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Senate of Pennsylvania
Session of 2015 - 2016 Regular Session

MEMORANDUM

Posted:	December 9, 2014 10:09 AM
From:	Senator Gene Yaw
To:	All Senate members
Subject:	Legislation to Increase the Prevailing Wage Threshold

In the near future, I will re-introduce legislation, Senate Bill 1059 of last session, that will raise the threshold of the Prevailing Wage Act from $25,000 to $185,000. The Prevailing Wage Act requires that all public bodies pay the prevailing minimum wage, as determined by the Secretary of Labor and Industry, to workmen on a “public works project”. A “public work” is defined in the Act as any construction, repair, demolition, or alteration paid for in whole (or in part) out of the funds of a public body where the total estimated cost exceeds $25,000. It is important to note that the prevailing wage threshold has not changed since the 1960’s and that there is no cost-of-living adjustment (COLA) for the threshold in current law. At today’s cost levels, the $25,000 prevailing wage threshold virtually applies to every infrastructure project. I appreciate your consideration of this legislation.

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