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In December 2023, President Joe Biden announced a final rule implementing Executive Order 14063, which requires federal construction contracts of $35 million or more to be subjected to controversial project labor agreements. ABC issued a statement announcing plans to challenge the new rule in court.

On Jan. 4, ABC authored a coalition letter to Congress signed by 23 construction and business organizations opposing the final rule and urging members to co-sponsor the ABC-backed Fair and Open Competition Act. In addition, Ben Brubeck, ABC vice president of regulatory, labor and state affairs, authored a Fox Business op-ed on the Biden PLA rule, which ran on Jan. 4. Letters to the editor critical of the Biden PLA rule by ABC chapter leaders have also been published in print media.

On Jan. 12, a dozen pro-taxpayer groups sent a letter to Congress opposing the Biden rule and supporting FOCA.

Next Steps

The rule goes into effect on Jan. 22, 2024, and will take additional time for numerous federal agencies to implement in their procurement policies and forthcoming solicitations for construction services.

A Dec. 18, 2023, White House Office of Management and Budget memo, M-24-06, Use of Project Labor Agreements on Federal Construction Projects, provides guidance about how this rule should be implemented by federal agencies. Of note, it describes when federal contracting officers shall require a PLA in a solicitation and how the PLA requirement can be waived under limited circumstances.

ABC members and chapters are encouraged to register for an ABC members-only webinar from 2 to 3:15 p.m. ET on Wednesday, Jan. 17, 2024, where experts will discuss the rule, the OMB memo and ABC’s legal, advocacy and public relations strategies to fight federal PLA requirements.

In the interim, ABC members are encouraged to flag for ABC National’s advocacy team any solicitations with PLA requirements or pro-PLA language, as well as any federal agency PLA surveys, by emailing [email protected].

In addition, ABC members are strongly encouraged to participate in this ABC Action grassroots campaign and ask their federal lawmakers to fight the Biden administration’s pro-PLA schemes and co-sponsor the Fair and Open Competition Act (H.R. 1209/S. 537), introduced in the 118th Congress by Rep. James Comer, R-Ky., and Sen. Todd Young, R-Ind.

Review ABC’s Jan. 3 Newsline article to learn more about the final rule.