Associated Builders and Contractors Applauds Court’s Injunction Against ‘Blacklisting’ Rule

Associated Builders and Contractors (ABC), Empire State Chapter today applauded the Monday night ruling by the U.S. District Court for the Eastern District of Texas, granting a preliminary injunction against the Obama administration’s Fair Pay and Safe Workplaces rule, commonly referred to as “blacklisting”.  The preliminary injunction prevents the Federal Acquisition Regulatory (FAR) Council from implementing the rule, which was scheduled to go into effect on Oct. 25.

ABC, its ABC Southeast Texas Chapter and the National Association of Security Companies (NASCO) filed its legal challenge on Oct. 7 and filed a motion  for temporary restraining order and preliminary injunction on Oct. 13.

"This proposal was a clear example of government overreach," said ABC, Empire State Chapter President Brian Sampson. "The court recognized this, and by issuing this decision, they maintained the First Amendment rights of government contractors and protected them and taxpayers from the poorly crafted blacklisting rule."

"We believe in an open, transparent, fair process and competition in government contracting. Those who don't follow the rules should be held accountable and be punished as such, but this rule as put forward would violate the constitutional rights of contractors while simultaneously driving up costs to taxpayers," said Sampson. "The administration should focus its efforts enforcing the rules and policies already in place, rather than circumventing Congress and the carefully written rules already established to push its own agenda of big government coming down on small businesses. Unfortunately, we've already seen enough of these cost driving, job killing rules from the current administration that have crushed businesses big and small right here in New York and across the nation."

Nationally, ABC members performed more than 60 percent of all federal government construction contracts exceeding $25 million from FY2009 to FY2015. 

A national survey of ABC members conducted in September found that:

  • 51 percent of respondents said the rule’s onerous requirements, including reporting alleged violations that firms are still contesting, will force them to abandon the pursuit of federal contracts
  • 91 percent of contractors said the rule will impose a significant or extreme burden for their firm through new requirements to compile information needed to comply with final rule
  • 93 percent said the final rule will make the contracting process less efficient
  • 98 percent said the final rule will make the contracting process more expensive.

 

ABC has consistently opposed the blacklisting proposal since the White House issued the Fair Pay and Workplaces Executive Order 13673 in July, 2014 and has:

 

For more information, visit abc.org/blacklisting.

 

 

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Associated Builders and Contractors (ABC) is a national construction industry trade association established in 1950 that represents nearly 21,000 members. Founded on the merit shop philosophy, ABC and its 70 chapters help members develop people, win work and deliver that work safely, ethically and profitably for the betterment of the communities in which ABC and its members work. The Empire State Chapter represents nearly 400 contractors throughout New York State. Visit us at abcnys.org.