CC SR 20220906 N - Opposition to AB 1886 (Street Sweeping)
CITY COUNCIL MEETING DATE: 09/06/2022
AGENDA REPORT AGENDA HEADING: Consent Calendar
AGENDA TITLE:
Consideration and possible action to oppose Assembly Bill (AB) 1886 requiring prevailing
wages be paid for contractual street sweeping services.
RECOMMENDED COUNCIL ACTION:
(1) Authorize the Mayor to sign a letter opposing AB 1886, which would expand and
clarify the definition of “public works” for the purpose of the payment of prevailing
wages to also include street sweeping maintenance done under contract.
FISCAL IMPACT: None
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): N/A
ORIGINATED BY: McKenzie Bright, Administrative Analyst
REVIEWED BY: Karina Bañales, Deputy City Manager
APPROVED BY: Ara Mihranian, AICP, City Manager
ATTACHED SUPPORTING DOCUMENTS:
A. Draft letter of opposition to AB 1886 (page A-1)
B. Text of AB 1886 (as amended August 24, 2022)
BACKGROUND AND DISCUSSION:
The California Contract Cities Association requested the City submit an opposition letter
for AB 1886. AB 1886 would expand the definition of “public works” for the purpose of
the payment of prevailing wages to also include street sweeping maintenance performed
for the preservation, protection, and keeping of any publicly owned or publicly operated
street, road, or highway done under contract and paid for in whole or in part out of public
funds.
This bill would create an unfunded mandate with potentially significant impacts on
contract cities’ budgets.
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CITYOF RANCHO PALOS VERDES
Existing law requires that prevailing wages be paid to all workers employed on a “public
works” project, which is defined as including, among other things, construction, alteration,
demolition, installation, or repair work done under contract and paid for in whole or in part
out of public funds, including contracts for maintenance work. Maintenance work is
defined as routine, recurring, and usual work for the preservation, protection, and keeping
of any public owned or publicly operated facility.
The Director of the Department of Industrial Relations (DIR) is authorized to issue
determinations on whether a specific project or type of work is considered a public work
for determining prevailing wage requirements. Various DIR determinations have found
that street sweeping is considered a public works maintenance project, and thus requires
payment of prevailing wage, most recently in an October 2021 case with the City of Elk
Grove. This bill seeks to codify this determination which will continue to impact the City’s
budget.
The City’s street sweeping contract is administered by EDCO Disposal. Citywide,
mechanical sweeping of residential and arterial/collector streets, park parking lots, and
scenic turnouts is completed 24 times per year. Western Avenue, a state highway , is
swept 52 times per year. Special sweeps for inclement weather and other needs are also
included. Street sweeping costs are divided between three funding sources: Safe Clean
Water Act (Measure W); AB 2766, the Vehicle Subvention fund administered by the
Southern Air Quality Management District; and the Environmental Excise Tax Fund.
Staff is inquiring with EDCO on the current status of payment of prevailing wages for
street sweeping, which will be provided as late correspondence.
As of the writing of this staff report, AB 1886 passed the Senate and moved to the
Assembly for concurrence on August 31 before going before the Governor.
CONCLUSION:
At CCCA’s request, and in line with the City’s opposition to unfunded mandates, Staff
recommends the City Council oppose AB 1886 and authorize the Mayor to sign a veto
request letter (Attachment A).
ALTERNATIVES:
In addition to the Staff recommendation, the following alternative actions are available
for the City Council’s consideration:
1. Identify revised language to add to the letter.
2. Do not authorize the Mayor to sign the letter.
3. Take other action, as deemed appropriate.
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September 6, 2022
The Honorable Gavin Newsom Via Email
1021 O Street, Suite 9000
Sacramento, CA 95814
SUBJECT: Veto Request for AB 1886 (Cooper)
Dear Governor Newsom:
On behalf of the City of Rancho Palos Verdes, we request your veto on Assembly Bill 1886
(Cooper). AB 1886 would expand the definition of “public works” for the purpose of the payment
of prevailing wages, to also include street sweeping maintenance performed for the preservation,
protection, and keeping of any publicly owned or publicly operated street, road, or highway done
under contract and paid for in whole or in part out of public funds.
If signed, this bill would have a devastating effect on the budgets of cities that contract for street
sweeping services. Contractors would be required to pay the prevailing wage to their employees,
drastically increasing their labor costs, which in turn would be passed on to the cities and to our
taxpayers. With the current high inflationary economic environment and a looming recession, now
is not the time for cities to pass this added cost to our hardworking residents.
In addition, cities are already under tremendous pressure at the extensive expense to comply with
numerous federal and state regulations related to keeping our roads and streets clean. This bill
further compounds that pressure by likely forcing cities to consider reducing street sweeping
schedules to try to keep costs down, at the expense of well-maintained roads and streets that our
residents deserve to enjoy, as well as its eventual impact on the environment.
For these reasons, the City of Rancho Palos Verdes is opposed to AB 1886.
Sincerely,
David L. Bradley
Mayor, City of Rancho Palos Verdes
cc: Ben Allen, Senator, 26th State Senate District
Al Muratsuchi, Assemblymember, 66th State Assembly District
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Governor Newsom
September 6, 2022
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Jeff Kiernan, League of California Cities
Marcel Rodarte, California Contract Cities Association
Sharon Gonsalves, Renne Public Policy Group
Rancho Palos Verdes City Council and City Manager
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