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From the category archives: GA-Davis-BaconGA-Davis-Bacon
ABC supports the Highway Trust Fund Reform Act of 2019 (H.R. 3904), legislation introduced on July 24 by Rep. Virginia Foxx (R-N.C.) that would exempt federally funded or federally assisted Highway Trust Fund projects from federal Davis-Bacon requirements, known as prevailing wage. The Congressional Budget Office estimates that repealing Davis-Bacon would save the Federal Highway Administration more than $700 million a year.
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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of Kentucky Center for Business and Economic Research concluded that West Virginia’s prevailing wage mandate, repealed by the state legislature in 2016, inflated the cost of public school construction.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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On May 22nd, U.S. Senator Jeff Flake (R-AZ) introduced The Opportunity in Construction Act, which aims to reform the way the U.S. Department of Labor (DOL) calculates prevailing wages under the 1931 Davis-Bacon Act. Sen. Flake’s bill directs the DOL to set prevailing wages for federal and federally assisted construction projects covered by the Davis-Bacon Act and Related Acts using data collected by the Bureau of Labor Statistics (BLS).
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On March 22, the U.S. Senate Committee on Health, Education, Labor and Pensions (HELP) held a confirmation hearing on the nomination of R. Alexander Acosta to serve as United States Secretary of labor. President Trump nominated Acosta to head the U.S. Department of Labor On Feb. 16. Acosta’s nomination must be approved by the HELP Committee before the full Senate can vote on his nomination.
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On Feb. 15, President Trump’s nominee for Secretary of Labor, former CKE Restaurants CEO Andrew Puzder, withdrew from consideration of the position. Prior to his withdrawal, Puzder was slated to appear before the U.S. Senate Committee on Health, Education, Labor, and Pensions for a hearing on Thursday Feb. 16.
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