ABC: New York Ranks 47th for Construction Business Climate

December 3rd, 2018

According to a report released by Associated Builders and Contractors (ABC), construction contractors in New York continue to face numerous challenges, including over-regulation, high tax burdens and (Read ABC’s New York scorecard here.)  ABC represents merit-shop contractors, who support open and fair competition among diverse participants, and who advocate for government entities to award contracts based solely on merit to the lowest responsible bidder, regardless of labor affiliation.

The group cites project labor agreement requirements and prevailing wage mandates – both of which add excessive costs onto construction projects – as factors that drive up taxpayer costs for construction project.

Brian Sampson, ABC Empire State Chapter President, said:

“The Project Labor Agreement is a discriminatory, pre-hire agreement with labor organizations requiring that the workforce comes from the local union hiring hall. These agreements demonstrate false savings claims and ultimately drive up taxpayer costs. However, they are the preferred method Governor Cuomo has continued to use to give back to his union campaign donors time and time again. On multiple occasions, the Governor has publicly declared his undying support for organized labor, saying he will do everything he can to use PLAs and ensure New York builds everything union. The Governor needs to do away with PLA’s altogether. Until that happens, small businesses will continue to suffer, largely because the Governor’s political aspirations always trump the best interests of his constituents.”

Unshackle Upstate shares ABC’s concerns about state policies and practices that drive up state costs and jeopardize economic development projects. The Upstate economy continues to struggle — even as the state spends billions in economic development incentives.  It’s time that state lawmakers take a hard look at what is holding back the Upstate economy, and change those policies.