Governor Signs Project Labor Agreement Reforms into Law
JEFFERSON CITY — Gov. Eric Greitens has signed a new law helping improve efficiency on public construction projects and giving private contractors more workforce independence.
Senate Bill 182 reforms Project Labor Agreements in Missouri. Under current state law, firms bidding to work on public construction projects can be required to enter into collective bargaining with unions, hire workers through union halls, and pay union wages and benefits. These unnecessary mandates increase costs to public projects, including adding expense to badly needed infrastructure projects.
With Missouri facing severely limited transportation funding, Senate Bill 182 will help ensure the state is getting as much value as it can from its available transportation tax revenue, helping address a critical driver of Missouri 2030: An Agenda to Lead, a strategic plan for economic growth created by the Missouri Chamber of Commerce and Industry and the state’s business community.
Under Senate Bill 182, contractors will now have a choice whether they enter into Project Labor Agreements. The bill was sponsored by Sen. Bob Onder, a Republican from Lake Saint Louis, and handled in the House by Rep. Rob Vescovo, a Republican from Arnold. It was signed in the afternoon on May 30th during a ceremony at Automation Service in Earth City.
“Missouri is fortunate to have a strong construction industry with experienced private contractors who know how to get the job done right. We don’t need laws that bind these private companies with extra costs and hurdles relating to how they hire their workforce for public projects,” said Daniel P. Mehan, president and CEO of the Missouri Chamber of Commerce and Industry. “I’d like to thank Sen. Onder and our legislative leaders for making this bill a priority this year. I’d also like to congratulate Gov. Eric Greitens for another accomplishment in his still-young term as governor. We look forward to more events like this over the summer as the fruits of the legislature’s historic pro-jobs session are signed into law, helping our state compete like never before for business investment and expansion opportunities.”