Following Hard Rock collapse, council and Mayor begin work on ‘responsible bidders ordinance’ (LA)

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By Michael Isaac Stein
24th February 2020

A New Orleans City Council committee on February 12, heard presentations from labor union leaders, officials with the Louisiana Workforce Commission and other labor advocates about a proposal for the city to pass a “responsible bidders ordinance” in order to hold current and prospective city contractors accountable for the treatment and safety of their employees.

While the details have yet to be worked out, proponents of such an ordinance called for a requirement that companies seeking city work disclose past safety violations and labor complaints as part of their bids.

Public calls for such an ordinance have grown in the months following the October collapse of the Hard Rock Hotel on Canal Street. The incident killed three workers and injured over a dozen more.

Labor advocates told the council’s Economic Development & Special Development Projects Committee on Wednesday that such a disaster was inevitable given the current climate of construction contracting in the city. They argued that public bid laws that apply to construction contracts, which require the city to choose the firm offering the lowest price, drive companies to cut costs wherever possible to the detriment of their employees.

“This has been going on for a really long time,” said Chip Fleetwood, director of business development for the local chapter of the Painters and Allied Trades International Union. “We’re to a point where it’s almost like the wild, wild west. It was only a matter of time before something like that happened. In the building trade’s opinion, we knew there was going to be a breaking point. And we’re at the breaking point now. If something isn’t done, if we don’t really hold contractor’s accountable, it’s going to happen again.” …

Erika Zucker, policy advocate at the Workplace Justice Project at the Loyola College of Law, argued that transparency, monitoring and enforcement should all be part of the equation. She said that major changes should be made to how the city considers and chooses contractors. Instead of just relying on the lowest quote, she said that contractors should have to disclose much more info, such as past labor law and safety violations.
She also said the city should create a fair contracting task force to implement and enforce the new rules.

The Hard Rock Hotel was a private development, not a public one, so the city wasn’t party to the construction contracts. Even so, Zucker argued that a responsible bidders ordinance would still have an effect on private developments.

“The city becomes overall the most responsible contracting entity and sets an example for the region,” she said.

Zucker also argued that the ordinance should be applied to any project that are either “wholly public projects or projects that use public money that looks more like a public-private partnership, which can look like anything from a tax incentive to joint operation.”

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