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A proposed ordinance pending before the Columbus City Council would require entities that receive more than $500,000 from the City in support of construction or renovation project pay prevailing wage on that project.
Another piece of legislation pending before the council also would require that private entities that receive more than $500,000 from the city in support of a construction or renovation project must meet with the City’s Office of Diversity regarding their contracting processes.
Columbus City Council Member Rob Dorans, a backer of the proposals, said in a news report published on NRIPage.com that ensuring construction workers are paid fairly when public money supports a private project is essential not only for economic equity but for the overall health of the city’s economy.
Under existing state laws, construction workers on city-funded public projects must be paid at least the prevailing wage, which includes stablished rates for both pay and benefits.
Under the proposed city ordinance, that standard would be applied to private projects that receive at least $500,000 in public investment, including tax incentives.
ABC Central Ohio Executive Director Barton Hacker took exception to the proposals.
“Proposals such as these would, without question, increase development costs,” Hacker said.
“The fact that there is an exception for housing is an implicit acknowledgement of how this would increase construction costs, since they don’t want to disincentivize home building right now,” Hacker said.
The proposed ordinances remain pending before council though backers said in news reports they hope both pieces of legislation pass before the end of the year.
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