Sponsors (108)
The bill increases nonunion and small-contractor access and aims to lower federal construction costs through open competition and procurement changes, but it does so at the expense of union bargaining power, with risks to worker pay, construction quality/safety, and added administrative disruption.
Small and disadvantaged contractors and subcontractors nationwide gain greater ability to bid on and win federally funded construction work and are protected from being forced to sign union agreements, expanding business opportunities.
Taxpayers could see lower federal construction spending and reduced project financing burdens if competition and cost-lowering measures reduce contract prices.
Workers and bidders are protected from discrimination based on union membership or affiliation, safeguarding individual labor rights when competing for federal construction projects.
Construction workers and unions could lose leverage to negotiate project labor agreements, lowering wages and benefits on federal construction projects.
Efforts to select lower-cost bidders could incentivize cost-cutting that risks construction quality or worker/public safety if oversight and standards are weakened.
Expanding competition and changing bid rules could create administrative, compliance, and enforcement costs for federal agencies, grant recipients, and contractors, and cause contract disruptions during the transition.
Based on analysis of 3 sections of legislative text.
Stops federal agencies and federally funded projects from requiring or banning contractor agreements with labor organizations for construction awards made after enactment.
Official title: To preserve open competition and Federal Government neutrality towards the labor relations of Federal Government contractors on Federal and federally funded construction projects, and for other purposes.
Introduced March 14, 2025 by Clay Higgins · Last progress March 14, 2025
Prohibits federal executive agencies, construction managers, and recipients of federal construction grants or cooperative agreements from requiring or forbidding contractors or subcontractors to enter into or adhere to agreements with labor organizations for construction projects funded after enactment. Agencies must update the Federal Acquisition Regulation within 60 days, enforce compliance, and may grant narrow exemptions for imminent public health, safety, or national security threats or for preexisting bid documents or awarded contracts. The law is intended to promote open competition, reduce costs, expand opportunities for small and disadvantaged businesses, and prevent discrimination based on labor affiliation or nonaffiliation on federal and federally funded construction projects.