As the Biden administration implements the $1.2 trillion Infrastructure Investment and Jobs Act, $270 billion in federal tax incentives for private clean energy projects through the Inflation Reduction Act, $50 billion for domestic microchip manufacturing through the CHIPS and Science Act and other legislation funding critical construction projects, ABC and an ABC-led coalition have voiced strong concerns about its record of expanding government-mandated PLA schemes on federal and federally assisted construction projects.
This administration’s push for PLAs on taxpayer-funded projects is bad public policy because it needlessly increases construction costs 12% to 20% and results in fewer infrastructure projects and jobs created by federal investment in America’s roads, bridges, schools and water and energy infrastructure.
For these reasons, ABC filed a lawsuit on March 28, 2024, against a final rule––and the related White House Office of Management and Budget Memo––implementing President Joe Biden’s Executive Order 14063, which requires federal construction contracts of $35 million or more to be subjected to controversial project labor agreements, effective Jan. 22, 2024.
Urge your federal lawmakers to fight the Biden administration’s pro-PLA schemes and ask them to co-sponsor the Fair and Open Competition Act and support a Congressional Review Act resolution opposing Biden’s final rule.
ABC-Supported Legislative Solutions
On Feb. 27, 2023, Rep. James Comer, R-Ky., and Sen. Todd Young, R-Ind., introduced H.R. 1209/S. 537, the Fair and Open Competition Act. FOCA has 118 co-sponsors in the U.S. House and 27 in the U.S. Senate, as of June 6, and time is running out to secure additional co-sponsors for this ABC-supported legislation.
FOCA protects federal and federally assisted construction contracts from government PLA mandates and preferences and will allow merit shop contractors to have a fair chance at competing to rebuild America. With almost 90% of the U.S. private construction workforce not belonging to a union, PLA mandates and preferences discourage experienced contractors and their nonunion employees from competing to win taxpayer-funded contracts to rebuild their communities.
In addition, ABC supports a Congressional Review Act resolution of disapproval (H.J. Res. 132) introduced April 29, 2024, by Rep. Clay Higgins, R-La., that would nullify the Biden administration’s PLA final rule on federal construction projects.
The ABC-priority FOCA bill and Rep. Higgins’s CRA are legislative solutions to ensure that ABC contractors can build America’s infrastructure through fair and open competition.
Ask your federal elected officials to support FOCA, Rep. Higgins’ CRA and other policies that create a level playing field for contractors bidding on taxpayer-funded contracts and encourage competition from all qualified contractors, including small and minority-owned businesses. ABC members and their skilled employees deserve a fair chance to build and rebuild America at the best possible price for taxpayers.
Tell Congress to support FOCA and Rep. Higgins’ CRA and oppose PLA mandates and preferences today!
Learn more about the Biden administration's pro-PLA policies at abc.org/bidenplafaqs.