On April 7, AGC of America CEO Stephen Sandherr, Contractors Association of West Virginia Executive Director Mike Clowser and members of AGC Chapter-CAWV met in Charleston, West Virginia with Senator Joe Manchin on the PRO Act—the greatest threat to open shop and union construction firms—and President Biden’s Infrastructure Plan, on which you can find a comprehensive AGC analysis here. Sen. Manchin is one of five Democrats who has not pledged support for the PRO Act. He is also a pivotal player in the Biden’s administration’s plans for enacting any infrastructure legislation through the partisan reconciliation process that would only require 51—instead of 60—votes to pass in the Senate. AGC and its members in West Virginia and around the country will continue to oppose efforts to enact the PRO Act and to support significant investments in our nation’s transportation, building and utility infrastructure.

We are proud to report that we have had a strong year in 2020 as the contents of our Annual Report - The Power of Engagement - make clear. The digital report catalogues the many accomplishments of AGC of America. In our catalogue of some of the association’s most significant accomplishments, you will see how we work to support the entire construction industry as The Construction Association.

The infrastructure investment included in the Biden Infrastructure Plan would be funded through a variety of broad tax increases, primarily aimed at multinational corporations, but that would also impact domestic C-corporations, including some construction firms. Increased taxes on pass-through businesses, individual tax rates, estate taxes, capital gains taxes, and payroll taxes, are expected in the next “human infrastructure” package to be released in the near future. The primary funding mechanism would be to increase the corporate tax rate from the current 21% rate to 28%.

President Biden’s $2 trillion infrastructure plan includes new workforce investments, labor preferences and the PRO Act. The overall labor intent of the plan is to prioritize the construction investments are made with union labor. And, the Administration hopes to do just that with including the PRO Act in its plan. The PRO Act continues to be a top priority of the AFL-CIO to overturn decades of federal labor policy to arm unions with practically every legal and tactical advantage to gain the most favorable terms possible. While the PRO Act passed the U.S. House earlier this year, it has stalled in the Senate as Democratic leaders debate whether to change the filibuster rules to make its passage possible.

On March 31, President Joe Biden released the American Jobs Plan, a $2 trillion, wide-ranging infrastructure proposal that seeks to invest in all modes of transportation, water, electric, broadband, public buildings, manufacturing, and much more. On the transportation front, Biden is proposing $621 billion in “additional” investment, including:

President Biden is expected to put forth his proposal for a multi-trillion investment in infrastructure on March 31. The proposal is expected to include significant investments in a broad range of construction projects including roads, bridges, public transit, airports, drinking water and wastewater, schools, renewable energy, broadband and more. In addition to physical infrastructure, proposal is anticipated to include significant investments in “human infrastructure,” including but not limited to free community colleges, universal pre-kindergarten and paid family leave. AGC welcomes sorely-needed public and private construction investment that can generate long-term benefits for our economy, communities and national security. However, AGC remains concerned about the possibility of unpredictable and impracticable federal requirements being attached to those investments that, in turn, could significantly diminish its buying power and create barriers to full and open competition.

Transportation Secretary Buttigieg Testifies Lays Out Bold Vision for Infrastructure Investment

On March 16, bipartisan members of the House Transportation and Infrastructure Committee introduced the AGC- supported Water Quality Protection and Jobs Creation Act of 2021 (HR 1915). The bill would substantially increase federal funding assistance available to states and localities through the Clean Water State Revolving Fund (CWSRF).

PRO ACT—The Greatest Threat to Union & Open Shop Construction

On March 16, AGC met with the Federal Highway Administration (FHWA) Acting Administrator Stephanie Pollack. Prior to joining FHWA, Pollack served as the Secretary and Chief Executive Officer of the Massachusetts Department of Transportation. This introductory meeting provided AGC an opportunity to discuss mutual priorities between the association and agency, including addressing challenges facing the surface transportation system, construction workforce and diversity and inclusion in the industry. AGC looks forward to further meetings and continuing the conversation on how to rebuild our nation’s infrastructure with other leaders of the Department of Transportation.