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��VaN6- (�-- <br />RESOLUTION NO. <br />A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, <br />OPPOSING SENATE BILL 198 AND HOUSE BILL 1019 WHICH WOULD REPEAL THE <br />COMMON CONSTRUCTION WAGE LAW <br />QIAC�, the State of Indiana's Common Construction Wage statute was first enacted in 1935; is <br />commonly referred to as a prevailing wage law; and governs wage rates paid to construction workers on <br />Indiana's public works projects; and <br />9OK;*e, wage rates are adopted by Common Construction Wage Committees in each project county <br />in public hearings where a public works project is estimated to exceed $350,000 in construction costs <br />which would be paid for by state or local funds and would be owned or leased with an option to purchase <br />by the state or a political subdivision; and <br />currently Senate Bill 198 sponsored by State Senator Carlin Yoder and House Bill 1019 <br />sponsored by State Representative Jerry Torr are pending in the Indiana General Assembly, with both bills <br />proposed to repeal Indiana's Common Construction Wage law with an effective date of July 1, 2015; and <br />WAC the December 9, 2014 "Fiscal Impact Statement" prepared by the Legislative Services <br />Agency's Office of Fiscal and Management Analysis on SB 198 states in part that: <br />"...it is reasonable to state that the removal of the common construction way may result in lower <br />compensation plus fringe benefits for workers on public works projects ... [and] could have the <br />following effects: <br />- Overall labor cost associated with public works projects great than $350,000 will be lower <br />with the repeal of the common construction wage statute. The specific amount of cost <br />savings is indeterminate at this time. <br />-Debt incurred to finance projects may decrease due to the lower project costs, thereby <br />reducing bonding and/or property taxes. <br />- Additional funds may be available for other public works projects. Also, capital expenses <br />may be reduced, making more funding available for noncapital expenses in project <br />budgets... <br />Conversely, some studies suggest that these types of prevailing wage systems lead to great efficiency, <br />quality, and safety by providing for a stable, well - trained labor force..."; and <br />9h(m, SB 198 was one of 589 Bills filed and was referred to the Committee on Pensions and <br />Labor on January 6, 2015 and it remains; <br />House Bill 1019 was one of 669 Bills filed and was referred to the Committee on <br />Employment, Labor and Pensions; and now has eight (8) co- sponsors as of February 16, 2015; and <br />the November 23, 2014 "Fiscal Impact Statement" on HB 1019 reported similar <br />information as that reported on SB 198; and <br />