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HomeMy WebLinkAbout09-178 MAY 12, 2009 09-119 09-178 PENDING APRIL 14, 2009 RESOLUTION (CARRIED_______ LOST _2-3-1P__ LAID OVER ______ WITHDRAWN _______) PURPOSE: REQUEST STATE TO MODIFY THE PROPOSED BUDGET BILL IN REGARD TO APPLICATION OF PREVAILING WAGE RATE TO LOCAL PROJECTS INITIATED BY: CITY ADMINISTRATION WHEREAS, Governor Doyle’s proposed biennial state budget, AB 75, would make the prevailing wage law applicable to virtually any construction project, public or private, costing more than $2,000 in government funds; and , WHEREAS the calculation of prevailing wage is a flawed process that bears little resemblance to actual prevailing wages in a community or region; and WHEREAS, under current law the prevailing wage requirements only apply to multiple-trade public works projects over $234,000 and single-trade public works projects over $48,000; and , WHEREAS reducing the threshold to $2,000 will increase the cost to Wisconsin residents of small construction projects, public and private, to which taxpayer funds are contributed; and , WHEREAS examples of these projects that would directly impose additional costs on Wisconsin residents include: curb and gutter work outside people’s homes;  housing rehabilitation programs that benefit thousands of low-income  homeowners and renters across Wisconsin;  facade improvements for small businesses;  lead remediation programs in older neighborhoods;  projects undertaken by housing trust funds and numerous private groups; and  regional revolving loan funds (which are exempt from federal prevailing wage  provisions); and , WHEREASthe budget provision would further hinder economic growth by affecting private construction in tax increment financing (TIF) districts as well as a wide range of other economic development activities in addition to those enumerated above; MAY 12, 2009 09-119 09-178 PENDING APRIL 14, 2009 RESOLUTION CONT’D , NOW THEREFORE BE IT RESOLVED that the City of Oshkosh joins the Wisconsin Alliance of Cities and requests that the Governor and Legislature modify the budget bill to trigger the applicability of prevailing wage at least $1 million in financial assistance before prevailing wage would be triggered only when direct subsidies to developers and other taxpayer contributions to economic development projects exceed $1 million; and , BE IT FURTHER RESOLVEDthat the City of Oshkosh also joins the Wisconsin Alliance of Cities to request that the Governor and Legislature modify the budget bill to ensure that all government activities that are exempt from federal prevailing wage requirements also be exempt from state requirements.