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October 17, 2011
Back to News Brief
Pennsylvania Senate Republican News Brief
"There was one
case where $4 million in state money went to a $2 million project and because it
went to prevailing wage, it increased the price of that project by close to $2
million – it essentially threw away $2 million in state funds."
-- Sen. Lloyd
Smucker (R-Lancaster), Vice Chairman of the Senate Labor and Industry
Committee, on the effect of the 50-year-old Pennsylvania Prevailing Wage Act in
Lancaster County.
Preview
Senate Convenes Monday, October 17, at 1 p.m.
The Senate could take up the following bills:
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Senate Bill 100, prison reform --
Sen. Stewart Greenleaf (R-Montgomery)
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Senate Bill 354, prohibiting Pennsylvania participation in the federal REAL
ID Act -- Sen. Mike Folmer (R-Lebanon)
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Senate Bill 367, mineral resource development on state lands --
Sen. Don
White (R-Indiana)
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Senate Bill 449, child abuse recognition and reporting in schools --
Sen.
Pat Vance (R-Cumberland)
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Senate Bill 743, teen driver education --
Sen. John Rafferty
(R-Montgomery)
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Senate Bill 834, updated county bonding requirements --
Sen. John
Eichelberger (R-Blair)
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Senate Bill 397, pretrial procedure for death penalty cases --
Sen. Mary
Jo White (R-Venango)
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Senate Bill 560, State Military College Legislative Appointment Initiative
Program Act -- Sen. Bob Mensch (R-Montgomery)
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Senate Bill 850, cyberbullying and juvenile justice protections --
Sen.
Stewart Greenleaf (R-Montgomery)
Tuesday: Pennsylvania Storms and Utility Services
The Senate Consumer Protection and Professional Licensure
Committee, chaired by Sen. Tommy Tomlinson (R-Bucks), and the Senate
Veterans Affairs and Emergency Preparedness Committee, chaired by Sen. Lisa
Baker (R-Luzerne), will hold a joint public hearing on storm-related issues
concerning utility services. (10 a.m. Hearing Room 1 N. Office Bldg.)
Wednesday: Office of Developmental Programs, PSSA Test
Anomalies, JNET
The Senate Public Health and Welfare Committee, chaired by
Sen. Pat Vance (R-Cumberland), will hold a follow-up public hearing on
past payment practices of the Office of Developmental Programs. An earlier
hearing revealed a significant lack of fiscal oversight of funds meant to
provide services for those with intellectual disabilities. (9 a.m. Senate
Majority Caucus Room)
The Senate Education Committee, chaired by Sen. Jeffrey
Piccola (R-Dauphin), will hold a public hearing to receive testimony from
Education Secretary Ronald Tomalis on results of department investigation and
analysis of 2009 PSSA testing anomalies. (10:30 a.m. Hearing Room 1 N. Office
Bldg.)
The Senate Communications and
Technology Committee, chaired by Sen. Mike Folmer (R-Lebanon), will hold
a public hearing to learn more about the state Justice Network. JNET is the
Commonwealth's primary public safety and criminal justice information broker,
providing a common online environment for authorized users to access public
safety and criminal justice information. (9:30 a.m. Room 8 E-A)
Thursday: Act 47 overview and discussion of possible
enhancements
The Senate Community, Economic and Recreational Development
Committee, chaired by Sen. Jane Earll (R-Erie), and the Senate Local
Government Committee, chaired by Sen. John Eichelberger (R-Blair), will
hold a joint public hearing with House committees on Act 47 of 1987. The hearing
will serve to begin discussion on possible enhancements to the law governing
financially distressed municipalities and to examine Act 47-related challenges
municipalities are facing. (9:30 a.m. House Majority Caucus Room)
Review
Senate Panel Hears Prevailing Wage Testimony
The Senate Labor and Industry Committee, chaired by Sen.
John Gordner (R-Columbia), heard testimony Tuesday on the effects of state
prevailing wage laws on taxpayer-funded projects and legislation introduced to
update the laws.
The Chambersburg hearing was hosted by Sen. Richard
Alloway (R-Franklin) and included discussion of three bills sponsored by
Sen. Lloyd Smucker (R-Lancaster) to update the 50-year-old prevailing wage
law.
Several local officials from Franklin and Adams counties
cited inflated costs for public projects such as school construction, road
resurfacing and water and sewer projects due to prevailing wage restrictions.
For more information, please see In the Spotlight
and Fast Facts,
below.
Hearing Video and Testimony
Committee Highlights Bills to Modernize State System of Higher Education
The Senate Education Committee, chaired by Sen. Jeffrey
Piccola (R-Dauphin), held a public hearing on Thursday to hear testimony on
a package of bipartisan bills intended to modernize and update the statute
governing the Pennsylvania State System of Higher Education.
The measures are aimed at helping the 14 SSHE schools raise
needed funds, speed up campus projects and recruit research-driven faculty.
Among those testifying were SSHE Chancellor John C.
Cavanaugh, the presidents of West Chester University and Shippensburg
University, faculty representatives and others.
Hearing Video and Testimony
Appropriations Committee Holds Hearings at Temple, Lincoln Universities
The Senate Appropriations Committee, chaired by Sen.
Jake Corman (R-Centre), continued its series of statewide public hearings on
the role of the Commonwealth's state-related universities, holding hearings
Wednesday at Temple University and Thursday at Lincoln University.
Temple and Lincoln are two of four state-related
universities, meaning that they receive state funds but are independently
operated. They share this status with the Pennsylvania State University and the
University of Pittsburgh, where the committee held previous hearings. The
committee heard testimony from university officials on a variety of topics,
including the impact of the state budget on the university's operation.
Senator Corman: "Our objective is to examine how the
state-related universities operate and the role they play in our higher
education system. Like our other institutions of higher learning, state-relateds
have faced the tough challenge of doing more with less during these difficult
fiscal times."
Housing Needs, Affordability Focus of Committee Hearing
The Senate Urban Affairs and Housing Committee, chaired by Sen. Gene Yaw (R-Lycoming), heard testimony October 4 on the lack of
affordable housing in Lycoming County.
The panel heard from county housing officials and other
participants on the need for safer, more affordable housing options in the
county. Early next year, the Center for Rural Pennsylvania, a bipartisan
legislative research agency, will begin a longitudinal research study to
document the economic and community impacts, including housing, of the Marcellus
Shale development in Lycoming, Bradford, Greene and Washington counties.
Senator Yaw: "As companies locate here, the growth is
creating a huge demand for housing that we need to address, particularly in the
area of rental housing. This issue has been further compounded by the recent
flooding that has forced existing renters and homeowners out of their homes."
Hearing Video and Testimony
Game and Fisheries Committee Examines Quail, Pheasant Management
The Senate Game and Fisheries Committee, chaired by Sen.
Richard Alloway (R-Franklin), held a public hearing October 7 in Mercersburg
to examine the state's quail and pheasant management programs.
The hearing included an update on the Commonwealth's Wild
Pheasant Recovery Area, Pheasant Conservation Reserve Enhancement Program and
Quail Management Plan. Representatives of the national habitat conservation
group Pheasants Forever were also on hand for comments regarding the programs.
Hearing Video and Testimony
In the Spotlight
The Senate Labor and Industry Committee discussed three
bills sponsored by Senator Smucker that would update the Pennsylvania Prevailing
Wage Act of 1961.
Senate Bill 820 would make the prevailing wage equal to the average hourly
occupational wage in each county. The county wage shall be determined from wage
information submitted by employers on quarterly unemployment compensation tax
returns. Currently, the Secretary of Labor and Industry determines the general
minimum prevailing wage for localities in which public work projects are being
performed for each craft or work classification.
Under
Senate Bill 821, prevailing wage would apply to public projects where the
estimated cost exceeds $200,000. Current law sets the threshold at $25,000, an
amount unchanged since enactment in 1961.
Senate Bill 822 provides definitions of maintenance work on roads, including
replacement of guiderails, pipes, line painting and other road equipment;
pavement repair and patching; road widening that does not result in additional
lanes; and bridge cleaning, blacktop resurfacing and minor nonstructural
repairs.
Fast Facts
Pennsylvania Prevailing Wage Law
Prevailing wage requirements can increase the cost of many
projects, such as construction of prisons, juvenile detention facilities and
local courthouses and judicial facilities, by 10% to 15% depending on the
region.
The cost for a new prison in Franklin County, built in 2006-2007, was a
little more than $27 million. Using the 10% to 15% figure, approximately
$2.5 million to $3.5 million of that cost is associated with the additional
costs of prevailing wages.
Using a 20% to 30% estimate, approximately $4.5 million to $6.2 million of
the cost can be associated with the additional costs of prevailing wages.
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