txt

HB 185: "An Act relating to the labor organization position of state agencies and others with regard to construction contracts paid for by state money."

00 HOUSE BILL NO. 185 01 "An Act relating to the labor organization position of state agencies and others with 02 regard to construction contracts paid for by state money." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. The uncodified law of the State of Alaska is amended by adding a new section 05 to read: 06 LEGISLATIVE PURPOSES. The legislature declares that the purposes of this Act are 07 to 08 (1) promote and ensure open competition on construction contracts entered 09 into by the state's executive branch and construction contracts for which the state provides 10 financial assistance; 11 (2) maintain the neutrality of the state government toward the labor relations 12 of contractors on state and state-assisted construction projects; 13 (3) expand job opportunities, especially for small and disadvantaged 14 businesses;

01 (4) prevent discrimination against contractors and their employees who 02 perform work for the state based on whether or not they are affiliated with a labor 03 organization; and 04 (5) promote the economic, nondiscriminatory, and efficient administration and 05 completion of construction projects of the state and construction projects that receive state 06 financial assistance. 07 * Sec. 2. AS 36.90 is amended by adding new sections to read: 08 Article 5. Neutrality in Position on Labor Organizations. 09 Sec. 36.90.400. State construction contracts. A state agency that procures or 10 enters into a construction contract, the construction manager, if any, for the contract 11 and the controlling documents for the construction contract may not 12 (1) require a bidder, offeror, contractor, or subcontractor to enter into 13 or comply with, or prohibit a bidder, offeror, contractor, or subcontractor from 14 entering into or complying with, a labor organization agreement for the construction 15 contract or a related construction contract; or 16 (2) discriminate against a bidder, offeror, contractor, or subcontractor 17 for 18 (A) signing or complying with an agreement with a labor 19 organization with respect to the construction contract or a related construction 20 contract; or 21 (B) refusing to sign or comply with a labor organization 22 agreement with respect to the construction contract or a related construction 23 contract. 24 Sec. 36.90.410. Grants, agreements, and other assistance. A state agency 25 that awards a grant, provides financial assistance, or enters into an agreement with 26 another person, including a governmental agency, for a construction project shall 27 require that the controlling documents of the grant recipient, the financial assistance 28 recipient, the parties to the agreement, and the construction manager, if any, for the 29 construction contract do not 30 (1) require or prohibit a bidder, offeror, contractor, or subcontractor 31 from entering into or adhering to an agreement with a labor organization for the

01 construction contract or a related construction contract; or 02 (2) discriminate against a bidder, offeror, contractor, or subcontractor 03 for 04 (A) signing or complying with a labor organization agreement 05 with respect to the construction contract or a related construction contract; or 06 (B) refusing to sign or comply with a labor organization 07 agreement with respect to the construction contract or a related construction 08 contract. 09 Sec. 36.90.430. Failure to comply. If a state agency, a recipient of a grant or 10 financial assistance from a state agency, a party to an agreement with a state agency, 11 or a construction manager acting on behalf of the state agency, the recipient, or the 12 other party, fails to comply with AS 36.90.400 or 36.90.410, the state agency 13 procuring or entering into the construction contract, grant, financial assistance 14 agreement, or other agreement shall take the action, consistent with law, that the state 15 agency determines to be appropriate. 16 Sec. 36.90.440. Making of exemptions. (a) A state agency may exempt a 17 procurement, contract, subcontract, grant, financial assistance agreement, or other 18 agreement from AS 36.90.400 or 36.90.410 if the state agency determines that the 19 exemption is necessary in order to avoid an imminent threat to public health or safety. 20 (b) A state agency may not base a determination under (a) of this section on 21 the existence or possibility of a dispute with a labor organization concerning 22 (1) a contractor or a subcontractor who has not signed or is not 23 complying with a labor organization agreement; or 24 (2) construction employees who are not members of or affiliated with a 25 labor organization. 26 Sec. 36.90.450. Exemptions. The provisions of AS 36.90.400 - 36.90.495 do 27 not apply to a construction contract 28 (1) for a natural gas pipeline by a licensee under AS 43.90; or 29 (2) if money from the federal government is being used for the 30 construction project and the federal government requires that a labor organization 31 agreement be used.

01 Sec. 36.90.480. Regulations. The Department of Administration may adopt 02 regulations to implement AS 36.90.400 - 36.90.495. 03 Sec. 36.90.485. Rule of construction. The provisions of AS 36.90.410 may 04 not be construed to prohibit a contractor or subcontractor from voluntarily entering 05 into or adhering to an agreement with a labor organization for a construction contract. 06 Sec. 36.90.490. Definitions. In AS 36.90.400 - 36.90.495, 07 (1) "construction" has the meaning given in AS 36.30.990; 08 (2) "controlling documents" means bid specifications, contracts, and 09 other documents that control the procurement and implementation of a contract; 10 (3) "labor organization" means an organization that engages in 11 collective bargaining or deals with employers concerning grievances, terms, or 12 conditions of employment, or for other mutual aid or protection of employees; 13 (4) "labor organization agreement" means an agreement with a labor 14 organization; 15 (5) "state agency" means a department, institution, board, commission, 16 division, authority, public corporation, or other administrative unit of the executive 17 branch of state government, including the University of Alaska, Alaska Railroad 18 Corporation, Alaska Housing Finance Corporation, Alaska Aerospace Development 19 Corporation, and Alaska Commercial Fishing and Agriculture Bank. 20 Sec. 36.90.495. Short title. AS 36.90.400 - 36.90.495 may be cited as the 21 Government Neutrality in Contracting Act. 22 * Sec. 3. AS 37.05.318 is amended to read: 23 Sec. 37.05.318. Further regulations prohibited. Notwithstanding AS 44.62 24 (Administrative Procedure Act), AS 37.07 (Executive Budget Act), and other 25 provisions of this chapter, a state agency may not adopt regulations or impose 26 additional requirements or procedures to implement, interpret, make specific, or 27 otherwise carry out the provisions of AS 37.05.315 - 37.05.317 unless required by the 28 federal government for participation in federal programs, and except as authorized 29 by AS 36.90.480. 30 * Sec. 4. The uncodified law of the State of Alaska is amended by adding a new section to 31 read:

01 APPLICABILITY. This Act does not apply to a construction contract, grant, financial 02 assistance agreement, or other agreement that is entered into before the effective date of this 03 Act. In this section, "construction" has the meaning given in AS 36.90.490, enacted by sec. 2 04 of this Act.