04/06/2009 03:15 PM House LABOR & COMMERCE

HB 185-LABOR NEUTRALITY FOR STATE CONTRACTS                                                                                   
                                                                                                                              
5:18:04 PM                                                                                                                    
                                                                                                                                
CHAIR OLSON announced  that the final order of  business would be                                                               
HOUSE BILL  NO. 185, "An  Act relating to the  labor organization                                                               
position   of  state   agencies   and  others   with  regard   to                                                               
construction contracts paid for by state money."                                                                                
                                                                                                                                
REPRESENTATIVE MIKE KELLY, Alaska  State Legislature, speaking as                                                               
prime  sponsor of  HB 185,  stated  that the  bill promotes  open                                                               
construction and  is also called  the "Government  Neutrality and                                                               
Contracting Act."   He related  that Alaska's  construction force                                                               
consists of about  70 to 75 percent non-union and  about 25 to 30                                                               
percent  union.    This  bill   would  promote  and  ensure  open                                                               
competition  on  state  construction projects  while  maintaining                                                               
government  neutrality   toward  construction   contractor  labor                                                               
relations, he further stated.                                                                                                   
                                                                                                                                
5:19:15 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KELLY offered  that the  intent of  HB 185  is to                                                               
reduce construction costs, expand  job opportunities, and prevent                                                               
unfair  discrimination   based  on  labor  affiliation   or  non-                                                               
affiliation.    This  bill supports  awarding  construction  work                                                               
based  on  the  merit  of   the  bid  or  proposal  through  open                                                               
competition  without favoritism  to  any special  interest.   The                                                               
bill forbids  the state from  requiring union only  project labor                                                               
agreements (PLA), while  at the same time  providing that nothing                                                               
in  its  terms  prohibit  any contractor  or  subcontractor  from                                                               
voluntarily entering  into a  PLA or other  labor agreement.   He                                                               
related that this bill is about  fairness.  It's about the three-                                                               
fourths of  our state that  operate non  union.  It  ensures PLAs                                                               
are voluntary,  that the state  does not  impose its will  on the                                                               
construction work force.                                                                                                        
                                                                                                                                
CHAIR OLSON  stated that HB  185 would  be held over  for further                                                               
consideration.                                                                                                                  
                                                                                                                                
5:20:37 PM