HUD Waives Build America, Buy America Act Requirements Until February 21, 2023 in Most Instances

On December 14, 2022, HUD finalized three waivers for implementing the Build America, Buy America Act (BABA), moving the compliance date to February 21, 2023 for most  programs except for those using Community Development Block Grant (CDBG) funds to purchase iron or steel.

Public Interest Phased Implementation Waiver — This waiver will delay implementation of BABA for funds allocated before February 21, 2023 except for CDBG money used to purchase iron or steel with funding allocated after November 13, 2022.

Public Interest De Minimis Waiver — The de minimis waiver would exclude small projects, projects completed with small sums of money, or small portions of large projects from complying with the BAP. HUD finalized $250,000 as the de minimis threshold for applying the BAP or five percent of a covered project up to $1 million. This waiver applies for up to five years from November 23, 2022.

Public Interest Exigent Circumstances Waiver — The exigent circumstances waiver would exclude projects that protect resident health and safety from compliance with the BAP. This waiver applies for up to five years from November 23, 2022.

Find finalized versions of each waiver here and NAHRO’s full comment letter for each of these three waivers here.