Advance purchase commitment program

(a) Purpose The purposes of this section are— (1) to allow States to purchase or contractually guarantee the direct purchase of conforming low-emissions cement, concrete, asphalt binder, or asphalt mixtures; and (2) to encourage continuous innovation and long-term emissions reductions in the production of concrete, cement, asphalt binder, and asphalt mixtures. (b) Eligible projects Section 133 of title 23, United States Code, is amended— (1) in subsection (b), by adding at the end the following: (25) A project that includes the use of innovative, domestically produced cement, concrete, asphalt mixture, or asphalt binder manufactured using a process described in subsection (l)(1). (26) Subject to subsection (l)(2), a project that is carried out through an advance multiyear contract with a producer for a specified quantity and specified price of innovative, domestically produced cement, concrete, asphalt mixture, or asphalt binder manufactured using a process described in subsection (l)(1).; and (2) by adding at the end the following: (l) Requirements for certain projects (1) Manufacturing process described The process referred to in paragraphs (25) and (26) of subsection (b) is a manufacturing process that— (A) produces materials with— (i) superior durability to conventional materials; and (ii) superior performance with respect to— (I) compressive strength; (II) tensile strength; or (III) workability; or (B) produces materials that meet the engineering specifications of the State and achieves superior performance with respect to— (i) environmental performance; or (ii) energy efficiency. (2) Advance multiyear contracts In the case of an advance multiyear contract described in subsection (b)(26), the contract— (A) shall not include in the cancellation provisions consideration of recurring manufacturing costs of the producer associated with the production of unfunded units to be delivered under the contract; (B) shall provide that payments to the producer under the contract are not made in advance of incurred costs on funded units; (C) shall not include a price adjustment based on a failure to award a follow-on contract; (D) shall require that the producer submit to the applicable State a statement that describes the quantity and cost of the cement, concrete, asphalt mixture, and asphalt binder; (E) shall require that the producer shall demonstrate to the applicable State material progress toward commercial production and operational capacity of cement, concrete, asphalt mixture, or asphalt binder production with respect to logistics, planned material storage, handling capacities, and delivery mechanisms, and includes termination options in the event of failure to demonstrate such progress; and (F) shall fulfill the preference criteria set by the applicable State, to the maximum extent practicable.. (c) STP set-Aside Section 133(h)(6) of title 23, United States Code, is amended by adding at the end the following: (D) Procurement for innovative building materials (i) In general In carrying out a project under this subsection, a State may use amounts set aside under this subsection to enter into an advance multiyear contract described in subsection (l)(2) for a specified quantity and specified price of innovative, domestically produced cement, concrete, asphalt mixture, or asphalt binder. (ii) Requirement A State may not provide payments to a producer under a contract described in clause (i) unless materials have been delivered according to contract terms and conditions..