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Government-wide BABA baseline (OMB M-24-02)

OMB Made in America Office BABA domestic-content rules

Office of Management and Budget - Made in America Office funds all federally funded infrastructure. These are the three Build America, Buy America standards it applies, each cited to its official source.

The three standards

Iron & steelAll manufacturing in the US
Verified

All iron and steel used in the project must be produced in the United States, meaning all manufacturing processes from the initial melting stage through the application of coatings occurred in the United States.

Manufactured productUS component cost greater than 55%
Verified

A manufactured product must be manufactured in the United States, and the cost of its components that are mined, produced, or manufactured in the United States must be greater than 55 percent of the total cost of all components.

Construction materialAll manufacturing in the US
Verified

All manufacturing processes for the construction material must have occurred in the United States. OMB defines the covered materials, which include non-ferrous metals, plastic and polymer-based products, glass, fiber optic cable, optical fiber, lumber, drywall, and engineered wood.

Waivers OMB Made in America Office recognises

A line that fails a standard is not automatically the end of the project. These waiver categories can apply, but each must be requested from the agency and granted. A waiver is never a pass on its own.

Public Interest Waiver

A waiver granted when applying the Buy America preference would be inconsistent with the public interest. It may be project-specific or issued as a general applicability waiver, and must be construed to maximize use of US-made goods.

Nonavailability Waiver

A waiver granted when the required iron, steel, manufactured products, or construction materials are not produced in the United States in sufficient and reasonably available quantities or of a satisfactory quality.

Unreasonable Cost Waiver

Objective test: Domestic preference would increase overall project cost by more than 25 percent

A waiver granted when including US-produced materials would increase the cost of the overall project by more than 25 percent.

De Minimis Waiver

Objective test: Cumulative cost of non-domestic components is 5% or less of total material cost

A general applicability public interest waiver that agencies may adopt for infrastructure purchases below a de minimis threshold. OMB gives the example of five percent of applicable project costs up to a maximum of $1,000,000, where applicable project costs are the material costs subject to the Buy America preference.

Small Grants Waiver

Objective test: Total Federal award does not exceed the Simplified Acquisition Threshold (currently $250,000)

A public interest waiver agencies may consider for awards at or below the Simplified Acquisition Threshold. OMB notes the SAT is currently $250,000, and the award, inclusive of other funding sources, is not anticipated to exceed the SAT over the life of the award.

OMB Made in America Office questions

What is the manufactured-products standard under OMB Made in America Office?

A manufactured product must be manufactured in the United States, and the cost of its components that are mined, produced, or manufactured in the United States must be greater than 55 percent of the total cost of all components.

Does OMB Made in America Office apply a percentage to iron and steel?

No. Iron and steel and construction materials are all-or-nothing standards: every manufacturing process must occur in the United States, so there is no percentage to hit.

Which waivers does OMB Made in America Office recognise?

OMB Made in America Office recognises 5 waiver categories: Public Interest Waiver, Nonavailability Waiver, Unreasonable Cost Waiver, De Minimis Waiver, Small Grants Waiver. A waiver must be requested from the agency and granted; it is never a pass on its own.