) (Canada and 

Mexico); 

(iii) United States-Australia Free 

Trade Agreement; 

(iv) United States-Bahrain Free Trade 

Agreement; 

(v) United States-Chile Free Trade 

Agreement; 

(vi) United States-Israel Free Trade 

Agreement; 

(vii) United States-Morocco Free 

Trade Agreement; 

(viii) United States-Oman Free Trade 

Agreement; 

(ix) United States-Peru Trade 

Promotion Agreement; and 

(x) United States-Singapore Free 

Trade Agreement. 

(3) United States-European 

Communities Exchange of Letters (May 

15, 1995): Austria, Belgium, Bulgaria, 

Cyprus, Czech Republic, Denmark, 


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Estonia, Finland, France, Germany, 

Greece, Hungary, Ireland, Italy, Latvia, 

Lithuania, Luxembourg, Malta, 

Netherlands, Poland, Portugal, Romania, 

Slovak Republic, Slovenia, Spain, 

Sweden, and United Kingdom. 

§ 176.100 Timely determination 

concerning the inapplicability of section 

1605 of the Recovery Act. 

(a) The head of the Federal 

department or agency involved may 

make a determination regarding 

inapplicability of section 1605 to a 

particular case or to a category of cases. 

(b) Before Recovery Act funds are 

awarded by the Federal agency or 

obligated by the recipient for a project 

for the construction, alteration, 

maintenance, or repair of a public 

building or public work, an applicant or 

recipient may request from the award 

official a determination concerning the 

inapplicability of section 1605 of the 

Recovery Act for specifically identified 

items. 

(c) The time for submitting the request 

and the information and supporting data 

that must be included in the request are 

to be specified in the agency’s and 

recipient’s request for applications and/ 

or proposals, and as appropriate, in 

other written communications. The 

content of those communications 

should be consistent with the notice in 

§ 176.150 or § 176.170, whichever 

applies. 

(d) The award official must evaluate 

all requests based on the information 

provided and may supplement this 

information with other readily available 

information. 

(e) In making a determination based 

on the increased cost to the project of 

using domestic iron, steel, and/or 

manufactured goods, the award official 

must compare the total estimated cost of 

the project using foreign iron, steel and/ 

or relevant manufactured goods to the 

estimated cost if all domestic iron, steel, 

and/or relevant manufactured goods 

were used. If use of domestic iron, steel, 

and/or relevant manufactured goods 

would increase the cost of the overall 

project by more than 25 percent, then 

the award official shall determine that 

the cost of the domestic iron, steel, and/ 

or relevant manufactured goods is 

unreasonable. 

§ 176.110 Evaluating proposals of foreign 

iron, steel, and/or manufactured goods. 

(a) If the award official receives a 

request for an exception based on the 

cost of certain domestic iron, steel, and/ 

or manufactured goods being 

unreasonable, in accordance with 

§ 176.80, then the award official shall 

apply evaluation factors to the proposal 

to use such foreign iron, steel, and/or 

manufactured goods as follows: 

(1) Use an evaluation factor of 25 

percent, applied to the total estimated 

cost of the project, if the foreign iron, 

steel, and/or manufactured goods are to 

be used in the project based on an 

exception for unreasonable cost 

requested by the applicant. 

(2) Total evaluated cost = project cost 

estimate + (.25 × project cost estimate, 

if paragraph (a)(1) of this section 

applies). 

(b) Applicants or recipients also may 

submit alternate proposals based on use 

of equivalent domestic iron, steel, and/ 

or manufactured goods to avoid possible 

denial of Recovery Act funding for the 

proposal if the Federal Government 

determines that an exception permitting 

use of the foreign item(s) does not 

apply. 

(c) If the award official makes an 

award to an applicant that proposed 

foreign iron, steel, and/or manufactured 

goods not listed in the applicable notice 

in the request for applications or 

proposals, then the award official must 

add the excepted materials to the list in 

the award term. 

§ 176.120 Determinations on late requests. 

(a) If a recipient requests a 

determination regarding the 

inapplicability of section 1605 of the 

Recovery Act after obligating Recovery 

Act funds for a project for construction, 

alteration, maintenance, or repair (late 

request), the recipient must explain why 

it could not request the determination 

before making the obligation or why the 

need for such determination otherwise 

was not reasonably foreseeable. If the 

award official concludes that the 

recipient should have made the request 

before making the obligation, the award 

official may deny the request. 

(b) The award official must base 

evaluation of any late request for a 

determination regarding the 

inapplicability of section 1605 of the 

Recovery Act on information required 

by § 176.150(c) and (d) or § 176.170(c) 

and (d) and/or other readily available 

information. 

(c) If a determination, under § 176.80 

is made after Recovery Act funds were 

obligated for a project for construction, 

alteration, maintenance, or repair that 

an exception to section 1605 of the 

Recovery Act applies, the award official 

must amend the award to allow use of 

the foreign iron, steel, and/or relevant 

manufactured goods. When the basis of 

the exception is nonavailability or 

public interest, the amended award 

shall reflect adjustment of the award 

amount, redistribution of budgeted 

funds, and/or other appropriate actions 

taken to cover costs associated with 

acquiring or using the foreign iron, steel, 

and/or manufactured goods. When the 

basis for the exception is the 

unreasonable cost of domestic iron, 

steel, and/or manufactured goods the 

award official shall adjust the award 

amount or the budget, as appropriate, by 

at least the differential established in 

§ 176.110(a). 

§ 176.130 Noncompliance. 

The award official must— 

(a) Review allegations of violations of 

section 1605 of the Recovery Act; 

(b) Unless fraud is suspected, notify 

the recipient of the apparent 

unauthorized use of foreign iron, steel, 

and/or manufactured goods and request 

a reply, to include proposed corrective 

action; and 

(c) If the review reveals that a 

recipient or subrecipient has used 

foreign iron, steel, and/or manufactured 

goods without authorization, take 

appropriate action, including one or 

more of the following: 

(1) Process a determination 

concerning the inapplicability of section 

1605 of the Recovery Act in accordance 

with § 176.120. 

(2) Consider requiring the removal 

and replacement of the unauthorized 

foreign iron, steel, and/or manufactured 

goods. 

(3) If removal and replacement of 

foreign iron, steel, and/or manufactured 

goods used in a public building or a 

public work would be impracticable, 

cause undue delay, or otherwise be 

detrimental to the interests of the 

Federal Government, the award official 

may determine in writing that the 

foreign iron, steel, and/or manufactured 

goods need not be removed and 

replaced. A determination to retain 

foreign iron, steel, and/or manufactured 

goods does not constitute a 

determination that an exception to 

section 1605 of the Recovery Act 

applies, and this should be stated in the 

determination. Further, a determination 

to retain foreign iron, steel, and/or 

manufactured goods does not affect the 

Federal Government’s right to reduce 

the amount of the award by the cost of 

the steel, iron, or manufactured goods 

that are used in the project or to take 

enforcement or termination action in 

accordance with the agency’s grants 

management regulations. 

(4) If the noncompliance is 

sufficiently serious, consider exercising 

appropriate remedies, such as 

withholding cash payments pending 

correction of the deficiency, suspending 

or terminating the award, and 

withholding further awards for the 

project. Also consider preparing and 


rwilkins on PROD1PC63 with RULES
18454 Federal Register / Vol. 74, No. 77 / Thursday, April 23, 2009 / Rules and Regulations 

forwarding a report to the agency 

suspending or debarring official in 

accordance with the agency’s debarment 

rule implementing 2 CFR part 180. If the 

noncompliance appears to be 

fraudulent, refer the matter to other 

appropriate agency officials, such as the 

officer responsible for criminal 

investigation. 

§ 176.140 Award term—Required Use of 

American Iron, Steel, and Manufactured 

Goods—Section 1605 of the American 

Recovery and Reinvestment Act of 2009. 

When awarding Recovery Act funds 

for construction, alteration, 

maintenance, or repair of a public 

building or public work that does not 

involve iron, steel, and/or manufactured 

goods covered under international 

agreements, the agency shall use the 

award term described in the following 

paragraphs: 

(a) Definitions. As used in this award 

term and condition— 

(1) Manufactured good means a good 

brought to the construction site for 

incorporation into the building or work 

that has been— 

(i) Processed into a specific form and 

shape; or 

(ii) Combined with other raw material 

to create a material that has different 

properties than the properties of the 

individual raw materials. 

(2) Public building and public work 

means a public building of, and a public 

work of, a governmental entity (the 

United States; the District of Columbia; 

commonwealths, territories, and minor 

outlying islands of the United States; 

State and local governments; and multiState, regional, or interstate entities 

which have governmental functions). 

These buildings and works may include, 

without limitation, bridges, dams, 

plants, highways, parkways, streets, 

subways, tunnels, sewers, mains, power 

lines, pumping stations, heavy 

generators, railways, airports, terminals, 

docks, piers, wharves, ways, 

lighthouses, buoys, jetties, breakwaters, 

levees, and canals, and the construction, 

alteration, maintenance, or repair of 

such buildings and works. 

(3) Steel means an alloy that includes 

at least 50 percent iron, between .02 and 

2 percent carbon, and may include other 

elements. 

(b) Domestic preference. (1) This 

award term and condition implements 

Section 1605 of the American Recovery 

and Reinvestment Act of 2009 (Recovery 

Act) (Pub. L. 111–5), by requiring that 

all iron, steel, and manufactured goods 

used in the project are produced in the 

United States except as provided in 

paragraph (b)(3) and (b)(4) of this 

section and condition. 

(2) This requirement does not apply to 

the material listed by the Federal 

Government as follows: 

lllllllllllllllllll

[Award official to list applicable 

excepted materials or indicate ‘‘none’’] 

(3) The award official may add other 

iron, steel, and/or manufactured goods 

to the list in paragraph (b)(2) of this 

section and condition if the Federal 

Government determines that— 

(i) The cost of the domestic iron, steel, 

and/or manufactured goods would be 

unreasonable. The cost of domestic iron, 

steel, or manufactured goods used in the 

project is unreasonable when the 

cumulative cost of such material will 

increase the cost of the overall project 

by more than 25 percent; 

(ii) The iron, steel, and/or 

manufactured good is not produced, or 

manufactured in the United States in 

sufficient and reasonably available 

quantities and of a satisfactory quality; 

or 

(iii) The application of the restriction 

of section 1605 of the Recovery Act 

would be inconsistent with the public 

interest. 

(c) Request for determination of 

inapplicability of Section 1605 of the 

Recovery Act. (1)(i) Any recipient 

request to use foreign iron, steel, and/or 

manufactured goods in accordance with 

paragraph (b)(3) of this section shall 

include adequate information for 

Federal Government evaluation of the 

request, including— 

(A) A description of the foreign and 

domestic iron, steel, and/or 

manufactured goods; 

(B) Unit of measure; 

(C) Quantity; 

(D) Cost; 

(E) Time of delivery or availability; 

(F) Location of the project; 

(G) Name and address of the proposed 

supplier; and 

(H) A detailed justification of the 

reason for use of foreign iron, steel, and/ 

or manufactured goods cited in 

accordance with paragraph (b)(3) of this 

section. 

(ii) A request based on unreasonable 

cost shall include a reasonable survey of 

the market and a completed cost 

comparison table in the format in 

paragraph (d) of this section. 

(iii) The cost of iron, steel, and/or 

manufactured goods material shall 

include all delivery costs to the 

construction site and any applicable 

duty. 

(iv) Any recipient request for a 

determination submitted after Recovery 

Act funds have been obligated for a 

project for construction, alteration, 

maintenance, or repair shall explain 

why the recipient could not reasonably 

foresee the need for such determination 

and could not have requested the 

determination before the funds were 

obligated. If the recipient does not 

submit a satisfactory explanation, the 

award official need not make a 

determination. 

(2) If the Federal Government 

determines after funds have been 

obligated for a project for construction, 

alteration, maintenance, or repair that 

an exception to section 1605 of the 

Recovery Act applies, the award official 

will amend the award to allow use of 

the foreign iron, steel, and/or relevant 

manufactured goods. When the basis for 

the exception is nonavailability or 

public interest, the amended award 

shall reflect adjustment of the award 

amount, redistribution of budgeted 

funds, and/or other actions taken to 

cover costs associated with acquiring or 

using the foreign iron, steel, and/or 

relevant manufactured goods. When the 

basis for the exception is the 

unreasonable cost of the domestic iron, 

steel, or manufactured goods, the award 

official shall adjust the award amount or 

redistribute budgeted funds by at least 

the differential established in 2 CFR 

176.110(a). 

(3) Unless the Federal Government 

determines that an exception to section 

1605 of the Recovery Act applies, use of 

foreign iron, steel, and/or manufactured 

goods is noncompliant with section 

1605 of the American Recovery and 

Reinvestment Act. 

(d) Data. To permit evaluation of 

requests under paragraph (b) of this 

section based on unreasonable cost, the 

Recipient shall include the following 

information and any applicable 

supporting data based on the survey of 

suppliers: 


rwilkins on PROD1PC63 with RULES
Federal Register / Vol. 74, No. 77 / Thursday, April 23, 2009 / Rules and Regulations 18455 

FOREIGN AND DOMESTIC ITEMS COST COMPARISON

Description Unit of 

measure Quantity Cost (dollars)* 

Item 1: 

Foreign steel, iron, or manufactured good ....................................................................................... _________ _________ _________ 

Domestic steel, iron, or manufactured good .................................................................................... _________ _________ _________ 

Item 2: 

Foreign steel, iron, or manufactured good ....................................................................................... _________ _________ _________ 

Domestic steel, iron, or manufactured good .................................................................................... _________ _________ _________ 

[List name, address, telephone number, email address, and contact for suppliers surveyed. Attach copy of response; if oral, attach summary.] 

[Include other applicable supporting information.] 

[*Include all delivery costs to the construction site.] 

§ 176.150 Notice of Required Use of 

American Iron, Steel, and Manufactured 

Goods—Section 1605 of the American 

Recovery and Reinvestment Act of 2009. 

When requesting applications or 

proposals for Recovery Act programs or 

activities that may involve construction, 

alteration, maintenance, or repair of a 

public building or public work, and do 

not involve iron, steel, and/or 

manufactured goods covered under 

international agreements, the agency 

shall use the notice described in the 

following paragraphs in their 

solicitations: 

(a) Definitions. Manufactured good, 

public building and public work, and 

steel, as used in this notice, are defined 

in the 2 CFR 176.140. 

(b) Requests for determinations of 

inapplicability. A prospective applicant 

requesting a determination regarding the 

inapplicability of section 1605 of the 

American Recovery and Reinvestment 

Act of 2009 (Pub. L. 111–5) (Recovery 

Act) should submit the request to the 

award official in time to allow a 

determination before submission of 

applications or proposals. The 

prospective applicant shall include the 

information and applicable supporting 

data required by paragraphs at 2 CFR 

176.140(c) and (d) in the request. If an 

applicant has not requested a 

determination regarding the 

inapplicability of 1605 of the Recovery 

Act before submitting its application or 

proposal, or has not received a response 

to a previous request, the applicant shall 

include the information and supporting 

data in the application or proposal. 

(c) Evaluation of project proposals. If 

the Federal Government determines that 

an exception based on unreasonable 

cost of domestic iron, steel, and/or 

manufactured goods applies, the Federal 

Government will evaluate a project 

requesting exception to the 

requirements of section 1605 of the 

Recovery Act by adding to the estimated 

total cost of the project 25 percent of the 

project cost, if foreign iron, steel, or 

manufactured goods are used in the 

project based on unreasonable cost of 

comparable manufactured domestic 

iron, steel, and/or manufactured goods. 

(d) Alternate project proposals. (1) 

When a project proposal includes 

foreign iron, steel, and/or manufactured 

goods not listed by the Federal 

Government at 2 CFR 176.140(b)(2), the 

applicant also may submit an alternate 

proposal based on use of equivalent 

domestic iron, steel, and/or 

manufactured goods. 

(2) If an alternate proposal is 

submitted, the applicant shall submit a 

separate cost comparison table prepared 

in accordance with 2 CFR 176.140(c) 

and (d) for the proposal that is based on 

the use of any foreign iron, steel, and/ 

or manufactured goods for which the 

Federal Government has not yet 

determined an exception applies. 

(3) If the Federal Government 

determines that a particular exception 

requested in accordance with 2 CFR 

176.140(b) does not apply, the Federal 

Government will evaluate only those 

proposals based on use of the equivalent 

domestic iron, steel, and/or 

manufactured goods, and the applicant 

shall be required to furnish such 

domestic items. 

§ 176.160 Award term—Required Use of 

American Iron, Steel, and Manufactured 

Goods (covered under International 

Agreements)—Section 1605 of the 

American Recovery and Reinvestment Act 

of 2009. 

When awarding Recovery Act funds 

for construction, alteration, 

maintenance, or repair of a public 

building or public work that involves 

iron, steel, and/or manufactured goods 

materials covered under international 

agreements, the agency shall use the 

award term described in the following 

paragraphs: 

(a) Definitions. As used in this award 

term and condition— 

Designated country—(1) A World 

Trade Organization Government 

Procurement Agreement country 

(Aruba, Austria, Belgium, Bulgaria, 

Canada, Cyprus, Czech Republic, 

Denmark, Estonia, Finland, France, 

Germany, Greece, Hong Kong, Hungary, 

Iceland, Ireland, Israel, Italy, Japan, 

Korea (Republic of), Latvia, 

Liechtenstein, Lithuania, Luxembourg, 

Malta, Netherlands, Norway, Poland, 

Portugal, Romania, Singapore, Slovak 

Republic, Slovenia, Spain, Sweden, 

Switzerland, and United Kingdom; 

(2) A Free Trade Agreement (FTA) 

country (Australia, Bahrain, Canada, 

Chile, Costa Rica, Dominican Republic, 

El Salvador, Guatemala, Honduras, 

Israel, Mexico, Morocco, Nicaragua, 

Oman, Peru, or Singapore); or 

(3) A United States-European 

Communities Exchange of Letters (May 

15, 1995) country: Austria, Belgium, 

Bulgaria, Cyprus, Czech Republic, 

Denmark, Estonia, Finland, France, 

Germany, Greece, Hungary, Ireland, 

Italy, Latvia, Lithuania, Luxembourg, 

Malta, Netherlands, Poland, Portugal, 

Romania, Slovak Republic, Slovenia, 

Spain, Sweden, and United Kingdom. 

Designated country iron, steel, and/or 

manufactured goods—(1) Is wholly the 

growth, product, or manufacture of a 

designated country; or 

(2) In the case of a manufactured good 

that consist in whole or in part of 

materials from another country, has 

been substantially transformed in a 

designated country into a new and 

different manufactured good distinct 

from the materials from which it was 

transformed. 

Domestic iron, steel, and/or 

manufactured good—(1) Is wholly the 

growth, product, or manufacture of the 

United States; or 

(2) In the case of a manufactured good 

that consists in whole or in part of 

materials from another country, has 

been substantially transformed in the 

United States into a new and different 

manufactured good distinct from the 

materials from which it was 

transformed. There is no requirement 

with regard to the origin of components 

or subcomponents in manufactured 

goods or products, as long as the 

manufacture of the goods occurs in the 

United States. 

Foreign iron, steel, and/or 

manufactured good means iron, steel 


rwilkins on PROD1PC63 with RULES
18456 Federal Register / Vol. 74, No. 77 / Thursday, April 23, 2009 / Rules and Regulations 

and/or manufactured good that is not 

domestic or designated country iron, 

steel, and/or manufactured good. 

Manufactured good means a good 

brought to the construction site for 

incorporation into the building or work 

that has been— 

(1) Processed into a specific form and 

shape; or 

(2) Combined with other raw material 

to create a material that has different 

properties than the properties of the 

individual raw materials. 

Public building and public work 

means a public building of, and a public 

work of, a governmental entity (the 

United States; the District of Columbia; 

commonwealths, territories, and minor 

outlying islands of the United States; 

State and local governments; and multiState, regional, or interstate entities 

which have governmental functions). 

These buildings and works may include, 

without limitation, bridges, dams, 

plants, highways, parkways, streets, 

subways, tunnels, sewers, mains, power 

lines, pumping stations, heavy 

generators, railways, airports, terminals, 

docks, piers, wharves, ways, 

lighthouses, buoys, jetties, breakwaters, 

levees, and canals, and the construction, 

alteration, maintenance, or repair of 

such buildings and works. 

Steel means an alloy that includes at 

least 50 percent iron, between .02 and 

2 percent carbon, and may include other 

elements. 

(b) Iron, steel, and manufactured 

goods. (1) The award term and 

condition described in this section 

implements— 

(i) Section 1605(a) of the American 

Recovery and Reinvestment Act of 2009 

(Pub. L. 111–5) (Recovery Act), by 

requiring that all iron, steel, and 

manufactured goods used in the project 

are produced in the United States; and 

(ii) Section 1605(d), which requires 

application of the Buy American 

requirement in a manner consistent 

with U.S. obligations under 

international agreements. The 

restrictions of section 1605 of the 

Recovery Act do not apply to designated 

country iron, steel, and/or manufactured 

goods. The Buy American requirement 

in section 1605 shall not be applied 

where the iron, steel or manufactured 

goods used in the project are from a 

Party to an international agreement that 

obligates the recipient to treat the goods 

and services of that Party the same as 

domestic goods and services. This 

obligation shall only apply to projects 

with an estimated value of $7,443,000 or 

more. 

(2) The recipient shall use only 

domestic or designated country iron, 

steel, and manufactured goods in 

performing the work funded in whole or 

part with this award, except as provided 

in paragraphs (b)(3) and (b)(4) of this 

section. 

(3) The requirement in paragraph 

(b)(2) of this section does not apply to 

the iron, steel, and manufactured goods 

listed by the Federal Government as 

follows: 

lllllllllllllllllll

[Award official to list applicable 

excepted materials or indicate ‘‘none’’] 

(4) The award official may add other 

iron, steel, and manufactured goods to 

the list in paragraph (b)(3) of this 

section if the Federal Government 

determines that— 

(i) The cost of domestic iron, steel, 

and/or manufactured goods would be 

unreasonable. The cost of domestic iron, 

steel, and/or manufactured goods used 

in the project is unreasonable when the 

cumulative cost of such material will 

increase the overall cost of the project 

by more than 25 percent; 

(ii) The iron, steel, and/or 

manufactured good is not produced, or 

manufactured in the United States in 

sufficient and reasonably available 

commercial quantities of a satisfactory 

quality; or 

(iii) The application of the restriction 

of section 1605 of the Recovery Act 

would be inconsistent with the public 

interest. 

(c) Request for determination of 

inapplicability of section 1605 of the 

Recovery Act or the Buy American Act. 

(1)(i) Any recipient request to use 

foreign iron, steel, and/or manufactured 

goods in accordance with paragraph 

(b)(4) of this section shall include 

adequate information for Federal 

Government evaluation of the request, 

including— 

(A) A description of the foreign and 

domestic iron, steel, and/or 

manufactured goods; 

(B) Unit of measure; 

(C) Quantity; 

(D) Cost; 

(E) Time of delivery or availability; 

(F) Location of the project; 

(G) Name and address of the proposed 

supplier; and 

(H) A detailed justification of the 

reason for use of foreign iron, steel, and/ 

or manufactured goods cited in 

accordance with paragraph (b)(4) of this 

section. 

(ii) A request based on unreasonable 

cost shall include a reasonable survey of 

the market and a completed cost 

comparison table in the format in 

paragraph (d) of this section. 

(iii) The cost of iron, steel, or 

manufactured goods shall include all 

delivery costs to the construction site 

and any applicable duty. 

(iv) Any recipient request for a 

determination submitted after Recovery 

Act funds have been obligated for a 

project for construction, alteration, 

maintenance, or repair shall explain 

why the recipient could not reasonably 

foresee the need for such determination 

and could not have requested the 

determination before the funds were 

obligated. If the recipient does not 

submit a satisfactory explanation, the 

award official need not make a 

determination. 

(2) If the Federal Government 

determines after funds have been 

obligated for a project for construction, 

alteration, maintenance, or repair that 

an exception to section 1605 of the 

Recovery Act applies, the award official 

will amend the award to allow use of 

the foreign iron, steel, and/or relevant 

manufactured goods. When the basis for 

the exception is nonavailability or 

public interest, the amended award 

shall reflect adjustment of the award 

amount, redistribution of budgeted 

funds, and/or other appropriate actions 

taken to cover costs associated with 

acquiring or using the foreign iron, steel, 

and/or relevant manufactured goods.. 

When the basis for the exception is the 

unreasonable cost of the domestic iron, 

steel, or manufactured goods, the award 

official shall adjust the award amount or 

redistribute budgeted funds, as 

appropriate, by at least the differential 

established in 2 CFR 176.110(a). 

(3) Unless the Federal Government 

determines that an exception to section 

1605 of the Recovery Act applies, use of 

foreign iron, steel, and/or manufactured 

goods other than designated country 

iron, steel, and/or manufactured goods 

is noncompliant with the applicable 

Act. 

(d) Data. To permit evaluation of 

requests under paragraph (b) of this 

section based on unreasonable cost, the 

applicant shall include the following 

information and any applicable 

supporting data based on the survey of 

suppliers: 


rwilkins on PROD1PC63 with RULES
Federal Register / Vol. 74, No. 77 / Thursday, April 23, 2009 / Rules and Regulations 18457 

FOREIGN AND DOMESTIC ITEMS COST COMPARISON

Description Unit of 

measure Quantity Cost (dollars)* 

Item 1: 

Foreign steel, iron, or manufactured good ....................................................................................... _________ _________ _________ 

Domestic steel, iron, or manufactured good .................................................................................... _________ _________ _________ 

Item 2: 

Foreign steel, iron, or manufactured good ....................................................................................... _________ _________ _________ 

Domestic steel, iron, or manufactured good .................................................................................... _________ _________ _________ 

[List name, address, telephone number, email address, and contact for suppliers surveyed. Attach copy of response; if oral, attach summary.] 

[Include other applicable supporting information.] 

[*Include all delivery costs to the construction site.] 

§ 176.170 Notice of Required Use of 

American Iron, Steel, and Manufactured 

Goods (covered under International 

Agreements)—Section 1605 of the 

American Recovery and Reinvestment Act 

of 2009. 

When requesting applications or 

proposals for Recovery Act programs or 

activities that may involve construction, 

alteration, maintenance, or repair of a 

public building or public work, and 

involve iron, steel, and/or manufactured 

goods covered under international 

agreements, the agency shall use the 

notice described in the following 

paragraphs in the solicitation: 

(a) Definitions. Designated country 

iron, steel, and/or manufactured goods, 

foreign iron, steel, and/or manufactured 

good, manufactured good, public 

building and public work, and steel, as 

used in this provision, are defined in 2 

CFR 176.160(a). 

(b) Requests for determinations of 

inapplicability. A prospective applicant 

requesting a determination regarding the 

inapplicability of section 1605 of the 

American Recovery and Reinvestment 

Act of 2009 (Pub. L. 111–5) (Recovery 

Act) should submit the request to the 

award official in time to allow a 

determination before submission of 

applications or proposals. The 

prospective applicant shall include the 

information and applicable supporting 

data required by 2 CFR 176.160 (c) and 

(d) in the request. If an applicant has not 

requested a determination regarding the 

inapplicability of section 1605 of the 

Recovery Act before submitting its 

application or proposal, or has not 

received a response to a previous 

request, the applicant shall include the 

information and supporting data in the 

application or proposal. 

(c) Evaluation of project proposals. If 

the Federal Government determines that 

an exception based on unreasonable 

cost of domestic iron, steel, and/or 

manufactured goods applies, the Federal 

Government will evaluate a project 

requesting exception to the 

requirements of section 1605 of the 

Recovery Act by adding to the estimated 

total cost of the project 25 percent of the 

project cost if foreign iron, steel, or 

manufactured goods are used based on 

unreasonable cost of comparable 

domestic iron, steel, or manufactured 

goods. 

(d) Alternate project proposals. (1) 

When a project proposal includes 

foreign iron, steel, and/or manufactured 

goods, other than designated country 

iron, steel, and/or manufactured goods, 

that are not listed by the Federal 

Government in this Buy American 

notice in the request for applications or 

proposals, the applicant may submit an 

alternate proposal based on use of 

equivalent domestic or designated 

country iron, steel, and/or manufactured 

goods. 

(2) If an alternate proposal is 

submitted, the applicant shall submit a 

separate cost comparison table prepared 

in accordance with paragraphs 2 CFR 

176.160(c) and (d) for the proposal that 

is based on the use of any foreign iron, 

steel, and/or manufactured goods for 

which the Federal Government has not 

yet determined an exception applies. 

(3) If the Federal Government 

determines that a particular exception 

requested in accordance with 2 CFR 

176.160(b) does not apply, the Federal 

Government will evaluate only those 

proposals based on use of the equivalent 

domestic or designated country iron, 

steel, and/or manufactured goods, and 

the applicant shall be required to 

furnish such domestic or designated 

country items. 

Appendix to Subpart B of Part 176— 

U.S. States, Other Sub-Federal Entities, 

and Other Entities Subject to U.S. 

Obligations Under International 

Agreements 

States Entities covered Exclusions Relevant international agreements 

Arizona ........................................... Executive branch agencies .......... ....................................................... —WTO GPA (except Canada). 

—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

Arkansas ........................................ Executive branch agencies, including universities but excluding the Office of Fish and Game.construction services .................... —WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—US.-Peru TPA. 

—U.S.-Singapore FTA. 

California ........................................ Executive branch agencies .......... ....................................................... —WTO GPA (except Canada). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

Colorado ........................................ Executive branch agencies .......... ....................................................... —WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Peru TPA. 


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18458 Federal Register / Vol. 74, No. 77 / Thursday, April 23, 2009 / Rules and Regulations 

States Entities covered Exclusions Relevant international agreements 

—U.S.-Singapore FTA. 

Connecticut .................................... —Department of Administrative 

Services.

....................................................... —WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

—Department of Transportation. 

—Department of Public Works. 

—Constituent Units of Higher 

Education. 

Delaware ........................................ —Administrative Services (Central 

Procurement Agency).

construction-grade steel (including 

requirements on subcontracts); 

motor vehicles; coal.

—WTO GPA (except Canada). 

—DR–CAFTA (except Honduras). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

—State Universities. 

—State Colleges. 

Florida ............................................ Executive branch agencies .......... construction-grade steel (including 

requirements on subcontracts); 

motor vehicles; coal.

—WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Peru TPA. 

—U.S.-Singapore FTA. 

Georgia .......................................... —Department of Administrative 

Services 

—Georgia Technology Authority.

beef; compost; mulch ................... —U.S.-Australia FTA. 

Hawaii ............................................ Department of Accounting and 

General Services.

software developed in the state; 

construction.

—WTO GPA (except Canada). 

—DR–CAFTA (except Honduras). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

Idaho .............................................. Central Procurement Agency (including all colleges and universities subject to central purchasing oversight)........................................................ —WTO GPA (except Canada). 

—DR–CAFTA (except Honduras). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

Illinois ............................................. —Department of Central Management Services.construction-grade steel (including 

requirements on subcontracts); 

motor vehicles; coal.

—WTO GPA (except Canada). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Peru TPA. 

—U.S.-Singapore FTA. 

—U.S.-EC Exchange of Letters 

(applies to EC Member States 

for procurement not covered by 

WTO GPA and only where the 

state considers out-of-state 

suppliers). 

Iowa ............................................... —Department of General Services 

—Department of Transportation. 

—Board of Regents’ Institutions 

(universities).

construction-grade steel (including 

requirements on subcontracts); 

motor vehicles; coal.

—WTO GPA (except Canada). 

—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

Kansas ........................................... Executive branch agencies .......... construction services; automobiles; aircraft.—WTO GPA (except Canada). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

Kentucky ........................................ Division of Purchases, Finance 

and Administration Cabinet.

construction projects ..................... —WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

Louisiana ........................................ Executive branch agencies .......... ....................................................... —WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 


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Federal Register / Vol. 74, No. 77 / Thursday, April 23, 2009 / Rules and Regulations 18459 

States Entities covered Exclusions Relevant international agreements 

Maine ............................................. —Department of Administrative 

and Financial Services.

—Bureau of General Services 

(covering state government 

agencies and school construction).

construction-grade steel (including 

requirements on subcontracts); 

motor vehicles; coal.

—WTO GPA (except Canada). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

—Department of Transportation.

Maryland ........................................ —Office of the Treasury. 

—Department of the Environment. 

—Department of General Services.

—Department of Housing and 

Community Development.

—Department of Human Resources.

—Department of Licensing and 

Regulation.

—Department of Natural Resources.

—Department of Public Safety 

and Correctional Services.

—Department of Personnel. 

—Department of Transportation. 

construction-grade steel (including 

requirements on subcontracts); 

motor vehicles; coal.

—WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

Massachusetts ............................... —Executive Office for Administration and Finance........................................................ —WTO GPA (except Canada). 

—U.S.-Chile FTA. 

—Executive Office of Communities and Development.—U.S.-Singapore FTA. 

—Executive Office of Consumer 

Affairs.

—Executive Office of Economic 

Affairs.

—Executive Office of Education.

—Executive Office of Elder Affairs.

—Executive Office of Environmental Affairs.

—Executive Office of Health and 

Human Service.

—Executive Office of Labor.

—Executive Office of Public Safety.

—Executive Office of Transportation and Construction.

Michigan ......................................... Department of Management and 

Budget.

construction-grade steel (including 

requirements on subcontracts); 

motor vehicles; coal.

—WTO GPA (except Canada). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

Minnesota ...................................... Executive branch agencies .......... ....................................................... —WTO GPA (except Canada). 

—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

Mississippi ...................................... Department of Finance and Administration.services ......................................... —WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Peru TPA. 

—U.S.-Singapore FTA. 

Missouri .......................................... —Office of Administration ............. ....................................................... —WTO GPA (except Canada). 

—Division of Purchasing and Materials Management.—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

Montana ......................................... Executive branch agencies .......... goods ............................................ —WTO GPA (except Canada). 

—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

Nebraska ........................................ Central Procurement Agency ....... ....................................................... —WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

New Hampshire ............................. Central Procurement Agency ....... construction-grade steel (including 

requirements on subcontracts), 

motor vehicles; coal.

—WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 


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18460 Federal Register / Vol. 74, No. 77 / Thursday, April 23, 2009 / Rules and Regulations 

States Entities covered Exclusions Relevant international agreements 

New York ....................................... —State agencies.

—State university system. 

—Public authorities and public 

benefit corporations, with the 

exception of those entities with 

multi-state mandates.

construction-grade steel (including 

requirements on subcontracts); 

motor vehicles; coal; transit 

cars, buses and related equipment.

—WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Peru TPA. 

—U.S.-Singapore FTA. 

North Dakota .................................. ....................................................... ....................................................... —U.S.-EC Exchange of Letters 

(applies to EC Member States 

and only where the state considers out-of-state suppliers). 

Oklahoma ....................................... Department of Central Services 

and all state agencies and departments subject to the Oklahoma Central Purchasing Act.

construction services; construction-grade steel (including requirements on subcontracts); 

motor vehicles; coal.

—WTO GPA (except Canada). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Peru TPA. 

—U.S.-Singapore FTA. 

Oregon ........................................... Department of Administrative 

Services.

....................................................... —WTO GPA (except Canada). 

—DR–CAFTA (except Honduras). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

Pennsylvania .................................. Executive branch agencies, including: 

—Governor’s Office. 

—Department of the Auditor General.

construction-grade steel (including 

requirements on subcontracts); 

motor vehicles; coal.

—WTO GPA (except Canada). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

—Treasury Department. 

—Department of Agriculture. 

—Department of Banking. 

—Pennsylvania Securities Commission. 

—Department of Health. 

—Department of Transportation. 

—Insurance Department. 

—Department of Aging. 

—Department of Correction. 

—Department of Labor and Industry. 

—Department of Military Affairs. 

—Office of Attorney General. 

—Department of General Services. 

—Department of Education. 

—Public Utility Commission. 

—Department of Revenue. 

—Department of State. 

—Pennsylvania State Police. 

—Department of Public Welfare. 

—Fish Commission. 

—Game Commission. 

—Department of Commerce. 

—Board of Probation and Parole. 

—Liquor Control Board. 

—Milk Marketing Board. 

—Lieutenant Governor’s Office. 

—Department of Community Affairs. 

—Pennsylvania Historical and 

Museum Commission. 

—Pennsylvania Emergency Management Agency. 

—State Civil Service Commission. 

—Pennsylvania Public Television 

Network. 

—Department of Environmental 

Resources. 

—State Tax Equalization Board. 

—Department of Public Welfare. 

—State Employees’ Retirement 

System. 

—Pennsylvania Municipal Retirement Board. 


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States Entities covered Exclusions Relevant international agreements 

—Public School Employees’ Retirement System. 

—Pennsylvania Crime Commission. 

—Executive Offices. 

Rhode Island .................................. Executive branch agencies .......... boats, automobiles, buses and related equipment.—WTO GPA (except Canada). 

—DR–CAFTA (except Honduras). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

South Dakota ................................. Central Procuring Agency (including universities and penal institutions).beef ............................................... —WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

Tennessee ..................................... Executive branch agencies .......... Services; construction .................. —WTO GPA (except Canada). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

Texas ............................................. Texas Building and Procurement 

Commission.

....................................................... —WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Peru TPA. 

—U.S.-Singapore FTA. 

Utah ............................................... Executive branch agencies .......... ....................................................... —WTO GPA (except Canada). 

—DR–CAFTA (except Honduras). 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Peru TPA. 

—U.S.-Singapore FTA. 

Vermont ......................................... Executive branch agencies .......... ....................................................... —WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

Washington .................................... Executive branch agencies, including: 

—General Administration. 

—Department of Transportation. 

—State Universities. 

fuel; paper products; boats; ships; 

and vessels.

—WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

West Virginia .................................. ....................................................... ....................................................... —U.S.-EC Exchange of Letters 

(applies to EC Member States 

and only where the state considers out-of-state suppliers). 

Wisconsin ....................................... Executive branch agencies, including: 

—Department of Administration. 

....................................................... —WTO GPA (except Canada). 

—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

—State Correctional Institutions. 

—Department of Development. 

—Educational Communications 

Board. 

—Department of Employment Relations. 

—State Historical Society. 

—Department of Health and Social Services. 

—Insurance Commissioner. 

—Department of Justice. 

—Lottery Board. 

—Department of Natural Resources. 

—Administration for Public Instruction. 


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18462 Federal Register / Vol. 74, No. 77 / Thursday, April 23, 2009 / Rules and Regulations 

States Entities covered Exclusions Relevant international agreements 

—Racing Board. 

—Department of Revenue. 

—State Fair Park Board. 

—Department of Transportation. 

—State University System. 

Wyoming ........................................ —Procurement Services Division 

—Wyoming Department of Transportation.

—University of Wyoming ..............

construction-grade steel (including 

requirements on subcontracts); 

motor vehicles; coal.

—WTO GPA (except Canada). 

—DR–CAFTA. 

—U.S.-Australia FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Singapore FTA. 

Other sub-federal entities Entities covered Exclusions Relevant international agreements 

Puerto Rico .................................... —Department of State .................. construction services .................... —DR–CAFTA. 

—U.S.-Peru TPA. 

—Department of Justice. 

—Department of the Treasury. 

—Department of Economic Development and Commerce. 

—Department of Labor and 

Human Resources. 

—Department of Natural and Environmental Resources. 

—Department of Consumer Affairs. 

—Department of Sports and 

Recreation. 

Port Authority of New York and 

New Jersey.

....................................................... restrictions attached to Federal 

funds for airport projects; maintenance, repair and operating 

materials and supplies.

—WTO GPA (except Canada). 

—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

Port of Baltimore ............................ ....................................................... restrictions attached to Federal 

funds for airport projects.

—WTO GPA (except Canada). 

—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

New York Power Authority ............. ....................................................... restrictions attached to Federal 

funds for airport projects; conditions specified for the State of 

New York.

—WTO GPA (except Canada). 

—U.S.-Chile FTA. 

—U.S.-Singapore FTA. 

Massachusetts Port Authority ........ ....................................................... ....................................................... U.S.-EC Exchange of Letters (applies to EC Member States and 

only where the Port Authority 

considers out-of-state suppliers). 

Boston, Chicago, Dallas, Detroit, 

Indianapolis, Nashville, and San 

Antonio.

....................................................... ....................................................... U.S.-EC Exchange of Letters 

(only applies to EC Member 

States and where the city considers out-of-city suppliers). 

Other entities Entities covered Exclusions Relevant international agreements 

Rural Utilities Service (waiver of 

Buy American restriction on financing for all power generation 

projects).

....................................................... ....................................................... —WTO GPA. 

—DR–CAFTA. 

—NAFTA. 

—U.S.-Australia FTA. 

—U.S.-Bahrain FTA. 

—U.S.-Chile FTA. 

—U.S.-Morocco FTA. 

—U.S.-Oman FTA. 

—U.S.-Peru TPA. 

—U.S.-Singapore FTA. 

Rural Utilities Service (waiver of 

Buy American restriction on financing for telecommunications 

projects).

....................................................... ....................................................... —NAFTA. 

—U.S.-Israel FTA. 

General Exceptions: The following 

restrictions and exceptions are excluded from 

U.S. obligations under international 

agreements: 

1. The restrictions attached to Federal 

funds to states for mass transit and highway 

projects. 

2. Dredging. 

The World Trade Organization 

Government Procurement Agreement (WTO 

GPA) Parties: Aruba, Austria, Canada, 

Belgium, Bulgaria, Cyprus, Czech Republic, 

Denmark, Estonia, Finland, France, Germany, 

Greece, Hong Kong, Hungary, Iceland, 

Ireland, Israel, Italy, Japan, Korea (Republic 

of), Latvia, Liechtenstein, Lithuania, 


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Federal Register / Vol. 74, No. 77 / Thursday, April 23, 2009 / Rules and Regulations 18463 

Luxembourg, Malta, Netherlands, Norway, 

Poland, Portugal, Romania, Singapore, 

Slovak Republic, Slovenia, Spain, Sweden, 

Switzerland, and United Kingdom. 

The Free Trade Agreements and the 

respective Parties to the agreements are: 

(1) Dominican Republic-Central AmericaUnited States Free Trade Agreement (DR– 

CAFTA): Costa Rica, Dominican Republic, El 

Salvador, Guatemala, Honduras, and 

Nicaragua; 

(2) North American Free Trade Agreement 

(NAFTA): Canada and Mexico; 

(3) United States-Australia Free Trade 

Agreement (U.S.-Australia FTA); 

(4) United States-Bahrain Free Trade 

Agreement (U.S.-Bahrain FTA); 

(5) United States-Chile Free Trade 

Agreement (U.S.-Chile FTA); 

(6) United States-Israel Free Trade 

Agreement (U.S.-Israel FTA); 

(7) United States-Morocco Free Trade 

Agreement (U.S.-Morocco FTA); 

(8) United States-Oman Free Trade 

Agreement (U.S.-Oman FTA); 

(9) United States-Peru Trade Promotion 

Agreement (U.S.-Peru TPA); and 

(10) United States-Singapore Free Trade 

Agreement (U.S.-Singapore FTA). 

United States-European Communities 

Exchange of Letters (May 30, 1995) (U.S.-EC 

Exchange of Letters) applies to EC Member 

States: Austria, Belgium, Bulgaria, Cyprus, 

Czech Republic, Denmark, Estonia, Finland, 

France, Germany, Greece, Hungary, Ireland, 

Italy, Latvia, Lithuania, Luxembourg, Malta, 

Netherlands, Poland, Portugal, Romania, 

Slovak Republic, Slovenia, Spain, Sweden, 

and United Kingdom. 

Subpart C—Wage Rate Requirements 

Under Section 1606 of the American 

Recovery and Reinvestment Act of 

2009 

§ 176.180 Procedure. 

The award official shall insert the 

standard award term in this Subpart in 

all awards funded in whole or in part 

with Recovery Act funds. 

§ 176.190 Award term—Wage Rate 

Requirements under Section 1606 of the 

Recovery Act. 

When issuing announcements or 

requesting applications for Recovery Act 

programs or activities that may involve 

construction, alteration, maintenance, or 

repair the agency shall use the award 

term described in the following 

paragraphs: 

(a) Section 1606 of the Recovery Act 

requires that all laborers and mechanics 

employed by contractors and 

subcontractors on projects funded 

directly by or assisted in whole or in 

part by and through the Federal 

Government pursuant to the Recovery 

Act shall be paid wages at rates not less 

than those prevailing on projects of a 

character similar in the locality as 

determined by the Secretary of Labor in 

accordance with subchapter IV of 

chapter 31 of title 40, United States 

Code. 

Pursuant to Reorganization Plan No. 

14 and the Copeland Act, 40 U.S.C. 

3145, the Department of Labor has 

issued regulations at 29 CFR parts 1, 3, 

and 5 to implement the Davis-Bacon 

and related Acts. Regulations in 29 CFR 

5.5 instruct agencies concerning 

application of the standard Davis-Bacon 

contract clauses set forth in that section. 

Federal agencies providing grants, 

cooperative agreements, and loans 

under the Recovery Act shall ensure 

that the standard Davis-Bacon contract 

clauses found in 29 CFR 5.5(a) are 

incorporated in any resultant covered 

contracts that are in excess of $2,000 for 

construction, alteration or repair 

(including painting and decorating). 

(b) For additional guidance on the 

wage rate requirements of section 1606, 

contact your awarding agency. 

Recipients of grants, cooperative 

agreements and loans should direct 

their initial inquiries concerning the 

application of Davis-Bacon 

requirements to a particular federally 

assisted project to the Federal agency 

funding the project. The Secretary of 

Labor retains final coverage authority 

under Reorganization Plan Number 14. 

Subpart D—Single Audit Information 

for Recipients of Recovery Act Funds 

§ 176.200 Procedure. 

The award official shall insert the 

standard award term in this Subpart in 

all awards funded in whole or in part 

with Recovery Act funds. 

§ 176.210 Award term—Recovery Act 

Transactions listed in Schedule of 

Expenditures of Federal Awards and 

Recipient Responsibilities for Informing 

Subrecipients. 

The award term described in this 

section shall be used by agencies to 

clarify recipient responsibilities 

regarding tracking and documenting 

Recovery Act expenditures: 

(a) To maximize the transparency and 

accountability of funds authorized 

under the American Recovery and 

Reinvestment Act of 2009 (Pub. L. 111– 

5) (Recovery Act) as required by 

Congress and in accordance with 2 CFR 

215.21 ‘‘Uniform Administrative 

Requirements for Grants and 

Agreements’’ and OMB Circular A–102 

Common Rules provisions, recipients 

agree to maintain records that identify 

adequately the source and application of 

Recovery Act funds. OMB Circular A– 

102 is available at http:// 

www.whitehouse.gov/omb/circulars/ 

a102/a102.html. 

(b) For recipients covered by the 

Single Audit Act Amendments of 1996 

and OMB Circular A–133, ‘‘Audits of 

States, Local Governments, and NonProfit Organizations,’’ recipients agree 

to separately identify the expenditures 

for Federal awards under the Recovery 

Act on the Schedule of Expenditures of 

Federal Awards (SEFA) and the Data 

Collection Form (SF–SAC) required by 

OMB Circular A–133. OMB Circular A– 

133 is available at http:// 

www.whitehouse.gov/omb/circulars/ 

a133/a133.html. This shall be 

accomplished by identifying 

expenditures for Federal awards made 

under the Recovery Act separately on 

the SEFA, and as separate rows under 

Item 9 of Part III on the SF–SAC by 

CFDA number, and inclusion of the 

prefix ‘‘ARRA-’’ in identifying the name 

of the Federal program on the SEFA and 

as the first characters in Item 9d of Part 

III on the SF–SAC. 

(c) Recipients agree to separately 

identify to each subrecipient, and 

document at the time of subaward and 

at the time of disbursement of funds, the 

Federal award number, CFDA number, 

and amount of Recovery Act funds. 

When a recipient awards Recovery Act 

funds for an existing program, the 

information furnished to subrecipients 

shall distinguish the subawards of 

incremental Recovery Act funds from 

regular subawards under the existing 

program. 

(d) Recipients agree to require their 

subrecipients to include on their SEFA 

information to specifically identify 

Recovery Act funding similar to the 

requirements for the recipient SEFA 

described above. This information is 

needed to allow the recipient to 

properly monitor subrecipient 

expenditure of ARRA funds as well as 

oversight by the Federal awarding 

agencies, Offices of Inspector General 

and the Government Accountability 

Office. 

[FR Doc. E9–9073 Filed 4–22–09; 8:45 am] 

BILLING CODE P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 984 

[Doc. No. AO–192–A7; AMS–FV–07–0004; 

FV06–984–1 C] 

Walnuts Grown in California; Order 

Amending Marketing Order No. 984; 

Correcting Amendment 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Final rule; correcting 

amendment. 


rwilkins on PROD1PC63 with RULES