ACE Seeks Information to Evaluate Project Labor Agreements

February 23, 2022

©  Dot Slash Digital / Adobe Stock
© Dot Slash Digital / Adobe Stock

In the last few months, the Army Corps has published requests for information about project labor agreements. A recent notice focuses on a coastal storm risk management project in Staten Island.

The Corps seeks to "gain knowledge of the use and benefits of Project Labor Agreements (PLAs) on construction of drainage structures in Staten Island, New York."

That project, estimated at $75 - $85 million, will provide coastal storm risk management along 5.3 miles of the Raritan Bay from Fort Wadsworth to Oakwood Beach. Project alignment generally consists of three typical structures: 3,400 feet of earthen levee; 1,800 feet of floodwall; and 22,700 feet of buried seawall/armored levee.

As in previous notices, the ACE asks "whether the use of a PLA will achieve economy and efficiency." Importantly, ACE writes that "all firms and labor unions should respond to this announcement if they are interested in performing the work of this project."

For this Staten Island project, ACE asks 12 specific questions, many with sub-questions.

The Corps asks, for example, whether PLAs have been used on similar projects in this location and it asks about initial and final costs, whether the projects were completed on time and challenges from labor shortages and labor related delays, among other issues.

Another question asks for specific reasons why a PLA would advance the Federal Government’s interest in achieving economy and efficiency and whether there are other economies or efficiencies derived by the Federal Government, if using a PLA. Also of concern: labor-management stability and whether labor disputes or other labor issues contributed to delays. The Corps asks about a PLAs’ estimated relative cost impact and how a PLA might impact the cost of submitting an offer.

Comments are due by March 4. They should be emailed to [email protected] and [email protected].

A "Notice to Proceed" is likely in July or August.

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