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S3332Senate2017-2018 SessionSame asA4386

Require American-Made Materials

Official title

“Establishes the "Made in America Rating System" or "MARS" act; repealer”

Sponsor Diane J. SavinoSD-23+2 co-sponsorsAffects Finance
Status
In Senate Committee
Finance
Impact
8/10
Significant
Passage
0%

Bill progress

Step 2 of 7

In committee · Finance

What's happening

This bill requires New York government contracts for public works to use American-made materials, prioritizing products through a new "Made in America" rating system.

Why it matters

  1. Creates a tiered "Made in America" rating system. that not only distinguishes between U.S.-made and foreign products but gives highest priority to products fully assembled in New York State with all-American materials, potentially boosting local manufacturing and supply chains.

  2. Mandates strict eligibility and oversight provisions. by debarring companies that falsely claim products as "Made in America," increasing accountability and deterring misrepresentation in public procurement.

  3. Allows exceptions only under specific conditions. such as when American-made materials do not meet state construction standards or increase project costs by over 20%—balancing economic development goals with practicality and budget constraints.

  4. Aligns with international trade obligations. by requiring application of these rules in a manner consistent with U.S. agreements on government procurement, aiming to avoid trade conflicts while promoting domestic industry.

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Who cares

  • New York manufacturers

    Products assembled entirely in New York would receive higher ratings than products assembled elsewhere in the United States, with American raw materials determining rank within those tiers.

  • Iron, steel and manufactured-product suppliers

    Bidders offering the highest-rated materials would receive preference for covered public construction projects, and intentional false claims of American origin could bar suppliers from state contracts and subcontracts.

  • Public works contractors and subcontractors

    Materials permanently incorporated into covered projects would be subject to the rating requirements, affecting their sourcing choices.

  • State agencies, public authorities and municipalities

    Their covered construction contracts would have to apply the rating system, with exceptions for materials that fail state construction standards or domestic materials that raise total project costs by more than 20 percent.

Headline styles

Require American-Made Materials

Plain English, a few words. Used as the page title.

Sponsors

Primary sponsor
Diane J. Savino

Senator · Senate District 23

History

  1. Referred to finance
  2. Referred to finance

Companion bill

The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.

A4386Assembly

Rate American-Made Products

In Assembly Committee · Governmental Operations · Sponsor Michael Cusick

Impact 8 · Significant0% to pass

Full text

7 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗

STATE OF NEW YORK

3332

2017-2018 Regular Sessions

IN SENATE

January 20, 2017

Introduced by Sen. SAVINO -- read twice and ordered printed, and when printed to be committed to the Committee on Finance

AN ACT to amend the state finance law, the public authorities law, the highway law, the general municipal law, and the public buildings law, in relation to requiring the use of American made iron, steel and manufactured products in certain government contracts and establishing a rating system to prioritize the selection of such products; and to repeal certain provisions of the public authorities law and the state finance law relating thereto

The People of the State of New York, represented in Senate and Assembly, do enact as follows:

Section 1. Title. This act shall be known as the "made in America rating system act" or the "MARS act".

§ 2. Section 146 of the state finance law is REPEALED and a new section 146 is added to read as follows:

§ 146. Made in America rating system. 1. Use of American materials. (a) Notwithstanding any other provision of law, each contract for the construction, reconstruction, alteration or improvement of a public building of public works made by a public agency shall contain a provision that the iron, steel, and manufactured products used or supplied in the performance of the contract or any subcontract thereto and permanently incorporated into the public building or public works shall be awarded to the bidder whose product or material has the highest rating on the made in America rating system scale.

(b) The provisions of paragraph (a) of this subdivision shall not apply in any case or category of cases in which it is found that:

(i) such materials and products do not meet state standards for construction in the state; or

(ii) inclusion of domestic material will increase the cost of the overall project contract by more than twenty percent.

EXPLANATION--Matter in italics (underscored) is new; matter in brackets

[ ] is old law to be omitted.

LBD00513-01-7

S. 3332 2

(c) The made in America rating system shall include the following ratings, listed in order from highest to lowest rating:

(i) Empire State AAA - one hundred percent of the product is assembled in the state and one hundred percent of the raw materials are American;

(ii) Empire State AA - one hundred percent of the product is assembled in the state and at least sixty percent of the raw materials are American;

(iii) Empire State A - one hundred percent of the product is assembled in the state;

(iv) USA 100 - one hundred percent of the product is assembled in the United States and one hundred percent of the raw materials are American;

(v) USA 60 - one hundred percent of the product is assembled in the United States and at least sixty percent of the raw materials are American;

(vi) USA Rating - one hundred percent of the product is assembled in the United States.

(d) If it has been determined by a court or federal or state agency that any person intentionally:

(i) affixed a label bearing a "Made in America" inscription, or any inscription with the same meaning, to any iron, steel or manufactured product used in projects to which this section applies, sold in or shipped to the United States that was not made in the United States; or

(ii) represented that any iron, steel or manufactured product used in projects to which this section applies that was not produced in the United States, was produced in the United States; then that person shall be ineligible to receive any contract or subcontract with this state pursuant to the debarment or suspension provisions provided under section one hundred thirty-nine-a of this article.

(e) This section shall be applied in a manner consistent with the state's obligations under any applicable international agreements pertaining to government procurement.

2. Definitions. For the purposes of this section, the following words shall have the following meanings unless specified otherwise:

(a) "Public agency" means a governmental entity as that term is defined in section one hundred thirty-nine-j of this article;

(b) "made in America" means: (i) in the case of an iron or steel product all manufacturing must take place in the United States, from the initial melting stage through the application of coatings, except metallurgical processes involving the refinement of steel additives; and

(ii) in the case of a manufactured product, a product will be considered manufactured in the United States if:

(A) all of its manufacturing processes take place in the United States, and

(B) more than sixty percent of the components of the manufactured good, by cost, are of domestic origin. If, under the terms of this subparagraph, a component is determined to be of domestic origin, its entire cost may be used in calculating the cost of domestic content of an end product.

(c) "United States" means the United States of America and includes all territory, continental or insular, subject to the jurisdiction of the United States.

§ 3. Section 2603-a of the public authorities law is REPEALED and a new section 2877-a is added to read as follows:

§ 2877-a. Made in America rating system. 1. Use of American materials. (a) Notwithstanding any other provision of law, each contract for the construction, reconstruction, alteration or improvement of a public

S. 3332 3

building of public works made by a public agency shall contain a provision that the iron, steel, and manufactured products used or supplied in the performance of the contract or any subcontract thereto and permanently incorporated into the public building or public works shall be awarded to the bidder whose product or material has the highest rating on the made in America rating system scale.

(b) The provisions of paragraph (a) of this subdivision shall not apply in any case or category of cases in which it is found that:

(i) such materials and products do not meet state standards for construction in the state; or

(ii) inclusion of domestic material will increase the cost of the overall project contract by more than twenty percent.

(c) The made in America rating system shall include the following ratings, listed in order from highest to lowest rating:

(i) Empire State AAA - one hundred percent of the product is assembled in the state and one hundred percent of the raw materials are American;

(ii) Empire State AA - one hundred percent of the product is assembled in the state and at least sixty percent of the raw materials are American;

(iii) Empire State A - one hundred percent of the product is assembled in the state;

(iv) USA 100 - one hundred percent of the product is assembled in the United States and one hundred percent of the raw materials are American;

(v) USA 60 - one hundred percent of the product is assembled in the United States and at least sixty percent of the raw materials are American;

(vi) USA Rating - one hundred percent of the product is assembled in the United States.

(d) If it has been determined by a court or federal or state agency that any person intentionally:

(i) affixed a label bearing a "Made in America" inscription, or any inscription with the same meaning, to any iron, steel or manufactured product used in projects to which this section applies, sold in or shipped to the United States that was not made in the United States; or

(ii) represented that any iron, steel or manufactured product used in projects to which this section applies that was not produced in the United States, was produced in the United States; then that person shall be ineligible to receive any contract or subcontract with this state pursuant to the debarment or suspension provisions provided under section one hundred thirty-nine-a of the state finance law.

(e) This section shall be applied in a manner consistent with the state's obligations under any applicable international agreements pertaining to government procurement.

2. Definitions. For the purposes of this section, the following words shall have the following meanings unless specified otherwise:

(a) "Public agency" means a governmental entity as that term is defined in section one hundred thirty-nine-j of this the state finance law;

(b) "made in America" means: (i) in the case of an iron or steel product all manufacturing must take place in the United States, from the initial melting stage through the application of coatings, except metallurgical processes involving the refinement of steel additives; and

(ii) in the case of a manufactured product, a product will be considered manufactured in the United States if:

(A) all of its manufacturing processes take place in the United States, and

S. 3332 4

(B) more than sixty percent of the components of the manufactured good, by cost, are of domestic origin. If, under the terms of this subparagraph, a component is determined to be of domestic origin, its entire cost may be used in calculating the cost of domestic content of an end product.

(c) "United States" means the United States of America and includes all territory, continental or insular, subject to the jurisdiction of the United States.

§ 4. Section 38 of the highway law is amended by adding a new subdivision 10 to read as follows:

10. Use of American materials. (a) Notwithstanding any other provision of law, each contract for the construction, reconstruction, alteration or improvement of a public building of public works made by a public agency shall contain a provision that the iron, steel, and manufactured products used or supplied in the performance of the contract or any subcontract thereto and permanently incorporated into the public building or public works shall be awarded to the bidder whose product or material has the highest rating on the made in America rating system scale.

(b) The provisions of paragraph (a) of this subdivision shall not apply in any case or category of cases in which it is found that:

(i) such materials and products do not meet state standards for construction in the state; or

(ii) inclusion of domestic material will increase the cost of the overall project contract by more than twenty percent.

(c) The made in America rating system shall include the following ratings, listed in order from highest to lowest rating:

(i) Empire State AAA - one hundred percent of the product is assembled in the state and one hundred percent of the raw materials are American;

(ii) Empire State AA - one hundred percent of the product is assembled in the state and at least sixty percent of the raw materials are American;

(iii) Empire State A - one hundred percent of the product is assembled in the state;

(iv) USA 100 - one hundred percent of the product is assembled in the United States and one hundred percent of the raw materials are American;

(v) USA 60 - one hundred percent of the product is assembled in the United States and at least sixty percent of the raw materials are American;

(vi) USA Rating - one hundred percent of the product is assembled in the United States.

(d) If it has been determined by a court or federal or state agency that any person intentionally:

(i) affixed a label bearing a "Made in America" inscription, or any inscription with the same meaning, to any iron, steel or manufactured product used in projects to which this section applies, sold in or shipped to the United States that was not made in the United States; or

(ii) represented that any iron, steel or manufactured product used in projects to which this section applies that was not produced in the United States, was produced in the United States; then that person shall be ineligible to receive any contract or subcontract with this state pursuant to the debarment or suspension provisions provided under section one hundred thirty-nine-a of the state finance law.

(e) This section shall be applied in a manner consistent with the state's obligations under any applicable international agreements pertaining to government procurement.

S. 3332 5

2. Definitions. For the purposes of this section, the following words shall have the following meanings unless specified otherwise:

(a) "Public agency" means a governmental entity as that term is defined in section one hundred thirty-nine-j of the state finance law;

(b) "made in America" means: (i) in the case of an iron or steel product all manufacturing must take place in the United States, from the initial melting stage through the application of coatings, except metallurgical processes involving the refinement of steel additives; and

(ii) in the case of a manufactured product, a product will be considered manufactured in the United States if:

(A) all of its manufacturing processes take place in the United States, and

(B) more than sixty percent of the components of the manufactured good, by cost, are of domestic origin. If, under the terms of this subparagraph, a component is determined to be of domestic origin, its entire cost may be used in calculating the cost of domestic content of an end product.

(c) "United States" means the United States of America and includes all territory, continental or insular, subject to the jurisdiction of the United States.

§ 5. Section 103 of the general municipal law is amended by adding a new subdivision 17 to read as follows:

17. Use of American materials. (a) Notwithstanding any other provision of law, each contract for the construction, reconstruction, alteration or improvement of a public building of public works made by a public agency shall contain a provision that the iron, steel, and manufactured products used or supplied in the performance of the contract or any subcontract thereto and permanently incorporated into the public building or public works shall be awarded to the bidder whose product or material has the highest rating on the made in America rating system scale.

Reflowed for reading: line numbers and page breaks removed. Cite the official text.

Sponsor's memo

Title of bill

An act to amend the state finance law, the public authorities law, the highway law, the general municipal law, and the public buildings law, in relation to requiring the use of American made iron, steel and manufactured products in certain government contracts and establishing a rating system to prioritize the selection of such products; and to repeal certain provisions of the public authorities law and the state finance law relating thereto

Purpose or general idea of bill

To establish the Made in America Rating System Act or the "MARS" Act to encourage manufacturing in New York state.

Summary of specific provisions

Section 1. Title. This act shall be known as the "made in America rating system act" or the "MARS act".

Section 2. Section 146 of the state finance law is REPEALED and a new section 146 is added.

Section 3. Section 2603-a of the public authorities law is REPEALED and a 16 new section 2877-a is added.

Section 4. Section 38 of the highway law is amended by adding a new subdivision 10.

Section 5. Section 103 of the general municipal law is amended by adding a 14 new subdivision 17.

Section 6. Section 8 of the public buildings law is amended by adding a new 27 subdivision 8.

Section 7. Severability clause. Section 8. Effective Date.

Justification

Since 2000, more than 50,000 factories have closed their doors. The country lost 3.5 million manufacturing jobs, half a million of which were in high-tech industries such as telecommunications and electronics. The loss of manufacturing has been particularly brutal for New York State. Between 1970 and 2011, the Empire State has seen a more than 75% decline in manufacturing jobs - from 1.8 million to 458,000. As we continue to see the state and nation lose manufacturing jobs and dollars to other countries, this legislation establishes the Made in America Rating System ("MARS") for all iron, steel, and manufactured products used in government contracts. Upon establishment of this rating system, the company whose product achieves the highest rating on the MARS scale will be awarded the contract, provided the product does not increase the cost of the project by more than 20% and as long as the product meets the required safety and manufacturing standards set by the state.

Prior legislative history

2016 - died in Finance; died in Assembly Governmental Operations.

Fiscal implications

To Be Determined.

Effective date

Immediately.

Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.