Construction companies worried about a backlash on proposed border wall want federal protections.
Construction companies worried about a backlash for working on President Donald Trump’s proposed border wall are pushing for federal protections, including stopping cities and states from penalizing them, as a new battle erupts over his crackdown on illegal immigration.
The Associated General Contractors of America wants Attorney General Jeff Sessions to sue to prevent states and localities from denying contracts or divesting from companies that participate in wall construction..
The group also wants assurances that local authorities will provide reasonable protection for workers and equipment on job sites, as well as contractor reimbursement for security costs or damage from vandalism.
Companies are struggling with whether to participate in the wall, even before Congress decides whether to satisfy Trump’s demands to allocate funding. Trade groups representing both construction and engineering firms said some companies declined to bid on the eight wall prototype sections completed in San Diego last month because they feared the political backlash or their preferred subcontractors wouldn’t work on the project.
“This is not an attractive business decision, considering a lot of the opposition and the little support you’re getting from the federal government,” said Jordan Howard, director of the Federal and Heavy Construction Division for the Associated General Contractors of America.
Berkeley, Oakland and Richmond in California and Tucson, Ariz., have already passed resolutions to stop doing business with companies involved in building the wall or to divest from them and the Oakland City Council is holding its initial vote Nov. 7 on whether to place the restriction into city law.
Similar measures also have been proposed in eight states and 10 other municipalities including New York City, according to an association tally. It’s creating a clash between communities that see the wall as antithetical to their values and companies trying to do business.
“Companies have a choice: help build the wall, a monument to racism and bigotry, or do business in New York City,” said Public Advocate Letitia James in March. She has announced plans to have the city’s Employee Retirement System study divesting from wall contractors and to introduce legislation preventing them from obtaining city contracts if there is wall funding. “We won’t allow you to do both,” said James, who is the second-highest ranking elected official in the city.
The idea that qualified companies would take themselves out of the running for projects for fear of a backlash shortchanges the firms and the government, said Dave Raymond, president and chief executive of the American Council of Engineering Companies.
“We believe that our members should be able to participate in lawful federal contracting efforts without fear of reprisals,” Raymond said.
Raymond said his organization, which has more than 5,000 members, is focused on persuading officials from states and localities not to take action against wall contractors, while the contractors’ group is pushing the federal government to do more.
The Associated General Contractors of America, which represents more than 26,000 firms, sent a letter to Sessions in August saying it was “imperative” that the Justice Department sue to prevent states and localities from acting against wall contractors.
The Justice Department declined to comment.