February 25, 2015

Bolinsky Pushes for Fairer Wage Laws for Local Projects

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MIDDLETOWN-With the increasing concern about unfunded state mandates, and recent escalation of unemployment costs, budget constraints on the local and state levels, State Rep. Mitch Bolinsky (Newtown) testified in support of state prevailing wage reform.

In a packed Middletown City Hall Council Chambers Rep. Bolinsky testified on the need for prevailing wage reform and proposed a bill to double the prevailing wage thresholds.

Bolinsky said, “The goal of this proposal is to make an inflationary adjustment to prevailing wage thresholds, allowing towns to properly value needed projects on an “Apples to Apples” basis. Coincidentally, at year-end 2014, the U.S. Bureau of Labor Statistics’ Consumer Price Index (CPI) rose to 236.7 and is now exactly 100 basis points greater than when the last PW threshold calibration was made, in 1991, when CPI was 136.2. It’s time to use real numbers that make sense for the town.”

Prevailing wage is a higher, state-regulated cost applied to construction or remodeling efforts of any public building, such as schools, and town halls. Under this law, the cost of construction increases by nearly 1/3 of what the original estimated cost would be. As an example, a project estimated to cost taxpayers one million dollars will end up costing $1.3 million dollars because of prevailing wages.

Currently, under the Connecticut General Statues, prevailing wage legislation applies to each contract for the construction, remodeling, refinishing, refurbishing, rehabilitation, alteration or repair of any public works project by the State or its agents, or by any political subdivision of the State.

Additionally, Bolinsky testified on HB 6250, An Act Concerning Private Contributions to Public Works Projects and the Prevailing Wage Standard, which would encourage and reward private, charitable investment in projects where a benefactor or benefactress seeks to “give-back” to a community.

Bolinsky highlighted Newtown’s own “Town Benefactress” Mary Elizabeth Hawley, who’s generosity and love for our little town in the 1920’s and early 1930’s, resulted in bequests of Edmond Town Hall, The C.H. Booth Memorial Library, Hawley School, Newtown Community Cemetery, Hawley Pond, Hawley Bridge and more to her home town. She turned our little town into big-town.

The proposal would exempt such philanthropically-funded projects from the calculation used to determine whether a public works project must abide by prevailing wage laws permitting people like Mary Elizabeth Hawley to play a role in guiding such projects forward.

Newtown Legislative Council member, Ryan Knapp also testified in favor of municipal relief from prevailing wage laws.