Buy America Re: Rolling Stock

Number C-02-09
6/10/2002

Dear Transportation Colleague:

The Buy America law has been an integral part of our industry and this country’s federal transit grant program for almost a quarter of a century. This program was enacted by Congress and implemented by the Federal Transit Administration (FTA) to ensure, among other things, that federal tax dollars are used to purchase domestically produced products.

In order to fulfill this goal while considering the difficulties faced by the rolling stock industry, Congress set up a special program of application for rolling stock: more than sixty percent of the cost of all components and subcomponents must be of domestic origin and final assembly must occur in the U.S. There are also three waivers within the provision, any of which may be requested based on the facts of a particular situation.

FTA vigorously enforces this regulation and strives to ensure that our grantees have the best vehicles to carry the riding public. The rolling stock industry has made adjustments in order to meet these requirements, and we, in turn, enforce the requirements to ensure that the industry is not disadvantaged by such adjustments.

FTA is able to balance these interests within the limits of the law, and will continue to do so. For more information on our Buy America program, please visit our website and be assured that FTA will continue to diligently enforce these requirements.

Sincerely,

Jennifer L. Dorn