The Associated General Contractors of America filed suit today in federal court to block the Biden Administration’s unlawful effort to expand the reach of a decades-old law that governs wage rates on federally funded construction projects. Association officials noted that the administration lacks the legal authority to expand the law to cover manufacturing facilities miles away from projects, or to retroactively impose the measure on already-executed contracts, among other concerns.
“As an industry that largely pays above existing Davis-Bacon rates, our concerns are with the administration’s unconstitutional exercise of legislative power and not with the wage rate themselves,” said Stephen E. Sandherr, the chief executive officer of the Associated General Contractors of America. “But we are challenging the fact president’s unlawful efforts to expand a construction wage law to cover a wide range of manufacturing and shipping operations.”
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