Public school construction and renovation costs are a hot topic that leaves many asking who should pay and how. Most taxpayers get angry when raising school property taxes is mentioned, and rightfully so. So how did we get here?
Prior to 2016, schools applied to PlanCon (the Pennsylvania Department of Education’s Planning and Construction Workbook, used to apply for reimbursement). If approved, PlanCon reimbursed some portion of construction/renovation costs. In 2016, a hold was placed on any new PlanCon applications/projects. That hold has never been lifted and now, it seems, Pennsylvania has shifted to grant-based funding of public-school construction/renovations, making future planning fiscally challenging for school districts.
Prevailing wages are required on any project over $25,000 using public money. Testimony before the House Labor & Industry Committee in 2011 stated Pennsylvania prevailing wage laws inflate labor/benefit costs on a project by 20% or more. That information is 13 years old; what is that number today? While wages/benefits have increased since inception of prevailing wage laws in 1961, that $25,000 minimum threshold has never increased. Imagine 60 years of cost-of-living adjustments to that $25,000 threshold. What savings would be seen on a project of $300,000 or $400,000?
Eighteen states having no prevailing wage laws. Do your homework: Reach out to state representatives and bring attention to antiquated Pennsylvania prevailing wage laws. Changes in the way the state is funding public schools could be hurting taxpayers and schools.
Nancy Findish
Derry