Would Prohibit Government-Mandated PLAs on Federal & Federal-Aid Projects
On February 24, Sens. Todd Young (R-Ind.) and Tim Scott (R-S.C.) and Reps. Ted Budd (D-N.C.) and John Moolenaar (R-Mich.) introduced the Íæż½ã½ã-supported (bill numbers pending) that would prohibit government-mandated project labor agreements (PLAs) on direct federal (i.e., projects for federal agencies like the Army Corps of Engineers, General Services Administration and Department of Veterans Affairs) and federal-aid (i.e., federally funded transportation projects for state departments of transportation) construction projects. The bill would not prohibit all PLAs, as a firm could still voluntarily enter into a PLA.
The bill is in response to attempts from federal agencies to encourage or mandate contractors to sign a PLA as a condition of winning a federal or federally assisted construction contract and from implementing a preference policy for bids with a PLA.
Under current procurement policies, federal agencies are encouraged to mandate PLAs on projects valued at $25 million or more. Íæż½ã½ã expects additional attempts via legislation or regulation to broaden preferences and mandates to impose more government-mandated PLAs on federal and federally assisted projects in the near future. While Íæż½ã½ã supports the Fair and Open Competition Act, it is not expected to legislatively advance given the political dynamics in Congress.
More information on government-mandated PLAs can be found on the Íæż½ã½ã website.