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Examples provided in the IIJA and 2 CFR 184(c) include, at a minimum, the structures, facilities, and equipment for:
- roads, highways, and bridges;
- public transportation;
- dams, ports, harbors, and other maritime facilities;
- intercity passenger and freight railroads;
- freight and intermodal facilities;
- airports;
- water systems, including drinking water and wastewater systems;
- electrical transmission facilities and systems;
- utilities; broadband infrastructure; and buildings and real property; and
- energy generation, transportation, and distribution including electric vehicle (EV) charging.
This list is not exhaustive. Under 2 CFR 184.3(d), Federal agencies are directed to interpret “infrastructure” broadly, considering whether the project will serve a public function, whether it is publicly owned and operated, or privately operated on behalf of the public, and whether it functions as a place of public accommodation. The guidance FASO has received further directs that this interpretation should be based on:
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- Iron and Steel Products. All manufacturing processes, from melting through coating application, must occur in the United States. This applies to items consisting wholly or predominantly (i.e., more than 50% of component cost) of iron and steel.
- Manufactured Products. A manufactured product is compliant if:
- It was manufactured in the United States, and
- More than 55 percent of the total cost of all components of the manufactured product are mined, produced, or manufactured in the United States (unless a different domestic content standard applies under law or regulation).
3. Construction Materials. All manufacturing processes must occur in the United States. Construction materials include:
- Non-ferrous metals
- Plastics and polymer-based products
- Glass and optic glass
- Fiber optic cable and optical fiber
- Lumber
- Engineered wood
- Drywall
Note: Aggregate materials (stone, sand, gravel, cement, additives) are explicitly exempt under IIJA §70917(c).
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- Permanently or functionally attached to the public infrastructure, or
- Consumed in or incorporated into public infrastructure, or
- Required for the project to achieve its intended public function.
BABA does not apply to:
- Tools, equipment, and supplies removed after construction (e.g. temporary scaffolding),
- Most furnishings (e.g. movable chairs or desks), or
- Mobile equipment used within or at the site (e.g. Trucks or boats).
Are there exceptions to BABA? Some (or all) costs of an otherwise covered infrastructure project may be exempt from BABA requirements if it falls under one of the existing general applicability waivers, including:
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