{"id":29088,"date":"2025-02-16T00:33:15","date_gmt":"2025-02-16T08:33:15","guid":{"rendered":"https:\/\/essential.construction\/news\/dod-halts-plas-on-construction-projects\/"},"modified":"2025-02-16T00:33:15","modified_gmt":"2025-02-16T08:33:15","slug":"dod-halts-plas-on-construction-projects","status":"publish","type":"post","link":"https:\/\/essential.construction\/news\/dod-halts-plas-on-construction-projects\/","title":{"rendered":"DOD halts PLAs on construction projects"},"content":{"rendered":"<p> [ad_1]<br \/>\n<\/p>\n<div>\n<div class=\"text-to-speech\">\n    <button class=\"text-to-speech__button button\"><\/p>\n<p>            <img decoding=\"async\" class=\"text-to-speech__button__icon\" src=\"https:\/\/www.constructiondive.com\/static\/images\/audio_icon.svg?482016190122\" alt=\"-\"><\/p>\n<p>        Listen to the article<br \/>\n        <span class=\"text-to-speech__button__audio-length\">3 min<\/span><br \/>\n    <\/button><\/p>\n<div class=\"text-to-speech__controls\">\n        <audio controls=\"\" class=\"js-text-to-speech\" preload=\"none\"><source src=\"http:\/\/res.cloudinary.com\/dmgi9movl\/video\/upload\/q_1\/v1739372990\/news\/text_to_speech\/dod-plas-halted-federal-contracts-infrastructure-usace_fzqdtl.wav\" type=\"audio\/mp3\"><\/source><\/audio><\/p>\n<div class=\"text-to-speech__controls__text\">\n            This audio is auto-generated. Please let us know if you have <a rel=\"nofollow noopener\" href=\"https:\/\/www.constructiondive.com\/contact\/\" target=\"_blank\">feedback<\/a>.\n        <\/div>\n<\/p><\/div>\n<\/div>\n<h3 class=\"standard-heading\"><span><span><span><span><span><span>Dive Brief:<\/span><\/span><\/span><\/span><\/span><\/span><\/h3>\n<ul>\n<li><span><span><span><span><span><span>The Department of Defense has ordered its contracting officers to <\/span><\/span><\/span><\/span><\/span><\/span><a rel=\"nofollow noopener\" href=\"https:\/\/www.acq.osd.mil\/dpap\/policy\/policyvault\/USA000250-25-DPCAP.pdf\" target=\"_blank\"><span><span><span><span><span><span><span><span>halt the use of project labor agreements<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/a><span><span><span><span><span><span> on \u201clarge-scale construction projects,\u201d according to a memo obtained by Construction Dive.<\/span><\/span><\/span><\/span><\/span><\/span><\/li>\n<li><span><span><span><span><span><span>The notice, dated Feb. 7, says contracting officers shall remove PLA requirements <\/span><\/span><\/span><\/span><\/span><\/span><a rel=\"nofollow noopener\" href=\"https:\/\/www.constructiondive.com\/news\/pla-mandate-biden-federal-contracts\/702914\/\" target=\"_blank\"><span><span><span><span><span><span><span><span>created by former President Joe Biden<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/a><span><span><span><span><span><span> that apply to projects receiving $35 million or more in federal funds.<\/span><\/span><\/span><\/span><\/span><\/span><\/li>\n<li><span><span><span><span><span><span>As part of the memo \u2014 signed by John M. Tenaglia, principal director of defense pricing, contracting and acquisition policy for the DOD \u2014 contracting officers were ordered to amend solicitations for federal contracts to remove PLA requirements.<\/span><\/span><\/span><\/span><\/span><\/span><\/li>\n<\/ul>\n<h3 class=\"standard-heading\"><span><span><span><span><span><span>Dive Insight:<\/span><\/span><\/span><\/span><\/span><\/span><\/h3>\n<p><span><span><span><span><span><span>AGC CEO Jeffrey Shoaf said in a statement that it had <\/span><\/span><\/span><\/span><\/span><\/span><a rel=\"nofollow noopener\" href=\"https:\/\/www.agc.org\/news\/2025\/02\/11\/feds-begin-pull-project-labor-agreement-mandates-wake-association-backed-victory-over-bidens\" target=\"_blank\"><span><span><span><span><span><span><span><span>anticipated a move like the DOD\u2019s<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/a><span><span><span><span><span><span> and it proved the AGC\u2019s past assertions that the PLA mandate was not legal.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>\u201cWe expect all federal agencies involved in procuring construction services to follow suit and drop what is clearly an unlawful mandate from their construction solicitations,\u201d Shoaf said.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>The Defense Department did not respond to Construction Dive&#8217;s request for more information.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>The memo comes a few weeks after a U.S. Federal Claims <\/span><\/span><\/span><\/span><\/span><\/span><a rel=\"nofollow noopener\" href=\"https:\/\/www.constructiondive.com\/news\/judge-rules-against-pla-mandate-biden\/738338\/\" target=\"_blank\"><span><span><span><span><span><span><span><span>judge hamstrung the order<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/a><span><span><span><span><span><span> by ruling in favor of a group of construction companies that filed protests against the implementation of the mandate on specific projects. Judge Ryan Holte said in his Jan. 21 ruling that the implementation of the mandate on seven contract procedures in 2024 ignored federal agencies\u2019 own research indicating PLAs would be anti-competitive and relied on \u201carbitrary and capricious\u201d policy.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>The Associated General Contractors of America helped facilitate the legal challenge to Biden\u2019s approach of a PLA mandate.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>Holte\u2019s decision, however, only directly impacted bid protests filed in six states over projects solicited by the U.S. Army Corps of Engineers, General Services Administration and Naval Facilities Engineering Systems Command. Both USACE and NAVFAC are part of the DOD.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>The ruling cut off the mandate at the knees, and opened the door for other bid protest challenges, Dirk Haire, Washington, D.C.-based partner at Philadelphia-headquartered law firm Fox Rothschild said at the time. He represented some of the plaintiffs in the bid protest case.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>The DOD contracts out billions of dollars worth of construction work each year. For example, in November, the <\/span><\/span><\/span><\/span><\/span><\/span><a rel=\"nofollow noopener\" href=\"https:\/\/theconstructionbroadsheet.com\/dod-awards-b-of-aec-contracts-in-november-p1918-174.htm\" target=\"_blank\"><span><span><span><span><span><span><span><span>agency awarded roughly $2.3 billion<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/a><span><span><span><span><span><span> worth of design, engineering and construction work, according to the Construction Broadsheet.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<\/p><\/div>\n<p>[ad_2]<br \/>\n<br \/><a href=\"https:\/\/www.constructiondive.com\/news\/dod-plas-halted-federal-contracts-infrastructure-usace\/739903\/\" rel=\"nofollow noopener\" target=\"_blank\">This article was originally posted at Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>[ad_1] Listen to the article 3 min This audio is auto-generated. Please let us know if you have feedback. Dive &#8230; <a title=\"DOD halts PLAs on construction projects\" class=\"read-more\" href=\"https:\/\/essential.construction\/news\/dod-halts-plas-on-construction-projects\/\" aria-label=\"Read more about DOD halts PLAs on construction projects\">Read more<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[457],"tags":[],"class_list":["post-29088","post","type-post","status-publish","format-standard","hentry","category-construction-dive","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-33"],"_links":{"self":[{"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/posts\/29088","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/comments?post=29088"}],"version-history":[{"count":0,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/posts\/29088\/revisions"}],"wp:attachment":[{"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/media?parent=29088"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/categories?post=29088"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/tags?post=29088"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}