The Coalition for Competitive Bidding Laws is comprised of 20 organizations representing more than 35,000 employers throughout the state. Philip Kirschner, executive vice president of the New Jersey Business & Industry Association, which is leading the coalition, said legislation promoting project labor agreements and an executive order by Governor James E. McGreevey promoting project labor agreements spurred formation of the coalition.

On January 17-two days after taking office-McGreevey signed an executive order authorizing state agencies and departments to use project labor agreements. More recently, the Assembly Labor Committee has scheduled a vote on A-1926 (Egan, Malone) for Monday, March 11, and the Senate Labor Committee tentatively scheduled S-1044 (Sweeney, Cafiero) for consideration on Thursday, March 14. Both bills would authorize all levels of government to require project labor agreements for any public works project.

"Our coalition has come together to educate the public about the importance of competitive public bidding laws," Kirschner said. "These groups all strongly support the competitive process that gives taxpayers the best work for the lowest price."

"Competition is essential to the bidding process," Kirschner said. "Project labor agreements virtually eliminate competition from nonunion contractors and bar thousands of qualified nonunion workers from participating in billions of dollars worth of construction projects. Project labor agreements have no place in a competitive bidding system."

The negative impact of project labor agreements is well documented:

The New Jersey Supreme Court has struck down project labor agreements in the past for being in violation of competitive bidding laws. In 1994, the Court said

"Bidding statutes are for the benefit of the taxpayers.Their objects are to guard against favoritism, improvidence, extravagance and corruption; their aim is to secure for the public the benefits of unfettered competition... The paramount policy of our public-bidding laws fosters 'unfettered competition' in public contracts; the effect of project labor agreements is to lessen competition." (George Harms Const. V. Turnpike Authority)

Project labor agreements, as a practical matter, bar hundreds of qualified nonunion contractors from participating in public works contracts. They virtually hand the contracts to labor unions, who can charge higher rates without worrying about nonunion competition.

Project labor agreements deny jobs to thousands of nonunion workers whose firms will not get to participate in public contracts. These workers pay taxes to finance school construction projects and the Transportation Trust Fund, but will not be able to work on them.

While everyone else is being asked to sacrifice to help balance the budget, union-only deals will increase the costs of public contracts across the state. These are sweetheart deals for the unions at the expense of taxpayers.

The New Jersey Coalition for Competitive Public Bidding Laws

"Bidding statutes are for the benefit of the taxpayers. Their objects are to guard against favoritism, improvidence, extravagance and corruption; their aim is to secure for the public the benefits of unfettered competition... The paramount policy of our public-bidding laws fosters 'unfettered competition' in public contracts; the effect of project labor agreements is to lessen competition."

NJ Supreme Court, 1994
George Harms Const. v. Turnpike Authority (137 N.J. 8)

Associated Builders and Contractors Inc.-Northern NJ		Bob Hilliard Bob Roberti		973-244-1112
Associated Builders and Contractors Inc.-NJ		Rick Miller		856-273-1989
NJ Assoc. Plumbing/Heating/Cooling Contractors		Frank Brill		609-989-7514
Chamber of Commerce Southern NJ		Kathy Davis		856-424-7776
H. Robert Tillman Law Office		Rob Tillman		609-882-2500
Associated Builders and Contractors Inc.-Northern NJ		Kent A. F. Weisert		973-338-1229
Metropolitan Trenton African American Chamber of Commerce (MTAACC)		Tracey Syphax		609-392-5931
National Association of Minority Contractors, MTAACC		John Harmon		609-393-5933
National Federation of Independent Businesses		Rob Tartaglia		609-989-8777
NJ Asphalt Pavement Association		Bob Brown		856-456-2899
NJ Business & Industry Association		Jeff Stoller		609-393-7707
NJ Chamber of Commerce		Jim Leonard		609-989-7888
NJ Commerce and Industry Association		Richard Goldberg		201-368-2100
NJ Concrete and Aggregate Association		Bill Layton		609-771-0099
NJ League of Master Plumbers		Russell Bent		609-877-7127
NJ League of Municipalities		Helen Yeldell		609-695-3481
NJ Electrical Contractors Association		Bob Santaloci		609-393-8944
Utility and Transportation Contractors Association of New Jersey		Kevin Monaco Bob Briant, Jr.		732-292-4300 732-292-4300

 

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