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IowaPolitics.com: Culver's order on project labor agreements praised, criticized 2/3/2010 By Lynn Campbell IowaPolitics.com Gov. Chet Culver this morning received a standing ovation at the Iowa State Building and Construction Trades Council convention and shook the hand of almost everyone in the room after signing an executive order that presumes state agencies will use project labor agreements whenever possible. “It adds stability and structure to a job site that could be chaotic,” said Bill Gerhard, president of the Iowa State Building and Construction Trades Council. “There’s a thousand people working big jobs, 17 different unions, all have different work rules, all have contracts that expire at different times,” Gerhard said. “It sort of ensures that there’s going to be some stability that people, if they go on strike on their contract, they’ll keep working on the project. Ensures timely completion and quality workmanship. The state should have this tool in their toolbox to use.” But the move drew immediate criticism from Republicans and non-union construction companies. "The only thing a PLA is going to do is cost taxpayers more money," said Dave Petersen, board vice chairman for the Associated Builders & Contractors of Iowa, pointing to a study showing that the project labor agreement used with the Iowa Events Center didn't save the taxpayers any money. Executive Order 22 requires all state departments and agencies to consider using project labor agreements on large-scale construction projects. Culver described it as a “bold step in support of good wages” that will change the way state government looks at construction projects, and will presume that the state uses project labor agreements whenever possible. “We’re going as far as we can in terms of my executive authority,” Culver said. “This has not been done before. This is a big step. We’re sending a clear message about how much we value these hardworking families and I’m using the power of the executive branch to go as far as I possibly can on this.” Petersen asserted that the only reason Culver signed the executive order is to avoid legislative action because he hasn't fulfilled his obligation to the labor unions who helped get him elected. Attempts at passing four bills that are priorities for labor unions -- choice of doctor, prevailing wage, fair share and an expansion of collective bargaining -- have been unsuccessful. Republican Party of Iowa Chairman Matt Strawn also called today’s signing of the executive order an “election-year photo opp” that attempts “to pacify the big labor bosses that fund his campaign.” But in an interview, Culver denied today that his actions were any kind of political payback. He instead described it as an important move at a time when there is “so much dirt flying” because the state is moving forward with hundreds of infrastructure projects related to flood recovery and I-JOBS. “That’s not the case,” Culver said. “I’m proud of the fact that I’m fighting every day for hardworking Iowa families. I’m going to continue to do what I can as governor to support them and proud to get as much support as possible in my re-election.” Gerhard also denied that this was political payback for unions, which have been key in supporting Democratic candidates. “I think he should have signed this three years ago when he first got in because it’s a tool that in the long run save the state money,” Gerhard said. “I don’t view it as a political payback for anything. We like Governor Culver; we’re going to keep supporting him. But this is just good business sense. If Alliant and MidAmerican use it, why wouldn’t the state of Iowa use this?” Strawn said today’s action will not create a single job or put the more than 110,000 unemployed Iowans back to work. "PLAs do not bring a project in on time or on budget,” Strawn said. “Just look at the Iowa Events Center as an example. The reality is that PLAs discourage competition from non-union contractors, thereby driving up costs for taxpayers. Open competition is fair to both union and non-union workers, providing taxpayers with safe, on-time and low-cost construction.” But Gerhard disputed assertions that project labor agreements will increase costs of public projects and are harmful to non-union small companies. “It doesn’t cost more money. As a matter of fact, it increases efficiency, it increase productivity,” Gerhard said. And Culver said those who say that this will increase costs are just not being accurate. “This is a very common-sense step to ensure that these projects are done on time, that good wages are paid and that the projects are done right,” he said. “At the end of the day, it’s probably going to save money because they will be done right the first time instead of coming back time and time again as is too often the case to fix inefficiencies with a project. That’s what we’re trying to avoid.” Project labor agreements have been controversial in Iowa. Such an agreement was reached in 2002 between Polk County and local labor unions for construction of the Iowa Events Center. It guaranteed favorable wages and working conditions in exchange for no work stoppages. Polk County was sued by right-to-work supporters who claimed that the use of a project-labor agreement on a public project violated Iowa's right to work laws. The lawsuit halted construction for several months, but the Iowa Supreme Court eventually ruled in Polk County's favor. Culver said this executive order doesn’t reduce the need for prevailing wage legislation. He also said he doesn’t plan to eliminate Iowa’s right-to-work law under his administration. “I don’t believe we’re going to do that,” he said. “There’s a lot of exciting things on the table at the Statehouse. It’s unclear now in terms of what particular steps we might take to help hardworking families, but I know the Democratic Party is interested in fighting for those families and making some progress.” The Linn County Board of Supervisors is also considering a project labor agreement for some flood recovery projects, and the Associated Builders & Contractors of Iowa is opposing that, as well. |
