Washington State House of Representatives Office of Program Research | BILL ANALYSIS |
Labor Committee |
HB 2014
This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent. |
Brief Description: Implementing potential action seven of the joint transportation committee report on efficiencies in the construction and operation of state transportation projects.
Sponsors: Representatives Orcutt, Hayes and Pike.
Brief Summary of Bill |
|
Hearing Date: 2/16/15
Staff: Joan Elgee (786-7106).
Background:
Under Washington's prevailing wage law, wages paid to laborers, workers, and mechanics "upon all public works" of the state or political subdivisions must be not less than the prevailing rate of wage in the same trade or occupation in the locality within the state where the labor is performed. The Washington State Supreme Court held that the prevailing wage law applies to the off-site manufacture of prefabricated items for use on a particular project.
The federal Davis-Bacon Act (Act) applies to federally funded or assisted projects and requires payment of prevailing wages to mechanics and laborers "employed directly on the site of the work." Under federal rule, work at fabrication plants whose location and continuance in operation are determined without regard to a federal contract is not on the site of the work. Truck drivers are also treated differently under the state prevailing wage law and the Act.
The 2013-2015 state transportation budget included direction to the Joint Transportation Committee (JTC) to study transportation cost drivers and potential efficiencies to contain project costs and gain more value from investments in the state's transportation system. In its report, issued in January 2014, the JTC identified 22 potential action items. Item seven is to change state prevailing wage law to match the federal law regarding payment of prevailing wages to persons employed "directly on the site of the work."
Summary of Bill:
On transportation public works projects, the prevailing wage law applies only to mechanics and laborers employed directly on the site of the work.
Appropriation: None.
Fiscal Note: Requested on February 18, 2015.
Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.