Tucson And Phoenix Face Lawsuits After Passing Prevailing Wage Ordinances

gallego romero
Phoenix Mayor Kate Gallego and Tucson Mayor Regina Romero.

As the cities of Phoenix and Tucson adopt prevailing wage ordinances for city-funded construction projects within their jurisdictions, the Arizona Chapter of the Associated General Contractors of America is planning to advance all legal remedies to ensure the cities are held “in-check and these illegal ordinances are not implemented.”

“On day one of any ordinances’ effective date or sooner if appropriate, AZAGC (Arizona Chapter of the Associated General Contractors of America) will partner with companies and industry associations to challenge the legality of such exclusive practices,” said David Martin, president of the Arizona Chapter of the Associated General Contractors of America, Inc. The association wants to make it clear that we advocate for free and open competition among all contractors whether union or non-union. These ordinances are a direct attack on contractors that choose to remain non-union. David Martin will not go into details about the association’s strategy in challenging the ordinance because there are key provisions in each that make them completely illegal. “Instead of battling these issues at the council level we’ll take our arguments through the court system,” Martin said.

Under the cities’ ordinances, wages contractors must pay must be based on the controversial Davis-Bacon Act.

“Prevailing wages have long served as a tool to uplift our communities, improve our local economy and protect all workers from being underpaid and taken advantage of,” stated Tucson Mayor Regina Romero. “This will have a positive impact for families, create a better quality of life for workers by providing economic stability, ensure stable and secure housing, and create opportunities for families to invest in their children’s education.”

Critics say the ordinances will collapse the construction job market by making construction too expensive.

The Arizona Chapter of the Associated General Contractors of America, Inc. (AZAGC), chartered in 1934, is a not-for-profit association of general contractors, subcontractors, and other construction industry affiliated firms engaged in highway, heavy, industrial, federal and municipal-utility construction.

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