The National MCAA Update

UTILITY RESTRUCTURING – Federal Legislation Gains Momentum -- Members of both parties on the House Subcommittee on Energy and Power, former executive branch officials and state public utility commissioners agreed that comprehensive federal utility deregulation legislation is necessary during hearings held on March 18. Subcommittee Chairman Rep. Joe Barton (R-TX) stated that additional hearings would be held in the near future to discuss a utility restructuring timetable, repeal of the Public Utility Holding Company Act and how to address market power. MCAA is contacting committee members in anticipation of those hearings. . . . State Utility Restructuring Action -- MCAA and the National Alliance for Fair Competition (NAFC) submitted comments on proposed changes to the National Association of Regulatory Utility Commissioners' (NARUC's) model utility regulatory guidelines. These guidelines are favorable to NAFC's position barring cross-subsidies from utilities to non-regulated affiliates. Other groups would relax the model guidelines regarding affiliate relations, access to parent company and affiliate proprietary records, and would narrow the definition of cross-subsidization. Copies of the correspondence are posted in MCAA's Legislative Action Center.

NATIONAL ISSUES CONFERENCE LETS MCAA MEMBERS INFLUENCE LEGISLATION –The 1999 Construction Alliance National Issues Conference, April 25-27, in Washington, D.C., will help you shape national legislation on labor/management relations, taxes, utility deregulation, and other cutting-edge issues. Davis-Bacon repeal is reported to be included in the Republican budget proposal (See next item). Confirmed speakers include nationally syndicated columnist Fred Barnes and Congressman Steve Horn (R-CA) and Bruce Swanson, OSHA's Director of Construction. Register online or send your registration form to Shawn Durand (shawn@mcaa.org).

DAVIS-BACON PREVAILING WAGE REQUIREMENTS GAIN KEY SUPPORTER – The National School Boards Association (NSBA)) endorsed Davis-Bacon prevailing wage requirements for federally-funded school construction at its 26^th Annual Federal Relations Network Conference in February. In response to statements that Davis-Bacon would increase costs and threaten passage of the legislation, the NSBA stated, "Congress has already indicated Davis-Bacon is not an obstacle to federal legislation for school modernization. In late 1997, the House defeated—by more than 30 votes—an amendment to the District of Columbia appropriations bill that would have removed Davis-Bacon provisions from school modernization projects. The Congressional Budget Office has testified that any added costs incurred in paying prevailing wages may be offset by the benefits of hiring more skilled and productive workers. Without the protections offered by Davis-Bacon, contractors would have an incentive to depress wages in order to win federal contracts. By leveling the playing field, Davis-Bacon enables recipients of federal construction funds to select contractors on the basis of work quality, management skill and productivity. Thirty-three states already have their own "prevailing wage" laws, making this provision moot. As for the politics of this issue, many Congressional opponents of Davis-Bacon routinely approve highway appropriations which fall under its requirements. In addition, school districts that receive Impact Aid funds (which can be used for construction) are already covered by Davis-Bacon, and most urban districts receive Impact Aid."

WORKFORCE INVESTMENT ACT (WIA) FEDERAL IMPLEMENTATION – $149 Million Budget Request to Expand Implementation -- The Department of Labor (DOL) requested $149 million to continue and expand implementation of the WIA, which consolidates many fragmented job-training programs into a single job training delivery system on a state-by-state basis. Under state and local implementation, established construction apprenticeship programs will have the opportunity to be represented in program implementation. A comprehensive digest of WIA is posted on MCAA's Website in the Legislative Action Center… State WIA Implementation -- Wisconsin plans to submit its WIA transition plan to the DOL by March 31, so that it can implement WIA from July 1, 1999 through June 30, 2000. According to Joan Braun, Executive Vice President of PMCA Milwaukee & Southeast Wisconsin, interested parties at roundtable discussions in several Wisconsin localities provided input on providing training vouchers, establishing one-stop job training centers, and certifying job training providers. To see how Wisconsin is implementing WIA, visit Wisconsin's website at http://www.dwd.state.wi.us/