AGC Project Labor Agreement Policy Update

AGC sent a series of new letters to several Federal agencies concerning the potential use of Project Labor Agreements (PLAs) on upcoming construction projects. These letters are the latest of AGC’s continuing efforts to educate government agencies about PLA issues and implications:  

• On May 19, 2011, AGC sent a letter to the Omaha District of the U.S. Army Corps of Engineers providing comment on their solicitation regarding the potential use of project labor agreements (PLAs) on large-scale construction projects (exceeding $25 million) within the Omaha/Lincoln Metro area.
• May 20, 2011, AGC sent a letter to the Hawaii District of the Corps providing comment on their solicitation regarding the potential use of PLAs for the Command and Control Facility at Fort Shafter, Hawaii. 
• On May 25, AGC sent a letter to the Mobile District of the Corps providing comment on the potential use of PLAs for a project in Redstone Arsenal, Alabama. 
• On June 14, 2011, AGC sent a letter to the Los Angeles District of the U.S. Army Corps of Engineers providing comment on their solicitation regarding the potential use of project labor agreements (PLAs) for the Santa Ana River Mainstem, Lower Santa Ana River Channel, Reach 9 - Phase 2A, Prado Dam , Riverside County, California.  
• AGC also sent comments on June 16, 2011, to the Fort Worth District for the Hospital Nutrition Care Department Addition/Alteration, Phase I, project at Joint Base in San Antonio, Texas.  AGC reiterated to the Fort Worth District USACE its arguments opposing the potential use of PLAs in the San Antonio and other areas within the Fort Worth District boundaries. 
• On June 17, 2011 AGC sent comments on the potential use of project labor agreements to the Naval Facilities Engineering Command Southeast for their project to renovate B603 at Saufley Field Naval Air Station in Pensacola, Florida.

While AGC neither supports nor opposes PLAs in general, AGC strongly opposes government mandates for PLAs on publicly funded construction projects.  AGC is committed to free and open competition in all public construction markets and believes that publicly-funded contracts should be awarded without regard to the lawful labor relations policies and practices of the government contractor.  Meanwhile Congress also moved to limit the use of government-mandated project labor agreements.  On May 24, 2011, the House Appropriations Committee approved by voice vote an amendment by Rep. Jeff Flake (R-Ariz.) to the FY2012 Military Construction/VA Appropriations bill that would prohibit the use of federal funds to require by contract the use of a PLA for projects funded during fiscal year 2012.  However, the amendment was stripped out during a floor vote on June 13 after the House voted 204-203 in favor of an amendment offered by Rep. Steven LaTourette (R-Ohio) that struck the PLA language from the bill. For more information contact Marco Giamberardino at (703) 837-5325 or giamberm@agc.org.