Posted at The Cap Times: Tuesday, March 2, 2010 4:30 am

Dear Editor: One of the many policy items included in the state budget bill was a measure that changed Wisconsin’s prevailing wage rate. The new law:

• Expands the types of projects requiring a prevailing wage rate to any project of public works.
• Reduces the threshold for projects requiring a prevailing wage to $25,000.
• Requires all non-union contractors on a prevailing wage project to submit a monthly certified payroll to be posted on the Internet.
• Creates a penalty for any contractor who fails to pay prevailing wages.

This all boils down to an increase of government intrusion on the private sector and an additional financial hurdle for local governments.

Recently I co-sponsored a bill that would repeal these changes. I have heard numerous concerns from community leaders and small-business owners who have been severely affected by these changes and have asked for a repeal of these devastating measures.

The prevailing wage increase was included in the budget bill as a way to increase wages for construction workers. Unfortunately, all of the unintended consequences failed to receive a proper analysis.

Now the negative effects of this bill are taking their toll as construction workers are unable to find work because local governments cannot afford to pay for projects. Unless these changes are repealed, the economic livelihood of local governments and small businesses in my district will continue to weaken.

Government should be creating an environment that is conducive to job growth and these measures have proven to be a severe damper on economic growth. I urge my colleagues in the Legislature to pass this bill that would allow more people to get back to work and would eliminate an additional financial burden on local governments.

State Sen. Dan Kapanke, R-La Crosse