Executive Order on Use of Project Labor Agreements For Federal Construction Projects

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By the authority vested in me as President by the Structure and the regulations of America of America, collectively with the Federal Property and Administrative Providers Act, 40 U.S.C. 101 et seq., and So as To promote financial system and effectivity Inside the administration and completion of Federal enchancment tasks, It is hereby ordered that:

Part 1.  Coverage.  (a)  Huge-scale enchancment tasks pose particular challenges to environment nice and well timed procurement by the Federal Authorities.  Construction employers typically Do not have a everlasting workforce, which makes it troublesome To foretell labor prices when bidding on contracts and To Guarantee A delicate curlease of labor on contracts being carried out.  Challenges additionally come up as a Outcome of enchancment tasks typically contain a quantity of employers at a single location, and a labor dispute involving one employer can delay The complete enterprise.  A scarcity of coordination amongst numerous employers, or uncertainty Regarding the time durations and circumstances of employment Of numerous teams Of laborers, can create friction and disputes Inside the absence of an agreed-upon decision mechanism.  These factors threaten the environment nice and well timed completion of enchancment tasks beneathtaken by Federal contractors.  On large-scale tasks, That are often extra complicated and of longer interval, these factors Are typically extra pronounced.
     (b)  Project labor settlements Are typically efficient in stopping these factors from creating as a Outcome of They curlease construction and stability to large-scale enchancment tasks.  Such settlements maintain away from labor-associated disruptions on tasks By way of the use of dispute-decision processes to resolve workwebsite disputes and by prohibiting work sprimepages, collectively with strikes and lockouts.  They safe the dedication of all stakeholders on a enchancment website that the enterprise will proceed environment nicely with out pointless interruptions.  Additionally they advance the pursuits of enterprise house owners, contractors, and subcontractors, collectively with small companies.  For these causes, house owners and contractors in each The particular personal and non-particular personal sector routinely use enterprise labor settlements, thereby reducing uncertainties in large-scale enchancment tasks.  Using enterprise labor settlements is absolutely According to the promotion of small enterprise pursuits.
     (c)  Accordingly, It is the policy of the Federal Authorities for enterprisees To make the most of enterprise labor settlements in Reference to large-scale enchancment tasks To promote financial system and effectivity in Federal procurement. 

Sec. 2.  Definitions.  For features of this order:
     (a)  “Labor group” means a labor group as outlined in 29 U.S.C. 152(5) of which constructing and enchancment staff are members, as described in 29 U.S.C. 158(f).
     (b)  “Construction” means enchancment, reenchancment, rehabilitation, modernization, alteration, conversion, extension, restore, or enchancment of constructings, constructions, extremeways, or completely diffelease exact property.
     (c)  “Huge-scale enchancment enterprise” means a Federal enchancment enterprise within America for which The complete estimated value of The enchancment contract to the Federal Authorities is $35 million or extra.  The Federal Acquisition Regulatory Council (FAR Council), in session with the Council of Financial Advisers, might regulate this threshold based mostly on inflation using The tactic at 41 U.S.C. 1908.
     (d)  “Agency” means an government division or agency, collectively with an unbiased institution topic to the Federal Property and Administrative Providers Act, 40 U.S.C. 102(4)(A). 
     (e)  “Project labor settlement” means a pre-lease collective bargaining settlement with A Number of labor groups that establishes the time durations and circumstances of employment for A particular enchancment enterprise and is an settlement described in 29 U.S.C. 158(f). 

Sec. 3.  Project Labor Agreement Presumption. Subject to sections 5 and 6 of this order, in awarding any contract in Reference to An monumental-scale enchancment enterprise, or obligating funds pursuant to such a contract, enterprisees shall require every contractor or subcontractor engaged in enchancment on the enterprise to agree, for that enterprise, To barter or Discover your self to be A celebration to a enterprise labor settlement with A Number of relevant labor groups.

Sec. 4.  Requirements of Project Labor Agreements. Any enterprise labor settlement reveryed pursuant to this order shall:
     (a)  bind all contractors and subcontractors on The enchancment enterprise through the inclusion of relevant particularations in all related solicitation provisions and contract paperwork;
     (b)  permit all contractors and subcontractors on The enchancment enterprise to compete for contracts and subcontracts with out regard As to if or not they’re completely diffeleasewise events to collective bargaining settlements;
     (c)  include ensures in the direction of strikes, lockouts, and comparable job disruptions;
     (d)  set forth efficient, immediate, and mutually binding procedures for resolving labor disputes arising By way of the time period of the enterprise labor settlement;
     (e)  curlease completely diffelease mechanisms for labor-administration cooperation on problems of mutual curiosity and concern, collectively with productiveness, extreme quality Of labor, safety, and well being; and
     (f)  absolutely conform to all statutes, regulations, Executive Orders, and Presidential Memoranda.

Sec. 5.  Exceptions Accredited by Agencies. A senior official within an agency might grant an exception from The necessities of section 3 of this order for A particular contract by, no later than the solicitation date, offering A particular written rationalization of why A minimal of Definitely one of many following circumstances exists with respect to that contract:
     (a)  Requiring a enterprise labor settlement on the enterprise Wouldn’t advance the Federal Authorities’s pursuits in attaining financial system and effectivity in Federal procurement. Such a discovering shall be based mostly on The subsequent elements:
          (i)    The enterprise is of brief interval and lacks operational complicatedity;
          (ii)   The enterprise will contain Simply one craft or commerce;
          (iii) The enterprise will contain particulcome upd enchancment work That is out there from solely a restricted Number of contractors or subcontractors;
          (iv)   The agency’s want for the enterprise is of such an unusual and compelling urgency that a enterprise labor settlement Can be impracticable; or
          (v)    The enterprise implicates completely diffelease comparable elements deemed relevant in regulations or steerage problemd pursuant to section 8 of this order.
     (b)  Based on an inclusive market evaluation, requiring a enterprise labor settlement on the enterprise would considerably scale again the Number of potential bidders so as to frustrate full and open rivals.
     (c)  Requiring a enterprise labor settlement on the enterprise would completely diffeleasewise be inAccording to statutes, regulations, Executive Orders, or Presidential Memoranda.

Sec. 6.  Reporting. (a)  To the extent permitted by regulation and According to nationwide safety and government department confidentiality pursuits, enterprisees shall publish, on a centralized public internet website, knowledge displaying the use of enterprise labor settlements on large-scale enchancment tasks, As properly as to descriptions of the exceptions granted beneath section 5 of this order.
     (b)  On a quarterly basis, enterprisees shall Report again to the Office of Management and Price range (OMB) on their use of enterprise labor settlements on large-scale enchancment tasks and on the exceptions granted beneath section 5 of this order.

Sec. 7. Nothing On this order precludes an agency from requiring the use of a enterprise labor settlement in circumstances not coated by this order, collectively with tasks the place The complete value to the Federal Authorities is Decrease than that for An monumental-scale enchancment enterprise, or tasks receiving any Sort of Federal monetary assist (collectively with mortgages, mortgage ensures, revolving funds, tax credit scores, tax credit rating bonds, and cooperative settlements).  This order additionally Does not require contractors or subcontractors to enter Proper into a enterprise labor settlement with any particular labor group.

Sec. 8.  Regulations and Implementation. (a)  Inside 120 days of the date of this order, the FAR Council, to the extent permitted by regulation, shall suggest regulations implementing the provisions of this order.  The FAR Council shall think about and consider public feedagain on the suggestd regulations and shall immediately problem a final rule, to the extent permitted by regulation.
     (b)  The Director of OMB shall, to the extent permitted by regulation, problem steerage to implement The necessities of sections 5 and 6 of this order.

Sec. 9.  Contracting Officer Teaching. Inside 90 days of the date of this order, the Secretary of Protection, the Secretary of Labor, and the Director of OMB shall coordinate in designing a training method for agency contracting officers to allow these officers to effectively implement this order. Inside 180 days of the date of the publication of suggestd regulations, the Secretary of Protection, the Secretary of Labor, and the Director of OMB shall curlease a Report again to the Assistant to the President for Financial Coverage and Director of the National Financial Council on the content materials of the training method.

Sec. 10. Revocation of Prior Orders, Guidelines, and Regulations.  Executive Order 13502 of February 6, 2009 (Use of Project Labor Agreements for Federal Construction Projects), is revoked as of the efficient date of The final regulations problemd by the FAR Council beneath section 8(a) of this order. Upon Executive Order 13502’s revocation, The primes of enterprisees shall think about, to the extent permitted by regulation, revoking any orders, rules, or regulations implementing Executive Order 13502.

Sec. 11.  Severability.  If any provision of this order, or The equipment of such provision to any particular person or circumstance, is held to be invalid, The The rest of this order and its software To A particular particular person or circumstance shall not be have an effect oned thereby.

Sec. 12. Effective Date.  This order shall be efficient immediately and shall apply to all solicitations for contracts problemd on or after the efficient date of The final regulations problemd by the FAR Council beneath section 8(a) of this order.  For solicitations problemd between the date of this order and the efficient date of The final regulations problemd by the FAR Council beneath section 8(a) of this order, or solicitations Which have already been problemd and are excellent as of the date of this order, enterprisees are strongly inspired, to the extent permitted by regulation, to Adjust to this order.

Sec. 13. Widespread Provisions.  (a)  Nothing On this order shall be construed to impair or completely diffeleasewise have an effect on:
          (i)   the authority granted by regulation to an government division or agency, or The prime thereof; or
          (ii)  the features of the Director of the Office of Management and Price range Referring to budgetary, administrative, or legislative proposals.
     (b)  This order shall be carried out According to relevant regulation and topic to The curlease of appropriations.
     (c)  This order Isn’t meant to, and Does not, create any right or revenue, substantive or procedural, enforceable at regulation or in equity by any celebration in the direction of America, its divisions, enterprisees, or entities, its officers, staff, or brokers, or Ancompletely diffelease particular person.

                               JOSEPH R. BIDEN JR.  

 The White House,

    February 4, 2022.

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