§ 5-16-8-2 — Public agency contract provisions; rules for determining reasonable pricing

(a) Each public agency shall require that every
contract for the construction, reconstruction, alteration, repair,
improvement or maintenance of public works contain a provision that,
if any steel or foundry products are to be used or supplied in the
performance of the contract or subcontract, only steel or foundry
products made in the United States shall be used or supplied in the
performance of the contract or any of the subcontracts unless the head
of the public agency determines, in writing, that the cost of steel or
foundry products is considered to be unreasonable.
(b) The head of each public agency shall issue rules which provide
that, for purposes of subsection (a), the bid or offered price of any steel
or foundry products of domestic origin is not considered unreasonable
if the price does not exceed the sum of:
(1) the bid or offered price of like steel or foundry products of
foreign origin (including any applicable duty); plus
(2) a differential of fifteen percent (15%) of the bid or offered
price of the steel or foundry products of foreign origin.
However, the fifteen percent (15%) differential provided by
subdivision (2) may be increased to twenty-five percent (25%), if the
head of the public agency determines that use of steel or foundry
products of domestic origin would benefit the local or state economy
through improved job security and employment opportunity. Whenever
the head of a public agency determines that the differential should be
increased above fifteen percent (15%) for a particular project, the head
of the agency shall file a report with the governor and the legislative
services agency detailing the reasons for such determination and the
probable impact on the economy of the use of domestic steel or foundry
castings in the project. A report filed under this subsection with the
legislative services agency must be in an electronic format under IC 5-14-6.
As added by Acts 1978, P.L.27, SEC.1. Amended by Acts 1981,
P.L.59, SEC.1; P.L.28-2004, SEC.59; P.L.6-2007, SEC.2.