ABC continues to fight for a level playing field where all qualified contractors — union and nonunion alike — can compete for public work based on merit, not mandates. less prevalent. Nonunion contractors are also the leading employers of women, people of color and veterans in construction. Mandating PLAs sidelines inclusive employers and weakens the diversity of the federal construction workforce. For example, a 2020 U.S. Bureau of Labor Statistics report showed that nonunion firms employ more than 70% of all women in construction. By channeling work exclusively through union pipelines, PLAs make it almost impossible for these workers to participate in publicly funded projects. Additionally, PLAs may exacerbate labor shortages by restricting the available workforce to union members, rather than allowing contractors to draw from the full pool of skilled tradespeople. This problem is particularly acute in regions where union density is in the single digits — such as much of the South and Mountain West — making compliance impractical or impossible for local firms. Colorado: A New Front in the PLA Assault In 2025, Colorado enacted House Bill 25-1130, legislation that explicitly authorizes state and local government agencies to require PLAs on public construction projects valued at $1 million or more. While the law does not mandate PLAs across the board, its passage marks a significant shift in state policy and presents new challenges for all the nonunion contractors who represent the overwhelming majority of Colorado’s construction workforce. At first glance, HB25-1130 may appear neutral. It simply permits agencies to include a PLA requirement if they determine it will “promote successful project delivery” by ensuring access to a skilled labor force, promoting cost efficiency, enhancing safety and quality or guaranteeing timely completion. Yet this seemingly discretionary authority carries profound implications for competition, cost and workforce development in Colorado. Erosion of a Level Playing Field By explicitly granting permission to impose PLAs, HB25-1130 creates a legal and political pathway for agencies to tilt procurement in favor of unionized contractors driven by the political connections of the union halls and their political operatives. Historically, many Colorado agencies have refrained from imposing PLAs due to concerns about fairness, cost or legal authority. With HB25-1130 on the books, agencies now have statutory cover to insert union-only requirements into bid solicitations. This threatens fair and open competition because 89% of Colorado’s construction workforce does not belong to a union. As mentioned previously, Colorado’s nonunion firms, many of them small businesses and minority-owned companies, will be excluded when a PLA is attached to a project. Cost and Taxpayer Impacts PLAs increase project costs by 12% to 20% largely because they limit the pool of bidders and impose union wage and benefit structures on all contractors. In a state facing significant infrastructure, housing, and transportation needs, and recovering from a $1 billion budget shortfall that required a special session, every inflated dollar spent on a PLA project is a dollar diverted from other critical investments. In early 2025, the City and County of Denver laid off several hundred employees to address a $100 million budget deficit. I am sure we could all find more examples. HB25-1130 therefore risks institutionalizing a mechanism that undermines project owners’ own goals of cost efficiency and project delivery. Agencies may claim PLAs prevent labor disputes or delays, but empirical evidence from states without PLA mandates shows no greater frequency of work stoppages or project failures. In fact, broader competition — not narrower — delivers the best value to taxpayers. Workforce and Inclusion Concerns Colorado is already grappling with a construction labor shortage, with demand for skilled trades far outpacing supply. Excluding nonunion apprenticeship programs like CITC, which graduate the majority of craft professionals, is not the solution. In addition, HB25-1130 opens the door to procurement practices that disproportionately sideline inclusive employers and reduce opportunities for underrepresented workers. Why “Permission” Is Still a Threat Supporters may argue that HB25-1130 is modest because it merely allows, rather than requires, PLAs. But the reality is that permission is power. Once agencies have explicit statutory authority, political pressure from 38
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