As a shortage of affordable housing plagues California, the state’s mandates that developers pay prevailing wage on most taxpayer-subsidized low-income housing projects are a source of contentious debate.
The cost of constructing low-income housing in California now averages $332,000 per unit. In an effort to determine the causes of high price tags on these projects, in 2014 the state released a report that officially said the impact of prevailing wage couldn’t be determined.
But one of the consultants hired to do the study says that projects that paid prevailing wage were 11% more expensive to build. Labor economists were able to convince the state of enough uncertainties in the prevailing wage analysis so that the study didn’t reach a firm conclusion on the issue, according to the Los Angeles Times.
The prevailing wage requirement continues to have strong support in the state legislature. Governor Jerry Brown’s housing plan failed last year in large part because of the Building Trades’ opposition to a relaxation of prevailing wage requirements, the Times says. This year, legislators have introduced more limited versions of Brown’s proposal that include prevailing wage requirements.
Related Stories
Codes and Standards | Nov 11, 2019
U.S. hotel construction pipeline continues its year-over-year growth
In its eighth consecutive quarter of growth, projects currently under construction stand at 1,729 projects/235,278 rooms.
Codes and Standards | Nov 11, 2019
New retrofit design guide for metal roofing published
Metal Construction Association document provides best practices for re-roofing with metal.
Codes and Standards | Nov 8, 2019
New York City among the top hotel construction pipelines in the United States
Hotels presently under construction are at 102 projects/17,504 rooms.
Codes and Standards | Nov 7, 2019
Group focused on using AI for construction safety gains key members
Major contractors join partnership to share data to predict hazards, incidents.
Codes and Standards | Nov 6, 2019
Undisclosed ICC agreement with NAHB alleged to thwart more stringent efficiency codes
Homebuilders’ seats on ICC made it easier to block new provisions, report alleges.
Codes and Standards | Nov 4, 2019
ASHRAE releases new version of energy efficiency standard for buildings
Standard 90.1 includes revisions of envelope, lighting, HVAC provisions.
Codes and Standards | Nov 1, 2019
Resiliency of a community’s housing stock can be measured according to new benchmark
Metric can help municipalities prepare for disasters.
Codes and Standards | Oct 31, 2019
FEMA, ICC release updated guide on integrating I-Codes into floodplain management regulations
Provides advice on satisfying requirements for the National Flood Insurance Program.
Codes and Standards | Oct 30, 2019
ILFI releases new version of Living Building Challenge Framework for Affordable Housing
Document includes updated findings, case studies, new strategies for financing, designing, building affordable housing.
Codes and Standards | Oct 28, 2019
U.S. military demands landlords address health hazards in troop housing
Air Force threatens formal dispute process.
