ABC Applauds U.S. Army Corps of Engineers for Removing Construction Contract Provision

Associated Builders and Contractors (ABC) is giving a big round of applause to the United States Army Corps of Engineers (USACE). Yesterday, the ABC showed its support of the USACE for removing a proposed, mandatory project labor agreement (PLA) for the construction of a $100 million to $250 million technical applications center at Patrick Air Force Base in Brevard County, Fla.

A project labor agreement is a special interest scheme that discourages competition from nonunion contractors and their nonunion employees by requiring a construction project to be awarded only to contractors and subcontractors that agree to recognize unions as the representatives of their employees on that job; use the union hall to obtain workers; obey the union’s restrictive apprenticeship and work rules; and contribute to union pension plans and other funds in which their nonunion employees will never benefit unless they join a union.

“Less than 2 percent of the construction workforce in Florida is affiliated with a labor organization, yet the federal government was willing to increase costs for all taxpayers and discriminate against 98 percent of the industry just to reward special interests,” said ABC president and CEO Kirk Pickerel. “We hope that other federal agencies will heed this example and recognize that project labor agreements ultimately harm taxpayers by reducing competition from the qualified contractors and their skilled employees that have successfully built similar federal projects in Florida and across the United States.”

Hundreds of ABC member firms in Florida and around the country contacted the USACE to voice their opposition to the proposed PLA on the Patrick Air Force Base project. The USACE deleted the clause that mandated the PLA and substituted new language that makes a PLA submission optional, but specifically states PLAs will not be an evaluation factor.

“ABC will continue to fight any attempt to impose PLAs on federal construction projects, as these special interest schemes violate competitive bidding laws, reduce competition, increase construction costs and needlessly inject political favoritism into the federal procurement process,” said Pickerel.