Friday, March 8, 2013

House passes bid limit bill, 86-11

The state House of Representatives passed House Bill 1633 tonight, a bill that would allow school districts to use department staff to perform repairs and improvements to school property and buildings when the total cost of the project is less than $60,000.

The bill was amended on the House floor to drop the proposed threshold increase of $75,000 to $60,000.

The amendment was offered by House Capital Budget Chair Hans Dunshee, D-Snohomish, who said he was responding to requests from the Washington State Building Trades Council about the higher threshold. The BTC argued that allowing school districts to use in-house staff would hurt contractor jobs.

Speaking against the $60,000 proposal were bill sponsor Rep. Chad Magendanz, R-Issaquah, and Rep. Kathy Haigh, D-Shelton. Both are former school directors. And both argued that allowing the higher limit would allow districts to use existing staff and save money.

The bill was set aside earlier in the day, when it appeared that the amendment might not be adopted. When brought back this evening, a roll call vote showed the amendment passing along party lines, with most Democrats supporting the amendment to go to $60,000.

A companion bill in the Senate, Senate Bill 5724, has a $75,000 threshold. WSSDA and its partners will continue to advocate for the higher threshold. The Senate bill is in Senate Rules; the Senate said it was waiting for the House bill, which is offered by the freshman legislator Magendanz. This was his first bill passed this session.

Also as part of an agreement with the Senate was the removal of an automatic price inflator. If it had been adopted, it would have been the first of its kind on contract thresholds.

Both bills have faced fierce opposition from the building trades council, Associated General Contractors, the Independent Business Association, and several contractor-specific organizations.

The WSSDA Board of Directors voted last fall to support initiating legislation to increase the in-house threshold from the current level of $40,000 to $75,000. The last time the threshold was changed was 2005. 

The bill is a priority for the organization, and has received active assistance from PSE/SEIU 1948 and the International Union of Operating Engineers. Also supporting the bill are WEA, WASA, and the Alliance of Education Associations.