Majority Counsel/Program Services

Senator Joseph L. Bruno, Majority Leader

To: Senator Bruno ,/

From: Ed Bartholomew Jr. ~
Date: March 19, 2001
Subject:Meeting Wednesday 1:3Opm
Senator Morahan & Joe Maraia IBEW
HISTORY

GENERAL MUNICIPAL LAW 101(ARTICLE SA) AND STATE FINANCE 135

( known as WICKS LAW originally adopted in 1921)

For local government and school districts, current law requires:

4 separate prime contracts where the entire cost of the project exceeds $50,000.

* general contract
* plumbing and gas fitting,
* HV AC(steam heating, hot water, ventilating and air conditioning)
* Electrical wiring

EXEMPTIONS from Wicks:

• NYC School Construction Authority created in t 988 extended (Goodman) to

June 30, 2002,
• Energy saving retrofits under the Energy Law,
• MTA Construction,
• Specific Legislation ie, Albany Civic Center, Ithaca School, Niagara Falls
School, Buffalo School Construction

GOVERNMENT
LEGISLATIVE AGENDA EXH IBIT

GS-2
Governor's 2001-02 Proposal
School Districts and Boces would be exempt from Wicks Law regarding multiple
contractors
Previously Governor in 2000 had submitted legislation exempting school projects
and for other municipal projects raising the threshold of projects subject to wicks.

Sen. Volker previously has introduced increasing the thresholds

Municipalities, Business Council supports Wicks Law Reform

AFL CIa would possibly support modification of increasing the financial

threshold numbers to current Wicks. Specialty labor groups include
electrical.mechania] .

But AFL CIO opposes repeal of Wicks without detailed language

negotiations protecting the subcontractors, and payments etc

It should be noted that with School Districts, the State Comptroller in an October
1997 School Facilities, Conditions Problems and Solutions Report suggested
1

increasing $50,000 threshold or exempting small school districts with limited

resources and experience in construction.Additionally the report suggested that if
reform was undertaken ) added protection would be needed for the specialty
subcontractors to insure that they would be treated fairly.

RECOlVlMENDATION

Senate Majority adopted budget resolution indicating support for the Governor's
reform in Wicks but suggested adopting an increase in the $50,000 threshold
instead of total elimination . This approach preserves the ability of the smaller
trades(and our supporters) to partake in the construction of schools . A more
gradual approach is sought by the Unions. The unions probably would not go as
high on the threshold as proposed by Volker but close.