The proposed Responsible Contractor Ordinance (RCO) currently being considered by the Centre County Board of Commissioners has generated a great deal of interest and attention. However, I believe that much of the negativity around it has been generated by fear, false assertions and misinformation. I’d like to refocus attention on the primary issues at stake for the people of Centre County, and to share some perspectives that I do not believe have received enough attention thus far.
Let’s start by defining terms. Current law in Centre County requires that all taxpayer-funded projects must accept the lowest responsible bid. However, what is considered “responsible” is undefined. RCOs or similar policies simply define and clarify the requirements for a contractor to be considered responsible. And they are by no means new or untested. Dozens of counties, cities, townships, school districts and authorities across Pennsylvania have adopted RCOs.
One of the great benefits of serving in the state legislature is the opportunity to work with folks from across the Commonwealth who have served as elected officials at all levels of local and county government. What I am hearing from them are the many positive impacts of RCOs for their communities and their taxpayers.
My colleagues’ experience is that RCOs lead to fewer change orders and cost overruns, fewer delays and higher quality work, all of which end up saving money. And higher quality work reduces maintenance costs and extends use life, leading to long term savings. They have shared numerous examples of projects coming in on time and on (or even under) budget. And studies have shown that there is no increase in costs or taxes, and that RCOs actually lead to more qualifying bids, not fewer.
They have also emphasized that setting reasonable minimum benchmarks has allowed them to weed out poor or even unscrupulous contractors. RCOs level the playing field so that responsible local contractors can actually compete with those that might otherwise misclassify workers, withhold wages and benefits or deliberately underbid large contracts knowing that the final price tag will be much greater.
By establishing reasonable bid thresholds (in this case $250,000) and attainable performance and certification benchmarks, small local contractors and businesses have a better chance to compete for publicly-funded projects paid for by taxpayer dollars. Meanwhile, many large companies regularly bring in subcontractors and workers from outside the county, state or even the country.
We also hear that RCOs unfairly favor unions or are subject to legal challenges and will not stand up in court. Again, both charges are unproven and untrue. Court rulings have upheld the right of governing bodies to establish RCOs to protect taxpayer dollars, and a recent lawsuit alleging that such ordinances are biased and unlawfully favor union over non-union contractors was dismissed as baseless.
It is true that union contractors often do meet the wage, workforce development and safety requirements of RCOs. But not only can non-union companies establish and support similar programs and benefits, I believe they should. Solid wages and benefits strengthen families and communities. Apprenticeship and training programs help develop the next generation of tradespeople and skilled workers – folks we desperately need across countless industries and occupations. And last, but certainly not least, responsible contractors focus on ensuring worker safety and enforcing OSHA standards. No family should have to worry whether their loved one will be injured or killed at work. And yet, since 2018, the family and friends of five men killed while on the job in Centre County have had to endure that pain. That is unacceptable.
It is clear that RCOs are not new, not untested and not irresponsible. They are commonsense safeguards for protecting both workers and taxpayer dollars. A carefully and thoughtfully constructed RCO for Centre County can and will be a positive development, benefitting local taxpayers, creating good jobs, and strengthening our local communities.
Rep. Paul Takac, D-College Township, represents part of Centre County as the 82nd District in the Pennsylvania House of Representatives.
