King: Repeal Davis-Bacon to Save Taxpayer Dollars and Help Small Businesses

Washington, DC - Congressman Steve King released the following statement after reintroducing the Davis-Bacon Repeal Act in the 113th Congress as H.R. 2013. Davis-Bacon is a Depression-era law that artificially inflates the cost of federal contracts and restricts the ability of small businesses to compete for these contracts. According to the non-partisan Congressional Budget Office, and the Heritage Foundation, repealing Davis-Bacon will save taxpayers billions.

"In my years in the construction industry I have paid Davis-Bacon wages and I have been paid Davis-Bacon wages," said King. "I have seen with my own eyes how federal micro-managing of wage rates for Davis-Bacon projects disrupts the work done on federal construction contracts, leading to higher-costs and less productive work. I have also experienced firsthand how Davis-Bacon projects work to price small, merit shop construction firms out of the market for federally funded contracts, and how this reduced competition results in reduced value for taxpayers.

What I saw working construction projects has been verified by countless studies, which have shown that Davis-Bacon projects cost taxpayers more than necessary while providing them no added benefit. My experience in the industry brings me to this conclusion: if not for Davis-Bacon, for the same price we're paying now we could build five bridges instead of four and five miles of road instead of only four miles.

Davis-Bacon is bad for taxpayers and it is bad for small businesses. Repealing this outdated, Depression-era law would be a big step towards ensuring taxpayer dollars are being used wisely and efficiently. Repealing Davis-Bacon should be a no-brainer."