Affton School District Project Labor Agreement Early Childhood Education Center Project

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Affton School DistrictProject Labor
AgreementEarly Childhood Education Center
Project

• Public Hearing
• September 20, 2011

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Section 34.216, Missouri Revised Statutes, sets
forth conditions by which a Missouri political
subdivision may enter into a union-only project
labor agreement (PLA)

• Specifically, Affton School District must
• Publish an Intent to Enter Into a PLA
• Conduct a public hearing prior to a decision
• Publish a Determination to Enter Into a PLA

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Affton School Districthas not employed the use
of a PLAin the past.

• Issues encountered without PLA
• Prevailing wage violations
• OSHA violations and fines
• Sub-standard workmanship
• Code violations
• Jurisdictional disputes

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PROJECTEarly Childhood Education Center

• Description
• Educational facilities for pre-K students
• Renovation of warehouse building
• Located at 9832 Reavis Road
• Building size 20,000 sq ft
• Construction cost 2.6M

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How The Building Looks Today
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The Look Of The Future
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How The Building Looks Today
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The Look Of The Future
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PROJECTEarly Childhood Education Center

• Background Facts
• Funded by bond proceeds
• Design work by KRJ Architects
• Construction bid solicitation Oct/Nov
• Bid solicitation to General Contractors
• Estimated completion June 2012

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PROJECTEarly Childhood Education Center

• Facility Facts
• 7 classrooms a project classroom
• Multi-purpose room conference room
• Rooms for PT, OT, PAT, offices, nurse, workroom
• Warming kitchen dining area
• Outdoor learning and play areas

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PLA Statutory Standards

• Rational Basis
• Whether a PLA advances the interests of the
  government and its citizens
• Whether the PLA is appropriate, considering the
  complexity, size, cost impact and need for
  project efficiency
• Whether the PLA affects the availability of a
  qualified work force
• Whether the scope of the PLA has a business
  justification for the project

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Whether a PLA advances the interests of the
government and its citizens

• The PLA will
• Provide a reliable, stable supply of trained and
  skilled construction craft labor
• Promote timely, cost-effective project delivery
• Help the project reach completion on time and
  within budget
• Minimize the potential for labor disruptions such
  as strikes, slow-downs, work stoppages, and
  jurisdictional disputes

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Whether the PLA is appropriate, considering the
complexity, size, cost impact and need for
project efficiency

• Considering the complexity, size, cost impact,
  and need for efficiency on the 2.6M project, the
  PLA will not adversely impact costs since
  prevailing wages are required to be paid on the
  project
• Since craft labor is a major, critical component
  of any construction project, the quality,
  productivity and reliability of the craft labor
  workforce on the project will have a direct and
  substantial impact on the success of the project

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Whether the PLA is appropriate, considering the
complexity, size, cost impact and need for
project efficiency

• (Continuing)
• Skilled, trained workers are better able to build
  a project in accordance with plans and
  specifications, generally produce quality
  workmanship, work safely and productively and
  more cost-effective and cost-efficient than works
  that lack formal training
• A PLA eliminates the potential for a two gate
  construction entry system on this project

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Whether the PLA affects the availability of a
qualified work force

• A PLA
• Impacts the availability of a qualified work
  force in that securing a supply of local craft
  labor that is less susceptible to disruptions is
  a reliable approach to staffing the construction
  project and delivering the project on time
• Allows the Affton School District to
  substantially limit risks of schedule delays,
  deficient workmanship, incidents resulting from
  unsafe actions and related problems caused by an
  insufficient number of skilled and qualified
  workers

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Whether the scope of the PLA has a business
justification for the project

• The scope of the PLA
• Has a business justification for the project as
  bid in that the use of a Project Labor Agreement
  secures access to a highly skilled workforce
  promotes safe, timely, cost-effective completion
  of construction projects avoids prevailing wage
  violations, and results in economic benefits to
  project owners and other parties responsible for
  or dependent upon such projects

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Sampling of Reportsand Studies Regarding Use of
Project Labor Agreements

• Project Labor Agreements in New York State In
  the Public Interest, Fred B. Kotler, J.D.,
  Cornell University (2009)
• Building Better A Look at Best Practices for
  Design of Project Labor Agreements, Economic
  Policy Institute, Dale Belman, Ph.D. and Matthew
  Bodah M. Bodah, Ph.D. (2010)
• Project Labor Agreements Reports from Professors
  of Michigan State, Rhode Island, Utah, ELECTRI
  International, Dale Belman, Ph.D,, Matthew M.
  Bodah, Ph.D. and Peter Philips, Ph.D. (2007)
• Project Labor Agreements in Iowa An Important
  Tool for Managing Complex Public Construction
  Projects, Ralph Scharnau, Ph.D. and Michael F.
  Sheehan, Ph.D., J.D. (2004)

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Public Hearing Regarding PLA on Early Childhood
Education Center Project

• Hearing Summary
• This hearing meets the requirements of Missouri
  Revised Statutes Section 34.216
• Board must make a determination to enter or not
  to enter into a PLA
• By statute, the administration will publish the
  determination of the Board within 30 days of this
  hearing

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(No Transcript)