Rep. Jerry Torr isn't likely to be able to revive his plan to bar local governments from using project labor agreements to ensure labor peace on certain public works projects.
The architect of Indiana's 2012 anti-union right-to-work statute admitted Monday that his hope of inserting the PLA component of House Bill 1024 — which stalled in the Senate — into the unrelated House Bill 1021 probably won't be realized this year.
Torr, R-Carmel, said he recently was advised by top Senate Republicans that they would not countenance the switcheroo after the Senate Committee on Pensions and Labor failed to advance Torr's House-approved proposal this month.
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Torr, who previously served as the House Republican rules chief, claimed during a House-Senate conference committee that he doesn't consider the language the same because he's only seeking to revive one of the four components of his original proposal.
Torr also admitted that his PLA restriction is "on life support" and he expects House Bill 1021 instead will be used for another purpose as Indiana lawmakers wrap up their annual session this week.
Sen. Rodney Pol Jr., D-Chesterton, said there's no question under Senate rules that Torr cannot insert his stalled PLA language into any other measure this year.
In response, Torr warned: "You are far from the final decision-maker," implicitly referring to the Republican Senate supermajority that ultimately controls how the chamber's rules are interpreted and applied.
Torr's proposal sought to prohibit localities from requiring contractors to sign on to a project labor agreement as a condition of bidding on or participating in a public project organized on a construction-manager-as-constructor (CMc) basis.
CMc project management is increasingly popular for public works projects because it generally obligates the construction manager to deliver a project at or below a guaranteed maximum price. If costs exceed that price, the construction manager is on the hook for the overage.
A PLA is a prehire contract primarily used in the construction industry that establishes the terms of employment — such as wages and benefits, workplace safety rules and dispute resolution procedures — for all workers on a major public or private project.
The agreement applies to union and nonunion employees at a construction site. It generally ensures that all contractors bring in a sufficient number of trained workers to get the job done with minimal work stoppages, such as a strike or a lockout, and maximum coordination among different trades to complete the project on time.
Nearly all Northwest Indiana counties and municipalities mandate PLAs as part of any major construction project. PLAs are also employed on many private-sector projects in the Region, including the $300 million Hard Rock Casino Northern Indiana.
Torr believes it's not fair for localities to require PLAs as a bidding condition because it denies nonunion contractors an opportunity to bid on the work, potentially at a lower price and better value for the taxpayer.
However, opponents of the legislation — including LaPorte Mayor Tom Dermody, a Republican who served as a state representative for 10 year — testified to the Senate committee that PLAs are an essential tool for local governments engaged in large-scale building projects to get the work done right the first time.
"As the entity entrusted to responsibly use taxpayer dollars, we must use every tool at our disposal to ensure that these expensive projects are completed on time and by the most responsible contractor," Dermody said. "Project labor agreements help to ensure we are spending these public funds in the most responsible manner possible."
Sen. Dan Dernulc of Highland, a former member of the Highland Town Council and the Lake County Council, was one of the two committee Republicans to join all three Democrats, including Pol, in opposing the legislation and causing it to stall in the Senate.
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