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Stauber Introduces the Parity in Engineering Act

April 2, 2024

WASHINGTON, D.C. – This week, Congressman Pete Stauber (MN-08) introduced the Parity in Engineering Act, legislation that will make it easier for engineering firms in our state to do business by eliminating Minnesota’s exemption from common federal procurement requirements.

Of his legislation, Congressman Stauber said, “For too long, an arbitrary cap on the cost of doing business has put engineering firms in Minnesota at a disadvantage. I am proud to introduce the Parity in Engineering Act to remove this barrier to business success, and I thank the American Council of Engineering Companies of Minnesota for working with me on this critical issue.”

Jonathan Curry, Executive Director of the American Council of Engineering Companies of Minnesota said, “We are grateful to Congressman Stauber for introducing legislation that will be hugely beneficial to Minnesota’s engineering firms. By eliminating this obstacle that has decreased competition and limited innovation, this legislation will go a long way in keeping engineering jobs in Minnesota and ensure MnDOT has access to the most qualified individuals and firms working on our state's infrastructure projects. We applaud this legislative effort!”

BACKGROUND:

Prior to the mid-1990s, states had a patchwork of policies for the procurement, administration, and auditing of contracts for engineering and design services. Many states placed overhead cap rates on engineering firms that did not reflect the true cost of business.  

Through the passage of several pieces of legislation, Congress mandated that states must follow common federal procurement requirements to guide how their respective Department of Transportation (DOT) contracts for engineering services on federal-aid projects. However, an exemption precluded Minnesota and West Virginia from following these federal requirements.

As a result, Minnesota’s Department of Transportation has developed practices that are inconsistent with federal regulations and run counter to the policies in other states.

Link: 
Stauber Introduces the Parity in Engineering Act | Representative Pete Stauber (house.gov)