Document ID: FRA-2012-0033-0009
Agency: fra
Document Type: Notice
Title: Buy America Waivers: Long Island Rail Road; Purchase of Seven U.S.-Made Turnouts Containing Four Non-Domestic Components
Posted Date: 2015-05-21T04:00Z

[Federal Register Volume 80, Number 98 (Thursday, May 21, 2015)]
[Notices]
[Pages 29383-29384]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-12332]

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DEPARTMENT OF TRANSPORTATION

Federal Railroad Administration

[Docket No. FRA-2012-0033]

Notice of Intent to Grant a Buy America Waiver to the Long Island 
Rail Road for the Purchase of Seven U.S.-Made Turnouts Containing Four 
Non-Domestic Components

AGENCY: Federal Railroad Administration (FRA), United States Department 
of Transportation (DOT).

ACTION: Notice of intent to grant Buy America waiver.

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SUMMARY: FRA is issuing this notice to advise the public that it 
intends to grant the Long Island Rail Road (LIRR), a subsidiary of the 
Metropolitan Transportation Authority, a waiver from FRA's Buy America 
requirement under 49 U.S.C. 24405(a)(2)(B) for the purchase of seven 
(7) turnouts manufactured by VAE Nortrak North America, Inc. at its 
plant in Birmingham, Alabama, for use in the LIRR North East Corridor 
Congestion Relief Project at Harold Interlocking. The turnouts will 
contain four components (ZU1-60 steel left and right switch point rail 
sections and Schwihag roller assemblies and plates) not produced in the 
U.S. The roller assemblies and plates are manufactured in Switzerland, 
and the ZUl-60 steel switch point rail sections are manufactured in 
Austria. The foreign material comprises approximately 11.9 percent of 
the turnouts' $3.1 million cost or approximately $367,000. FRA believes 
a waiver is appropriate under 49 U.S.C. 24405(a)(2)(B) for the ZUI-60 
steel switch point rail sections and roller assemblies and plates 
because domestically-produced components meeting the specific needs of 
LIRR are not currently ``produced in sufficient and reasonably 
available amount or are not of a satisfactory quality.''

DATES: Written comments on FRA's determination to grant LIRR's Buy 
America waiver request should be provided to the FRA on or before May 
26, 2015.

ADDRESSES: Please submit your comments by one of the following means, 
identifying your submissions by docket number FRA-2012-0033. All 
electronic submissions must be made to the U.S. Government electronic 
site at http://www.regulations.gov. Commenters should follow the 
instructions below for mailed and hand-delivered comments.
    (1) Web site: http://www.regulations.gov. Follow the instructions 
for submitting comments on the U.S. Government electronic docket site;
    (2) Fax: (202) 493-2251;
    (3) Mail: U.S. Department of Transportation, 1200 New Jersey Avenue 
SE., Docket Operations, M-30, Room W12-140, Washington, DC 20590-0001; 
or
    (4) Hand Delivery: Room W12-140 on the first floor of the West 
Building, 1200 New Jersey Avenue SE., Washington, DC 20590, between 9 
a.m. and 5 p.m., Monday through Friday, except Federal holidays.
    Instructions: All submissions must make reference to the ``Federal 
Railroad Administration'' and include docket number FRA-2012-0033. Due 
to security procedures in effect since October 2001, mail received 
through the U.S. Postal Service may be subject to delays. Parties 
making submissions responsive to this notice should consider using an 
express mail firm to ensure the prompt filing of any submissions not 
filed electronically or by hand. Note that all submissions received, 
including any personal information therein, will be posted without 
change or alteration to http://www.regulations.gov. For more 
information, you may review DOT's complete Privacy Act Statement in the 
Federal Register published on April 11, 2000 (65 FR 19477), or visit 
http://www.regulations.gov.

FOR FURTHER INFORMATION CONTACT: Mr. John Johnson, Attorney-Advisor, 
FRA Office of Chief Counsel, 1200 New Jersey Avenue SE., Mail Stop 25, 
Washington, DC 20590, (202) 493-0078, John.Johnson@dot.gov.

SUPPLEMENTARY INFORMATION: 
    The letter granting LIRR's request is quoted below:

Mr. Carl Cipriano
Manager-Procurement East Side Access
Long Island Rail Road
90-27 Sutphin Boulevard
3 Floor, MC 0335
Jamaica, NY 11435

Re: Request for Waiver of Buy America Requirement

Dear Mr. Cipriano:

As you are aware, on August 21, 2014, the Long Island Rail Road (LIRR) 
requested a waiver from FRA's Buy America requirement to purchase 
twenty-two (22) turnouts (Turnouts) manufactured by VAE Nortrak North 
America, Inc. (Nortrak) for use in the LIRR North East Corridor (NEC) 
Congestion Relief Project at Harold Interlocking (Harold Interlocking 
Project).
In February 2015, LIRR withdrew its request for the full twenty-two 
(22) Turnouts and amended its request to only seven (7) Turnouts. Those 
7 Turnouts will be manufactured by Nortrak at its plant in Birmingham, 
Alabama, but will contain four components (ZU1-60 steel left and right 
switch point rail sections and Schwihag roller assemblies and plates) 
that are not produced in the U.S. Instead, the roller assemblies and 
plates are manufactured in Switzerland and the ZUl-60 steel switch 
point rail sections are manufactured in Austria. The foreign material 
comprises approximately 11.9 percent of the Turnouts' $3.1 million cost 
or approximately $367,000.
    LIRR amended its request because it determined that an alternative 
turnout design that Union Pacific railroad is using could potentially 
provide LIRR with a 100-percent FRA Buy America compliant turnout for 
future use at Harold Interlocking. However, LIRR asserts that an 
alternative design will require significant work before LIRR can 
integrate it into LIRR's infrastructure, including use for Harold 
Interlocking. This work includes development of a new configuration; 
preparation of shop drawings; and preparation, review and

[[Page 29384]]

approval of the new design. The new specification then must be provided 
to potential manufacturers who will need to perform additional 
engineering and fabrication so that the newly designed turnout can be 
adapted for use for the Harold Interlocking Project. FRA agrees with 
LIRR's assertions. For the reasons set forth below, FRA is granting a 
waiver for the purchase of seven (7) Turnouts.
    FRA believes a waiver is appropriate under 49 U.S.C. 24405(a)(2)(B) 
for the ZUI-60 steel switch point rail sections and roller assemblies 
and plates because domestically-produced components meeting the 
specific needs of LIRR for this application are not currently 
``produced in sufficient and reasonably available amount or are not of 
a satisfactory quality.'' Both FRA and LIRR have conducted significant 
outreach to find 100-percent compliant turnouts. LIRR issued two 
competitive solicitations for the Turnouts and received no Buy America 
compliant bids. LIRR also conducted extensive market research utilizing 
a previous scouting report relating to turnout components from a 
previous FRA waiver for the same components. In conducting that 
research, LIRR contacted seven potential manufacturers. None produced 
the needed turnout components as designed.
    On September 19, 2014, FRA provided public notice of this waiver 
request and a 15-day opportunity for comment on its Web site. FRA also 
emailed notice to over 6,000 persons who have signed up for Buy America 
notices through ``GovDelivery.'' See http://www.fra.dot.gov/Page/P0719. 
FRA received no comments.
    Moreover, although a future design capable of using domestic 
components may be possible, FRA concludes that the seven (7) turnouts 
are not reasonably available because the time required to design, test, 
and competitively procure those turnouts would likely cause at least a 
one year delay in completing the overall project, preventing the Harold 
Interlocking Project from being completed by September 30, 2017 (the 
deadline for the expenditure of Federal funds awarded under the 
American Recovery and Reinvestment Act of 2009). Thus, FRA grants 
LIRR's request for the initial seven (7) Turnouts.
    This waiver applies only to the ZUI-60 steel switch point rail 
sections and Schwihag roller assemblies and plates as manufactured into 
the initial seven (7) Turnouts installed in the Harold Interlocking 
Project. We will not grant any future requests for waivers without a 
specific showing that a significant good faith effort to obtain 
domestic sources for these components has taken place but failed.
    Pursuant to 49 U.S.C. 24405(a)(4), FRA will publish this letter 
granting LIRR's request in the Federal Register and provide notice of 
such finding and an opportunity for public comment after which this 
waiver will become effective.
    Questions about this letter can be directed to, John Johnson, 
Attorney-Advisor, at John.Johnson@dot.gov or (202) 493-0078.

Sincerely,

Sarah Feinberg,
Acting Administrator.

Melissa L. Porter,
Chief Counsel.
[FR Doc. 2015-12332 Filed 5-20-15; 8:45 am]
BILLING CODE 4910-06-P