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From the category archives: GA-Davis-Bacon
GA-Davis-Bacon
During its annual reconvene/veto session April 22, the Virginia General Assembly agreed with Gov. Ralph Northam (D) and delayed the effective date of two laws permitting prevailing wage and project labor agreement requirements on taxpayer-funded public works projects.
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The New York State Legislature took action to include an expansion of prevailing wage in the state’s budget for fiscal year 2020-21, which was signed into law on April 3 by Gov. Andrew Cuomo (D). The provision expands the view of what projects are considered “public works” and applies prevailing wage to private projects of $5 million or above in project cost that receive at least 30% of their financing from public assistance. This assistance goes beyond direct public investment to include loan and grant programs and certain tax incentives, greatly increasing the number of projects required to pay prevailing wages.
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On Sept. 26, the U.S. Senate voted 53-44 to confirm Eugene Scalia as secretary of labor.
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On Sept. 24, the U.S. Senate Committee on Health, Education, Labor and Pensions voted 12-11 to advance the nomination of Eugene Scalia to serve as the secretary of labor. The nomination will move to the full Senate for a final confirmation vote.
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On March 29, the U.S. Department of Labor’s Office of Inspector General released an audit report on the prevailing wage rates mandated by the Davis-Bacon Act on federal or federally assisted construction projects.
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A study released by the University of Kentucky Center for Business and Economic Research concluded that West Virginia’s prevailing wage mandate, repealed by the state legislature in 2016, inflated the cost of public school construction. By comparing projects bid from 2013 to 2018 and using data provided by the West Virginia School Building Authority, the authors determined that the cost of projects bid without a prevailing wage requirement were 7.3 percent lower than those bid with government-mandated wages.
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A study released by the Minnesota Center for Fiscal Excellence found that the prevailing wage determination process utilized by the Minnesota Department of Labor and Industry leads to inaccurate wage rates on construction projects. A disproportionate 75 percent of prevailing wages reflected union rates in the period analyzed in the study, even though just 32 percent of private construction workers in Minnesota belong to a union.
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A study released this month by the Illinois Policy Institute found that repealing the state’s prevailing wage law would help boost the state’s economy by lowering the cost to taxpayers on publicly funded construction projects and spurring job growth in the construction industry.
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Last week, the House of Representatives passed H.R. 3354, the Make America Secure and Prosperous Appropriations Act, 2018, which provides $1.1 trillion in discretionary funding for the federal government through 12 individual appropriations bills.
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On July 13, the House of Representatives voted down Rep. Paul Gosar’s amendment to the National Defense Authorization Act by a vote of 183-242.The amendment, H. Amdt. 180 (Gosar) H.R. 2810, would have directed the secretary of labor to use Bureau of Labor Statistics (BLS) data for wage determinations under the Davis-Bacon Act (DBA). Using accurate BLS data would prove the federal government is sincere in its goal of curbing waste and stretching project dollars further in addition to increasing competition, lowering costs and helping to level the playing field for all members of the construction industry.
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