TITLE
WITHDRAWN
Recommendation to request City Manager to provide a report to the City Council within 20 days identifying the fiscal impacts associated with Project Labor Agreement (PLA) construction contacts; and that staff consider the fiscal impacts associated with a construction threshold of $500,000 as well as $1 million dollars, as had previously been recommended. This is necessary in order to determine if there is any financial significance between the two in terms of fiscal impact to the City.
Further, in considering the fiscal impact of this proposed agreement, the City should carefully consider what alternatives are available to the City in regards to the project coordinator/officer that has been included as a component of the proposed agreement.
DISCUSSION
On November 11,2014 the City Council instructed the City Attorney to start negotiations for a Project Labor Agreement (PLA) for all construction projects over $500,000. While PLA agreements provide benefits local hire and apprenticeship programs, the costs of implementing such a contract in the City of Long Beach remains unknown. Specifically, it is unknown whether (1) the City will have to hire additional stafftooversee/administer these projects, (2) the cost of projects will be higher because of the PLA, and (3) whether such contracts would discourage non-union contractors to bid on City projects. Obviously, the City should enter into agreements that are fiscally prudent and encourage healthy competition from prospective bidders. While the author of this item is supportive of PLAs in concept, the fiscal impact of this PLA is unknown at this time.
FISCAL IMPACT
There is no significant fiscal impact for the delivery of the report. The report from the City Manager is required to determine the fiscal impact associated with Project Labor Agreements.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
SUZIE PRICE
COUNCILWOMAN, THIRD DISTRICT
STACY MUNGO
COUNCILWOMAN, FIFTH ...
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