Advertisement

White House Suspends New Contracting Rule

Share via
Associated Press

The Bush administration is suspending a new Clinton-era rule that prevents the government from awarding contracts to bidders who have broken environmental, labor, tax or other federal laws.

The “contractor responsibility” rule--which took effect Jan. 20, President Clinton’s last day in office--is suspended for 270 days or until it is revoked.

Labor unions favor the rule, but business groups have sued, arguing that linking contract awards to violations of laws is unfair.

Advertisement
Advertisement