Posts tagged federally funded construction projects
Bid Protests Offer a Way Around PLAs, But Will a Slow, Steady Precedent Win the Day?
June 25, 2025 // The OMB memo instructs federal agencies to maintain the labor pact requirements but also points to a Federal Acquisition Rule provision that provides an exception to the PLA requirement for large construction projects when its use would substantially reduce the number of bidders and impact the price. But it has left neither contractor groups nor NABTU happy. "To that extent this isn’t what we hoped for, it is definitely better than what was in place with the Biden administration,” Brian Turmail, vice president of public affairs and workforce at AGC told ENR. “In addition, given the recent court decisions, it is hard to see how the administration will be able to impose a mandated PLA without facing successful bid protests."
Opinion: Free Raises for Everybody. Not.
August 17, 2023 // One obvious result will be higher costs on public works and probably fewer of them since federal dollars won’t go as far. States and localities may have to borrow more and raise taxes to fund projects. Fewer semiconductor fabs and renewable projects will probably be built since private capital won’t go as far. Another result will be less private investment, especially in housing, since contractors will have to increase wages to compete for workers with federally funded projects that must pay the prevailing wage. The rule will also reduce the competitive advantage of right-to-work states by raising the wages their contractors have to pay.
Editorial: Biden’s favors to unions keep costing taxpayers
March 16, 2022 // Pitching the executive order as a cost saver is disingenuous, as collective bargaining inherently drives up costs. It’s the same faulty logic used to defend prevailing wage laws that force union-level pay and benefits on publicly funded construction projects.
Biden’s Proposed Davis-Bacon Act Reforms Are More Pork for Special Interests
March 11, 2022 // “While ABC is still reviewing the 432-page rule, it appears the DOL missed an opportunity for meaningful Davis-Bacon reform. For example, the proposed rule reverts back to 1983 regulations that do not result in actual prevailing rates, as required by statute. Reversing course by 40 years is not modernization. Instead, it is even worse public policy catering to special interests embedded in the Biden administration that benefit from the broken status quo.