Bill Text: MI SB0165 | 2011-2012 | 96th Legislature | Engrossed
Bill Title: Construction; contracts; fair and open competition in governmental construction act; create. Creates new act.
Spectrum: Partisan Bill (Republican 21-0)
Status: (Passed) 2011-08-24 - Assigned Pa 98'11 With Immediate Effect [SB0165 Detail]
Download: Michigan-2011-SB0165-Engrossed.html
SB-0165, As Passed Senate, June 16, 2011
SUBSTITUTE FOR
SENATE BILL NO. 165
A bill to provide for fair and open competition in
governmental construction contracts, grants, tax abatements, and
tax credits; to prohibit requirements for certain terms in
government contracts and contracts supported through government
grants and tax subsidies and abatements; to prohibit expenditure of
public funds under certain conditions; to prohibit certain terms in
procurement documents for certain expenditures involving public
facilities; and to provide for powers and duties of certain public
officers, employees, and contractors.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 1. This act shall be known and may be cited as the "fair
and open competition in governmental construction act".
Sec. 3. As used in this act:
(a) "Facility" means any actual physical improvement to real
property owned, or leased, directly or through a building
authority, by a governmental unit, including, but not limited to,
roads; bridges; runways; rails; or a building or structure along
with the building's or structure's grounds, approaches, services,
and appurtenances.
(b) "Governmental unit" means this state, a county, city,
township, village, school district, intermediate school district,
community college, or public university that receives
appropriations from this state, or any agency, board, commission,
authority, or instrumentality of the foregoing.
Sec. 5. A governmental unit shall not enter into or expend
funds under a contract for the construction, repair, remodeling, or
demolition of a facility if the contract or a subcontract under the
contract contains any of the following:
(a) A term that requires, prohibits, encourages, or
discourages bidders, contractors, or subcontractors from entering
into or adhering to agreements with a collective bargaining
organization relating to the construction project or other related
construction projects.
(b) A term that discriminates against bidders, contractors, or
subcontractors based on the status as a party or nonparty to, or
the willingness or refusal to enter into, an agreement with a
collective bargaining organization relating to the construction
project or other related construction projects.
Sec. 7. A governmental unit shall not award a grant, tax
Senate Bill No. 165 as amended June 16, 2011
abatement, or tax credit that is conditioned upon a requirement
that the awardee include a term described in section 5(a) or (b) in
a contract document for any construction, improvement, maintenance,
or renovation to real property or fixtures that are the subject of
the grant, tax abatement, or tax credit. <<This section does not
prohibit a governmental unit from awarding a grant, tax abatement,
or tax credit to a private owner, bidder, contractor, or
subcontractor who enters into or who is party to an agreement with
a collective bargaining organization, if being or becoming a party or adhering to an agreement with a collective bargaining organization is
not a condition for award of the grant, tax abatement, or tax credit,
and if the governmental unit does not discriminate against a private owner, bidder, contractor, or subcontractor in the awarding of that grant, tax abatement, or tax credit based upon the status as being
or becoming, or the willingness or refusal to become, a party to an agreement with a collective bargaining organization.>>
Sec. 9. A governmental unit or a construction manager or other
contracting entity acting on behalf of a governmental unit shall
not place any of the terms described in section 5 in bid
specifications, project agreements, or other controlling documents
relating to the construction, repair, remodeling, or demolition of
a facility. Any such included term is void and of no effect.
Sec. 11. The requirements of this act do not do either of the
following:
(a) Affect any provision in 1965 PA 166, MCL 408.551 to
408.558.
(b) Apply to construction contracts executed before the
effective date of this act.
Sec. 13. This act does not do either of the following:
(a) Prohibit employers or other parties from entering into
agreements or engaging in any other activity protected by the
national labor relations act, 29 USC 151 to 169.
(b) Interfere with labor relations of parties that are
protected under the national labor relations act, 29 USC 151 to
169.
