Summary of Legislation
April 2008

News From Harrisburg
By Scott Bishop, GCAP Representative
Within the past few months, the General Contractors Association of Pennsylvania (GCAP) has renewed its presence in the State Capitol as the statewide voice for more than 500 union-affiliated general and specialty contractors and their affiliates throughout the Commonwealth.  It represents the member interests of the Master Builders Association, the Keystone Contractors Association and the General Building Contractors Association.  GCAP is fully engaged on the key issues impacting the commercial construction industry.

One such issue is the elimination of the Separations Act.  GCAP continues to support the ability of a school entity to receive a waiver from the separate prime requirement for school construction projects.  GCAP remains in contact with the State Department of Education and is committed to being a resource for districts on this issue.

In addition, GCAP opposes current efforts in the State House to tie the Separations Act to construction projects in the state’s Keystone Opportunity Zones (KOZ) and related tax-free development areas.  HB 2297 (Parker, D-Philadelphia) contains the Governor’s proposed KOZ language that is part of his overall economic stimulus initiative.  For many of the same reasons it is working to eliminate the Separations Act, GCAP supports DGS’ Best Value Contracting initiative as a way to ensure efficiency and quality in public construction projects.    As a result of DGS winning its court case last fall, it is moving forward with this process.  They continue to review applications, and in the spring they will be engaged in efforts to maintain a high level of transparency and public input – including public meetings with Dep. Secretary Elizabeth O’Reilly.

In the late spring and early summer, the primary focus in Harrisburg will be the Commonwealth’s FY 2008-09 spending plan.  The Governor’s 2008-09 Budget includes multiple proposals to borrow funds to leverage private capital to stimulate and grow Pennsylvania’s economy.  His plan includes borrowing $750 million for capital construction projects in the private and community sectors, $100 million to revamp old industrial sites for business re-use and $10 million for the Infrastructure Development Program.  GCAP supports these budget initiatives which will increase state funding for infrastructure and other private/pubic construction projects in the Commonwealth.

Stay tuned for more updates and information on what is happening in the State Capitol.  In the meantime, enjoy this month’s legislative report.  If you any questions about what was reported here, please contact Jon O’Brien at 412-922-3912 or jobrien@mbawpa.org.

Legislative Activity
Provided by the Construction Legislative Council
HB 1096 RE: Uniform Construction Code Review Advisory Council (By Rep. Ron Buxton, et al)
Amends the PA Construction Code Act to create the Uniform Construction Code Review Advisory Council. The Council would be charged with gathering information from municipal officers, building code officials, construction code officials, licensed design professionals, builders and property owners concerning issues with the Uniform Construction Code and evaluating this information in order to give recommendations to the Governor, Labor and Industry Committees, the Legislature and the Code Development Councils of the International Code Council. The Council would also review new and amended provisions issued by the ICC to any of its codes and inform the department of any code provisions that should be excluded from the Uniform Construction Code by May 1 of the year of issuance of the latest triennial code issued by the ICC. The composition of the Council and meeting requirements are further provided for in the legislation.
Reported as amended from Senate Labor and Industry Committee, and read first time, 4/8/2009
Re-referred to Senate Appropriations Committee, 4/9/2008

HB 1589 RE: Capital Budget Project Itemization Act of 2007-2008
Provides for the capital budget for the fiscal year 2007-2008.
Passed Senate, 4/2/2008 (47-2)
Received as amended in House and re-referred House Rules Committee, 4/2/2008

HB 2186 RE: School Construction Costs (by Rep. Bev Mackereth, et al)
Amends the Public School Code further providing for approved reimbursable rental for certain leases and approved reimbursable sinking fund charges on indebtedness by adding that for new school buildings or for additions, alterations or improvements, the approved building construction cost would consider the cost of employing a construction manager to oversee construction.
Voted favorably from House Education Committee, 4/9/2008

SB 9 RE: Proof of Citizenship for Receipt of Public Benefits Act (by Sen. Joe Scarnati, et al)
Requires anyone who is at least 18 years of age and applies for public benefits to provide one of a specified list of identifications and execute an affidavit stating that the person is a U.S. citizen or legal permanent resident or is otherwise lawfully present in the U.S. pursuant to Federal law. The agency receiving this affidavit would have to keep it on file. Agencies that administer public benefits have to verify, through the SAVE program that each applicant who has executed an affidavit is an alien legally present in the U.S. Penalties are further provided for in the bill.
Reported as amended from Senate Appropriations Committee, 3/31/2008
Amended on Senate floor, 4/7/2008
Amended on Senate floor, and read second time, 4/8/2008
Read third time, and Passed Senate, 4/9/2008 (39-10)

New Bills Introduced
HB 2400 RE: Employee Misclassification Prevention Act (By Rep. Bryan Lentz, et al)
States that services performed by an individual for wages would be deemed to be employment and the individual would be considered an employee of the party that pays the wages. The bill provides for exceptions. An employer or an officer or agent of the employer that fails to properly classify an individual as an employee or fails to pay benefits or other contributions required by law would be subject to penalties, remedies or actions. The bill provides for enforcement and criminal penalties. Any sum collected as a penalty would be applied toward enforcement and administration costs of the Department of Labor and Industry.
Referred to House Labor Relations Committee, 4/3/2008
House Labor Relations Committee Public Hearing set for 1:00 p.m., Ridley High School, 4/23/2008
House Labor Relations Committee Voting Meeting set for 10:00 a.m., Room 60, East Wing, 5/6/2008

HB 2439 RE: Prevailing Wage Threshold (By Rep. Ron Marsico, et al)
Amends the PA Prevailing Wage Act raising the threshold for applicability to $250,000 from $25,000.
Referred to House Labor Relations Committee, 4/7/2008

SB 1304 RE: Highmark Merger (by Sen. Don White, et al)
The bill extensively provides for mergers and consolidations and provides for legislative review of an application or statement submitted by a hospital plan corporation or professional health services plan corporation seeking the approval of a merger, consolidation or other acquisition of control of a hospital plan corporation or professional health services plan corporation.
Referred to Senate Banking and Insurance Committee, 4/9/2008

SB 1318 RE: Prototypical School Facility Designs Clearinghouse (by Sen. Mike Waugh, et al)
Amends the Public School Code providing for the establishment of a central clearinghouse of prototypical school facility designs for access by school entities. The Department of Education must review and evaluate submitted plans for inclusion in the clearinghouse using certain standards. The bill requires the Legislative Budget and Finance Committee after the fifth year of operation to conduct a study of the department's program to determine the savings incurred by school entities that have participated in the program.
Referred to Senate Education Committee, 3/19/2008

SB 1320 RE: Freedom of Employment Law (By Sen. Mary Jo White, et al)
Prohibits employers from making employment conditional on certain labor organization status. Under the Act, no person would be required to become or remain a member of a labor organization as a condition of employment or continuation of employment, required to abstain or refrain from membership in a labor organization, or required to pay or refrain from paying any dues, fees or other charges of any kind to a labor organization. The bill further establishes penalties for violating this Act.
Referred to Senate Labor and Industry Committee, 3/24/2008

Upcoming Meetings of Interest
TUESDAY, 4/23/08
House Labor Relations Committee
1:00 p.m., Ridley High School,
901 Morton Avenue, Folsom, PA
Public hearing on: HB 2400 Lentz Act re proper classification of employees

2008 HOUSE SPRING SESSION SCHEDULE
The House has announced the following session days for Spring 2008, subject to change
May 5, 6, 7, 12, 13, and 14
June 2, 3, 4, 9, 10, 11, 16, 17, 18, 23, 24, 25, 26, 27, 28, 29, and 30

2008 SENATE SPRING SESSION SCHEDULE
The Senate has announced the following session days for Spring 2008, subject to change
April 28, 29, 30
May 5, 6, 7, 12, 13, 14, 19, 20, 21
June 2, 3, 4, 9, 10, 11, 16, 17, 18, 23, 24, 25, 26, 27, 30

Copies of all bills of interest are available from the GCAP office, or they can be accessed via the Internet at http://www.legis.state.pa.us/WU01/LI/BI/billroom.htm.

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