[Weekly Compilation of Presidential Documents Volume 33, Number 23 (Monday, June 9, 1997)]
[Pages 836-837]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
Memorandum on Use of Project Labor Agreements for Federal Construction 
Projects

June 5, 1997

Memorandum for the Heads of Executive Departments and Agencies

Subject: Use of Project Labor Agreements for Federal Construction 
Projects

    The National Performance Review and other executive branch 
initiatives have sought to implement rigorous performance standards, 
minimize costs, and eliminate wasteful and burdensome requirements. This 
Presidential memorandum continues those efforts, by encouraging 
departments and agencies in this Administration to consider project 
labor agreements as another tool, one with a long history in 
governmental contracting, to achieve economy and efficiency in Federal 
construction projects.
    Therefore, by the authority vested in me as President by the 
Constitution and the laws of the United States of America and to ensure 
the economical and efficient administration and completion of Federal 
Government construction projects, it is hereby directed as follows:
    Section 1. Executive departments or agencies during this 
Administration authorized to award a contract for the construction of a 
facility to be owned by a Federal department or agency may, on a 
project-by-project basis, use a project labor agreement on a large and 
significant project, (a) where a project labor agreement will advance 
the Government's procurement interest in cost, efficiency, and quality 
and in promoting labor-management stability as well as compliance with 
applicable legal requirements governing safety and health, equal 
employment opportunity, labor and employment standards, and other 
matters, and (b) where no laws applicable to the specific construction 
project preclude the use of the proposed project labor agreement.

    Section 2. If an executive department or agency during this 
Administration determines that use of a project labor agreement will 
serve the goals set forth in section 1(a) of this memorandum on a large 
and significant project, and that no law precludes the use of a project 
labor agreement on the project, the executive department or agency may 
require that every contractor or subcontractor on the project agree, for 
that project, to negotiate or become a party to a project labor 
agreement with one or more appropriate labor organizations. The 
executive department or agency has discretion whether to include such a 
requirement.

    Section 3. Any project labor agreement reached pursuant to this 
memorandum:

(a)         shall bind all contractors and subcontractors on the 
            construction project through the inclusion of appropriate 
            clauses in all relevant solicitation provisions and contract 
            documents;

(b)         shall allow all contractors and subcontractors wishing to 
            compete for contracts and subcontracts on the project to do 
            so, without discrimination against contractors, 
            subcontractors, or employees based on union or nonunion 
            status;

(c)         shall contain guarantees against strikes, lockouts, and 
            similar work disruptions;

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(d)         shall set forth effective, prompt and mutually binding 
            procedures for resolving labor disputes arising during the 
            project;
(e)         shall provide other mechanisms for labor-management 
            cooperation on matters of mutual interest and concern, 
            including productivity, quality of work, safety, and health; 
            and
(f)         shall fully conform to all applicable statutes, regulations, 
            and Executive orders.
    Section 4. This memorandum does not require an executive department 
or agency to use a project labor agreement on any project, nor does it 
preclude use of a project labor agreement in circumstances not covered 
here, including leasehold arrangements and federally funded projects. 
This memorandum also does not require contractors to enter into a 
project labor agreement with any particular labor organization.
    Section 5. The heads of executive departments or agencies covered by 
this memorandum, in consultation with the Federal Acquisition Regulatory 
Council, shall establish, within 120 days of the date of this 
memorandum, appropriate written procedures and criteria for the 
determinations set forth in section 1.
    Section 6. This memorandum is not intended to create any right or 
benefit, substantive or procedural, enforceable by a nonfederal party 
against the United States, its departments, agencies or 
instrumentalities, its officers or employees, or any other person.
    Section 7. (a) ``Construction'' as used in this memorandum shall 
have the same meaning it has in section 36.102 of the Federal 
Acquisition Regulation.
    (b) ``Executive department or agency'' as used in this memorandum 
means any Federal entity within the meaning of 40 U.S.C. 472(a).
    (c) ``Labor organization'' as used in this memorandum shall have the 
same meaning it has in 42 U.S.C. 2000e(d).
    (d) ``Large and significant project'' as used in this memorandum 
shall mean a Federal construction project with a total cost to the 
Federal Government of more than $5 million.
    Section 8. This memorandum shall be effective immediately, and shall 
apply to all solicitations issued after notice of establishment of the 
procedures and criteria required under section 5 of this memorandum.
                                            William J. Clinton

Note: This memorandum was released by the Office of the Press Secretary 
on June 6.