Oppose Prevailing Wage for Non-Profit Projects
Prevailing wage is said to be a top post-budget priority for the Legislature. The bill, A.1261 (Bronson)/S.1947 (Ramos), would impose public works “prevailing wage” requirements on most types of private sector projects receiving any level of financial support from State or local entities, including bond issuances, grants, tax abatements, and other government assistance. Prevailing wage requirements could increase labor costs by 25 percent or more, thereby increasing overall construction project costs by 15 to 20 percent for many types of projects that would be affected by this expanded wage mandate.
Even when “the State or public entities” provide relatively small amounts of financial support, such as being able to offer a lower interest rate or lower fees on a borrowing, this legislation would deem the project a public work and make it subject to prevailing wages. With no additional funding provided for in this legislation, the cost of this 15 to 20 percent “construction tax” would ultimately need to be passed on to seniors and their families.
We need to ensure that there are exemptions for nursing homes, continuing care retirement communities (CCRCs), adult care/assisted living facilities, and non-profit senior housing.
Enter your information below to contact your lawmakers, urging them to exempt non-profit aging services and long term care providers from the prevailing wage requirements. You can also access LeadingAge NY's memo of opposition here.