Lawsuit forces storm water board to repeal wage decision

Jasper — The Jasper Storm Water Board decided to discard the wage committee hearing’s decision and hold a new hearing due to an injunction filed by the union.

After a wage committee decided to go with the wages presented by the non-union organization Associated Builders and Contractors on January 7 for a storm water replacement project on Worrel Drive, the Southwestern Indiana Building and Construction Trades Council filed a lawsuit against them, the City of Jasper and the storm water board.

The injunction stated the wage determination committee disregarded state law when they chose the nonunion wages as the predominantly paid wages in the county.

A story on the hearing and subsequent injunction is here.

At today’s special Jasper Storm Water Board meeting, chairman Roger Messmer and vice chairman Tom Schmidt decided to repeal the committee’s decision and schedule a new hearing. Board secretary Greg Krodel and City Attorney Renee Kabrick were not present at the meeting.

Kabrick stated previously that she felt if a new wage determination hearing was scheduled, the union would drop the lawsuit. A new hearing is tentatively set for 10 a.m. Tuesday, March 17.

The storm water board also approved Mike Witte as the board’s appointment on the wage determination committee. The Jasper Common Council appointed Dave Hurm to the committee at the last council meeting.

Under current state law, any public project that is estimated to exceed $350,000 is subject to the common wage law. A five-person committee must hold a wage determination hearing to establish the common wage for the project. The wage for the project is then active for 90 days and affects all other projects by the public entity that exceed the $350,000 threshold.

In the case of the storm water wage hearing, the injunction filed has also affected progress on improvements planned for the Beaver Lake spillway. City Utilities Manager Bud Hauersperger told the utility service board he planned on holding off on the bid letting for the project until the injunction was cleared.

Additionally, in efforts to repeal the state’s common wage law, House Bill 1019 is being considered by the Indiana House of Representatives. The bill is on its third reading and would need to pass by Wednesday to move to the Indiana Senate.