6a attach
Item Number: 6a_attach Meeting Date: October 25, 2016 Draft Resolution No. 3725 A Resolution of the Port of Seattle Commission establishing a Policy Directive for practices for construction labor for projects located on Port property WHEREAS, the Washington State Legislature in 1911 authorized local voters to create publicly owned and managed port districts as independent government bodies run by directly elected port commissioners with powers to acquire and manage resources that promote trade andcommerce; and WHEREAS, the voters of King County established the Port of Seattle as a county-wide port district in 1911;and WHEREAS, constructed transportation, industrial and administrative facilities such as terminals, roads, berths, runways, warehouses, parking garages and warehouses are critical to accomplishing the Port's transportation and economic development missions; and WHEREAS, expanding and diversifying operations as well as need for facilities renewal and replacement drive an ongoing Port program of capital development; and WHEREAS, effective and economical execution of the Port's capital program depends on a healthy and diverse market of general contractors, subcontractorsand suppliers; and WHEREAS, to ensure diverse competition and provide fair access to economic opportunity that market should include small, minority-owned and women-owned businesses who successfully compete for a share of direct and subcontracted Port construction work; and WHEREAS, Port capital program success depends also on availability of a skilled, experienced, capable construction labor workforce ; and WHEREAS, Project Labor Agreements can help ensure construction workplace safety; and WHEREAS, to meet labor supply needs and to ensure equality of opportunity the construction labor workforce should encourage participation by women and minorities; and WHEREAS, for timely and efficient delivery of construction projects the 1 Port has an interest in avoiding work stoppages;and WHEREAS, in helping create economic prosperity across the region, it is important that the jobs generated by Port activity are quality jobs on which workers can build their careers and support their families ; and WHEREAS, apprenticeship and pre-apprenticeship programs play a key role both in providing fair access for individuals aspiring to good construction jobs and in supplying sufficient trained and capable labor to meet the construction needs of the Port and other public and privatefacilities owners ; and WHEREAS, RCW 39.12 requires the payment of prevailing wages on all public works contracts of government entities such as th e Port;and WHEREAS, some projects constructed on Port property are contracted for by the Port under the provisions of RCW 39.04 and other applicable statutes, some projects are contracted for by Port lease tenants with all or part of the cost reimbursed by the Port and some are constructed entirely at the cost of Port tenants , within existing leaseholds or on ground leases at developer risk; and WHEREAS, Project Labor Agreements (PLA), also known as Community Workforce Agreements (CWA), authorized under the National Labor Relations Act (NLRA), 29 U.S.C., provide a means for aligning the interests of public owners such as the Port with those of constructionlabor unions; and WHEREAS, The Port of Seattle Commission and the CEO together develop Policy Directives as stated under Section 1(A)(2) of the General Delegation of Authority, which Policy Directives, under section (B)(1)(2) and (3), are intended to provide guidance, inform operations, and deliver standards that support the effective use of internal audit functions to verify compliance; NOW, THEREFORE, BE IT RESOLVED by the Port Commission of the Port of Seattle as follows: Section 1: The following Policy Directive related to practices for construction labor for projects located on Port property is hereby adopted. Section I. For major construction contracts (excluding small works executed per RCW 39.04.155): A. The Port shall evaluate the applicability of a project labor agreement (PLA) for each contract according to the following criteria: 1. The assumption will be in favor of employing a PLA when projected construction labor costs are $5 million or greater 2 2. Project needs for labor continuity and stability, including analysis of labor needs by trade 3. Project complexity, including cost and duration 4. Value of having uniform working conditions 5. Potential impact of PLA on small business opportunities 6. Past labor disputes or issues indicating risk of delay 7. Potential PLA impact on project cost 8. Project presents specific safety concerns to the public 9. Value of an established PLA grievance process to resolve labormanagement or jurisdictional disputes 10. Other considerations (identify)particular to individual projects B. The Port shall require the payment and reporting of prevailing wages per RCW and State Department of Labor and Industries requirements. C. Commission approval is needed to employ a PLA. D. For contracts $1 million in value or greater, the Port shall establish as part of a regional cooperative program: 1. Establish in contracts and PLAs Aappropriate apprentice and locality hiring goals. 2. Establish in contracts and PLAs aAppropriate aspirational women and minority apprentice hiringgoals. Section II. For tenant-administered construction contracts paid for entirely or in part by the Port through tenant reimbursement or other means, the Port shall: A. Encourage tenants to examine the applicability of a PLA for each contract according to the criteria in SectionI(A) above. B. As a condition of cost reimbursement, require the payment and reporting of prevailing wages as per RCW and State Department of Labor and Industries requirements. C. For contracts $1 million in value or greater, as part of a regional cooperative program: 1. Require the establishment of in contracts and PLAs of appropriate apprentice hiring goals. 2. Encourage the establishment in of contracts and PLAs appropriate locality hiring and aspirational women and minority apprentice hiringgoals. Section III. For construction contracts performed on Port property at the full costof tenants, the Port shall: A. Encourage tenants to examine the applicability of a PLA for each contract according to the criteria in SectionI(A) above. B. As a provision of initial requests for proposal or opening negotiations, asappropriate: 1. As a lease provision, require the payment and reporting of prevailing wages as per RCW and State Department of Labor and Industries 3 requirements. 2. For contracts $1 million in value or greater, as part of a regional cooperative program: a. Require the establishment in contracts and PLAs of appropriate apprentice hiring goals. b. Encourage the establishment in contracts and PLAsof appropriate locality hiring and aspirational women and minority apprentice hiringgoals. C. If an advertised or negotiated development opportunity featuring the above provisions fails toattract proposersadvancestaff:, staff shall take thefollowing actions: 1. shall iInvestigate the circumstances, to include discussions with potentialproposers and labor. 2. Modify the construction labor provisions to be used in the request for proposal or lease amendment to include scoring provisions for each criterion in Section III(B) aboveStaff is authorized to incorporate modified construction labor provisions for scoring the solicitation and incorporation in the eventual agreement. Section IV. The Projects and Procurements Committee, is hereby chartered to work with including staff and stakeholders, willapprove to develop PLA standard core language to be included used in Port PLAs unless otherwise authorized by the Commission.form the basis for contract-specific negotiations. Section V. In each case above, the Port will establish reliable, auditable , and disclosable measures to ensurecompliance. Section VI. The Port staff will seek in cooperation with regional government agencies, construction trade unions, contractors and tra ining institutions to develop cooperative programs to advance the training and placement of apprentices, with emphasis on expanding opportunity for underrepresented groups. Section 2: This Policy Directive shall be labeled and codified as appropriate, together with subsequent Policy Directives, and shall be made readily available for use by Port staff and members of the public as a governance document of the Port of Seattle. APOPTED by the Port Commission of the Port of Seattle at a duly noticed meeting thereof, held this day of , 2016, and duly authenticated in open session by the signatures of the Commissioners voting in favor thereof and the seal of the Commission. 4 Port Commission 5
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