PHA Labor Relations Training

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Public Housing Authorities MAINTENANCE PROGRAM
UPDATE
November 15, 2006
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HUDREGION VI FT WORTHNancy Oakley Labor
Relations Specialist
ARKANSASLOUISIANANEW MEXICOOKLAHOMATEXAS
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OFFICE OF LABOR RELATIONS www.hud.gov/offices/olr

• Region VI Office801 Cherry StreetFort Worth, TX
  76102Tel. [phone] Fax
  817.978.5565

Office Jurisdiction Arkansas? Louisiana? New
Mexico? Oklahoma?Texas
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Office of Labor Relations Staff
Jerlinda D. Banks, Labor Relations Officer
-----[phone] Deborah G. Parker,
Secretary------------------------(817)
978-5617 ________________________________________
Labor Relations Specialist(s)/ Territory
Covered Nancy L. Oakley ----------(Dallas/Houston
east)-[phone] Joyce F. Ingram ------(New
Mexico/Lubbock/Fort Worth)
[phone] Tamara Greiner ------------(Oklahom
a)--------------[phone] Barbara Van
Cleve-------(Arkansas)----------------(501)324-530
5 Virginia Cockerham ------(Louisiana)------------
--[phone] Karen R. Clark------------(San
Antonio)-------------[phone]
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PUBLIC HOUSING
Orchard Park, Chicago
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APPLICABILITY FACTORS

• Public Housing

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APPLICABILITY FACTORS
For properties subject to an Annual Contributions
Contract,

• Construction, rehabilitation, and maintenance
  work are covered by some type of prevailing wage
  requirement . . . .
  ?

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OPERATIONS / DEVELOPMENT
APPLICABILITY FACTORS

• Character of work as operations or
  development determines application of either
  Davis-Bacon or HUD-Determined wage rates
• Not tied to a funding source or specific use of
  funds
• Volunteers are exempt

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DEVELOPMENT
APPLICABILITY FACTORS

• Any contract for loans, contributions, sale, or
  lease pursuant to this Act....shall also contain
  a provision that not less than Davis-Bacon
  prevailing wages shall be paid to all laborers
  and mechanics employed in the development of the
  project.

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OPERATIONS
APPLICABILITY FACTORS

• Section 12(a) of the USHA also mandates the
  payment of HUD-determined prevailing wage rates
  to all maintenance laborers and mechanics engaged
  in the operation of PHA low-income projects.

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LABOR RELATIONS LETTERLR 2004-01
APPLICABILITY FACTORS

• Identifies requirements concerning PHA employees
  or contractors for maintenance work
• Payroll, record keeping, deductions, contract
  clauses, payment frequency

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MAINTENANCE
OPERATIONS / MAINTENANCE

• work that involves the regular upkeep and
  preservation of buildings, grounds, and
  facilities.

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MAINTENANCE WAGE RATES
OPERATIONS / MAINTENANCE

• Are determined or adopted by HUD
• May be based upon data recommendation submitted
  by the PHA
• Applicable to all laborers and mechanics engaged
  in covered work, including force account,
  contractors, temporary personnel, or residents

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DETERMINING WAGE RATES
OPERATIONS / MAINTENANCE

• Adopt Collective Bargaining Agreement
• Wage survey
• Adopt local government rates
• Increase based on local comparable rates
• Increase based on CPI
• Provide other reasoning of prevailing wage rates
  in locality

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POSITION DESCRIPTIONS JOB COMPARABILITY
OPERATIONS / MAINTENANCE

• PD must reflect current, actual duties
• PD comparability with survey, other data
• Transmit copy to Labor Relations
• Standard / specialty trade classifications
• Additional classifications

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MAINTENANCEOVERTIME REQUIREMENTS
OPERATIONS / MAINTENANCE

• Maintenance employees may receive compensatory
  time or overtime for hours worked in excess of 40
  per week
• Labor Relations Letter LR 2004-02, 9/8/04

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CONTRACT WORK LR 2004-01 (Rev. 1)
OPERATIONS / MAINTENANCE

• Labor standards clauses required in contract
• Applicable wage decision required in contract
• Contractor to maintain certain records
• Records to be made available to PHA/HUD
• Payrolls not required
• PHA to perform compliance monitoring

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CONTRACT ADMINISTRATION
OPERATIONS / MAINTENANCE

• Certain professional services are excluded from
  HUD-determined wage requirements
• Periodic inspections or testing of equipment
• Testing for lead-based paint
• Warranty inspections
• Installation, service or maintenance of leased
  equipment, fixtures or appliances
• Inspections, maintenance or service on equipment
  or fixtures owned by a utility

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DEVELOPMENT

• Reconstruction
• A substantial improvement in the quality or kind
  of original equipment and materials
• Or remodeling that alters the nature or type of
  housing units falls within the purview of
  "development.

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DEVELOPMENT WORKCONTRACT REQUIREMENTS
DEVELOPMENT

• Labor standards clauses Form HUD-5370
• for contracts between 2,000 - 100,000 use
  5370 EZ
• for contracts over 100,000 use 5370
• Davis-Bacon wages, determined by DOL
• Applicable to all laborers and mechanics engaged
  in covered work, including force account,
  contractors, temporaries, residents

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NON-ROUTINE MAINTENANCE
NON ROUTINE MAINTENANCE

• Work ordinarily performed regularly to maintain
  the property, but has become substantial in scope
  because the work was not completed
• Financial considerations
• Replacement materials considerations
• (see 7485.1, Rev.4, Appendix 14)

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CONTINUUM OF SUBSTANTIALITY
NON ROUTINE MAINTENANCE
Routine--Non-Routine--Development
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CONTRACT REQUIREMENTS
NON ROUTINE MAINTENANCE

• Labor standards clauses Form HUD-5370-C
• PHA may make amendments consistent with LR2004-01
• HUD-determined wage rates
• Applicable to all laborers and mechanics engaged
  in covered work, including force account,
  contractors, temporaries, and residents

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• THANK YOU!