HB195 Alabama 2014 Session

Summary

Primary Sponsor

Mack N. ButlerRepresentative

Republican

Co-Sponsors

William RobertsJim McClendonJack WilliamsAllen FarleyDan Williams

Session

Regular Session 2014

Title

Public works, Fair and Open Competition in Governmental Construction Act, public agencies prohibited from entering contracts and making certain awards based on collective bargaining agreements, certain terms prohibited in certain documents, exemptions

Summary

HB195 creates the Fair and Open Competition in Governmental Construction Act to ban terms that require or discourage union contracts in public construction and to promote open, non-discriminatory bidding on state and local projects.

What This Bill Does

It prohibits public agencies and their construction managers from including bid specifications, project agreements, or other controlling documents that require or discourage collective bargaining agreements or discriminate based on union status. It also bars agencies from awarding grants, tax abatements, or tax credits if those awards are conditioned on including such terms, and any such terms in documents are void. The act allows exemptions for individual projects after notice and a hearing if there are special health or safety reasons, and it preserves NLRA rights and existing labor relations rules; it also clarifies the act does not apply retroactively to contracts signed before it takes effect.

Who It Affects

• Public agencies at all levels (state, counties, municipalities, school districts, and related entities) must avoid including or enforcing union-related terms in construction contracts, documents, and grant/credit conditions.
• Bidders, contractors, and subcontractors on public construction projects are protected from being forced into or discriminated against for union participation through contract terms, and must be treated fairly in awarding decisions (within NLRA rights).
• Construction managers and other contracting entities acting on behalf of public agencies must not place union-related terms in bid specs or project documents.
• Recipients of grants, tax abatements, or tax credits for construction projects cannot be required to include union-related terms as a condition of the award.

Key Provisions

• Section 4: Prohibits terms in bid specs, project agreements, or controlling documents that require, prohibit, encourage, or discourage collective bargaining agreements or discriminate based on union status.
• Section 5: Prohibits grants, tax abatements, or tax credits from being conditioned on including such terms in related contract documents.
• Section 6: Requires that terms described in Section 4 not be placed in bid specs or project documents; any such terms are void.
• Section 7: Allows a public agency head to exempt a specific project from Section 4 after public notice and a hearing if special circumstances threaten public health or safety.
• Section 8: Excludes pre-existing contracts from the act; preserves NLRA protections and rights, and allows awards to entities with union agreements if those agreements are not a condition for the award and there is no discrimination.
• Section 9: Establishes the act's effective date as the first day of the third month after passage/approval.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Public Works