John Piscopo

HARTFORD — Reform of Connecticut’s controversial prevailing wage regulations would result in economic relief for cities and towns, Rep. John Piscopo told Labor Committee members today.

Piscopo, who represents four communities including Harwinton and Litchfield, testified on H.B. 5062, An Act Concerning Collective Bargaining, Pensions and Health Care.

He first took a moment to applaud the committee’s efforts to learn more about the status of the state’s collective bargaining agreements, pensions and health care, but then used the opportunity to describe how prevailing wage law leads to increased costs on public works projects throughout the state.

State law rankles many municipal leaders by mandating benefit and wage packages for new construction projects that cost at least $400,000 and renovation projects of at least $100,000 to meet prevailing wage requirements set by the state for the communities where the work is performed.

That means public works projects, such as building a new town garage or rehabilitating an old school, cost significantly more than projects of similar scope in the private sector, Piscopo said.

“Prevailing wage costs our cities and towns millions of dollars every year, and in this economy, in particular, these artificial pay rates prove to be budget busters,” he said.

Piscopo pitched several modest proposals, including:
•  A three-year prevailing wage moratorium on school and/or transportation projects
•  Exempting projects that don’t use federal or state money
•  Increasing out-of-date thresholds for rehabilitation and new construction.