Title
Resolution to Require Execution of CUB Agreements by Contractors and Subcontractors with the Washtenaw Skilled Building Trades Council as a Condition of City Contracts for New Construction Over $25,000.00
Memorandum
City Council Resolution R-09-459, approved November 16, 2009, required the inclusion in City construction invitations to bid and awarded contracts the requirement that contractors and subcontractors execute Construction Unity Board (CUB) Agreements with the Washtenaw County Skilled Building Trades Council. In adopting R-09-459, Council referenced the benefits of uniform wages, work rules, and benefits across multiple skilled trades and crafts employed on a project as well as the benefit of no-strike and no-lockout provisions in such CUB Agreements.
On July 19, 2011, the Fair and Open Competition in Governmental Construction Act (P.A. 98 of 2011) (‘the Act”) became law. For all construction contracts executed after July 19, 2011, the Act prohibited the City from entering into or expending funds under a contract for construction, repair, remodeling, or demolition of a facility if the contractor or subcontractor is required under the terms of the contract to enter into or adhere to an agreement with a collective bargaining organization related to the construction project. Further, construction bids issued after July 19, 2011, could not include a bid specification requiring such an agreement with collective bargaining organizations. If included in the bid documents, project agreement, or other contractual agreements such language will have no effect.
In response to the passage of the PA 98, City Council rescinded the City requirement that contractors execute a CUB Agreement with the Washtenaw County Skilled Building Trades Council as a condition of award for City construction contracts on August 15, 2011 (R-11-340).
PA 98 has since been adjudged invalid and unenforceable in Michigan Building and Construction Trades Council, AFL-CIO...
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