Gs-02 - Ibew Meeting Memo 0301

Majority Counsel/Program Services Senator Joseph L. Bruno, Majority Leader

To: Senator Bruno ,/ From: Ed Bartholomew Jr. ~ Date: March 19, 2001 Subject:Meeting Wednesday 1:3Opm Senator Morahan & Joe Maraia IBEW HISTORY

GENERAL MUNICIPAL LAW 101(ARTICLE SA) AND STATE FINANCE 135 ( known as WICKS LAW originally adopted in 1921)

For local government and school districts, current law requires: 4 separate prime contracts where the entire cost of the project exceeds $50,000.

* general contract

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*

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plumbing and gas fitting, HV AC(steam heating, hot water, ventilating and air conditioning) Electrical wiring

EXEMPTIONS from Wicks: • NYC School Construction Authority created in t 988 extended (Goodman) to June 30, 2002, • Energy saving retrofits under the Energy Law, • MTA Construction, • Specific Legislation ie, Albany Civic Center, Ithaca School, Niagara Falls School, Buffalo School Construction

LEGISLATIVE AGENDA

GOVERNMENT EXH IBIT GS-2

Governor's 2001-02 Proposal School Districts and Boces would be exempt from Wicks Law regarding multiple contractors

Previously Governor in 2000 had submitted legislation exempting school projects and for other municipal projects raising the threshold of projects subject to wicks.

Sen. Volker previously has introduced increasing the thresholds Municipalities, Business Council supports Wicks Law Reform AFL CIa would possibly support modification of increasing the financial threshold numbers to current Wicks. Specialty labor groups include electrical.mechania] . But AFL CIO opposes repeal of Wicks without detailed language negotiations protecting the subcontractors, and payments etc

It should be noted that with School Districts, the State Comptroller in an October 1997 School Facilities, Conditions Problems and Solutions Report suggested increasing $50,000 threshold or exempting small school districts with limited resources and experience in construction.Additionally the report suggested that if reform was undertaken ) added protection would be needed for the specialty subcontractors to insure that they would be treated fairly. 1

RECOlVlMENDATION

Senate Majority adopted budget resolution indicating support for the Governor's reform in Wicks but suggested adopting an increase in the $50,000 threshold instead of total elimination . This approach preserves the ability of the smaller trades(and our supporters) to partake in the construction of schools . A more gradual approach is sought by the Unions. The unions probably would not go as high on the threshold as proposed by Volker but close.