Prevailing Wage Repeal Set for Senate Vote Thursday

On a party-line vote Monday, members of the Senate Committee on Government Organization approved a bill to repeal the state’s prevailing wage. It was reported to the floor Monday as well, setting it up for a vote Thursday. 

The prevailing wage is the rate of hourly pay and benefits workers are paid on state funded construction projects. 

In 2015, the new GOP majority proposed a repeal, but compromised with Democrats instead approving a recalculation of the wage rate. A year later, lawmakers are once again debating a repeal and controversy has followed the proposal every step of the way. 

In the House, a public hearing drew more than a dozen speakers, only two of which were in support of the repeal. Since it’s passage in that chamber, the opposition has continued to speak loudly against it. 

Three West Virginia contractors were among those naysayers. The three, including Glen Jefferies of Cornerstone Industries, spoke against the repeal during a Senate Government Organization Committee meeting Monday.

“I am asking that we work together with the individuals who represent this industry and find a fair answer that is good for the West Virginia taxpayer, the West Virginia contractor and the West Virginia construction worker,” Jefferies told the committee.  “We need to keep a prevailing wage here in West Virginia.”

Jefferies and others opposed to the repeal say it will cut workers’ wages and increase the rates of workplace fatalities, but supporters say those claims are false. Del. Gary Howell said Monday taxpayers won’t see savings in the form of wage cuts to workers, but in the decreased cost of government oversight. 

“There’s a massive amount of paperwork dealing with the prevailing wage and its scared off a lot of contractors,” Howell said.

“In the brief time [last summer] that the prevailing wage was repealed, we’re seeing a lot of small, in-state contractors that never had the staff to deal with prevailing wage plus these contractors also have lower overhead, they are passing those savings on to the taxpayer.”

Democrats pushed Wednesday for a fiscal note, an attachment to a bill that explains the impact a piece of legislation will have on the state’s budget, and a second reference to the Committee on Finance to prove the savings, but both efforts were denied. 

The bill will be on first reading Tuesday and likely up for a vote in the chamber Thursday.

Tobacco Tax, VA Nursing Home Revived in Fireworks Bill Amendments

Senate bills that appear to have died in the House are being revived, so to speak, by Senators. Members of the Judiciary Committee made major changes to a fireworks bill Monday.

House Bill 2646 as approved by the House would allow consumer exploding or display fireworks currently banned in West Virginia to be sold at certain retail locations.

The original bill created retailer fees on top of the sales tax and dedicated 20 percent of the collections to be split between veterans programs, the state Fire Marshal’s Office and Volunteer Fire Departments.

The Senate Judiciary Committee revised the bill to include provisions of other pieces of legislation they’ve taken up this session, starting with a tobacco tax.

The committee’s version includes a 50 cent increase in the tax starting in July of this year and a second 50 cent increase in July of next year. The tax could mean up to $130 million new in the state’s coffers so members began dividing that money between state programs, starting with Sen. Bob Williams. 

“Because this is in a fireworks bill, [I moved] to dedicate $2 million of that tax to the volunteer fire departments of the state,” Williams said.  

For the 420 volunteer departments in West Virginia, that would mean an additional $5,000 per year. His amendment was approved by the committee.

The committee also added a provision dedicating $20 million from the first year of tobacco tax revenues to build a veterans nursing home in Beckley. That project is estimated to cost $25 million in state funds.

Twenty million dollars of the revenue earned from the tax in the second year would be dedicated to building a secure substance abuse treatment facility somewhere in West Virginia. 

“I think taking $22 million out of that [tax] and dedicating to certain very worthy sources will actually increase support for the bill,” Williams said after the committee meeting.

“Folks who didn’t support increasing the fireworks side of the bill will certainly support the volunteer fire departments and the veterans and I think it will certainly help improve support for the bill.”

The committee also included provisions allowing veteran organizations, like VFWs, and race track casinos to allow indoor smoking, something banned by most local county health departments.

With so many provisions and only a few days left in the legislative session to consider them, Williams warned it could be tricky to get the legislation approved.

“This time of the legislative session every legislator should be nervous. There are all kinds of things happening in both the House and Senate,” he said.

“It is a short period of time, but this is a very important piece of legislation. Now, it’s even more important that we’ve put the tobacco tax in it. So, I think it’s one that will get some attention by the leadership to make sure that it moves through the process as quickly as possible.”

Williams expects the bill to be put in a conference committee.

Democratic Attempt to Raise Teacher Pay Fails in Senate

After approving a bill to give nationally certified teachers in low performing schools a pay raise Wednesday, Democratic Senators attempted to get an across the board raise for all teachers in the state by amending a governor’s bill. 

House Bill 2478 would reduce state funds dedicated to replacing county school buses one time, in the upcoming fiscal year. The bill was presented on behalf of Gov. Tomblin as a way to balance the 2016 budget.

Senate Minority Leader Jeff Kessler attempted to amend the bill by adding an across the board $2,000 pay raise for teachers across the state.

Kessler estimated the pay raise would cost the state between $55 and $58 million annually.

Republicans opposed the amendment because of budget implications. Senate Finance Chair Mike Hall said the Senate’s current budget was written without any teacher raise and it’s too late in the process to add one. 

Kessler’s amendment to provide a salary increase ultimately failed on a party line vote.

Hall said an increase in pay for teachers is an issue lawmakers plan to address next year.

The bill to reduce $4 million from the state fund to replace school buses to balance the upcoming budget, House Bill 2478, was approved 28 to 5.

Exit mobile version