This bill establishes new regulations for state government entities regarding labor organization agreements in construction-related contracts and grants. Specifically, it prohibits these entities from including terms in contract-related documents that require, prefer, or discriminate against bidders, contractors, or subcontractors based on their affiliation with labor organizations. The bill defines key terms such as "construction related project," "contract-related document," and "governmental entity," and outlines the conditions under which contracts and grants may be awarded or renewed. Additionally, it allows for exemptions in cases where public health or safety is at risk.

Furthermore, the bill introduces a new section that explicitly prohibits state agencies from issuing requests for proposals (RFPs) or entering into contracts that favor or disfavor contractors based on their labor organization affiliation, ensuring neutrality in the contracting process. The act will take effect 60 days after its passage. Notably, the bill does not impose any fiscal impact on state, county, or local expenditures or revenue.