Albany, NY - June 21, 2017 - Governor Andrew M. Cuomo, Senate Majority Leader John Flanagan, Senate Independent Democratic Conference Leader Jeffrey Klein, and Assembly Speaker Carl Heastie today announced an agreement to implement the purchase of American-made steel and iron products by state entities. Under the "Buy American" legislation, the Department of Transportation, Thruway Authority, Bridge Authority, Metropolitan Transportation Authority, Office of General Services, SUNY Construction Fund and Dormitory Authority of the State of New York, will be required to include a contract provision requiring the use American-made structural iron and structural steel for all surface road and bridge projects.
"When we Buy American, we support the continued growth of our manufacturing industries here at home, preserve and create jobs and invest in our future," Governor Cuomo said. "This legislation will reinvest in the talent that made this state and this country what it is today and strengthen our role as a global leader in manufacturing for years to come.”
The legislation requires that the entire manufacturing process of these items occur in the United States unless it can be demonstrated that the use of such steel or iron in a particular project should be subject to an exemption. The legislation will be implemented on April 1, 2018 and will pertain to contracts that are executed after that date. This will allow for consideration of any potential funding requirements or other considerations that may be needed to implement the provisions of the bill on future state projects.
Senate Majority Leader John J. Flanagan said, “Imports of cheap iron ore and steel of potentially questionable quality are putting American companies at a competitive disadvantage. Our new "Buy American" law will ensure that New York’s most significant infrastructure projects are built with materials that are safe and high-quality, help contribute to our local and national economies, create new jobs and protect workers right here in our own backyard."
Senate Independent Democratic Conference Leader Jeffrey Klein said, "From the outset of session, I prioritized Buy American to generate business and jobs right here in New York. I'm proud that we've reached agreement on a policy that will undoubtedly spur economic prosperity for New York workers and firms that have seen business outsourced. This three-way agreement not only represents a boon to the financial health of our state, but puts faith in our own workers and products. I'm proud to support Buy American and I thank Governor Cuomo for his leadership on this issue."
Assembly Speaker Carl Heastie said, “The New York Buy American Act represents an opportunity for the state to reinvest taxpayer dollars back into our very own communities. Each year, we invest billions of dollars in projects and agencies to help serve New York families. This legislation ensures that those investments are also an investment in manufacturing jobs that strengthen our local economies and help provide long-term economic stability. Investing in American made products will offer New Yorkers, and all Americans, the best value for our tax dollars.”
The measure also establishes a work group that, among its responsibilities, would be to consider the feasibility of expanding the provisions to other products manufactured in the United States such as concrete, cement and aluminum products, explore reciprocal trade access with a foreign state that may be impacted by this provision to the detriment of the state, consider fiscal impacts, and mitigate any issues with the implementation of the legislation. This work group will consist of 14 members, with the Governor appoint seven members as well as the chair. The Temporary President of the Senate and Speaker of the Assembly will each appoint two members and each minority leader will appoint one member. The workgroup will provide an interim report of their findings by January 1, 2019 and a final report on January 1, 2020.