HARRISBURG, Pa. — State Rep. Ryan Mackenzie took a stand Monday against a bipartisan bill that would strengthen prevailing wage laws in Pennsylvania, arguing taxpayers would face artificially high costs as a result.
House Bill 2153, introduced in March, would eliminate the practice of split rates.
Currently, workers on government contracts performing two different roles on a project can be paid different rates for each role. As an example, a carpenter who also assists with manual labor wouldn't be allowed to be paid at a lower rate when when he's performing less skilled work.
The bill would also require that prevailing wages are paid for employees doing prefabricated construction away from the community hosting the project. For example, welders assembling part of a bridge would need to be paid at least local prevailing rates if the bridge was being installed in the Lehigh Valley.
During a news conference in the Capitol Rotunda, Mackenzie, R-Lehigh, other lawmakers and lobbyists conceded the bill had a strong chance of passing the state House. The bill has 45 co-sponsors, including 11 Republicans. But the group said they wanted to go on record warning against the perceived flaws of the bill and rally other conservatives against it.
"What it will really do at the end of the day is increase costs for tax payers."Emily Greene, deputy state director for Americans for Prosperity - Pennsylvania
Mackenzie argued the bill would pass along higher wage costs to taxpayers. Construction companies are increasingly turning to prefabricated construction methods to control expenses, but the bill would wipe out some of those gains, he said. At a time when housing is in greater demand, it would limit the government's ability to afford public housing, he said.
"We've talked about these challenges. Unfortunately, we did not get any receptive ear from our Democratic counterparts," said Mackenzie, the Republican chair of the House Labor and Industry Committee.
Emily Greene, deputy state director of Americans for Prosperity Pennsylvania, said her conservative lobbying group has actively opposed the legislation and has tried to rally Republican lawmakers against it. At a time when Americans are paying more for basics such as housing and groceries due to inflation, it would be irresponsible to pass legislation that would make it harder to pay for basics, she said.
"What it will really do at the end of the day is increase costs for taxpayers," Greene said.
Mackenzie has earned strong support from Americans for Prosperity Action, a federal super PAC that is a sister organization to Greene's. Americans for Prosperity Action has provided Mackenzie with $596,928 of funding and in-kind services this election cycle for his campaign for Pennsylvania's 7th Congressional District, according to FEC filings.
Mackenzie won the three-way Republican primary in April and is due to face three-term incumbent U.S. Rep. Susan Wild, D-Lehigh Valley, in November.
"You're not going to build affordable housing by putting someone else out of their house."State Rep. Josh Siegel, D-Lehigh County
Rep. Josh Siegel, one of 45 co-sponsors on the bill, called Mackenzie a hypocrite for campaigning as a champion for working Pennsylvanians while actively working to prevent them from earning a prevailing wage. While he agreed more needs to be done to improve high housing costs in Pennsylvania, Siegel said the government ought to focus on the cost of building materials instead of how much is going into the pocket of skilled workers.
"You're not going to build affordable housing by putting someone else out of their house," said Siegel, D-Lehigh.
Pennsylvania is the only state with a divided Legislature — Democrats narrowly control the House while Republicans have a firm grip on the Senate.
However, Siegel expressed optimism that the prevailing wage bill could work its way through the upper chamber. Many Republicans in the General Assembly hold pro-labor stances, Siegel said.
