North Carolina 2025-2026 Regular Session

North Carolina Senate Bill S296 Compare Versions

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11 GENERAL ASSEMBLY OF NORTH CAROLINA
22 SESSION 2025
3-S 1
4-SENATE BILL 296
3+S D
4+SENATE BILL DRS45162-LM-94
5+
56
67
78 Short Title: Buy American Steel. (Public)
89 Sponsors: Senators Craven, Overcash, and Johnson (Primary Sponsors).
9-Referred to: Rules and Operations of the Senate
10-March 18, 2025
11-*S296 -v-1*
10+Referred to:
11+
12+*DRS45162 -LM-94*
1213 A BILL TO BE ENTITLED 1
1314 AN ACT PROVIDING THAT THE STATE AND LOCAL GOVERNMENTS SHALL USE 2
1415 AMERICAN IRON AND STEEL IN PUBLIC WORKS PROJECTS. 3
1516 The General Assembly of North Carolina enacts: 4
1617 SECTION 1. Article 8 of Chapter 143 of the General Statutes is amended by adding 5
1718 a new section to read: 6
1819 "§ 143-128.5. Required use of American-produced iron and steel products. 7
1920 (a) Definitions. – The following definitions apply in this section: 8
2021 (1) Governmental entity. – As defined in G.S. 143-128.1B. 9
2122 (2) Iron or steel product. – Any product made primarily of iron or steel, including, 10
2223 but not limited to, lined or unlined pipes and fittings; bars and rods; wire, wire 11
2324 ropes, and link chains; forgings; grating and drainage products; access covers, 12
2425 hatches, manhole covers, and other castings; hydrants; electric transmission 13
2526 and distribution poles; tanks; flanges; pipe clamps and restraints; valves; 14
2627 structural steel and other steel mill products; materials made primarily of iron 15
2728 and steel within precast concrete; and other construction materials made 16
2829 primarily of iron or steel. 17
2930 (3) Manufacturing process. – The application of a process to alter the form or 18
3031 function of materials or elements of a product in a manner that adds value and 19
3132 transforms the materials or elements into a new finished product functionally 20
3233 different from a finished product produced merely from assembling materials 21
3334 or elements into a product without applying such a process. 22
3435 (4) Produced in the United States. – With respect to iron and steel, all 23
3536 manufacturing processes, from initial melting through application of coatings, 24
3637 occurred in the United States, other than metallurgical processes to refine steel 25
3738 additives. 26
3839 (5) Public works project. – An activity paid for with any State-appropriated funds 27
3940 or State funds administered by a governmental entity which consists of the 28
4041 construction, maintenance, repair, renovation, remodeling, or improvement of 29
4142 a building, road, street, sewer, storm drain, water system, site development, 30
4243 irrigation system, reclamation project, gas or electrical distribution system, 31
4344 gas or electrical substation, or other facility, project, or portion thereof owned 32
4445 in whole or in part by any governmental entity. 33
4546 (b) Notwithstanding any other provision of law, a governmental entity awarding a 34
4647 contract for a public works project or for the purchase of materials for a public works project 35
47-shall include in the contract a provision requiring that any iron or steel product permanently 36 General Assembly Of North Carolina Session 2025
48-Page 2 Senate Bill 296-First Edition
48+shall include in the contract a provision requiring that any iron or steel product permanently 36
49+FILED SENATE
50+Mar 17, 2025
51+S.B. 296
52+PRINCIPAL CLERK General Assembly Of North Carolina Session 2025
53+Page 2 DRS45162-LM-94
4954 incorporated in the project shall be produced in the United States. This subsection does not apply 1
5055 to any of the following: 2
5156 (1) A public works project for which the governmental entity administering the 3
5257 funds for the project or the purchase of materials for the project finds that any 4
5358 of the following apply: 5
5459 a. Iron or steel products produced in the United States are not produced 6
5560 in sufficient quantities, reasonably available, or of satisfactory quality. 7
5661 b. The use of iron or steel products produced in the United States will 8
5762 increase the total cost of the project by more than twenty percent 9
5863 (20%). 10
5964 c. Complying with this subsection is inconsistent with the public interest. 11
6065 (2) A public works project that makes minimal use of foreign iron or steel 12
6166 materials when both of the following apply: 13
6267 a. The foreign iron or steel materials are incidental or ancillary to the 14
6368 primary product and are not separately identified in the project 15
6469 specifications. 16
6570 b. The cost of the foreign iron or steel materials does not exceed 17
6671 one-tenth of one percent (0.1%) of the total contract cost or two 18
6772 thousand five hundred dollars ($2,500), whichever is greater. For 19
6873 purposes of this sub-subdivision, the cost of the foreign iron or steel 20
6974 materials is that shown to be the value of those materials as they are 21
7075 delivered to the project. 22
7176 (3) Electrical components, equipment, systems, and appurtenances, including 23
7277 supports, covers, shielding, and other appurtenances related to an electrical 24
7378 system, necessary for operation or concealment, except transmission and 25
7479 distribution poles. 26
7580 (c) This section shall be applied in a manner consistent with, and may not be construed 27
7681 to impair, the State's obligations under any international agreement. 28
7782 (d) This section does not apply to contracts awarded by the Department of Transportation 29
7883 subject to the Buy America requirements of 23 C.F.R. § 635.410." 30
7984 SECTION 2. This act becomes effective July 1, 2026, and applies to contracts 31
8085 awarded on or after that date. 32