```

[Federal Register Volume 75, Number 208 (Thursday, October 28, 2010)]
[Notices]
[Pages 66375-66377]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-27277]

-----------------------------------------------------------------------

ENVIRONMENTAL PROTECTION AGENCY

[FRL-9218-4]

Notice of a Regional Waiver of Section 1605 (Buy American 
Requirement) of the American Recovery and Reinvestment Act of 2009 
(ARRA) to the City of Kimberly (the City), ID

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: The Regional Administrator of EPA Region 10 is hereby granting 
a waiver of the Buy American requirements of ARRA Section 1605(a) under 
the authority of Section 1605(b)(2) [manufactured goods are not 
produced in the United States in sufficient and reasonably available 
quantities and of a satisfactory quality] to the City for the purchase 
of three ABB ultra low harmonics (ULH) ACS800 Series, variable 
frequency drives (VFDs): 75-HP VFD, 100-HP VFD, and 150-HP VFD 
manufactured in Helsinki, Finland by ABB. This is a project specific 
waiver and only applies to the use of the specified products for the 
ARRA project being proposed. Any other ARRA recipient that wishes to 
use the same product must apply for a separate waiver based on project 
specific circumstances. The waiver applicant states that the project 
requires the ULH VFDs be installed because they do not require a 
separate harmonics filter and thus can be installed in smaller places. 
In addition, the waiver applicant provided a supplemental requirement 
from the local utility, Idaho Power. Idaho Power requires that harmonic 
distortion be minimized in accordance with the power quality standard, 
IEEE STD 519-1992. According to the waiver applicant's consulting 
engineer, the relevant requirement in IEEE STD 519-1992 is that the VFD 
generate 4% or less AC line harmonic distortion without additional 
filtration. There are no known domestic manufacturers of comparable 
VFDs that satisfactorily meet all aspects of the project 
specifications.
    The Regional Administrator is making this determination based on 
the review and recommendations of the Drinking Water Unit. The City has 
provided sufficient documentation to support their request.

DATES: Effective Date: October 13, 2010.

FOR FURTHER INFORMATION CONTACT: Johnny Clark, DWSRF ARRA Program 
Management Analyst, Drinking Water Unit, Office of Water & Watersheds 
(OWW), (206) 553-0082, U.S. EPA Region 10 (OWW-136), 1200 Sixth Avenue, 
Suite 900, Seattle, WA 98101.

SUPPLEMENTARY INFORMATION: 
    In accordance with ARRA Section 1605(c), the EPA hereby provides 
notice that it is granting a project waiver of the requirements of 
Section 1605(a) of Public Law 111-5, Buy American requirements, to the 
City for the acquisition of three ABB ultra low harmonics (ULH) ACS800 
Series variable frequency drives (VFDs): 75-HP VFD, 100-HP VFD, and 
150-HP VFD manufactured in Helsinki, Finland by ABB. The applicant 
indicates that ABB ULH VFDs are the ideal components, based upon 
project specifications and there are no known U.S. manufacturers that 
manufacture comparable products. The ARRA funded project involves water 
system improvements in well house 7, and two water storage 
tanks. One 150-HP VFD is to be incorporated into the new Well House 
7; one 100-HP VFD is to be incorporated into the existing 
Redwood Booster Station on an existing booster pump; and one 75-HP VFD 
is to be incorporated into the existing City Hall Booster Station on a 
new booster pump. The applicant indicates ULH VFDs do not require a 
separate harmonics filter and thus can be installed in smaller spaces. 
At the Redwood Booster Station, which the applicant explains has 
limited space and is located in a residential neighborhood, the ULH VFD 
could be installed inside of the building rather than installing a 
separate harmonics

[[Page 66376]]

filter outside of the building with another VFD. Harmonic filters are 
reportedly noisy and susceptible to damage if installed outside the 
building. The applicant also indicated that ULH VFDs are more efficient 
and require less maintenance than other VFDs, thus providing the City 
with long-term cost savings.
    Within the requirements of the project specifications, there are 
critical elements, capability and requirements regarding the VFDs, to 
include the following:
    (a) Employ microprocessor based inverter logic isolated from power 
circuits.
    (b) Employ pulse width modulated inverter system.
    (c) Employ switching power supply operating off DC link.
    (d) Design for ability to operate controller with motor 
disconnected from output for testing and servicing.
    (e) Design for drive output rotation to be independent of input 
rotation.
    (f) Design to limit output voltage rate of rise to 500 volts per 
micro second (1-60HP) and 2000 volts per micro second (75HP+).
    (g) Design to be self protected while running or at rest against:
    1. Switching motor on drive output
    2. Output line to line or line to ground short circuits
    3. Drive overload
    (h) Design to drive a 150-HP motor or 75-HP motor up to 40 feet 
away without exceeding the requirements of MGI-1993.
    (i) Design to include electronic thermal overload protection 
without motor temperature feedback. Provide class 10 motor protection, 
with speed sensitive response.
    (j) Design for speed regulation .5% of rated speed with 
a 10 to 90% load variation from 6 to 60 Hz.
    (k) Design for three programmable skip frequencies.
    In addition, the local utility, Idaho Power, requires that harmonic 
distortion be minimized in accordance with the power quality standard, 
IEEE STD 519-1992. According to the applicant's consulting engineer, 
the relevant requirement in IEEE STD 519-1992 is that the VFD will 
generate 4% or less AC line total harmonic distortion without 
additional filtration. An inquiry by EPA's national contractor (Cadmus) 
confirmed that no known domestic manufacturers of comparable VFDs meet 
all aspects of the project specification, which is supported by the 
available information. Based on available information, it is unlikely 
that other VFDs would function within the requirement of the project 
specifications. EPA finds these considerations as stated by the City 
provide ample functional justification for their specification of these 
ULH VFDs.
    EPA has determined that the City's request can be processed as 
timely even though the request was made after the construction contract 
was signed. Consistent with direction of the Office of Management and 
Budget (OMB) Guidance at 2 CFR 176.120, EPA has evaluated the City's 
request to determine if the request constitutes a late request. EPA 
will generally regard waiver requests with respect to components that 
were specified in the bid solicitation or in a general/primary 
construction contract as ``late'' if submitted after the contract date. 
However, in this case EPA has determined that the City's request, 
though requested after the contract date, may be processed as if it 
were timely because the need for the waiver was not reasonably 
foreseeable. The local utility, Idaho Power, requires that harmonic 
distortion be minimized in accordance with the power quality standard, 
IEEE STD 519-1992. Although the design specifications were drafted to 
meet the Idaho Power requirements, it became known much later after the 
contract signing that domestic manufactured VFDs required additional 
space for installation of harmonic filters as compared to non-domestic 
manufactured VFDs. A domestic manufactured VFD requires the 
installation of a filter to minimize the harmonic distortion 
transferred to the utility from the drive; a non-domestic manufactured 
VFD is able to accomplish a harmonic minimalization without the 
addition of a separate filtering device; therefore, fitting in a 
smaller footprint.
    The April 28, 2009 EPA HQ Memorandum, Implementation of Buy 
American provisions of Public Law 111-5, the ``American Recovery and 
Reinvestment Act of 2009'', defines ``satisfactory quality'' as the 
quality of iron, steel or the relevant manufactured good as specified 
in the project plans and design. The City has provided information to 
the EPA representing that there are currently no domestic manufacturers 
of the ULH VFDs that meet the project specification requirements. Based 
on additional research by EPA's consulting contractor (Cadmus) and to 
the best of the Region's knowledge at this time, there does not appear 
to be any other manufacturers capable of meeting the City's 
specifications.
    Furthermore, the purpose of the ARRA provisions was to stimulate 
economic recovery by funding current infrastructure construction, not 
to delay projects that are already shovel ready by requiring entities, 
like the City, to revise their design and potentially choose a more 
costly and less effective project. The imposition of ARRA Buy American 
requirements on such projects eligible for DWSRF assistance would 
result in unreasonable delay and thus displace the ``shovel ready'' 
status for this project. To further delay construction is in direct 
conflict with the most fundamental economic purposes of ARRA; to create 
or retain jobs.
    The Drinking Water Unit has reviewed this waiver request and has 
determined that the supporting documentation provided by the City is 
sufficient to meet the following criteria listed under Section 1605(b) 
and in the April 28, 2009, Implementation of Buy American provisions of 
Public Law 111-5, the ``American Recovery and Reinvestment Act of 
2009'' Memorandum: Iron, steel, and the manufactured goods are not 
produced in the United States in sufficient and reasonably available 
quantities and of a satisfactory quality.
    The basis for this project waiver is the authorization provided in 
Section 1605(b)(2), due to the lack of production of this product in 
the United States in sufficient and reasonably available quantities and 
of a satisfactory quality in order to meet the City's design 
specifications.The March 31, 2009 Delegation of Authority Memorandum 
provided Regional Administrators with the authority to issue exceptions 
to Section 1605 of ARRA within the geographic boundaries of their 
respective regions and with respect to requests by individual grant 
recipients. Having established both a proper basis to specify the 
particular good required for this project, and that this manufactured 
good was not available from a producer in the United States, the City 
is hereby granted a waiver from the Buy American requirements of 
Section 1605(a) of Public Law 111-5 for the purchase three ABB ultra 
low harmonics (ULH) ACS800 Series variable frequency drives (VFDs): 75-
HP VFD, 100-HP VFD, and 150-HP VFD manufactured in Helsinki, Finland by 
ABB in the City's request of July 21, 2010. This supplementary 
information constitutes the detailed written justification required by 
Section 1605(c) for waivers based on a finding under subsection (b).

    Authority: Pub. L. 111-5, section 1605.

[[Page 66377]]

    Dated: October 13, 2010.
Dennis J. Mclerran,
Regional Administrator, EPA, Region 10.
[FR Doc. 2010-27277 Filed 10-27-10; 8:45 am]
BILLING CODE 6560-50-P
```