Press Releases: 10/30/09 Legislators Iannello, Reynolds Call for a County Tax Abatement Law for Home Improvements 10/08/09 Erie County Legislator Michele Iannello News Release 09/30/09 Iannello Calls on County Executive to Include Tax Cut in Budget 08/26/09 IANNELLO APPOINTED CO-CHAIR OF THE NIAGARA ERIE REGIONAL COALITION BY LEGISLATURE CHAIR MARINELLI 08/07/09 LEGISLATOR IANNELLO DEFENDS PREVAILING WAGE VOTE

Michele M. Iannello - District 10 August 7, 2009 LEGISLATOR IANNELLO DEFENDS PREVAILING WAGE VOTE There has been a lot of controversy and a vast amount of media spent on recent legislation passed by the Erie County Legislature calling for prevailing wage rates on taxpayer financed construction projects. The fact is that prevailing wages have been a requirement on such jobs since Congress passed the Davis-Bacon Act in 1931. Prevailing wage means the current salary being paid to workers. That salary is determined by the Department of Labor in each skilled labor area for both union and non-union construction projects. Surveying both union and non-union companies to find out what the average wage being paid to their workers is in Erie County completes the yearly process used by the DOL for establishing the prevailing wage. The controversy was a result of a proposal sent over by the administration to the Legislature for immediate consideration on our last day of session before summer recess. The resolution would allow for tax exempt financing to not-for-profit organizations through the Industrial Land Development Corporation. A function that is usually done by the state but because of their in action has stalled projects. I had no problem with the intent of the proposal itself. However, a majority of the legislators, myself included, amended the administrations proposal by adding that all contractors must pay the prevailing wage as called for in Federal Law. The County Executive and others have referred to us as, obstructionists. The claim is that we are holding up over $200 m in economic development and that by adding the prevailing wage rate we are increasing project costs by 30%. What they are failing to report is that the administration and the IDLC testified in committee that there isn't even $50 m in projects ready to start. The other miss-truth is that the actual increase in cost is less than 15%. The argument of increased costs is a poor one because quality wages equal quality workmanship! It is a known fact that if you want a good product you may have to pay a little bit more for it. The local community is who supports these not-for-profits. It is the local community that will be doing the work and it is those same workers who will be re-investing those wages here in Erie County providing much needed economic growth. Prevailing wages add stability to a very competitive and often, cutthroat industry, and prevents contractors from bringing in cheap labor to undercut the wages of local, experienced and skilled workers. This often results in shoddy workmanship in our infrastructure or public buildings. In reality, this can cost the taxpayers more over time due to expensive maintenance and unwarranted repairs. Cheap labor hardly pays the bills and does not provide that expendable income for a decent car, entertainment, a mortgage payment or other quality of life amenities. It usually means the need for food stamps and other social services paid for by you the taxpayer. Fair wages helps all of us as taxpayers. If it was your son or daughter getting the work wouldn't you want them to make a fair wage so to sustain themselves? What goods and purchases can be made on minimum wage versus a livable wage? We are a consumer driven economy and if we don't have a livable wage, we all feel the result. A livable paycheck supports the community that in turn supports the businesses. Congressional Republicans and Democrats alike realize that a livable wage insures economic prosperity, not just for the employees, but also for families and the entire community. I consider myself a common sense Legislator and I believe that paying a prevailing wage is just that. I stand by my vote, not for special interests, but for the well being of all of Erie County. I can be reached at 873-3438 or by email at iannello@erie.gov Please feel free to contact me regarding this or any other issue involving Erie County Government. Back to District 10 Homepage