Oppose the Constant Expansion of Prevailing Wage in New York State

The State Legislature is back this week, and already looking to expand prevailing wage in New York.


We are asking you to contact your Senator and Assembly Member and urge them to oppose S.8334-A/A.10626-A which expands the definition of construction, as applied to projects subject to prevailing wage to specifically include work involving the delivery of aggregate supply construction materials.

 

There is no definition of “aggregate supply construction materials.” Without a definition there is uncertainty that would result in various interpretations and ultimately litigation. There are many construction materials that are delivered to job sites. Does it include rocks that are used to construct a chimney, blacktop for a driveway, flagstone used for flooring in a building or topsoil? It should not be difficult to specifically list the materials included in this definition. Listing of the covered materials provides owners or contractor’s with certainty as to its applicability. There are significant penalties for non-compliance with prevailing wages as a consequence owners and contractors should have a clear understanding as to their obligations.

 

There are administrative burdens which are included in this bill. The delivery requirement is difficult to track as there is limited contact with the jobsite. It also involves material men, who may only have purchase orders not equivalent to the agreements with other subcontractors. Many material men have a remote relationship with owners or contractors. This situation makes it difficult to ensure compliance with this proposed prevailing wage requirement.

 

This bill is unnecessary as it applies to projects subject to prevailing wage under private contract because current law already designates the public subsidy board as responsible for determining what construction means. This bill would strip the public subsidy board of their specific mandate prior to the bill becoming effective.

 

This legislation is a significant change which engenders additional costs not only in wages but also in administrative burden. Chapter 58 of the laws of 2020, which applies prevailing wage to certain projects under private contract. This bill significantly expands the requirements and costs for private contractors who have been included under the prevailing wage. Private contractors should be exempted from the provisions of this bill as it is premature to expand the prevailing wage mandates that will be applicable to them. Particularly as there is already a mechanism to expand responsibilities as determined by the public subsidy board.

 

Based on the foregoing, it is respectfully requested that you oppose S.8334-A/A.10626-A.

 

Click here to contact your Senator and Assembly Member.