I 118th CONGRESS 1st Session H. R. 1193 IN THE HOUSE OF REPRESENTATIVES February 24, 2023 Mr. Nehls (for himself and Mr. Garamendi ) introduced the following bill; which was referred to the Committee on Transportation and Infrastructure , and in addition to the Committee on Energy and Commerce , for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned A BILL To prioritize United States contractors with respect to federally funded infrastructure projects, and for other purposes.

1. Short title This Act may be cited as the Domestic Preferences for Building America Act . 2. Priority for United States contractors (a) Requirements with respect to certain contract awardees (1) In general Amounts made available through a program for Federal financial assistance may be obligated for an infrastructure project with a value of $100,000,000 or more only if the recipient of such amounts certifies that, in obligating the amounts— (A) subject to the occurrence of adequate competition, the recipient shall award contracts only to— (i) United States persons; and (ii) qualified United States joint ventures; and (B) the recipient shall not award contracts to an entity that is owned or controlled by, is a subsidiary of, or is otherwise related legally or financially to a corporation based in a covered country. (2) Exception For purposes of paragraph (1)(B), the term otherwise related legally or financially does not include a minority relationship or investment. (b) Limitation on subcontracting With respect to a project described in subsection (a)(1) that is funded in whole or in part by Federal financial assistance, a prime contractor and any subcontractor of such prime contractor, at any tier, may enter into a subcontract related to such project only with a United States person or qualified United States joint venture. (c) Rulemaking Not later than 1 year after the date of the enactment of this section, the Director of the Office of Management and Budget shall establish, for purposes of this section— (1) procedures for determining whether bids or proposals for contracts are submitted by a United States person or a qualified United States joint venture; and (2) requirements for record retention and reporting. (d) Rule of construction Nothing in this section shall be construed to limit a recipient of Federal financial assistance from awarding a contract under a State or Federal program that supports disadvantaged business enterprises, including such a program that supports women business owners or minority business owners. (e) Consistency with international agreements This section shall be applied in a manner consistent with United States obligations under international agreements. (f) Definitions In this section: (1) Adequate competition The term adequate competition means the submission of responsive bids from 2 or more qualified bidders that are United States persons or qualified United States joint ventures. (2) Covered country The term covered country means a country that— (A) is identified, as of the date of the enactment of this section, as a nonmarket economy country (as defined in section 771(18) of the Tariff Act of 1930 ( 19 U.S.C. 1677(18) )); (B) was identified by the United States Trade Representative in the most recent report required by section 182 of the Trade Act of 1974 ( 19 U.S.C. 2242 ) as a foreign country included on the priority watch list defined in subsection (g)(3) of that section; and (C) is subject to monitoring by the Trade Representative under section 306 of the Trade Act of 1974 ( 19 U.S.C. 2416 ). (3) Federal agency; Federal financial assistance; infrastructure; project The terms Federal agency , Federal financial assistance , infrastructure , and project have the meanings given such terms in section 70912 of the Infrastructure Investment and Jobs Act ( 41 U.S.C. 8301 note). (4) Qualified United States joint venture The term qualified United States joint venture means a joint venture in which not less than 51 percent of the assets of the joint venture are owned by United States persons. (5) United States person The term United States person means a person that— (A) is incorporated or legally organized under the laws of the United States or a jurisdiction located within the United States and has been so incorporated or organized for not less than 5 years before the date on which an invitation is issued for bids or proposals with respect to the relevant contract; (B) has its principal place of business in the United States; (C) has previously performed services within the United States that are similar in complexity and type to the services required for the relevant contract; (D) has within the United States the technical and financial resources necessary to perform the relevant contract; and (E) employs individuals who are citizens or residents of the United States in not less than 51 percent of— (i) the principal management positions located in the United States; (ii) the permanent, full-time positions located in the United States; and (iii) the supervisory positions located in the United States. (g) Effective date This Act shall take effect 180 days after the date of the enactment of this Act.