A school district in Ohio has won a court case in which a contractor and contractor associations sought a temporary restraining order against the district from proceeding with the bidding for construction of five new elementary schools with a prevailing wage requirement included in the bidding documents.
Under Ohio state law, school districts are exempt from requiring payment of prevailing wages on their projects [ORC Chapter 4115.04(b)(3)]. One of the issues considered was whether the exemption nevertheless permitted a school district to require payment of prevailing wages.
On September 30, 2009, Judge Alfred Mackey refused to issue a temporary restraining order, thus permitting the school district to proceed with the project, with the prevailing wage requirement.
Parties in the dispute were at odds over how much the prevailing wage requirement would actually add to the cost of the project.
The bid submittal deadline for the project, estimated to cost approximately $38 million, is currently set for October 8, 2009. Award of a contract could come as early as October 14, 2009 at the board meeting of the Ashtabula Area School District.
However, attorneys for the plaintiffs have indicated they will appeal the decision and take to all the way to the Ohio Supreme Court, if necessary.
To read articles article from the Star Beacon, click on the links below:
Located on the south shore of Lake Erie, the City of Ashtabula is about an hour away from Cleveland.
Tuesday, October 6, 2009
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