A Dept. of Defense authorization measure moving in the House includes an amendment to block a presidential directive for contractors to disclose labor-law violations when bidding for DOD and National Nuclear Security Administration projects.

President Obama in 2014 signed an executive order requiring contractors for all federal agencies to disclose labor-law violations when they submit bids. The administration says such disclosures are necessary to ensure a level playing field for all contractors. Regulations to implement the directive were proposed in 2015.

But groups such as the Associated Builders and Contractors call the order “blacklisting” and say it would restrict a company’s ability to defend against alleged violations. The order “will lead to delays [and] increased costs,” says Ben Brubeck, an ABC vice president.

The House Armed Services Committee on April 28 cleared the DOD bill with the amendment, which applies just to DOD and NNSA bidders. A Senate DOD bill is expected to be unveiled in May.