Federal Contractor Report

 

Take action now and tell your members of Congress and President Biden to oppose government-mandated project labor agreements (PLAs). On February 4, President Biden signed E.O. 14063 that will require—with limited exceptions—every federal prime contractor and subcontractor to engage in negotiation or agree to project labor agreements (PLAs) on federal construction projects valued at $35 million or more. (For more, see this AGC Memo).

 

On February 8, the House passed a three-week long extension of government funding as the current spending agreement in place expires on February 18. If passed by the Senate, this short-term funding bill will keep the government open through March 11 and give Congress more time to strike a deal to fund the government through the rest of the fiscal year. Important to those negotiations include Congress fully funding new and increased funding for programs included in the November-passed Infrastructure Investment and Jobs Act.

 

As AGC and other stakeholders noted in January, without a full-year funding bill in place, Congress’ new investments in the nation’s infrastructure will be delayed. AGC will continue to encourage Congress to pass a spending bill that funds these new infrastructure commitments.

 

 

On February 4, the U.S. House of Representatives passed the AGC-opposed America COMPETES Act, a bill meant to improve American economic competitiveness against China. While previous iterations of the bill were bipartisan—including AGC-supported $52 billion in funding for the construction of new and modernizing existing semiconductor chip manufacturing plants—House Democrats also included several harmful construction policies, including those from the PRO Act —the greatest legislative threat to open-shop and union contractors.

 

On February 10, Senators Maggie Hassan (D-N.H.), Tim Scott (R-S.C.), Mark Warner (D-Va.), Shelly Moore Capito (R-W.Va.), and Ben Cardin (D-Md.) introduced AGC-supported legislation to extend the employee retention tax credit (ERTC) through the end of 2021. The Senate bill mirrors AGC-supported legislation introduced in the House of Representatives last month by Reps. Carol Miller (R-W.Va.) and Stephanie Murphy (D-Fla.).

 

On Feb. 7, AGC responded to the U.S. Environmental Protection Agency and Department of the Army (Army Corps of Engineers) latest proposed definition of Waters of the United States (WOTUS). This definition determines when an expensive federal permit is needed on projects that work in or near waters. AGC urged the agencies to abandon the proposal. For decades, the scope of federal regulatory authority under the Clean Water Act has been plagued by uncertainty and inconsistency. AGC seeks to protect waters and wetlands while preserving states’ traditional authority over land and water use. The agencies’ current proposal would expand the scope of federal control, permitting requirements, and enforcement authority under the Clean Water Act– all while eliminating much of the clarity and regulatory certainty that AGC members supported in the 2020 WOTUS rule. (See AGC comments on the current proposal as well as coalition comments with technical and economic analyses.)

 

As previously reported by AGC, the Infrastructure Investment and Jobs Act  (IIJA) includes new Buy America requirements, that could delay infrastructure projects funded by the law. The IIJA provides funding for physical infrastructure like roads, water systems, the electric grid, and more. The new and expanded Buy America requirements apply to all federally funded programs and include manufactured products, like iron and steel, and also construction materials used on projects within those programs.

 

On February 7, the White House Task Force on Worker Organizing and Empowerment released its report on encouraging the federal government to promote the value of labor unions and making government contractors’ employees aware of their rights to join a labor union. Many of the nearly 70 findings in the report are similar to policy recommendations and actions already being undertaken by the Biden Administration, such as efforts to enforce misclassification of independent contractors, preferences for government-mandated project labor agreements, local hire requirements on federal construction projects, and more.

 

On February 7, AGC filed comments to the Financial Crimes Enforcement Network (FinCEN) regarding proposed regulations to implement legislation passed in 2020 called the Corporate Transparency Act. The legislation would require legal entities with fewer than 20 employees and less than $5 million in gross revenue to submit “beneficial ownership information” to FinCEN. Beneficial owners are defined in the statute as anyone who owns at least 25 percent of a company, or exercises “substantial control” over its operations. AGC opposed the Corporate Transparency Act when it was considered in Congress due to the potential for the unauthorized disclosure of sensitive information—and any associated identity theft and/or cybercrime—and the potential for the owners of construction firms to be fined and/or imprisoned for failing to furnish this information in a timely manner.

 

Safety is a bond that unites us. It’s our connection to each other, and to something bigger than ourselves. When we’re connected and supported, we are better able to help ourselves, and our teams stay present and focused on the job. The more we stay connected and committed, the more we can show up fully to support one another. And the more we feel supported, the safer choices we make, and the better work we deliver, leading to safer selves, safer teams, and safer jobsites.

 

In this webinar, Ken Aldridge, chairman of the Board for Aldridge, and Mike Burke, chief operating officer for Alberici, will discuss how we remain connected, supported, and safe as one united industry.

Experience the AGC Annual Convention, providing contractors of all sizes and markets the opportunity to gain business-critical insights into the issues most affecting their operations. AGC brings together experts from across the industry to share their knowledge and help prepare contractors to meet the challenges of today (and tomorrow). Alongside the incredible keynote speakers, the AGC Annual Convention will feature more than 15 education breakout sessions covering a variety of key industry topics. 

Held in conjunction with this event, the AGC Equipment, Technology & Construction Solutions Expo provides a one-of-a-kind opportunity for your whole team to meet with more than 100 leading industry suppliers showcasing the latest tools, solutions and equipment to power your construction business.

 

 

AGC of America released the February edition of its Construction Inflation Alert. This document is intended to inform project owners, government officials, and the public about the extreme cost increases and supply-chains disruptions affecting construction. The current version of the Alert can be accessed by visiting AGC Construction Inflation Alert | Associated General Contractors of America.

 

 

 

AGC releases full report from its first-ever workforce summit which includes a lengthy catalog of steps firms, educators and AGC of America chapters are taking to address workforce shortages. It also includes 22 new recommendations summit participants crafted, to help overcome the recruiting, training and retention challenges behind construction workforce shortages. To learn more about the report and the 22 new recommendations, please register for the February 15 webinar on this topic. Click here to register for that event now.