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The U.S. Army Corps of Engineers recently canceled its solicitation for the construction of a $500 million to $1 billion federal currency printing plant in Beltsville, Maryland, on behalf of the U.S. Treasury Department’s Bureau of Engraving and Printing.
According to its Jan. 13, 2025, notice canceling the solicitation, the USACE Baltimore District cited “budgetary constraints and a reduction in the project’s required scope.”
The project had five qualified bidders in phase one of the two-step procurement process. All but one firm dropped out after a project labor agreement was mandated following the Jan. 22, 2024, effective date of former President Joe Biden’s rule mandating PLAs on federal construction projects of $35 million or more.
The USACE was unable to receive a PLA exception on this project from its senior procurement officials despite market research and real-world evidence indicating a PLA mandate would reduce competition, increase costs and trigger needless delays.
The fate of this project is unclear.
The Washington Business Journal referenced ABC’s concerns about President Biden’s anti-competitive and costly government-mandated project labor agreement policies in its Jan. 30 reporting on the project.
“In construction, time is money,” ABC Vice President of Regulatory, Labor and State Affairs Ben Brubeck was quoted in the WBJ article. “So, this project is going to probably have to be rebid if they have the money for it, and that’s going to make the project more expensive.”
Last month, ABC celebrated U.S. Court of Federal Claims Judge Ryan T. Holte’s Jan. 19 ruling in favor of 12 bid protests filed by experienced ABC and AGC member federal contractors against three federal agencies (USACE, Naval Facilities Engineering Systems Command and General Services Administration) that mandated PLAs in solicitations for construction services as a result of a Federal Acquisition Regulatory Council rule implementing Biden’s Executive Order 14063.
The judge extended his deadline by seven days to Feb. 10 for the U.S. Justice Department and the federal agency defendants to comply with his decision.
“Damning evidence procured through market research conducted by several federal agencies was raised in the case’s Jan. 16 oral argument and corroborated plaintiffs’ complaints and ABC’s long-standing concerns,” said Brubeck. “The findings of federal agencies illustrate how Biden’s controversial policy mandating union-favoring project labor agreements stifles competition and raises costs on federal construction contracts nationwide.”
According to Judge Holte’s ruling, the Biden FAR Council rule mandating PLAs violates congressional requirements for full and open competition:
“The agencies’ 2024 implementation of the mandate—ignoring the agencies’ own market research concluding project labor agreements would be anticompetitive—relying solely on executive order presidential policy is arbitrary and capricious. Specifically, the functionality of the mandate as applied to the individual contracts in this case stifles competition and violates the statutory directive that agencies must promote “full and open competition” in federal procurements unless a statutory justification is properly invoked.”
“President Biden’s anti-competitive and costly pro-PLA policies on federal and federally assisted construction projects need to be rescinded for many compelling reasons, including the fact that it would save taxpayers $10 billion annually,” said Brubeck. “The evidence presented in this bid protest case—the cancelation of the USACE’s Bureau of Engraving and Printing project due to a lack of competitors, ABC’s congressional testimony and the affidavits of prominent ABC federal contractors filed in ABC’s March 28, 2024, suit in federal court in Jacksonville, Florida—clearly demonstrate why fair and open competition benefits all Americans and taxpayers.”
ABC advises ABC and industry federal contractors to continue to file bid protests against individual federal agency PLA mandates on a case-by-case basis. This is the best solution to defeat the Biden rule on federal contracts until a court issues an injunction against the rule or the Trump administration rescinds it via executive action.
Bid protests must be filed by experienced prime federal contractors in advance of the bid due date on an active federal agency solicitation. Please reach out to ABC if you would like to learn more.
On Feb. 3, a federal judge struck down ABC-opposed revisions to the National Environmental Policy Act regulations governing federal environmental reviews that were issued in May 2024.
In the case Iowa v. Council on Environmental Quality, U.S. District Court Judge Dan Traynor ruled that NEPA’s enacting legislation did not grant rulemaking authority to the White House’s Council on Environmental Quality and, therefore, CEQ cannot issue binding regulations directing how federal agencies conduct NEPA reviews.
The decision noted that therefore all NEPA regulations are likely unlawful, but did not extend its order beyond rescinding the 2024 regulations.
The court’s decision aligns with the Nov. 12, 2024, decision by a three-judge panel of the U.S. Court of Appeals for the District of Columbia Circuit, which similarly ruled that CEQ does not have authority to issue NEPA regulations.
These rulings provide support for President Donald Trump’s previously announced plans to completely overhaul NEPA regulations. As part of his executive order, Unleashing American Energy, President Trump rescinded the 1977 executive order granting CEQ rulemaking authority. The order further directed CEQ to propose rescinding all existing NEPA regulations and provide guidance to federal agencies on implementing NEPA in their own regulations.
The CEQ has yet to take action to implement this executive order. ABC will participate in the regulatory process to support efforts to create a coordinated, predictable and transparent process to streamline permitting while maintaining necessary environmental safeguards.
In the meantime, the ABC-supported 2020 NEPA regulations are in effect pending any further legal action by the U.S. Department of Justice or co-defendants in the case, which include environmentalist groups and a number of states.
Since President Donald Trump was sworn in as the 47th president on Jan. 20, he has issued a sweeping set of executive orders that take aim at immigration and diversity, equity and inclusion programs and policies. Below is a breakdown of EOs that are relevant to ABC members.
To stay up to date on EOs issued by President Trump, ABC general counsel Littler Mendelson has provided an Executive Order Tracker and Rescinded Order Tracker. Additionally, a full list of executive orders and other actions can be found on the White House website.
Affirmative Action by Government Contractors
On Jan. 21, President Trump signed an EO, “Ending Illegal Discrimination and Restoring Merit-Based Opportunity,” which directs all federal agencies to “terminate all discriminatory and illegal preferences, mandates, policies, programs, activities, guidance, regulations, enforcement actions, consent orders, and requirements,” to enforce “longstanding civil-rights laws,” and to “combat illegal private-sector DEI preferences, mandates, policies, programs, and activities.”
The EO lists several other EOs that the Trump administration is revoking. Notably, the Trump EO revokes Executive Order 11246, “Equal Employment Opportunity,” which has required federal contractors to have affirmative action plans since 1965. Additionally, the EO orders the Office of Federal Contract Compliance Programs to immediately cease “promoting diversity,” “holding federal contractors and subcontractors responsible for taking ‘affirmative action,’” and “allowing or encouraging federal contractors or subcontractors to engage in workforce balancing based on race, color, sex, sexual preference, religion, or national origin.” The EO claims these actions are meant to streamline the federal contracting process “to enhance speed and efficiency, reduce costs, and require federal contractors and subcontractors to comply with our civil-rights laws.”
This order states that, “for 90 days from the date of this order, Federal contractors may continue to comply with the regulatory scheme in effect on January 20, 2025.”
Additionally, the EO directs each federal agency to include in every federal contract or grant award a term requiring contractual counterparties or grant recipients to agree that it is in compliance with all applicable federal anti-discrimination laws and a term requiring the counterparty or recipient to certify that it does not operate “any programs promoting DEI that violate any applicable federal anti-discrimination laws.”
On Jan. 23, the U.S. Department of Labor’s Office of Federal Contract Compliance Programs published a bulletin on the EO, “Ending Illegal Discrimination and Restoring Merit-Based Opportunity.” The bulletin notes that, for 90 days from the date of the EO, federal contractors may continue to comply with the regulatory scheme in effect on Jan. 20, 2025.
The OFCCP bulletin also includes the following:
The OFCCP shall immediately cease:
It is important to note that requirements under Section 503 of the Rehabilitation Act, 29 U.S.C. 793, and the Vietnam Era Veterans’ Readjustment Assistance Act (VEVRAA), 38 U.S.C. 4212, both enforced by OFCCP, are statutory and remain in effect.
Additional information from the OFCCP will be forthcoming in the following weeks. Also, the public can contact the OFCCP Customer Service Helpdesk at (800) 397-6251 with any questions.
On Jan. 24, Acting Secretary of Labor Vince Micone sent Secretary’s Order 03-2025 to all DOL employees pursuant to the EO, “Ending Illegal Discrimination and Restoring Merit-Based Opportunity.” The Secretary’s order directs all DOL employees to cease and desist all investigative and enforcement activity under the revoked EO 11246 and regulations that were implemented in accordance with the EO. It also requires DOL employees “to notify all regulated parties with impacted open reviews or investigations by January 31, 2025, that the EO 11246 component of the review or investigation has been closed and the Section 503 and VEVRAA components of the review or investigation are being held in abeyance pending further guidance.”
Read additional resources on the EO provided by ABC general counsel Littler Mendelson:
DEI Programs and Policies in the Private Sector
The EO, “Ending Illegal Discrimination and Restoring Merit-Based Opportunity,” also encourages the private sector to cease DEI programs and initiatives. Specifically, the EO directs the attorney general, in consultation with other relevant agencies, to promulgate a report (within 120 days of the order) containing recommendations for enforcing federal civil rights laws and taking other appropriate measures to encourage the private sector to end illegal discrimination and preferences, including DEI.
According to the EO, the report shall contain a proposed strategic enforcement plan identifying: (i) Key sectors of concern within each agency’s jurisdiction; (ii) The most egregious and discriminatory DEI practitioners in each sector of concern; (iii) A plan of specific steps or measures to deter DEI programs or principles (whether specifically denominated “DEI” or otherwise) that constitute illegal discrimination or preferences. As a part of this plan, each agency shall identify up to nine potential civil compliance investigations of publicly traded corporations, large non-profit corporations or associations, foundations with assets of 500 million dollars or more, State and local bar and medical associations, and institutions of higher education with endowments over 1 billion dollars; (iv) Other strategies to encourage the private sector to end illegal DEI discrimination and preferences and comply with all Federal civil-rights laws; (v) Litigation that would be potentially appropriate for Federal lawsuits, intervention, or statements of interest; and (vi) Potential regulatory action and sub-regulatory guidance.
Immigration
On Jan. 20, President Trump issued a flurry of executive orders related to immigration action items.
ABC recommends every contractor take all precautions in the hiring process to verify each potential employee is eligible to work legally in the United States, including using the E-Verify system.
ABC’s goal is to work with the administration and Congress to create a market-based merit visa system that allows people who want to contribute to society and work legally in the construction industry to do so. There is no place in our country for lawbreakers here to cause harm, and ABC opposes violence, coercion and intimidation of every kind. ABC supports the portion of the administration’s immigration strategy that focuses on lawbreakers.
Following the laws of supply and demand, mass deportations could constrain the availability of labor, which could stifle the ability of the industry to build the construction projects demanded by the marketplace. In other words, the supply of labor may not meet the demand, which could drive up costs, or consumer demand would adjust. And if the worker supply is constrained, employers would most likely adjust their employee value proposition to enhance their position in the marketplace. This is an important reason why we need a market-based merit visa system.
Read additional resources on recent immigration actions provided by ABC general counsel Littler Mendelson:
ABC members are encouraged to reach out to counsel with any questions regarding the above referenced EOs.
On Jan. 27, President Donald Trump removed National Labor Relations Board Member Gwynne A. Wilcox, making history as the first president to dismiss a Board member before the end of their five-year term. In a statement, Wilcox said “I will be pursuing all legal avenues to challenge my removal, which violates long-standing Supreme Court precedent,” If upheld in court, this decision leaves the Board with only two members, Marvin Kaplan and David Prouty, after the U.S. Senate rejected former NLRB Chair Lauren McFerran’s nomination to serve another term on the Board.
Before President Trump removed Wilcox, he designated Marvin Kaplan as chair of the Board. Kaplan, whose nomination ABC supported, was confirmed as a member of the Board during the first Trump administration, has a term running through Aug. 27, 2025, while Member Prouty’s term extends to Aug. 27, 2026.
President Trump’s removal of Wilcox was followed by the removal of NLRB General Counsel Jennifer Abruzzo, who previously served as special counsel for strategic initiatives for Communications Workers of America and as and a former acting general counsel for the NLRB in 2017. President Trump’s removal of Abruzzo, mirrors President Joe Biden’s Inauguration Day removal of Trump’s first-term general counsel, Peter Robb.
Under the Biden administration, the NLRB aggressively pushed pro-union only policies that tilted the playing field against merit shop contractors and free enterprise. The Board’s actions have often favored organized labor at the expense of employers, including those in the construction industry who rely on fair and predictable labor regulations. Wilcox, a staunch union advocate, played a key role in advancing policies that threatened workplace flexibility, worker choice and employer rights.
Looking ahead, Deputy General Counsel Jessica Rutter has been named acting general counsel in the near term, as a permanent replacement subject to Senate confirmation. The future composition of the Board is less certain. Traditionally, the president’s party holds a 3-2 majority on the five-member Board. However, in New Process Steel, the U.S. Supreme Court ruled that the NLRB needs three members to have a quorum, so with a two-person board, the current NLRB lacks the quorum needed to issue decisions.
For ABC members, this shake-up at the NLRB represents an opportunity to restore fairness and predictability in labor relations. ABC will continue to advocate for a balanced approach at the NLRB and oppose regulatory overreach that may threaten employees, employers and economic growth.
Post your 2024 Occupational Safety and Health Administration 300A form by Feb. 1, 2025, and keep it posted through April 30, 2025.
Construction contractors with a NAICS code beginning with 23 that have 20 or more employees in an establishment must use the OSHA portal to electronically submit the OSHA 300A form.
Construction contractors with a NAICS code beginning with 2381 that have 100 or more employees in an establishment must use the OSHA portal to electronically submit the OSHA 300A, 300 and OSHA 301 forms.
Be sure to eliminate personally identifiable information from the data prior to submission. Find detailed instructions on the OSHA website.
For OSHA’s Injury Tracking Application, the deadline is March 2, 2025. More information can be found on OSHA’s website.
The National Institute of Building Sciences Collaboration Academy has launched its 2025 Federal Projects Collaboration Study, which seeks to provide insights for federal agencies and ABC contractors to improve the federal contracting experience. Study researchers are seeking to interview federal and nonfederal general contractors and subcontractors.
Contractors interested in participating in the study can do so through the brief 2025 Federal Projects Collaboration Survey, which is open until Feb. 4 and is estimated to take no more than 10 minutes to complete.
The Collaboration Academy will present results of its study at a workshop and series of presentations on May 21, 2025, at NIBS’ Building Innovation Conference, which will take place May 19-21, 2025, in McLean, Virginia.
In 2024, ABC worked to develop positive outcomes for federal contractor members and federal agencies procuring construction services by participating on the NIBS Collaboration Academy Board of Regents.
On Jan. 13, 2025, the California Air Resources Board officially withdrew a request to the U.S. Environmental Protection Agency for authorization of new regulations on locomotive emissions.
The withdrawn regulations would have required that all locomotives in California be zero-emission models by 2030, despite the fact that such locomotives are not currently commercially available and are not expected to be widely available by 2030.
The CARB likely withdrew the request in anticipation of a denial by the EPA following President Donald Trump’s administration taking control of the agency.
ABC opposed CARB’s ban and urged the EPA to deny the waiver, citing the enormous costs of compliance with the regulation and the potential for wide-ranging impacts on key aspects of the construction materials supply chain. ABC advocated against the ban by joining a coalition of industry stakeholders in comments to the EPA and sending a letter to Rep. Jay Obernolte, R-Calif., and the U.S. House Energy and Commerce Committee’s Environment, Manufacturing and Critical Materials Subcommittee.
On Jan. 23, the U.S. Supreme Court stayed a district court’s nationwide injunction against the Corporate Transparency Act’s Beneficial Ownership Information reporting requirements, following the U.S. Department of Justice’s request. The nationwide injunction had blocked enforcement of the CTA’s BOI reporting requirements.
However, according to the Financial Crimes Enforcement Network’s website, a separate national injunction issued earlier this month by a different federal judge still remains in place, and thus reporting companies are not currently required to file BOI with the FinCen despite the Supreme Court’s action.
Specifically, as of Jan. 24, the FinCen website states, “In light of a recent federal court order, reporting companies are not currently required to file beneficial ownership information with FinCEN and are not subject to liability if they fail to do so while the order remains in force. However, reporting companies may continue to voluntarily submit beneficial ownership information reports.”
Previously, on Dec. 26, 2024, a panel of the U.S. Court of Appeals for the 5th Circuit Court had reinstated the district court’s nationwide preliminary injunction against the CTA’s BOI reporting requirements. ABC applauded the reinstatement of the nationwide preliminary injunction, which provided small businesses with necessary relief while litigation continued.
“The back-and-forth rulings and legal challenges to the reporting requirements on top of the significant compliance challenges for small businesses places unnecessary burdens on the construction industry, particularly small contractors and subcontractors that form the backbone of this industry,” said Kristen Swearingen, ABC vice president of legislative and political affairs.
Meanwhile, Congress has an opportunity to act by passing the ABC-supported Repealing Big Brother Overreach Act, legislation that would repeal the CTA.
ABC remains committed to advocating for regulatory clarity and fairness for its members. As further guidance emerges from FinCen, ABC will work to inform members on their obligations and continue to support efforts to overturn these burdensome regulations.
ABC members are encouraged to contact counsel with any questions about the recent court actions.
On Jan. 20, ABC celebrated a decision from the U.S. Court of Federal Claims that rules in favor of ABC members that filed bid protests challenging former President Joe Biden’s controversial policy requiring anti-competitive, inflationary, union-favoring project labor agreements on federal construction projects of $35 million or more.
Judge Ryan T. Holte’s Jan. 19 ruling responds to 12 bid protests filed by experienced ABC member federal contractors against three federal agencies that mandated PLAs in solicitations for construction services as a result of a Federal Acquisition Regulatory Council rule effective Jan. 22, 2024, implementing Biden’s Executive Order 14063.
The Biden policy has been widely criticized by the construction industry, taxpayer watchdogs and lawmakers for needlessly inflating construction costs and effectively steering contracts to unionized firms and union labor at the expense of taxpayers and federal laws requiring fair and open competition.
“ABC and its federal contractor members are ecstatic that the judicial system has delivered justice for American taxpayers and the 90% of the U.S. construction industry workforce that is nonunion,” said ABC Vice President of Regulatory, Labor and State Affairs Ben Brubeck. “ABC members were harmed by former President Biden’s costly executive overreach, which violates federal laws and rewards special interests at the expense of fair and open competition.
“As a result of this decision, ABC federal contractors should continue to file bid protests against individual federal agency PLA mandates on a case-by-case basis and expect similar outcomes,” said Brubeck. “This is the best solution to defeat the Biden rule on federal contracts until a court issues an injunction against the rule or the Trump administration rescinds it via executive action.
“Damning evidence procured through market research conducted by several federal agencies was raised in the case’s Jan. 16 oral argument and corroborated plaintiffs’ complaints and ABC’s long-standing concerns,” said Brubeck. “The findings of federal agencies illustrate how Biden’s controversial policy mandating union-favoring project labor agreements stifles competition and raises costs on federal construction contracts nationwide.
“ABC has testified before Congress that, when mandated by government, PLAs increase construction costs by an estimated 12% to 20%, reduce competition from qualified contractors and their employees, steal money from the paychecks of token nonunion workers permitted on PLA projects and exacerbate the construction industry’s worker shortage,” said Brubeck. “Typical PLA mandates discourage competition from some of the best bidders by forcing contractors to sign special union collective bargaining agreements, hire workers from union halls and apprenticeship programs and accept compulsory union representation on behalf of any members of their existing workforces. This exposes those workers to union wage theft of up to 34% of their compensation unless they join a union and vest in union benefits plans.
“ABC will continue to advocate for inclusive solutions that result in cost savings, more jobs and more opportunities for all qualified small, minority- and women-owned businesses and all American workers in the construction industry,” said Brubeck. “This lawsuit did not address additional Biden policies pushing PLAs on federally assisted infrastructure projects procured by local and state governments and private developers, so the fight will go on.”
On Jan. 9, ABC and 24 other construction and business groups in the Build America Local coalition sent a letter to President Donald Trump requesting an executive order that would restore fair and open competition on federal and federally assisted construction projects that would save taxpayers an estimated $10 billion annually.
On March 28, 2024, ABC and its Florida First Coast chapter filed suit in federal court to block Biden’s PLA final rule on construction contracts procured by federal agencies, asserting it is beyond the scope of executive authority and violates the U.S. Constitution, the First Amendment and the Administrative Procedure Act, among others. The case is fully briefed and plaintiffs are awaiting a decision on the overall case and a ruling on the motion for preliminary injunction filed in April.
ABC members won 54% of the $205.56 billion in federal contracts worth $35 million or more during fiscal years 2009-2023 and built award-winning projects safely, on time and on budget, without unnecessary government-mandated PLAs. Prior to the Biden final rule, when given the option, the federal government decided to mandate PLAs just 12 times out of 3,222 federal construction contracts of $25 million or more.
Learn more at abc.org/bidenplafaqs and BuildAmericaLocal.com.
Dirk Haire with Fox Rothschild LLP and Jake Scott with Smith Currie Oles LLP represented federal contractor bid protestor plaintiffs in the U.S. Court of Federal Claims case, MVL USA Inc., et al., v. United States, Case No. 24-1057.
ABC Analysis of the Decision
Notable language in the decision supports ABC’s arguments against government-mandated project labor agreements and Biden’s pro-PLA policies.
“The agencies’ 2024 implementation of the mandate—ignoring the agencies’ own market research concluding project labor agreements would be anticompetitive—relying solely on executive order presidential policy is arbitrary and capricious. Specifically, the functionality of the mandate as applied to the individual contracts in this case stifles competition and violates the statutory directive that agencies must promote “full and open competition” in federal procurements unless a statutory justification is properly invoked.” [See page 2.]
As outlined in Judge Holte’s decision, the court examined strong evidence presented by plaintiffs from federal agencies that PLAs increase costs and reduce competition, despite the FAR Council’s presumption that PLAs are beneficial. On page 2, the judge wrote:
“Following the 2024 FAR Council implementation of the [Biden PLA] mandate, agencies reversed course and required all solicitations to contain a project labor agreement. By way of example, the 2023 initial market research for one solicitation determined ‘project labor agreements were not recommended’ because ‘there was a shortage of skilled labor in the region of the project,’ and project labor agreements would ‘not contribute to the economy or efficiency of the project’—the agency nevertheless issued the solicitation in 2024 with a project labor agreement requirement. See infra Section VI.A.” [see pages 28-33.]
“Another agency ‘increased the price’ of the contract ‘based on the [project labor agreement] requirement being included’ despite previously concluding a project labor agreement would negatively affect both competition and price. See infra Section VI.A.” Specifically, the GSA hired an outside specialist to conduct a market survey related to whether a PLA was appropriate for the project. After conducting research, the paid consultant said that removing the PLA requirement would result in more contractor interest, and […] a more competitive bid environment. The consultant’s recommendations were ignored and the project did not receive a PLA exception. [See page 32.] In fact, the GSA increased the price of the contract based on the PLA requirements being included.
“Similarly, in another solicitation, initial 2023 market research found project labor agreements ‘not suitable for the project, but the agency ultimately determined in 2024 ‘no exception’ applied and project labor agreements would be required. See infra Section I.E.” [See page 9.]
“Most illustrative, however, was an agency’s decision to ‘delete’ prior 2023 market data indicating a project labor agreement ‘would reduce competition, increase costs, and create inefficiencies for contractors and procurement officials,’ and ‘insert’ a 2024 project labor agreement requirement simply because President Biden and the FAR Council made ‘the policy judgment [that] project labor agreements are generally good.’ See infra Section VI.A.”
“Despite market research consistently showing project labor agreements would ‘reduce adequate competition at a fair and reasonable price’ for the solicitations, the agencies’ only support to justify reversal is the ‘policy determination that’s been made by the President and the FAR.’ See infra Section VI.B.” [See pages 33-37.]
Finally, the court found the U.S. Department of Justice over-redacted market research evidence that showed PLAs increase costs and reduce competition. The judge corrected this error. Had that information been redacted, the public would not have seen this evidence, which is damaging to the heart of the Biden rule. [See pages 3-4].
In short, the decision exposed the Biden PLA rule on federal contracts as a scheme to help unions and union contractors at the expense of competition, cost and timely delivery of taxpayer-funded construction projects.
Evidence before the court illustrates how the FAR rule’s alleged PLA exception process is a dead letter designed to ensure mandatory PLAs on all projects.
The decision gives the three federal agencies (USACE, NAVFAC and GSA) until Feb. 3 “to reassess their PLA decision on an individual basis” and file a “join status report explaining the agencies plan for each solicitation moving forward.”
If the judge is not satisfied with the agency response to the decision, “there remains the question of the scope of the injunctive relief Judge Holte is going to order,” according to Haire in a Jan. 21 Bloomberg article.
ABC expects the U.S. COFC to be flooded with additional PLA bid protests from injured federal contractors as a result of this ruling.
Additional bid protests will result in more project delays and cost overruns and injury to federal contractors and agency contracting officers as a whole until this is fully resolved with a nationwide legal injunction or a Trump policy change.
On Jan. 20, President Donald Trump was sworn in as the 47th president and quickly issued a sweeping set of executive orders aimed at reversing Biden administration policies related to national security, immigration and climate. The orders require enactment through the regulatory process and will not take immediate effect; some have already been subjected to lawsuits that may delay implementation.
Below is a breakdown of relevant Day 1 executive orders. A full list of executive orders and other actions can be found on the White House website.
Trade/Tariffs
President Trump issued an executive order titled America First Trade Policy, which is widely regarded as a "placeholder" while his administration explores longer-term trade strategies and works to build congressional support for proposed actions. ABC’s analysis of the order can be found here.
Regulatory Review/Reform
President Trump issued a memorandum on regulatory review directing all executive departments and agencies to pause and review regulatory actions as follows:
Rule Proposals and Issuance: No new rules may be proposed or issued until reviewed and approved by a department or agency head appointed by the president after Jan. 20. The Office of Management and Budget director may exempt emergency rules or those with statutory or judicial deadlines.
Withdrawal of Pending Rules: Any rules sent to the Office of the Federal Register but not yet published must be withdrawn for review, subject to exceptions.
Delay of Effective Dates: Agencies should consider delaying the effective dates of rules not yet in effect for 60 days to review questions of fact, law or policy. Agencies may open comment periods during this time and reevaluate petitions. If necessary, delays may be extended further.
Postponement Review: Rules posing no substantial questions after the postponement require no further action. Rules raising significant questions must involve consultation with the OMB director.
This order may be connected to the apparent withdrawal of the Occupational Safety and Health Administration’s proposed Infectious Diseases rule. ABC general counsel Littler Mendelson provided an update on this rulemaking.
Executive Order Recission
President Trump signed an executive order to rescind a number of former President Biden’s executive orders on a variety of issues including diversity, equity and inclusion, immigration and climate.
This includes the recission of two executive orders that called on the Federal Acquisition Regulatory Council to implement ABC-opposed rules that affect federal contractors, which are now likely to be repealed through the rulemaking process:
Nondisplacement of Qualified Workers Under Service Contracts Final Rule
Pay Equity and Transparency in Federal Contracting
President Trump declared a national emergency at the southern border and plans to deploy armed forces, including the National Guard, to “engage in border security.” He also pledged to deport criminal aliens and is expected to embolden Immigration and Customs Enforcement and Customs and Border Protection officers to carry out deportations. The president also moved to designate the gangs MS-13 and Tren de Aragua as foreign terrorist organizations, as well as Mexican cartels responsible for smuggling drugs across the border.
Inflation Reduction Act
In the executive order titled Unleashing American Energy, President Trump included a section titled “Revocation of and Revisions to Certain Presidential and Regulatory Actions” which revokes several executive orders and abolishes any offices established therein. This section revokes Executive Order 14082 of Sept. 12, 2022, Implementation of the Energy and Infrastructure Provisions of the Inflation Reduction Act of 2022. Of note, former President Biden’s EO 14082 includes many problematic IRA implementation priorities, including: “increasing high-quality job opportunities for American workers and improving equitable access to these jobs, including in traditional energy communities, through the timely implementation of the Act's requirements for prevailing wages and registered apprenticeships and by focusing on high labor standards and the free and fair chance to join a union.”
Permitting Reform
In the executive order titled Unleashing American Energy, President Trump included a section on “Unleashing Energy Dominance Through Efficient Permitting,” which states:
“To expedite and simplify the permitting process, within 30 days of the date of this order, the Chairman of the Council on Environmental Quality (CEQ) shall provide guidance on implementing the National Environmental Policy Act (NEPA), and propose rescinding CEQ’s NEPA regulations found at 40 CFR 1500 et seq. Following the provision of the guidance, the Chairman of CEQ shall convene a working group to coordinate the revision of agency-level implementing regulations for consistency. The guidance and any resulting implementing regulations must expedite permitting approvals and meet deadlines established in the ABC-Supported Fiscal Responsibility Act of 2023.
It also contains a section on “Prioritizing Accuracy in Environmental Analyses:”
“In all Federal permitting adjudications or regulatory processes, all agencies shall adhere to only the relevant legislated requirements for environmental considerations and any considerations beyond these requirements are eliminated. In fulfilling all such requirements, agencies shall strictly use the most robust methodologies of assessment at their disposal and shall not use methodologies that are arbitrary or ideologically motivated.”
Electric Vehicle Mandates/EV Charging Stations
In the executive order titled Unleashing American Energy, President Trump included a section on “Terminating the Green New Deal,” which states that all agencies shall immediately pause the disbursement of funds appropriated through the Inflation Reduction Act or the Infrastructure Investment and Jobs Act including but not limited to funds for electric vehicle charging stations made available through the National Electric Vehicle Infrastructure Formula Program and the Charging and Fueling Infrastructure Discretionary Grant Program, and shall review their processes, policies, and programs for issuing grants, loans, contracts or any other financial disbursements of such appropriated funds for consistency with the law and the policy outlined in section two of this order.
This order also includes a section on “Eliminating the Electric Vehicle Mandate,” which terminates subsidies for the vehicles and terminating state emissions waivers “that function to limit sales of gasoline-powered automobiles.”
Federal Workforce
President Trump ordered all department and agency chiefs in executive departments to eliminate work-from-home options and return employees to in-person work “as soon as practicable.” His administration has also issued a hiring freeze for federal employees to make good on his promise deliver more efficiency in the federal government.
ABC will continue to provide updates in Newsline as the Trump administration proceeds with its agenda.
Ending DEI Programs and Initiatives
President Trump signed an executive order, “Ending Illegal Discrimination and Restoring Merit-Based Opportunity,” which directs all federal agencies to “terminate all discriminatory and illegal preferences, mandates, policies, programs, activities, guidance, regulations, enforcement actions, consent orders, and requirements,” to enforce “longstanding civil-rights laws,” and to “combat illegal private-sector DEI preferences, mandates, policies, programs, and activities.”
The EO lists several other EOs that the Trump administration is revoking. Notably, the Trump EO revokes Executive Order 11246, titled “Equal Employment Opportunity,” which has required federal contractors to have affirmative action plans since 1965. Additionally, the EO orders the Office of Federal Contract Compliance Programs to immediately cease “promoting diversity,” “holding federal contractors and subcontractors responsible for taking ‘affirmative action,’” and “allowing or encouraging federal contractors or subcontractors to engage in workforce balancing based on race, color, sex, sexual preference, religion, or national origin.” The EO claims these actions are meant to streamline the federal contracting process “to enhance speed and efficiency, reduce costs, and require federal contractors and subcontractors to comply with our civil-rights laws.”
This order states that “for 90 days from the date of this order, Federal contractors may continue to comply with the regulatory scheme in effect on January 20, 2025.”
The EO also includes orders to encourage the private sector to cease DEI programs and initiatives. Specifically, the EO directs the Attorney General, in consultation with other relevant agencies, to promulgate a report with recommendations to enforce civil-rights laws and encourage the private sector to end DEI practices. The report is required to identify “the most egregious and discriminatory DEI practitioners in each sector of concern.” It also requires each agency to identify up to nine potential civil compliance investigations as a way to deter DEI programs or principles.
The White House also provided a fact sheet on the order.
The EO will have widespread implications for federal contractors. Read ABC general counsel Litter's analysis for more information. ABC will share further developments on this EO as they are released.