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A newly proposed rule by the U.S. Environmental Protection Agency (EPA) would give the agency the authority to cut into the paychecks of those who owe it a debt, such as a fine or penalty for an environmental violation.  EPA would be allowed to garnish up to 15 percent of the “disposable pay” of delinquent debtors who do not work for the federal government via a process known as administrative wage garnishment – all without a court order.

New government data today show the uneven nature of the construction industry's recovery, as the sector added 22,000 jobs in July, but suffered a pullback in spending in June, according to an analysis by AGC of America.

This week, AGC sent a letter opposing the possible use of a project labor agreement (PLA) mandate posted by the U.S. Army Corps of Engineers for a construction project at the Tripler Army Medical Center in Hawaii.

On July 31, President Obama issued an executive order (EO) that will require prospective federal contractors to disclose labor law violations from the past three years before they can win a contract.

The Federal Acquisition Regulation (FAR) Council issued an interim rule—effective July 25, 2014—that amends the FAR in accordance with the Office of  Federal Contract Compliance Programs (OFCCP) recently-issued affirmative action rules for veterans and disabled employees and applicants. Those OFCCP rules went into effect this past March. Contractors who work directly for federal agencies should take note of the inclusion of the new FAR clauses—52.222-35 and 52.222-36—in contracts awarded after July 25.

TAKE ACTION: Urge your Senators to Co-sponsor S. 2652 On July 24, Sen. Deb Fischer (R-Neb.) introduced S. 2652, a bill that would reasonably limit one-step design-build procurements and the shortlist for two-step design-build procurements. Please take action now and urge your senators to cosponsor and support S. 2652.

AGC of America has submitted comments to the U.S. Department of Labor’s Wage and Hour Division (WHD) asking the agency to clarify its proposed rule implementing Executive Order 13658 (EO), which establishes a minimum wage of $10.10 per hour for direct federal contractors and subcontractors. The new minimum wage impacts covered contracts entered into on or after January 1, 2015. Federally assisted contractors are not affected. The order also mandates that the Secretary of Labor determine a new minimum wage for federal contractors in 2016, and each year thereafter, based on the annual percentage increase in the Consumer Price Index for urban wage and clerical workers.

AGC Opposes Automatic Debarment Amendment On July 16, the House passed the Financial Services and General Government Appropriations Act of 2015, which funds the General Services Administration (GSA), by a 228-195 vote. The bill includes slight decreases in funding for GSA in FY 2015, as compared to FY 2014. However, the House bill comes in about $700 million less than the president’s request. Of particular note, the House would only fund land port-of-entry projects for Customs and Border Protection through the construction and acquisition account and ignore the facility needs of all other executive agencies completely. To view what projects the House would provide GSA funding for, see pages 57 to 63 of the House Committee Report. To view the president’s request for GSA, click here.

Includes $1 Billion More Than President’s Request Only July 10, the House passed the Energy and Water Development and Related Agencies Appropriations Act of 2015 on a 253-170 vote. Within that bill, the House approved over $5.1 billion for the U.S. Army Corps of Engineers (USACE) Civil Works program. That figure amounts to $1 billion more than President Obama requested for FY 2015.

On July 9, AGC sent a detailed letter and joined with an industry business coalition in a letter to the House of Representatives strongly opposing legislation automatically debarring federal contractors for any violation—or even claims thereof—of the Fair Labor Standards Act. The legislation came in the form of an amendment introduced by Rep. Keith Ellison (D- Minn.). The Ellison Amendment would prohibit the use of funds allocated under the U.S. Army Corps of Engineers Civil Works and Department of Energy funding bill from being used to enter into a contract with any person who discloses, via the Federal Awardee Performance and Integrity Information System (FAPIIS), a civil, criminal, or administrative proceeding that resulted, or could have resulted in a finding of fault and liability related to the Fair Labor Standards Act (FLSA). As of press time, the amendment has not been voted on.