AB323: Bill Text

LRB-1957/1

MES/JTK/PJH/PG:kmg:jf

2001 - 2002 LEGISLATURE

2001 Assembly BILL 323

April 18, 2001 - Introduced by Representatives Pettis, Suder, Albers, Jeskewitz, Grothman, Urban, Ainsworth, Owens and McCormick. Referred to Committee on Labor and Workforce Development.

AB323,1,9 An Act to renumber 59.52 (29) (a) and 60.47 (1) (a); to renumber and amend 61.55; to amend 13.48 (19), 16.854 (3), 59.52 (29) (b), 66.0133 (3), 84.06 (2) (a), 86.31 (2) (b), 119.04 (1), 229.44 (4) (d), 229.68 (4) (d) and 229.824 (4) (d); and to create 16.855 (14m), 20.931, 59.52 (29) (ae), 59.52 (29) (c), 60.47 (1) (ae), 60.47 (5m), 61.55 (title), 61.55 (1), 61.55 (3), 62.15 (1e), 62.15 (15), 85.017, 118.265, 200.01 (3s), 200.11 (5m), 200.21 (5s), 200.47 (6), 229.41 (8m), 229.46 (8), 229.65 (6m), 229.682 (9), 229.821 (8m) and 229.827 (4) of the statutes; relating to: requirements concerning participation by labor organizations in public construction contracts and the expenditure of public grant moneys.

Analysis by the Legislative Reference Bureau

This bill requires the department of administration, or the secretary of transportation with respect to transportation-related projects, to ensure that the specifications for bids and contracts for state construction projects and construction projects of local professional baseball park districts do not:

1. Require any bidder, contractor, or subcontractor to enter into or to adhere to an agreement with any labor organization concerning services to be performed in relation to the project or a related project.

2. Discriminate against any bidder, contractor, or subcontractor for refusing to enter into or continue to adhere to an agreement with any labor organization concerning services to be performed in relation to the project or a related project.

3. Require any bidder, contractor, or subcontractor to enter into, continue to adhere to, or enforce any agreement that requires its employees, as a condition of employment, to become members of or become affiliated with a labor organization.

The bill also prohibits any state agency from conditioning the award of any state grant upon any agreement by the recipient:

1. To enter into or continue to adhere to an agreement with any labor organization concerning services to be funded under the grant.

2. To enter into, continue to adhere to, or enforce any agreement that requires services that are funded under the grant to be performed by employees who must become members of or become affiliated with a labor organization.

The bill also requires a school board, the governing body of a political subdivision of this state (a city, village, town, or county), a metropolitan sewerage district, a local exposition district, a local professional baseball park district, or a local professional football stadium district to ensure that the specifications for bids and contracts for public works projects conducted by the school board, political subdivision, metropolitan sewerage district, local exposition district, or local professional baseball park district, including highway projects, do not:

1. Require any bidder, contractor, or subcontractor to enter into or to adhere to an agreement with any labor organization concerning services to be performed in relation to the project or a related project.

2. Discriminate against any bidder, contractor, or subcontractor for refusing to enter into or continue to adhere to an agreement with any labor organization concerning services to be performed in relation to the project or a related project.

3. Require any bidder, contractor or subcontractor to enter into, continue to adhere to, or enforce any agreement that requires its employees, as a condition of employment, to become members of or become affiliated with a labor organization.

Under current law, state agencies have only the powers given to them by law or necessarily inferred therefrom. These powers do not include the authority to condition the award of state contracts or grants upon agreements with labor organizations, representation by labor organizations, or making of payments to labor organizations. With certain exceptions, state construction contracts are generally required to be awarded to the lowest responsible bidder. With certain exceptions, the contractor for a state building project is required to pay employees who perform work under the contract the prevailing wage for similar work in the area where the project is located. State grants are subject to the specific requirements of various laws under which the grants are made. Currently, state law prohibits any employer from entering into a contract with an employee or prospective employee concerning membership or nonmembership in a labor organization.

Currently, with certain exceptions, public works contracts with a political subdivision, metropolitan sewerage district, or local exposition district are generally required to be awarded to the lowest responsible bidder. With certain exceptions, persons who contract with a political subdivision, metropolitan sewerage district, local exposition district, or local professional baseball park district for public works projects are required to pay employees who perform work under such a contract the prevailing wage for similar work in the area where the project is located.

Under current law, towns and counties have only the powers given to them by law or necessarily inferred therefrom. These powers do not include the authority to condition the award of public works contracts upon agreements with labor organizations, representation by labor organizations, or making of payments to labor organizations. To the extent that the lowest responsible bidder requirements or other exceptions do not apply, cities and villages, under their current law home rule authority, could condition the award of public works contracts upon agreements with labor organizations.

For further information see the local fiscal estimate, which will be printed as an appendix to this bill.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB323, s. 1 Section 1. 13.48 (19) of the statutes is amended to read:

AB323,3,12 13.48 (19) Alternatives to state construction. Whenever the building commission determines that the use of innovative types of design and construction processes will make better use of the resources and technology available in the building industry, the building commission may waive any or all provision of s. 16.855, except s. 16.855 (14m), if such action is in the best interest of the state and if the waiver is accomplished through formal action of the building commission. The building commission may authorize the lease, lease purchase or acquisition of such facilities constructed in the manner authorized by the building commission. The building commission may also authorize the lease, lease purchase or acquisition of existing facilities in lieu of state construction of any project enumerated in the authorized state building program.

AB323, s. 2 Section 2. 16.854 (3) of the statutes is amended to read:

AB323,4,2 16.854 (3) It shall be a goal of the department, with regard to each of the contracts described under sub. (2) (a), (b), and (c), to award at least 25% of the dollar value of such contracts to minority businesses and at least 5% of the dollar value of such contracts to women's businesses.

AB323,4,4 (4) Sections 16.85, 16.855 (1) to (14) and (15) to (22), and 16.87 do not apply to services provided or contracted by the department under this section.

AB323, s. 3 Section 3. 16.855 (14m) of the statutes is created to read:

AB323,4,7 16.855 (14m) (a) In this subsection, "labor organization" has the meaning given in s. 5.02 (8m).

AB323,4,10 (b) The department shall ensure that the specifications for bids and contracts for construction projects entered into under this section do not do any of the following:

AB323,4,13 1. Require any bidder, contractor, or subcontractor to enter into or to adhere to an agreement with any labor organization concerning services to be performed in relation to the project or a related project.

AB323,4,16 2. Discriminate against any bidder, contractor, or subcontractor for refusing to enter into or continue to adhere to an agreement with any labor organization concerning services to be performed in relation to the project or a related project.

AB323,4,19 3. Require any bidder, contractor, or subcontractor to enter into, continue to adhere to, or enforce any agreement that requires its employees, as a condition of employment, to become members of or become affiliated with a labor organization.

AB323, s. 4 Section 4. 20.931 of the statutes is created to read:

AB323,4,22 20.931 Conditions upon state grants prohibited. (1) In this section, "labor organization" has the meaning given in s. 5.02 (8m).

AB323,4,25 (2) No state agency may condition the award of any grant made by the agency from moneys appropriated under this chapter upon any agreement by the recipient to do any of the following:

AB323,5,2 (a) Enter into or continue to adhere to an agreement with any labor organization concerning services to be funded under the grant.

AB323,5,5 (b) Enter into, continue to adhere to, or enforce any agreement that requires services that are funded under the grant to be performed by employees who must become members of or become affiliated with a labor organization.

AB323, s. 5 Section 5. 59.52 (29) (a) of the statutes is renumbered 59.52 (29) (am).

AB323, s. 6 Section 6. 59.52 (29) (ae) of the statutes is created to read:

AB323,5,9 59.52 (29) (ae) In this subsection, "labor organization" has the meaning given in s. 5.02 (8m).

AB323, s. 7 Section 7. 59.52 (29) (b) of the statutes is amended to read:

AB323,5,16 59.52 (29) (b) The provisions of par. (a) (am) are not mandatory for the repair or reconstruction of public facilities when damage or threatened damage thereto creates an emergency, as determined by resolution of the board, in which the public health or welfare of the county is endangered. Whenever the board by majority vote at a regular or special meeting determines that an emergency no longer exists, this paragraph no longer applies.

AB323, s. 8 Section 8. 59.52 (29) (c) of the statutes is created to read:

AB323,5,20 59.52 (29) (c) The board shall ensure that the specifications for bids and contracts for construction projects entered into under this subsection do not do any of the following:

AB323,5,23 1. Require any bidder, contractor, or subcontractor to enter into or to adhere to an agreement with any labor organization concerning services to be performed in relation to the project or a related project.

AB323,6,3 2. Discriminate against any bidder, contractor, or subcontractor for refusing to enter into or continue to adhere to an agreement with any labor organization concerning services to be performed in relation to the project or a related project.

AB323,6,6 3. Require any bidder, contractor, or subcontractor to enter into, continue to adhere to, or enforce any agreement that requires its employees, as a condition of employment, to become members of or become affiliated with a labor organization.