BEFORE THE DEPARTMENT OF LABOR AND INDUSTRY
OF THE STATE OF MONTANA
In the matter of the amendment of ARM 24.17.103 and 24.17.127 pertaining to prevailing wage rates for public works projects | ) ) ) ) | NOTICE OF AMENDMENT |
TO: All Concerned Persons
1. On October 8, 2021, the Department of Labor and Industry (department) published MAR Notice No. 24-17-380 pertaining to the public hearing on the proposed amendment of the above-stated rules at page 1259 of the 2021 Montana Administrative Register, Issue Number 19.
2. The department held a public hearing in Helena on November 12, 2021, over the Zoom videoconference and telephonic platform at which members of the public commented. Written comments were received during the public comment period.
3. The department has thoroughly considered the comments made. A summary of the comments and the department's responses are as follows:
COMMENT 1: One commenter indicated that the current rule classifying the handling of rebar is too broad and is also ambiguous within the existing department rule.
RESPONSE 1: The department acknowledges there is confusion within the current rule. The intent of the rule is to provide that a worker who secures steel bars or mesh in concrete forms in order to reinforce concrete using a variety of fasteners, rod-bending machines, blowtorches, and hand tools, including rod busters, be included in the definition for Ironworkers – Structural Steel and Rebar Placers. This will be clear in the final prevailing wage document.
COMMENT 2: One commenter noted that little training was involved in tying of rebar and that the increase in wage and benefit differential for that work as Cement Masons and Concrete Finishers compared to Ironworkers – Structural Steel and Rebar Placers would put them at a competitive disadvantage in bidding prevailing wage jobs in Montana.
RESPONSE 2: Any confusion noted in Comment 1 above will be remedied in the 2022 prevailing wage document. Since all contractors bidding contracts requiring the prevailing wage must pay the prevailing wage to their workers, there will be no advantage or disadvantage regarding worker wages or benefits.
COMMENT 3: Several commenters indicated that ironwork, including the installing of rebar, includes much more skill and knowledge than just operating a tying gun or twisting of wires and therefore believe that this work should continue to fall within the definition of Ironworkers – Structural Steel and Rebar Placers in 2022.
RESPONSE 3: The department acknowledges the comment.
COMMENT 4: One commenter asked the department to review the benefit package of truck drivers versus Laborers and Operators.
RESPONSE 4: The rates for each occupation are set separately. The rules for setting highway rates are described in ARM 24.17.121. The department set the rate benefit rate for Truck Drivers in accordance with ARM 24.17.121(4)(b)(i). The data received has an impact on the rates, so the department encourages contractors to complete the survey, as only wage and hourly benefit information received will be considered in setting the standard prevailing rate of wages.
COMMENT 5: One commenter requested the department look into the fringe benefits required to be paid to apprentices on prevailing wage projects. The letter states her local area collective bargaining agreement has a lesser benefit amount agreed upon to be paid than journeymen, "For example, journeyman plumbers in the District #2 are paid as per the collective bargaining agreement at $16.00/hr for fringe benefits. As per the local CBA, apprentices are paid at a rate of $13.10/hr for fringe benefits."
RESPONSE 5: Currently, ARM 24.17.321(2) states, "Apprentices must be paid the percentage of the basic hourly rate required, based on the total time in the craft. If the apprentice performs labor which is subject to a higher wage rate either by contract or by law than that specified in the apprenticeship standards, the higher wage rate shall be paid by the contractor, subcontractor, or employer. In any event, the apprentice is to receive the full amount of the fringe benefits stipulated on the wage decision." When asked, the department has rulemaking authority and facilities to accommodate meetings between interested parties to discuss changes to the current rule.
COMMENT 6: Various individuals and entities submitted additional data or documents for inclusion in the rate-setting process during the comment period.
RESPONSE 6: The department has reviewed the information submitted. The department has incorporated the data as appropriate and has revised certain rates in line with the rate-setting.
4. The following rates in the "Montana Prevailing Wage Rates for Building Construction Services 2021" publication, incorporated by reference in the rule, have been amended as follows, stricken matter interlined, new matter underlined:
Cement Masons and Concrete Finishers
Smooth and finish surfaces of poured concrete, such as floors, walks, sidewalks, or curbs. Align forms for sidewalks, curbs, or gutters. Rates for rebar workers can be found under the Ironworkers classification.
Construction Equipment Operators Group 1
This group includes but is not limited to:
Air Compressor; Auto Fine Grader; Belt Finishing; Boring Machine (Small) 12 inch and under; Cement Silo; Crane, A-Frame Truck Crane; Crusher Conveyor; DW-10, 15, and 20 Tractor Roller; Farm Tractor; Forklift; Form Grader; Front-End Loader, under 1 cu. yd; Oiler, Heavy Duty Drills; Herman Nelson Heater; Mucking Machine; Oiler, All Except Cranes/Shovels; Pumpman.
Construction Equipment Operators Group 3
This group includes but is not limited to:
Asphalt Paving Machine; Asphalt Screed; Backhoe\Excavator\Shovel, over 3 cu. yds; Cableway Highline; Concrete Batch Plant; Concrete Curing Machine; Concrete Pump; Cranes, Creter; Cranes, Electric Overhead; Cranes, 24 tons and under; Curb Machine\Slip Form Paver; Finish Dozer; Front-End Loader, over 5 cu. yds; Mechanic\Welder; Pioneer Dozer; Roller Asphalt (Breakdown & Finish); Rotomill, over 6 ft; Scraper, Single, Twin, or Pulling Belly-Dump; YO-YO Cat; Haul Truck, Articulating Trucks, Vac Truck.
Heating and Air Conditioning
Wage Benefit
District 1 $23.36 31.84 $ 6.32 19.89
District 2 $31.84 $19.89
District 3 $30.93 31.36 $15.69 17.68
District 4 $31.84 $19.89
Per Diem:
All Districts
$85 90/day
Sheet Metal Workers
Wage Benefit
District 1 $31.69 31.84 $19.89
District 2 $31.84 $19.89
District 3 $31.84 $19.89
District 4 $31.55 31.84 $ 9.63 19.89
Per Diem:
All Districts
$85 90/day
Plumbers, Pipefitters, and Steamfitters
Travel:
District 1
Special Provision
If transportation is not provided, mileage at $0.35/mi. with a separate free zone of 20 miles is added to the amounts above. However, if the employee is traveling more than 75 miles/day, only subsistence is required. If transportation is not provided, mileage at $0.35/mi. for one trip out and one trip back is added to the amounts above. However, if the employee is traveling more than 75 miles/day, only subsistence at the rate of $85.00/day is required.
Special Provision:
Employers may pay each Employee the hourly rate for travel time in Employer's Vehicle as an alternative to mileage. When using an Employee's vehicle, Employee Shall be paid at 1 ½ times the hourly rate of pay as an alternative to mileage. If the hourly rate is chosen over mileage pay, hours shall be paid in half (1/2) hour increments. At the contractor's option, mileage for one trip out and one trip back per week may be paid plus subsistence at the rate of $135.00/day.
In the alternative, employers may pay the employee the hourly rate of travel time in employer's vehicle as an alternative to mileage. When using an employee's vehicle, employee may be paid at 1 ½ times the hourly rate of pay as an alternative to mileage. If the hourly rate is chosen over mileage pay, hours shall be paid in half (1/2) hour increments.
Per Diem:
District 1
No Per Diem Required.
District 2 and 3
$125.00/day.
District 4
No Per Diem Required
Roofers
Duties Include:
Metal roofing, covers roofs, walls and foundations with water proofing, insulation and vapor barriers in addition to metal flashings. Roofing includes shingles, low slope membranes, metal roofs, insulation, spray foam, coatings and vapor barriers. Wall coverings include metal panels, insulated metal panels and other waterproofing or rain screen systems. Foundation systems include waterproofing and insulation. Excludes prefabricated metal buildings.
Sprinklerfitters
Travel
All Districts
The following travel allowance is applicable when traveling in employee's vehicle.
0-60 mi. free zone
>60-80 mi. $19.00/day
>80-100 mi. $29.00/day
>100 mi. $105.00/day + the IRS rate per mile and $8.92 for every 15 miles traveled for one trip out and one trip back.
Special Provision
When traveling >100 miles, mileage at $0.54/mi. + $8.59 for every 15 miles traveled at beginning and end of job.
The following travel allowance is applicable when traveling in employer's vehicle.
0-100 mi. free zone
>100 mi. $105.00/day
Special Provision
When traveling >100 miles, $8.59 for every 15 miles traveled, at beginning and end of job.
Per Diem:
All Districts
No per diem is applicable when traveling in employee's vehicle.
The following per diem is applicable when traveling in employer's vehicle.
0-100 mi. free zone
>100 mi. $105.00/day + the IRS rate per mile and $8.92 for every 15 miles traveled for one trip out and one trip back.
5. The following rates in the "Montana Prevailing Wage Rates for Heavy Construction Services 2021" publication, incorporated by reference in the rule, have been amended as follows, stricken matter interlined, new matter underlined:
Construction Equipment Operators Group 1
This group includes but is not limited to:
Air Compressor; Auto Fine Grader; Belt Finishing; Boring Machine (Small) 12 inch and under; Cement Silo; Crane, A-Frame Truck Crane; Crusher Conveyor; DW-10, 15, and 20 Tractor Roller; Farm Tractor; Forklift; Form Grader; Front-End Loader, under 1 cu. yd; Oiler, Heavy Duty Drills; Herman Nelson Heater; Mucking Machine; Oiler, All Except Cranes/Shovels; Pumpman.
Construction Equipment Operators Group 3
This group includes but is not limited to:
Asphalt Paving Machine; Asphalt Screed; Backhoe\Excavator\Shovel, over 3 cu. yds; Cableway Highline; Concrete Batch Plant; Concrete Curing Machine; Concrete Pump; Cranes, Creter; Cranes, Electric Overhead; Cranes, 24 tons and under; Curb Machine\Slip Form Paver; Finish Dozer; Front-End Loader, over 5 cu. yds; Mechanic\Welder; Pioneer Dozer; Roller Asphalt (Breakdown & Finish); Rotomill, over 6 ft; Scraper, Single, Twin, or Pulling Belly-Dump; YO-YO Cat; Haul Truck, Articulating Trucks, Vac Truck.
Cement Masons and Concrete Finishers
No Rate Established
Wage Benefit
$22.85 $12.85
Zone Pay:
0-30 mi. free zone
>30-60 mi. base pay + $2.95/hr.
>60 mi. base pay + $4.75/hr.
Duties Include:
Smooth and finish surfaces of poured concrete, such as floors, walks, sidewalks, or curbs. Align forms for sidewalks, curbs, or gutters. Rates for rebar workers can be found under the Ironworkers classification.
Construction Equipment Operators Group 1
Wage Benefit
$34.30 28.21 $15.34 13.65
Construction Equipment Operators Group 2
Wage Benefit
$30.35 30.04 $13.65
Construction Equipment Operators Group 7
Wage Benefit
$33.75 $13.75 13.65
6. The following rates in the "Montana Prevailing Wage Rates for Highway Construction Services 2021" publication, incorporated by reference in the rule, have been amended as follows, stricken matter interlined, new matter underlined:
Cement Masons and Concrete Finishers
Wage Benefit
$24.87 22.85 $10.80 12.85
Duties Include:
Smooth and finish surfaces of poured concrete, such as floors, walks, sidewalks, or curbs. Align forms for sidewalks, curbs, or gutters. Rates for rebar workers can be found under the Ironworkers classification.
Construction Equipment Operators Group 1
Wage Benefit
$26.52 25.42 $11.50
Construction Equipment Operators Group 5
Wage Benefit
$31.44 30.34 $11.50
Construction Equipment Operators Group 6
Wage Benefit
$32.13 31.03 $11.50
Construction Equipment Operators Group 7
Wage Benefit
$34.23 33.13 $11.50
7. The department has amended ARM 24.17.103 and 24.17.127 as proposed. The rules are effective January 1, 2022. The rates will be effective January 1, 2022, and are applicable to contracts noticed for bids on or after that date.
| |
/s/ QUINLAN L. O'CONNOR Quinlan L. O'Connor Alternate Rule Reviewer | /s/ LAURIE ESAU Laurie Esau, Commissioner DEPARTMENT OF LABOR AND INDUSTRY |
Certified to the Secretary of State December 14, 2021.