Short Title: An Act providing
for open contracting by the Commonwealth and its political subdivisions and
their agencies and authorities.
Prime Sponsor: Representative BLOOM
Last Action: Referred to LABOR AND INDUSTRY, March 13, 2014
[House]
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Fiscal Note
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3149*
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MEMORANDUM
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Posted:
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September 23, 2013 04:23 PM
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From:
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To:
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All House members
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Subject:
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Legislation to Prohibit Discriminatory Project Labor
Agreements
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One of the ongoing duties of
government is to improve efficiency in public construction projects, to
preserve taxpayer resources. This can better be accomplished if we
encourage open competition among potential contractors. In accordance
with this goal, I will be introducing legislation known as the Open
Contracting Act, barring the use of Project Labor Agreements on
taxpayer-funded projects.
Project Labor Agreements (PLAs) include labor terms and conditions for construction projects, often incorporating terms from collective bargaining agreements of unions to be involved in the project. By limiting bidders and abiding by inefficient rules, PLAs drive up costs on projects. I believe they also discriminate against merit shop contractors and other businesses. Over 80 percent of our construction industry workers belong to nonunion shops. Since PLAs exclude local nonunion workers, PLAs discourage local hiring and job creation. In construction markets where the demand for union labor is greater than the local supply, union workers from outside the local area are given preference over qualified local nonunion workers on PLA projects. This legislation establishes a freestanding act known as the “Open Contracting Act” and prohibits the use of PLAs on public construction projects. In addition, under the act, it is an unlawful practice for a public body to consider the union/nonunion status of an employer’s workforce in its selection criterion for awarding a public project. I hope you will consider joining me in support of this legislation, which was introduce in the previous two legislative sessions by Rep. John Bear as HB 2010 and HB 999 respectively. |
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