Labor leader says square footage increase shows prevailing wage repeal hasn’t worked (WV)

Posted by National Alliance for Fair Contracting on

By Jeff Jenkins in News
November 10, 2019 at 4:11PM

CHARLESTON, W.Va. –

School superintendents from dozens of counties will appear before the state School Building Authority next week in hopes of convincing the SBA to fund their school construction projects in the latest round of “Needs” grants. A recent move by the SBA will allow some of those counties to seek more money for their projects.

The SBA last week approved a 20 percent increase in allowable square footage costs for new school construction.

“We’re seeing trends in square foot costs that affect all projects so we thought it was prudent for us to raise the maximum amount a county could request up to 20 percent higher,” SBA Director of Architectural Services Ben Ashley said.

A West Virginia labor leader said the increase is further proof the the legislature’s decision to repeal the state’s Prevailing Wage law in 2016 hasn’t worked.

“It’s true that costs have gone up but it’s kind of surprising that with the repeal of prevailing wage they are recognizing this,” West Virginia Affiliated Construction Trades Foundation Director Steve White recently told MetroNews. “You get what you pay for and the school systems are finding out when low-wage labor is used it’s causing all sorts of problems and costing them more.”

In 2016 the Republican-led legislature wiped out the long-held practice in West Virginia where the government surveys contractors to determine the minimum level of pay for a variety of classifications of jobs on state-funded projects, such as schools.

Supporters of prevailing wage argued prevailing wage provided a living wage for workers, while keeping out-of-state contractors from undercutting West Virginia construction companies and workers. Those favoring the repeal said the state overpaid millions of dollars for projects with the flawed survey system.

(Read More)

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Labor says study proves ending prevailing wage was a mistake (WV)

Posted by National Alliance for Fair Contracting on

By MetroNews
May 21, 2019 at 2:07 PM

CHARLESTON, W.Va. – The organization which represents skilled tradesmen in West Virginia believes a new study out of the University of Missouri-Kansas City is clear evidence the removal of the prevailing wage requirement in West Virginia was a mistake.

The Affiliated Construction Trades Foundation released the findings from the Midwest Economic Policy Institute which examined West Virginia’s state funded construction costs three years after the legislature eliminated a requirement for payment of a prevailing wage on state funded construction jobs.

“The report finds there has been no savings,” said ACT Foundation Executive Director Steve White on MetroNews Talkline. “This experiment to bring savings has failed.”

Supporters of the removal of the prevailing wage requirement claimed the action would enable to the state to enjoy enough savings to build five new schools for the cost of three. White said the data from the study found quite the opposite. He said the study found no savings to taxpayers, despite diminished wages for the laborers on the job.

“Building four schools for the price of three or five for the price of three would be a 25 percent savings,” White said. “It’s totally untrue.”

White said many of their members have lost not only wages, but also lost benefits because of the provision’s removal.

“When you compare it to surrounding states, they’ve lost even more,” he said. “The folks in surrounding states that have prevailing wage have seen modest increases. You’ve seen huge cuts in wages and benefits.”

White and his organization plan to use the data to build their case for the legislature to reinstate the prevailing wage law in the next legislative session. White said the provision has done more harm than good, despite what it was touted to have been in the beginning.

“We want good paying jobs and we want people to have good benefits,” he said. “There’s also cost to the taxpayer when people are not paid and not productive and don’t have those benefits.”

(Read More)

(See PDF of Study)

 

ACT pickets local health center

Posted by National Alliance for Fair Contracting on

August 24, 2013

By Wendy Holdren Register-Herald Reporter
A group of pickets with Affiliated Construction Trades Foundation were gathered on the roadway outside the Beckley VA Medical Center this week, holding signs that read “Demand Local Jobs for Local Workers.”

Representative Wayne Rebich said his group is concerned that the company hired to build an MRI center and an adult day care center at the VA, Seawolf Construction, is not following the same laws that West Virginia contractors are obligated to follow.

Seawolf Construction is a GSA-approved contractor, according to a representative for the Beckley VA Medical Center, and is based in Jersey City, N.J.

Rebich explained that Seawolf was the lowest bidder for both of the VA projects, so his organization contacted Seawolf to encourage them to hire local subcontractors.

(Read More)

Rep. Matt A. Szollosi Resigns as Assistant Minority Leader of the Ohio House of Rep.

Posted by National Alliance for Fair Contracting on

Former Speaker Pro Tem Takes Helm at ACT Ohio

May 31, 2013 (Columbus, Ohio)

Today, Rep. Matthew A. Szollosi officially resigned his seat in the Ohio House of Representatives to become the Executive Director of the Affiliated Construction Trades, or ACT Ohio. Szollosi, 39, also recently left the law the Law Offices of D’Angelo, Szollosi & Hughes Co., L.P.A. for the full-time post.

According to Szollosi, “ACT Ohio is a 501(c)(5) organization created to advance quality economic and industrial development opportunities, and to promote industry best practices for Ohio’s public and private construction projects.”

Szollosi, who has specialized in construction law for close to 15 years, believes many of Ohio’s business and elected leaders are unaware of the industry’s investment in 501(c)(5) and its unwavering commitment to safety. “My job is to change that. There’s simply no question that contractors with a highly skilled and properly trained workforce will yield the best, most cost-effective results for the customer, which is our goal.”

ACT Ohio will also seek enforcement of state and federal construction laws designed and implemented to prevent the undercutting of area standards for wages and benefits on taxpayer funded projects, said Szollosi.

“I look forward to working closely with my friends and colleagues in Ohio and through our network of professionals with the National Alliance for Fair Contracting as well.”

Learn More About ACT Ohio