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Prevailing wage repeal legislation left simmering by state GOP

Date Posted: March 20 2015

LANSING - Lurking just beyond the horizon of the May 5 Proposal 1 special election for added road money is prevailing wage repeal - a subject which was front and center with several speakers at the Michigan Building and Construction Trades Council's Legislative Conference earlier this month.

Repeal of the Prevailing Wage Act of 1965 was made the top legislative priority this year for Lansing Republican leaders, who symbolically placed repeal language at the top of their priority list, in the form of Senate Bills 1, 2, and 3, and House Bills 1, 2, and 3 of 2015.

Not all Republican lawmakers support prevailing wage repeal - State Sen. Tom Casperson (R-Escanaba) is among a handful of GOP lawmakers so far who don't support it - but there's widespread agreement that only a handful of swing votes would determine whether repeal is successful.

"We have a fight on our hands in Lansing," said state Democratic House Floor Leader Tim Greimel (D-Auburn Hills) to building trades delegates. "I wish all the state Republican legislators were like Tom Casperson, but the current state House is more right-wing that it ever has been before, and I didn't think that was possible.

"This speaks to the difference in philosophy in our state. They (the GOP) want to reduce wages for the working class across the state. Their highest priority is to provide cheap labor to their corporate donors. Our caucus wants to protect prevailing wage."

The GOP has shelved any action on prevailing wage repeal until after the May 5 special election. There's fear among building trades leaders that if Proposal 1 is defeated by state voters, Republican legislators will tie some form of additional funding package for state roads together with prevailing wage repeal - and falsely claim state taxpayers will save money.

"We need to educate more folks about prevailing wage," said state Sen. Jim Ananich (D-Flint) to the delegates. Let me state this point blank. We will never support legislation that lowers wages, and that's what prevailing wage repeal would do."

Prevailing wage laws exist in 37 states, and ensure that construction wages that prevail in local areas are used as a baseline for construction contractors bidding taxpayer-funded work.

"Look at what people here say are their priorities," said State Rep. Sam Singh (D-East Lansing). "House Democrats stand for education, economic and a competitive playing field. The other side of the aisle has an agenda, and No. 1 on their agenda is getting rid of prevailing wage."