122nd MAINE LEGISLATURE
LD 184 LR 1877(01)
An Act To Improve Prevailing Wage Standards in Maine
Fiscal Note for Original Bill
Sponsor: Rep. Clark of Millinocket
Committee: Labor
Fiscal Note Required: Yes
   
             
Fiscal Note
 Current biennium cost increase - Highway Fund
 Current biennium cost increase - General Fund
Fiscal Detail and Notes
Requiring that certain minimum wages be the higher of either state or federal minimum requirements will require either increasing annual Highway Fund costs in the Department of Transportation by an estimated annual cost of $10,500,000 beginning in fiscal year 2006-07 or deferring or delaying a number of highway construction projects to compensate for the higher minimum wage requirements. Additional Highway Fund costs will also be incurred by the department in fiscal year 2005-06; the amounts will depend on those construction projects that are in progress when the provisions of this law become effective; the amounts can not be determined at this time.  In addition, the Department of Defense, Veterans and Emergency Management is likely to incur additional General Fund costs for increased labor rates paid for certain department projects; the amounts can not be determined at this time.
Additional costs to the Regulation and Enforcement program within the Department of Labor associated with monitoring all Davis-Bacon wage determinations issued for state agencies and issuing a specialized determination in some cases can be absorbed utilizing existing budgeted resources.