Compliance: BABA, IRA & Domestic Content

PES Supply (Portlandia Electric Supply) supports federal, state, municipal, and commercial projects that must satisfy domestic-preference and domestic-content requirements. This page summarizes the two frameworks our procurement team is asked about most: Build America, Buy America (BABA) and the Inflation Reduction Act (IRA) domestic content bonus.

Build America, Buy America Act (BABA)

The Build America, Buy America Act, enacted as part of the Bipartisan Infrastructure Law, requires that iron, steel, manufactured products, and construction materials used in federally funded infrastructure projects be produced in the United States. Key points for buyers:

  • Applies to: all federal financial assistance programs for infrastructure — including energy, EV charging, water, transportation, and broadband projects — whether or not the agency previously had a Buy America program.
  • Manufactured products: must be manufactured in the U.S., and the cost of domestic components must exceed 55% of total component cost (unless a waiver applies).
  • Waivers: agencies may grant public-interest, nonavailability, or unreasonable-cost waivers. Waiver status varies by agency and project — confirm with your awarding agency before specifying equipment.

IRA Domestic Content Bonus Credit

The Inflation Reduction Act adds a bonus (up to 10 percentage points) to the Investment Tax Credit (ITC) and Production Tax Credit (PTC) for projects that meet domestic content requirements:

  • Steel/iron: 100% U.S.-manufactured for structural steel and iron.
  • Manufactured products: a graduated domestic-content percentage (40% for most projects, 20% for offshore wind), rising in later years.
  • Certification: taxpayers certify compliance to the IRS; documentation from manufacturers is essential. Request domestic-content documentation from us at time of quote.

How PES Supply Helps

  • BABA-compliant and U.S.-manufactured product identification across solar, racking, electrical, and EV charging lines.
  • Manufacturer certificates of origin and domestic-content letters collected with your RFQ.
  • Project-based quoting for federal, tribal, municipal, and utility procurement.

Disclaimer: This page is general information, not legal, tax, or compliance advice. BABA and IRA applicability, waiver status, and domestic-content calculations are project-specific and determined by the awarding agency and the IRS. Consult your compliance counsel and the awarding agency before relying on any product designation.

Questions on a compliance-driven project? Call (888) 876-0007 or request a project quote and note “BABA/IRA documentation required” in your request.