New York Ranks 47th for Construction Business Climate, According to ABC Scorecard

Construction contractors in New York continue to struggle to do business, according to 2018 state rankings released by Associated Builders and Contractors (ABC). “Building America: The Merit Shop Scorecard” reviews and ranks state-specific information significant to the success of the commercial and industrial construction industry.

The Empire State Chapter of Associated Builders and Contractors points to over-regulation by a state government that continues to be embroiled in corruption. “Governor Cuomo has created more hurdles than opportunities for merit shop construction firms in New York,” said Empire Chapter President Brian Sampson. “The Governor continues to turn a blind eye to tax burdens and inconceivable mandates that are driving small businesses and residents out of New York.”

The scorecard identifies states, such as New York, where improvements need to be made to create an environment where merit-shop contractors are well positioned to succeed as well as states that have created contractor-friendly business environments.
With an overall rank of 47, New York rated low based on prevailing wage mandates, project labor agreement policy and right to work.

New York’s 2018 Scorecard
Overall Rank: 47
Project Labor Agreement Policy: F
Prevailing Wage Mandates: F
Right to Work: F
Public-Private Partnerships: F
Workforce Development Incentives: C
Career and Technical Education: A
Job Growth Rate: C

“The Project Labor Agreement is a discriminatory, pre-hire agreement with labor organizations requiring that the workforce comes from the local union hiring hall. These agreements demonstrate false savings claims and ultimately drive up taxpayer costs. However, they are the preferred method Governor Cuomo has continued to use to give back to his union campaign donors time and time again,” Sampson explained. “On multiple occasions, the Governor has publicly declared his undying support for organized labor, saying he will do everything he can to use PLAs and ensure New York builds everything union. The Governor needs to do away with PLA’s altogether. Until that happens, small businesses will continue to suffer, largely because the Governor’s political aspirations always trump the best interests of his constituents,” Sampson said.

Detailed descriptions of each score are on New York’s page at meritshopscorecard.org.

The merit shop philosophy is the belief that people and companies succeed based on free enterprise principles within the free market system, which is characterized by open and fair competition and diverse participants. Those who adhere to the philosophy believe employees and employers have the right to determine wages and working conditions through either individual or collective bargaining, as they choose, within the boundaries of the law. They oppose violence, coercion, intimidation and the denial of the rights of employees and employers. Furthermore, they believe it is incumbent upon all branches of government to be responsible stewards of taxpayer dollars and that government should award contracts based solely on merit to the lowest responsible bidder, regardless of labor affiliation.

Building America: The Merit Shop Scorecard rates state laws, programs, policies and statistics to highlight those that have created the conditions for growth and identify areas where strategic improvements are needed. Criteria and definitions are available at meritshopscorecard.org.

Associated Builders and Contractors (ABC) is a national construction industry trade association established in 1950 that represents more than 21,000 members. Founded on the merit shop philosophy, ABC and its 70 chapters help members develop people, win work and deliver that work safely, ethically and profitably for the betterment of the communities in which ABC and its members work. Visit us at abc.org.

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Another Voice: Benefits Add Hidden Costs to Prevailing Wage Projects

By |May 22nd, 2019|Categories: Statewide, Uncategorized|

Let’s not be fooled. Proponents of the expansion of prevailing wage are already doing great damage to taxpayers. They shouldn’t be allowed to ruin what little positive job growth we now have in New York.

Trade War: Find Out How The Tariffs Are Impacting New York Businesses and Consumers

By |May 17th, 2019|Categories: Federal Update, News, Statewide|

“What’s clear is that some contractors will have to deal with cost overruns that they can’t pass on to their customers,” said Brian Sampson, president of the Associated Builders & Contractors of New York. “But in most cases, the increased cost of the tariffs will be passed on to customers resulting in more expensive construction projects or higher costs for capital goods.”

First JCC Trades Training Class Graduates; Honored by Officials

By |May 13th, 2019|Categories: News, Statewide, Uncategorized|

The first class to complete the intensive 10-week, 40-hour construction training course offered by Jefferson Community College was celebrated at a recognition ceremony Friday at the Lewis County JCC Education Center.

Engineer Didn’t Prove That PLAs Save Money

By |April 24th, 2019|Categories: News, Statewide|

The PLA study, which cost Ogdensburg taxpayers $21,000, purports that with a series of false savings, labor consolidation and “management rights,” the project will save money. Yet no one challenged the study’s creator, Tim Seeler of Seeler Engineering, to positively prove those savings will be achieved. They also never asked him about the negative impact the lack of competition will have on the bidding process. They simply rubber-stamped the study and closed the door on local contractors and their employees.

Shield taxpayers from PLAs

By |April 18th, 2019|Categories: News, Statewide|

A PLA is a pre-hire agreement requiring the workforce comes from local union hiring halls. However, unions only account for 21 percent of the construction workforce across New York, with that number being even smaller in the Lake George area. PLAs effectively bar the majority of local contractors and their workers from bidding and winning work that their own tax dollars fund. PLAs do nothing more than eliminate competition for unions, ensuring their contractors win work, and decrease the number of bids on a project, driving taxpayer expenses.

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2018-12-03T14:52:50-05:00