It looks like the
movement to end Michigan’s prevailing wage law that requires wages for state funded
construction projects to be equal to union scale wages may be a voter initiated
act.
If this happens,
Governor Snyder’s opposition to repeal would be irrelevant because legislative
approval of the petition, under the Constitution, would enact the proposal.
The Associated Builders
and Contractors of Michigan filed petition language this week with the
Secretary of State that would repeal prevailing wage. In order for voters to have a chance to
repeal this law, 252,523 signatures (8 percent of the total vote for Governor
in 2014) are needed to bring this matter before the Legislature. Both the House and Senate would then have 40
days to pass it. If not passed within that time-frame, then the measure would go
on the November 2016 ballot.
Last week, the Senate
passed a three-bill package, SB 1, SB 2, and SB 3, repealing prevailing wage amid some controversy between members.
Democrats in the Senate voiced their opposition to the bills, stating that
repealing this law will lower wages of Michigan workers and hurt Michigan
families. The other side of the
argument, however, disagrees, thinking that prevailing wage laws cost taxpayers
hundreds of millions of dollars each year.
Supporters of the
legislative package suggest that without the repeal, Michigan is at a
competitive disadvantage as only a few states have a prevailing wage, and those
without it, tend to attract a more skilled and competitive workforce.
Either way, the bill
package now heads to the House of Representatives where it will be reviewed in
committee prior to all 110 members having the opportunity to vote on this
package. Although the House Republicans
have stated prevailing wage is a priority there is currently no timetable for
action.