[Congressional Record Volume 145, Number 95 (Wednesday, June 30, 1999)]
[Extensions of Remarks]
[Pages E1452-E1453]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




   INTRODUCING THE SCHOOL AND LIBRARY CONSTRUCTION AFFORDABILITY ACT

                                 ______
                                 

                     HON. RANDY ``DUKE'' CUNNINGHAM

                             of california

                    in the house of representatives

                        Wednesday, June 30, 1999

  Mr. CUNNINGHAM. Mr. Speaker, today I am introducing the School and 
Library Construction Affordability Act to make high-quality 
construction and repairs less costly for our nation's communities, 
schools and citizens.
  This measure would exempt public schools and libraries from the 
inflationary and costly effects of the federal Davis-Bacon prevailing 
wage laws.
  I am offering this legislation specifically to address three issues.
  First, 22 States have chosen not to impose state Davis-Bacon laws or 
have specifically exempted schools from coverage, so it is wise for us 
to make the federal laws to be more harmonious with state laws in this 
area.
  Second, it is well-known that the AFL-CIO wants to use the 
President's school construction bond initiative as a vehicle to expand 
federal Davis-Bacon laws over a much larger number of local public 
schools than must abide by it today. At this time, the federal Davis-
Bacon Act applies to public school construction in cases where the 
public school receives federal funds as general revenue. Impact Aid, 
for example, is such a general revenue program. By contrast, 
``categorical'' programs like Title I, designated for a specific 
purpose, are not general revenue to a school, and do not trigger Davis-
Bacon coverage of school construction and repair. Rather than to add to 
the immense federal regulatory burden on our schools, we need to work 
to reduce that burden so that they can focus their scarce resources on 
educating their children.
  And third, Davis-Bacon increases construction cost 5-38 percent. Each 
year, the General Accounting Office makes note that eliminating the 
federal Davis-Bacon Act would save federal taxpayers billions of 
dollars. The federal Davis-Bacon Act is also well-known to be prone to 
extensive waste and abuse. With this legislation we will help ensure 
that each citizens' school bond dollar buys a dollar's worth of 
building and repairs.
  The School and Library Construction Affordability Act allows schools 
and libraries to get more school buildings, and more school repairs, 
for their scarce taxpayer dollar. It respects the right of states and 
localities to establish their own labor practices, without imposing 
unnecessary regulations from Washington, D.C. It is neither pro-union 
or anti-union, for under this measure everyone will be able to compete 
fairly and equitably for school and library construction and repair 
work. It may not be construed to diminish the high quality of 
construction and repairs that the purchasers of these services--our 
communities and our local taxpayers--always and rightfully insist upon. 
This bill is simply in the best interests of America's children.
  This legislation is supported by the Associated Builders and 
Contractors, and the National School Boards Association. I have 
attached below the texts of their letters of support. In introducing 
this measure, I am joined by a dozen original cosponsors from across 
the country.
  I hope my colleagues will join me in support of our local schools and 
public libraries, in support of regulatory relief for our communities, 
and in support of our children by cosponsoring the School and Library 
Construction Affordability Act, and moving to enact it.

                            Associated Builders & Contractors,

                                       Rosslyn, VA, June 15, 1999.
     Hon. Duke Cunningham,
     House of Representatives,
     Washington, DC.
       Dear Congressman Cunningham: On behalf of Associated 
     Builders and Contractors (ABC), and its more than 20,000 
     contractors, subcontractors, suppliers and related firms 
     across the country, I would like to express our strong 
     support for the ``School and Library Construction 
     Affordability Act.'' This is much needed legislation to 
     exempt public schools and libraries from the inflationary and 
     costly effects of the federal Davis-Bacon Act.
       By eliminating Davis-Bacon requirements for school and 
     library construction, Congress will help lift outdated 
     burdens and federal restrictions and help improve local 
     control and flexibility in leveraging education dollars. It 
     will give local school districts the ability to spend 
     resources where they will most effectively meet students' 
     educational needs.
       As you know, Davis-Bacon inflates the cost of construction 
     anywhere from 5 to 38 percent, thus hurting those who fund, 
     provide, and receive public education by forcing school 
     districts to pay more to provide students with less. Davis-
     Bacon siphons tax dollars which could be better spent on real 
     efforts to help education--such as additional school repairs, 
     more facilities, books, computers, and other services that 
     actually improve classroom learning and benefit school 
     children.
       Twenty-two states have recognized the waste associated with 
     federal restrictions like Davis-Bacon and have chosen not to 
     have similar state restrictions on schools. Ohio, for 
     example, exempted school construction and repair from the 
     state's ``little Davis-Bacon Act'' in 1997, and has since 
     found preliminary savings have averaged 10 percent lower 
     costs. Davis-Bacon serves as an ``unfunded mandate'' on those 
     states, by forcing them to work under a Depression-era labor 
     law that mandates inefficient practices and inflates 
     construction costs.
       Additionally, eliminating Davis-Bacon restrictions will 
     help give local residents entry-level job and training 
     opportunities on projects in their own neighborhood, by 
     allowing contractors to hire ``helpers,'' as they do for 
     schools not hindered by Davis-Bacon. This will be an 
     important step toward ensuring job opportunities for many 
     low-skilled minorities, at-risk youth, and displaced workers 
     to ``earn while they learn'' in their community.
       ABC applauds your leadership in introducing the ``School 
     and Library Construction Affordability Act'' to help improve 
     use

[[Page E1453]]

     of our nation's tax dollars and ensure real educational 
     improvements.
           Sincerely,
                                                 Jennifer Boucher,
                                     Director, Government Affairs.


                           National School Boards Association,

                                    Alexandria, VA, June 14, 1999.
     Hon. Duke Cunningham,
     House of Representatives,
     Washington, DC.
       Dear Representative Cunningham: Thank you for the 
     opportunity to comment on your proposed legislation that 
     would exempt schools and libraries from federal Davis-Bacon 
     prevailing wage provisions. We strongly support the intent of 
     your legislation to keep federal support for school and 
     library construction free from the constraints of Davis-Bacon 
     prevailing wage requirements. The National School Boards 
     Association, representing 95,000 school board members through 
     its federation of 53 states and territories, believes that in 
     both direct federal funding for school and library 
     construction and indirect support through federal tax credits 
     must be unencumbered by the inflationary factors associated 
     with the Davis-Bacon law.
       Throughout the United States public school students find 
     themselves coping with intolerable conditions in school 
     facilities. Many students attend schools with overcrowded 
     classrooms, obsolete equipment, classrooms not wired for 
     current computing technology, and other structural obstacles 
     that impact student safety and learning.
       According to a 1996 General Accounting Office report, 38 
     percent of urban schools, 30 percent of suburban schools, and 
     30 percent of rural schools have at least one building that 
     needs extensive repair or total replacement. More than one-
     third of all public school students attend classes in school 
     buildings that need serious repair or replacement. The 
     estimated costs of these repairs and replacements are $112 
     billion.
       Several proposals have been introduced, such as America's 
     Better Classrooms Act of 1999 (H.R. 1760) by Congresswoman 
     Nancy Johnson of Connecticut, to help local municipalities 
     obtain funding to build desperately needed new schools and 
     renovate outdated and unsafe classrooms. This legislation 
     will provide tax credits for the interest of $25 billion in 
     new public bonds for school construction and renovation. NSBA 
     believes that this and similar legislation begins to address 
     the magnitude of the school construction crisis. However, we 
     are concerned that the inclusion of Davis-Bacon would 
     severely undermine the real impact of such initiatives.
       For instance, if Davis-Bacon prevailing wage requirements 
     were explicitly applied to this tax provision, it would 
     impact 38 states that either have no state prevailing wage 
     laws, or have prevailing wage requirements substantially less 
     intrusive than federal requirements. That means, for the most 
     impoverished rural and inner-city school districts, 
     construction and renovation costs would increase as much as 
     15 percent over current costs minimizing the assistance 
     provided by the underlying tax credit.
       In this light, we strongly support the intent of your 
     proposed legislation to explicitly state that federal Davis-
     Bacon prevailing wage requirements will not be applied to 
     school construction tax credits or direct funding for 
     construction of schools and libraries.
       We appreciate your support for our America's children.
           Sincerely,
                                                   Anne L. Bryant,
     Executive Director.

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