Laserfiche WebLink
South Benq Redevelopment Commission <br />Commissio ers' Regular Meeting <br />Friday, M y 5, 1978 <br />FLOOR DISCUSSIONS (Cont'd) <br />Mr. New ill: It is my understanding from the paper, that if the Director at <br />HUD, who is in charge finds that you cannot make the contractors pay <br />preva ling wages, that you will refund on previous contracts. <br />Mr. B tler: I did not see that in the paper, I hope no one said that. <br />Mr. R binson: If they do, you are going to have to get it out of your <br />emplo ees, and that would be pretty hard to do because they probably had <br />to spend it just to exist. <br />Mr. New ill: What do you mean? <br />Mr. R binson: If you have to get it out of your employees, and that is who <br />it was paid to, I am sure that the only way you are going to get it back is <br />to get it out of the employee... the courts are already overloaded, so lots <br />of luck. <br />Mr. New�ill: No, I understand that it is Redevelopment that would have to... <br />Mr. Ra�binson: Redevelopment didn't get the money, the employees got the <br />money. <br />Mr. Wiggins: We didn't under pay, we overpaid, if anything, so if anyone <br />gets 4ny money back, it would be us. <br />Mr. New ill: I understand that, but I am trying to clear it up here.-on this <br />pre vi us contract that is going to have to be rebid, it was a contract that <br />state you have to pay prevailing wages...that means wages that are set down <br />in th contract. <br />Mr. Wiggins: In the bid documents that are provided in these contracts; and <br />in the bid package it gave a prevailing wage schedule which dates back a year <br />and a half or so, which is less than the current Davis -Bacon Wage Schedule. <br />The result of this whole thing is that the bid documents which goes to the <br />contractors cannot stipulate the wage that must be paid, this is what the <br />confusion is about. In the past we have, as a matter of policy, said that <br />they h ve to pay what the Labor Department says is the prevailing wage rate <br />for thp area for craftsmen in these trades. Now HUD says we cannot do that. <br />Mr. New�ill: Okay, didn't HUD also say that some money would have to be refunded? <br />Mr. Wi <br />find u <br />stuck <br />don't <br />lgins: No, HUD said if we insisted on it and paid it, that they would <br />in error when it came time to audit our books, and that we would be <br />vith the difference, and that is the reason we shut this off, because we <br />vant to incur any liability here. <br />-10- <br />