THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY MARSICO, AUMENT, BEAR, BENNINGHOFF, BLOOM, BOYD, CAUSER, CLYMER, COX, CREIGHTON, CUTLER, DENLINGER, EVERETT, FLECK, GILLESPIE, GINGRICH, GROVE, HARRIS, HELM, HICKERNELL, KAUFFMAN, F. KELLER, M. K. KELLER, LAWRENCE, METCALFE, MILLER, MOUL, PICKETT, RAPP, REICHLEY, ROAE, ROSS, SAYLOR, SCAVELLO, STEVENSON AND SWANGER, APRIL 28, 2011

REFERRED TO COMMITTEE ON LABOR AND INDUSTRY, APRIL 28, 2011  

AN ACT

Amending the act of August 15, 1961 (P.L.987, No.442), entitled

"An act relating to public works contracts; providing for

prevailing wages; imposing duties upon the Secretary of Labor

and Industry; providing remedies, penalties and repealing

existing laws," further providing for definitions; providing

for referendum for prevailing wage rates, for subsequent

public referenda and for election interference prohibited;

and making related repeals.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  The definition of "public body" in section 2 of

the act of August 15, 1961 (P.L.987, No.442), known as the

Pennsylvania Prevailing Wage Act, is amended and the section is

amended by adding definitions to read:

Section 2.  Definitions.--As used in this act--

* * *

(4)  "Public body" means the Commonwealth of Pennsylvania,

any of its political subdivisions, excluding a school district

or an authority, agency or instrumentality established by one or

more school districts unless it satisfies section 13.1 or 13.2, 

any authority created by the General Assembly of the

Commonwealth of Pennsylvania and any instrumentality or agency

of the Commonwealth of Pennsylvania.

* * *

(11)  "County Board" means a county board of elections.

(12)  "County" means a county-level municipality within this

Commonwealth, regardless of classification. The term includes a

county which has adopted a home rule charter or optional plan of

government under the provisions of 53 Pa.C.S. Pt. III Subpt. E

(relating to home rule and optional plan government).

(13)  "School district" means a school district of the first

class, first class A, second class, third class or fourth class,

including an independent school district.

Section 2.  The act is amended by adding sections to read:

Section 13.1.  Referendum for Prevailing Wage Rates.--(a)  To

opt back in to the payment of minimum prevailing wage rates for

public works projects by a school district or an authority,

agency or instrumentality established by one or more school

districts that is otherwise exempt from the requirements of this

act, the county election officials shall cause the referendum

question in subsection (b) to be submitted to the electorate in

each county at the general election in 2015 to determine whether

the voters in each county favor the payment of minimum

prevailing wage rates on public works projects situated in that

county and undertaken by a school district or an authority,

agency or instrumentality established by one or more school

districts in that county as provided for under this act.

(b)  The referendum question submitted to the electorate in

each county at the general election in November 2015 shall be

the following:

Do you favor any and all public works projects undertaken in

(insert county name) County by any school district and any

authority, agency or instrumentality established by one or

more school districts be constructed in accordance with the

prevailing minimum wage rates for workmen employed on those

projects as set forth in Pennsylvania's Prevailing Wage Act?

(c)  No later than thirty days after the effective date of

this section, the Department of State shall notify the election

officials of each county that a referendum question shall be

scheduled for the general election in 2015. The Secretary of the

Commonwealth shall certify the referendum question required

under this section to the county boards of elections no later

than ninety days prior to the November 2015 election. The

referendum shall be conducted in accordance with the act of June

3, 1937 (P.L.1333, No.320), known as the "Pennsylvania Election

Code."

(d)  The Department of State shall draft a nonlegal

interpretative statement which shall accompany the referendum

question in each county in accordance with section 201.1 of the

"Pennsylvania Election Code." The nonlegal interpretative

statement shall be posted at each election site in the county

and inform the voters of:

(1)  The reason for the referendum.

(2)  The consequence of the referendum being disapproved by

the electorate.

(3)  The consequence of the referendum being approved by the

electorate.

(4)  The type of public work projects impacted by the

referendum.

(5)  The definition of prevailing minimum wage rates and an

explanation of how, when and by whom the rates are established

for the relevant county.

(6)  The definition of public works.

(e)  County election officials shall certify the results of

the county's referendum required under this section to the

Secretary of the Commonwealth in accordance with Article XIV of

the "Pennsylvania Election Code." The Department of State shall

notify the school district and the department of the results of

the required referendum as soon as is practicable.

(f)  Approval of the county referendum required under this

section shall be by majority vote of the electors voting on the

question in the county. Where the referendum question under this

subsection is approved, then beginning January 1 immediately

following the date of the approval of the referendum required

under subsection (a) and until the time that a subsequent

referendum is disapproved by the county electorate in accordance

with section 13.2, a public works projects situated in that

county commenced by a school district or an authority, agency or

instrumentality established by one or more school districts

after the approval of the referendum shall be constructed in

compliance with the provisions of this act including paying

minimum prevailing wage rates. Public works projects by a school

district or an authority, agency or instrumentality established

by one or more school districts in which a design or

construction contract has been executed before January 1

following the approval of the referendum shall continue to be

exempt from the requirements of this act.

(g)  If the referendum question is not approved by a majority

vote of the electors voting on the question in a county, then a

school district or authority, agency or instrumentality

established by one or more school districts shall not be

required to comply with a provision of this act including the

payment of minimum prevailing wage rates for public works

projects commenced after the effective date of this section and

a school district or authority, agency or instrumentality

established by one or more school districts in the county shall

remain exempt from this section's requirements until the time

that a subsequent referendum is approved and effective under

section 13.2. Nothing in this subsection shall be construed to

prohibit a school district from initiating new construction

projects.

(h)  In instances where a school district is located in more

than one county, the referendum result shall apply solely to the

public works projects constructed by a school district in the

geographic territory of the county where the public works

project is located. The referendum results in one county shall

not apply to public works projects constructed in a different

county by a school district whose geographic territory is split

by county boundaries.

Section 13.2.  Subsequent Public Referenda.--(a)  In a

county, a subsequent public referendum may be held at the

general election in November of odd-numbered years, but not more

than once every ten years, to determine the will of the county

electors with respect to the payment of minimum prevailing wage

rates on public works projects constructed by a school district

or an authority, agency or instrumentality established by one or

more school districts within the geographic limits of the county

under the provisions of this act. The first subsequent public

referendum may be conducted no earlier than the November 2025

election.

(b)  The county board of elections shall cause a subsequent

referendum question on paying minimum prevailing wage rates for

public works projects constructed by a school district or an

authority, agency or instrumentality established by one or more

school districts to be placed on the ballot whenever a majority

of the governing bodies of the school districts in that county

adopts, by a majority vote, a resolution urging the county board

of elections to place the subsequent referendum question on the

ballot. A governing board of a school district adopting a

resolution shall cause a certified copy of the resolution to be

promptly submitted to the county board of elections in which a

school district is situated no earlier than twelve months, but

no later than one hundred eighty days prior to the November

election in which it seeks the referendum question to be

authorized. If a school district is located in more than one

county, the governing body shall deliver a certified copy to the

county board of elections for each county where the school

district is located.

(c)  The form of the referendum question to be submitted to

the electors of the county at a subsequent referendum shall be

the following:

Do you favor any and all public works projects undertaken in

(insert county name) County by any school districts and any

authority, agency or instrumentality established by one or

more school districts be constructed in accordance with the

prevailing minimum wage rates for workmen employed on those

projects as set forth in Pennsylvania's Prevailing Wage Act?

(d)  The election officials of each county shall, in

consultation with the school districts adopting the resolution,

draft a nonlegal interpretative statement which shall accompany

the referendum question in accordance with the act of June 3,

1937 (P.L.1333, No.320), known as the "Pennsylvania Election

Code." The nonlegal interpretative statement shall inform the

voters of:

(1)  The reason for the referendum.

(2)  The consequence of the referendum being disapproved by

the electorate.

(3)  The consequence of the referendum being approved by the

electorate.

(4)  The type of public work projects impacted by the

referendum.

(5)  The definition of prevailing minimum wage rates and an

explanation of how, when and by whom the rates are established

for the relevant county.

(6)  The definition of public works.

(e)  The election officials of a county shall certify the

results of a subsequent referendum required under this section

to the Department of State in accordance with Article XIV of the

"Pennsylvania Election Code." The Department of State shall

notify the school district and the department of the results of

the subsequent public referendum as soon as practicable.

(f)  Approval of a subsequent county referendum shall be by

majority vote of the electors voting on the question in the

county. If the referendum question is approved, then beginning

January 1 immediately following the date of the approval of a

subsequent county referendum permitted under subsection (a) and

until the time that a subsequent referendum is disapproved by

the county electorate, a public works project situated in that

county commenced by a school district or an authority, agency or

instrumentality established by one or more school districts

shall be constructed in compliance with the provisions of this

act including paying minimum prevailing wage rates. Public works

projects by a school district or an authority, agency or

instrumentality established by one or more school districts in

which a design or construction contract has been executed before

January 1 following the subsequent referendum approval shall

continue to be exempt from the requirements of this act.

(g)  If a subsequent referendum question is not approved by a

majority vote of the electors voting on the question in a

county, then beginning January 1 immediately following the date

of the disapproval of the subsequent referendum permitted under

subsection (a), a school district or authority, agency or

instrumentality established by one or more school districts

shall not be required to comply with a provision of this act

including the payment of minimum prevailing wage rates for a

public works projects commenced in the county and until the time

that a subsequent referendum is approved and effective under

this section. Nothing in this subsection shall be construed to

prohibit a school district from commencing new public works

projects constructed in a different county by a school district

whose territory is split by county boundaries.

Section 13.3.  Election Interference Prohibited.--(a)  Public

funds shall not be used to urge an elector to vote for or

against a referendum or a subsequent referendum or be

appropriated for political or campaign purposes.

(b)  Nothing in this section shall be construed to prohibit

the use of public funds for dissemination of factual information

relative to a referendum or a subsequent referendum on an

election ballot.

(c)  As used in this subsection, the term "public funds"

means funds appropriated by the General Assembly or by a

political subdivision.

Section 3.  Repeals are as follows:

(1)  The General Assembly declares that the repeal under

paragraph (2) is necessary to effectuate this act.

(2)  Section 752 of the act of March 10, 1949 (P.L. 30,

No. 14), known as the Public School Code of 1949, is

repealed.

Section 4.  This act shall take effect in 60 days.