HB0915 94TH GENERAL ASSEMBLY

LRB094 03798 RLC 33809 b

94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
HB0915

Introduced 2/2/2005, by Rep. Jay C. Hoffman

SYNOPSIS AS INTRODUCED:

New Act

Creates the Illinois Project Labor Agreement Act. Provides that on a project-by-project basis, a State department, director, agency, authority, or instrumentality shall include a project labor agreement on a public works project when it has been determined that a project labor agreement advances the State's interests of cost, efficiency, quality, safety, timeliness, skilled labor force, and labor stability. Defines a "project labor agreement" as a form of pre-hire collective bargaining agreement covering terms and conditions of a specific project. Provides that when it has been determined that a project labor agreement is appropriate for a particular public works project, a State department, director, agency, authority, or instrumentality responsible for implementing the project shall either: (1) in good faith negotiate a project labor agreement with labor organizations engaged in the construction industry that represent experienced and skilled construction workers; or (2) condition the award of a project manager or general contractor upon a requirement that the manager or contractor negotiate in good faith a project labor agreement with labor organizations engaged in the construction industry and, if necessary, use the Department of Labor to reach a project labor agreement. Provides that in the event that the State department, agency, authority, board, or instrumentality and the labor organizations engaged in the construction industry cannot agree to the terms of the project labor agreement, the Governor shall appoint a designee to assist the parties in reaching an agreement. Provides that the State department, authority, or instrumentality may reserve the right to approve the negotiated project labor agreement. Establishes the requirements of a project labor agreement. Provides that any decision to use a project labor agreement in connection with a public works project by a State department, director, agency, authority, board, or instrumentality shall be supported by a written, publicly disclosed finding by such department, director, agency, authority, board, or instrumentality setting forth the justification for use of the project labor agreement. Provides that the provisions of the Act are severable. Effective immediately.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning labor.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Short title. This Act may be cited as the Illinois Project Labor Agreement Act.

Section 5. Legislative findings and declaration. It is hereby declared as a matter of legislative determination:

(1) In order to promote and protect the health, safety, and welfare of the public the State of Illinois has a compelling interest in awarding public works contracts so as to ensure the highest standards of quality and efficiency at the lowest responsible cost. The State of Illinois has a compelling interest that a highly skilled workforce be employed on public works projects to ensure lower costs over the lifetime of the completed project for building, repairs, and maintenance.

(2) The use of a project labor agreement, which is a form of pre-hire collective bargaining agreement covering all terms and conditions of employment on a specific project, can ensure the highest standards of quality and efficiency at the lowest responsible cost on appropriate public works projects. The use of project labor agreements provides the State of Illinois with a guarantee that public works projects will be completed with highly skilled workers; and provides for peaceful, orderly and mutually binding procedures for resolving labor issues without labor disruption, which has historically resulted in significant lost-time on construction projects. Project labor agreements allow public agencies to predict more accurately the actual cost of the public works project and the use of project labor agreements can be of specific benefit to complex construction projects.

Section 10. Definitions. In this Act:

"Agency" means each agency, department, authority, board, or commission of the executive branch of State government, including each university, whether created by statute or by executive order of the Governor.

"Authority" means a board, commission, or other entity whether created by statute or by executive order of the Governor of the executive branch of State government.

"Board" means a commission or other entity whether created by statute or by executive order of the Governor of the executive branch of State government.

"Director" means the head of a State agency or department.

"Instrumentality" means an entity whether created by statute or by executive order of the Governor of the executive branch of State government.

"Project labor agreement" means a form of pre-hire collective bargaining agreement covering terms and conditions of a specific project.

"Public works project" means a project defined under Section 2 of the Prevailing Wage Act.

"State" means the State of Illinois.

"State department" means each agency, department, authority, board, or commission of the executive branch of State government, including each university, whether created by statute or by executive order of the Governor.

Section 15. Public works projects. On a project-by-project basis, a State department, director, agency, authority, or instrumentality shall include a project labor agreement on a public works project when it has been determined that a project labor agreement advances the State's interests of cost, efficiency, quality, safety, timeliness, skilled labor force, and labor stability.

Section 20. Negotiation of project labor agreement.

(a) When it has been determined that a project labor agreement is appropriate for a particular public works project, a State department, director, agency, authority, or instrumentality responsible for implementing the project shall either:

(1) in good faith negotiate a project labor agreement with labor organizations engaged in the construction industry that represent experienced and skilled construction workers; or

(2) condition the award of a project manager or general contractor upon a requirement that the manager or contractor negotiate in good faith a project labor agreement with labor organizations engaged in the construction industry and, if necessary, use the Department of Labor to reach a project labor agreement.

(b) In the event that the State department, agency, authority, board, or instrumentality and the labor organizations engaged in the construction industry ("the parties") cannot agree to the terms of the project labor agreement, the Governor shall appoint a designee to assist the parties in reaching an agreement.

(c) The State department, authority, or instrumentality may reserve the right to approve the negotiated project labor agreement.

Section 25. Contents of project labor agreement. A project labor agreement must:

(1) set forth effective, immediate, and mutually binding procedures for resolving jurisdictional disputes, labor disputes, and grievances arising before the completion of work;

(2) contain guarantees against strikes, lockouts, or other similar actions;

(3) standardize the terms and conditions of employment of labor on the public works project;

(4) permit flexibility in work scheduling and shift hours and times;

(5) ensure a reliable source of skilled and experienced labor;

(6) permit contractors and subcontractors to retain a percentage of their current workforce in addition to labor referred through the signatory labor organizations;

(7) permit the selection of the lowest qualified responsible bidder, without regard to union or non-union status at other construction sites;

(8) be made binding on all contractors and subcontractors on the public works project through the inclusion of appropriate bid specifications in all relevant bid documents; and

(9) require all contractors and subcontractors on the public works project to sign the applicable master collective bargaining agreements with the labor organizations having jurisdiction over the type of work performed.

Section 30. Justification for project labor agreement. Any decision to use a project labor agreement in connection with a public works project by a State department, director, agency, authority, board, or instrumentality shall be supported by a written, publicly disclosed finding by such department, director, agency, authority, board, or instrumentality setting forth the justification for use of the project labor agreement.

Section 35. Implementation. All State departments, agencies, authorities, boards, and instrumentalities are hereby ordered to ensure that all public works projects are implemented in a manner consistent with the terms of this Act and are in full compliance with all statutes, rules, and Executive Orders. In complying with this Act, all State agencies, authorities, and instrumentalities are encouraged to implement project labor agreements when consistent with the goals set forth in this Act.

Section 40. Severability. Nothing in this Act shall be construed to contravene any State or federal law or to jeopardize the State's entitlement to federal funding. If any provision of this Act or its application to any person or circumstance is held invalid by any court of competent jurisdiction, this invalidity does not affect any other provision or application of this Act that can be given effect without the invalid provision or application. To achieve this purpose, the provisions of this Act are declared to be severable. The provisions of this Act are severable under Section 1.31 of the Statute on Statutes.

Section 99. Effective date. This Act takes effect upon becoming law.