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FOCA Act of 2025
4/1/2025, 4:38 AM
Summary of Bill HR 2126
The bill argues that PLAs can limit competition by favoring unionized contractors and workers, potentially leading to higher costs for taxpayers. By prohibiting federal agencies from mandating PLAs, the bill aims to promote open competition and ensure that all contractors have an equal opportunity to bid on federal construction projects.
In addition to promoting fair competition, the bill also seeks to maintain federal government neutrality towards labor relations, allowing contractors to freely negotiate with their employees without interference from the government. This is seen as a way to protect the rights of both union and non-union workers and ensure that labor relations are determined by the free market rather than government mandates. Overall, the Fair and Open Competition Act aims to promote transparency, fairness, and efficiency in federal construction projects by preventing the use of PLAs and promoting open competition among contractors.
Congressional Summary of HR 2126
Fair and Open Competition Act of 2025 or the FOCA Act of 2025
This bill requires that federal contracts for construction projects neither require nor prohibit a bidder, offeror, contractor, or subcontractor from entering into agreements with one or more labor organizations with respect to such projects or related projects.
Under the bill, the controlling documents for federal construction contracts (such as bid specifications and project agreements) may not require or prohibit a bidder, offeror, contractor, or subcontractor from entering into or adhering to such labor agreements. Additionally, the controlling documents may not discriminate against or give preference to a bidder, offeror, contractor, or subcontractor who signs or refuses to sign such a labor agreement.
These requirements also apply to any (1) construction manager acting on behalf of the federal government with respect to such contract, (2) recipient of a federal grant or financial assistance for construction projects or construction manager acting on the recipient's behalf, and (3) party to a federal cooperative agreement for construction projects or construction managers acting on the party's behalf.
An agency may exempt a project from this prohibition to avert an imminent threat to public health or safety or to serve the national security.





