The Post-Delivery Review Requirements

In addition to the pre-award review requirements, recipients must comply with the post-delivery review requirements during and after bus manufacturing. This section explains procedures that will help the recipient conduct the post-delivery review in accordance with the Pre-Award and Post-Delivery Rule. It cites relevant portions of the Rule and describes the review process. Sample post-delivery certifications that the recipient may use as models to demonstrate that the review has been conducted as required by the Rule are presented in Appendix A.

The Post-Delivery Buy America Certification Requirement

This subsection discusses procedures that recipients may follow to demonstrate compliance with the post-delivery Buy America certification requirement.

The process for complying with the post-delivery Buy America certification requirement is similar to the pre-award requirement, except that the recipient is now certifying the actual buses rather than the proposed buses. As with the pre-award review, the buses received must fall into one of two categories under this requirement: (1) buses meeting the Buy America domestic content and assembly requirements and (2) buses for which a Buy America waiver is available. The procedures for each category are described below.

If the Buy America information has not changed since the pre-award review and the recipient is satisfied that this is the case, the recipient may use the pre-award review documentation for the post-delivery review. However, if there is some doubt, another review should be conducted.

Buy America-Compliant Buses

• A listing of bus components and subcomponents used to calculate the percent domestic content (see Appendix B for a listing of typical bus components)

  and

• The actual final assembly location

  and

• The activities that took place during final assembly

  and

• The actual total cost of final assembly.

Each component and subcomponent on the list must be identified by manufacturer, country of origin, and cost (in either a dollar or percentage format). Final assembly costs are not to be included when calculating the percent domestic content of the bus. Likewise, component manufacturing costs are not to be used when calculating the percent domestic content of a component.

The manufacturer’s list must identify domestic subcomponents for major components used in the content calculation, such as engines, transmissions, and wheelchair lifts.

Section Four, "Examples of Complying With the Pre-Award and Post-Delivery Review Requirements," presents samples of domestic content calculations. Section Five, "Frequently Asked Questions About the Pre-Award and Post-Delivery Review," answers questions concerning the domestic content of components and subcomponents and the cost to be used in the domestic content calculations of the bus.

To be assured that the buses are in compliance with the requirements, the analyst must verify that the buses contain a minimum of 60 percent domestic products, by cost. Therefore, the analyst must:

• Review the component and subcomponent listings to verify 60 percent domestic product content

  and

• Review the total final assembly cost.

The analyst should subtract the final assembly cost from the price of the buses to approximate the total component cost and thus the percentage base that the manufacturer used to calculate the domestic cost contribution for each item listed in the manufacturer’s information. The manufacturer is not required to give the analyst or the recipient a copy of the cost information to retain in the recipient's files.

To verify that the final assembly location was within the United States, the analyst must:

• Check that the manufacturer’s final assembly location is located within the United States

  and

• Review the list of final assembly activities, which should include activities such as welding, subassembly activities, component installation, and painting, to ensure that the activities at the final assembly location qualify as final assembly.

After the analyst has completed the steps described above, the recipient must:

• Complete a post-delivery Buy America compliance certification (see sample in Appendix A, Exhibit A-6)

  and

• Keep the Buy America certification on file for future FTA reviews.

If the manufacturer agrees, the recipient should, but is not required to, keep a copy of the manufacturer’s Buy America information with the Buy America certification in the file.

Buy America-Exempt Buses

• Obtain a Buy America waiver letter from the FTA for the buses

  and

• Complete a post-delivery Buy America exemption certification (see sample in Appendix A, Exhibit A-7)

  and

• Keep the Buy America certification on file for future FTA reviews.

The recipient should keep a copy of the FTA waiver letter with the Buy America certification in the files. Appendix C summarizes details of current Buy America waivers.

The Post-Delivery Purchaser's Requirements Certification Requirement

This subsection discusses procedures that recipients may follow to demonstrate compliance with the post-delivery purchaser’s requirements certification requirement.

The requirements for and process of complying with the post-delivery purchaser's requirement certification depend on the number of buses purchased. The recipient has more demanding responsibilities when procuring more than ten buses or modified vans than when procuring ten or fewer buses or modified vans, or any number of unmodified vans.

The purchaser’s requirements certification is meant to help safeguard the recipient by ensuring that the buses are built to contract specifications.

More Than Ten Buses or Modified Vans

• Send a resident inspector to the manufacturer’s final assembly facility

  and

• Visually inspect and road test the buses and/or vans.

The resident inspector must complete a manufacturing report, which should include any information that supports or refutes claims made by the manufacturer concerning its capabilities or the bus specifications. This information will help support the recipient in any disputes that might arise with the manufacturer. For buses manufactured in multiple stages (such as body-on-chassis buses), the resident inspector is required to visit the final-stage manufacturer’s final assembly location only.

The resident inspector’s report must include, at a minimum:

• Accurate records of all bus construction activities (such as component manufacturing processes, final assembly activities, and quality control data collected)

  and

• A description of how the construction and operation of the bus(es) fulfills the contract specifications (the report should reference the above cited manufacturing processes, final assembly activities, and quality control data).

After the resident inspector has completed the report, the recipient, or its analyst, must review the report and conduct the visual inspections and road tests. To assist the recipient and analyst, sample visual inspection and road test sheets are presented in Appendix D.

Once the steps described above have been completed, the recipient must:

• Complete a post-delivery purchaser’s requirements certification (see sample in Appendix A, Exhibit A-8)

  and

• File the purchaser’s requirements certification for future FTA reviews.

The resident inspector’s report, visual inspection sheets, and road test sheets should be included in the file with the purchaser’s requirements certification.

Ten or Fewer Buses or Modified Vans,
or any Number of Unmodified Vans

• Visually inspect and road test the buses before delivery

The visual inspections and road tests are required to verify that the buses meet the contract specifications. Once they have been concluded, the recipient must:

• Complete a post-delivery purchaser’s requirements certification (see sample in Appendix A, Exhibit A-9)

  and

• File the purchaser’s requirements certification for future FTA reviews.

The data sheets for the visual inspection and the road tests should be kept in the file with the purchaser’s requirements certification.

The Post-Delivery Federal Motor Vehicle Safety Standards (FMVSS) Certification Requirement

This subsection discusses procedures that recipients may follow to demonstrate compliance with the post-delivery FMVSS certification requirement.

The process for complying with the post-delivery FMVSS certification requirement is similar to the process completed during the pre-award review for this requirement. The difference is that the recipient is now certifying the actual buses rather than the proposed buses.

As with the pre-award review, most buses must comply with the FMVSS regulations, although the standards may not apply to every bus procurement.

FMVSS-Compliant Buses

• Check that the manufacturer’s FMVSS sticker is affixed to each bus (see Section Four, Exhibits 4-5 through 4-9, for samples of FMVSS stickers)

  and

• Complete an FMVSS certification (see sample in Appendix A, Exhibit A-10)

  and

• File the FMVSS certification for future FTA reviews.

FMVSS-Exempt Buses

• Request and receive a manufacturer’s certified statement indicating that the buses are not subject to FMVSS

  and

• Complete a post-delivery FMVSS exemption certification (see sample in Appendix A, Exhibit A-11)

  and

• File the FMVSS certification for future FTA reviews.

The recipient should keep the manufacturer’s post-delivery statement with the FMVSS certification in the file.

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[1] Section 663.35(b), "Pre-Award and Post-Delivery Audits of Rolling Stock Purchases," 49 CFR, Part 663.

[2] Section 663.35(a), "Pre-Award and Post-Delivery Audits of Rolling Stock Purchases," 49 CFR, Part 663.

[3] Section 663.37(a)&(b), "Pre-Award and Post-Delivery Audits of Rolling Stock Purchases," 49 CFR, Part 663.

[4] Section 663.37(c), "Pre-Award and Post-Delivery Audits of Rolling Stock Purchases," 49 CFR, Part 663.

[5] Section 663.41, "Pre-Award and Post-Delivery Audits of Rolling Stock Purchases," 49 CFR, Part 663.

[6] Section 663.43, "Pre-Award and Post-Delivery Audits of Rolling Stock Purchases," 49 CFR, Part 663.