Published on Feb 27, 2023

Prevailing wage proposal fails to make cutoff in one bill, makes it past deadline in another

Contact: Brandy DeLange, Brianna Morin

Regular Bulletin readers will remember a proposal introduced this session seeking to ensure workers are paid the prevailing rate of wage in effect at the time the work is performed. HB 1099, from Rep. Liz Berry (D–Seattle), would require that wages paid to workers on public projects be adjusted in accordance with prevailing wage adjustments made since the time a bid was submitted. AWC wrote about the bill here.

The bill made it as far as the House Capital Budget Committee but was not heard in executive session and therefore “died.” Cities would ordinarily be able to emit a sigh of relief, but not in this case. Elements of HB 1099 have been included in a Senate bill introduced by Sen. Curtis King (R–Yakima).

SB 5726 addresses how the prevailing wage rate is set and contested under certain conditions, and when it is updated within a public works contract. It also provides that public works contracts must specify that wages paid to workers will be no less than the latest prevailing wage rate in effect at the time the work is performed. AWC summarized the bill here.

It has since received several amendments, including:

  • Small works roster work, and low-income housing and residential construction projects are excluded from the requirement that workers be paid the prevailing wage in effect at the time the work is performed.
  • The provision stating that any cost increase must be the basis for equitable adjustment for the contractor is removed. Instead, cost increases directly resulting from wage adjustments of the prevailing wage under the bill are a good cause justification for a contractor of any level affected by the increase to request a financial adjustment to the contractor's contract.
  • The bill’s changes to prevailing wage determinations are delayed until June 1, 2027.

SB 5726 successfully passed out of the Senate Labor & Commerce Committee last week. It now awaits a hearing in the Senate Rules Committee.

AWC continues to engage with proponents to address concerns originally raised in HB 1099. It is likely that amendments addressing those concerns will be provided once the bill makes it to the House.

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  • Public works & infrastructure
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