Half of Loudoun County Contractors Won’t Bid on PLA Projects
Not Interested!
More evidence the PLAs stifle bid competition and raise costs for taxpayers.
Half of Loudoun County contractors are not interested in bidding on Loudoun projects with a Project Labor Agreement (PLA) according to an internal government survey. In May, the Loudoun County Government surveyed general contractors to determine how much PLAs impact their decision to bid on County projects. This survey specifically targeted contractors who have bid on County projects in the past year to see if and how a project PLA would change their behavior. The survey results revealed that half of these contractors are not interested in bidding on two upcoming PLA projects in the county – a clear indication that PLAs discourage bid competition.
Independent research, including a recent study by the RAND Center on Housing & Homelessness, consistently shows that PLAs reduce competition and drive-up costs. In Los Angeles, for example, a PLA requirement led to a 21% increase in project expenses.
Loudoun County’s survey results add to the growing body of evidence that finds PLAs limit competition and increase taxpayer costs. With half of local contractors opting out of PLA-covered projects, the County risks sidelining trusted, long-time bidders in favor of a narrower pool and higher costs. If Loudoun continues down this path, it will burden not just local businesses, but also county residents with higher taxes for public works.