In a November 26, 2019 letter to Congressman Scott Peters (D-CA-52), MCAA Government Affairs Committee Chair Jim Gaffney voiced MCAA’s support for the Stop Unfair Bid Shopping Act of 2019 (SUBS Act, HR 5247). The letter commends the Congressman for introducing the latest version of the good-government reform to the direct Federal construction contract low-bid, price-only selection procedures.
The SUBS Act would require prime contractors on awards of $1.5 million or more to list major first-tier subcontractors of $100,000 or more. Post-award substitutions of listed subcontractors that amount to deductions of 10% or more would result in a deductive change to the prime contract for amounts above the substitution threshold.
This is the latest version of the perennial sub bid listing measure that once passed the Congress and suffered a Presidential veto many decades ago. It also prevailed in agency procurement from 1963 to 1983 but was rescinded at that point based on outdated procurement practices.
Congressman Peters’ SUBS Act has been referred to the House Oversight and Government Reform Committee, which is now chaired by New York Congresswoman Carolyn Maloney (D-NY-12), who has been a sponsor of subcontractor bid listing for several Congresses.
MCAA will continue to monitor the act’s progress and will keep you updated.