AN ACT TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ADDING SECTION 11-35-5350 SO AS TO REQUIRE A PUBLIC ENTITY ENTERING INTO A CONTRACT FOR A PUBLIC WORKS PROJECT OR FOR THE PURCHASE OF MATERIALS FOR A PUBLIC WORKS PROJECT MUST INCLUDE IN THE CONTRACT A REQUIREMENT THAT ANY IRON OR STEEL PRODUCT PERMANENTLY INCORPORATED IN THE PROJECT BE PRODUCED IN THE UNITED STATES, AND TO PROVIDE EXCEPTIONS.
H4709 would add a new section to South Carolina’s procurement code requiring public entities, when contracting for public works projects or buying materials for those projects, to include a requirement that any iron or steel product permanently incorporated into the project be produced in the United States. The bill defines key terms such as “iron or steel product,” “produced in the United States,” “public entity,” and “public works project,” and it applies broadly to state and local government construction, renovation, maintenance, and infrastructure projects funded with state-appropriated or state-administered funds.
The bill also creates several exceptions and waiver paths. The domestic-content requirement would not apply if U.S.-made iron or steel is unavailable in sufficient quantity or quality, would raise total project cost by more than 25%, or would be inconsistent with the public interest. It also allows limited incidental foreign content, exempts certain electrical components, excludes Department of Transportation contracts already subject to federal Buy America rules, and excludes certain housing authority bonds and state tax credits from the funding definition. The State Fiscal Accountability Authority would be directed to adopt implementing rules, including procedures for evaluating claims that U.S.-made iron or steel is unreasonably priced.
If enacted, the bill would expand South Carolina procurement law by imposing a domestic iron-and-steel preference on a wide range of public works contracts and materials purchases. It would affect state agencies, local governments, school districts, and other public entities that use state funds for covered projects, while also requiring the State Fiscal Accountability Authority to establish rules and oversight procedures. The measure would not apply to DOT contracts already governed by federal Buy America requirements, and it would preserve compliance with international agreements.
The available voting history shows strong support for the bill in the House, where it passed 101-0 on February 24, 2026. No committee transcript is available, but the unanimous vote suggests broad bipartisan agreement or at least no recorded opposition at that stage. The bill’s title and structure indicate a policy preference for domestic sourcing in public construction, with the exceptions designed to address cost, availability, and federal-law concerns.
The main points of potential contention are the economic and administrative burdens of requiring U.S.-produced iron and steel, especially where domestic materials are more expensive or unavailable. The bill addresses those concerns through a 25% cost threshold, a public-interest waiver, and narrow exceptions for incidental foreign content and certain electrical components. Another possible issue is the interaction with federal procurement rules and international agreements, which the bill explicitly tries to avoid impairing. No specific opposition is documented in the provided materials, but these waiver and exemption provisions appear aimed at balancing domestic-content goals against project cost and compliance concerns.