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USDOL/OALJ Reporter

WILL ROGERS WORLD AIRPORT, WAB No. 65-04 (WAB Mar. 22, 1966)


CCASE: WILL ROGERS WORLD AIRPORT DDATE: 19660322 TTEXT: ~1 [1] UNITED STATES OF AMERICA DEPARTMENT OF LABOR DECISIONS AND ORDERS OF THE WAGE APPEALS BOARD In the Matter of WILL ROGERS WORLD AIRPORT Oklahoma WAB Case City, Oklahoma; The Determination of No. 65-04 the Prevailing Wage Rates Applicable Dated to Construction of Terminal Apron, March 22, 1966 Wage Decision AD-18,740, Federal Aviation Administration, Petitioner. Before: Oscar S. Smith, Chairman, Clarence D. Barker and Stuart Rothman, Members. DECISION OF THE BOARD This is a proceeding under Order No. 32-63 of the Secretary of Labor, as amended, following a petition for review filed by the Federal Aviation Agency on December 7, 1965, pursuant to the Wage Appeals Board Rules of Procedure (29 CFR Part 7). Petitioner requests review of Revised Wage Rate Determination No. AD-18,740. The wage determination applies, among other things, to the terminal apron at the Will Rogers World Airport, Oklahoma City, Oklahoma. [1] ~2 The Building and Construction Trades Department, Afl-CIO, responded to the petition January 7, 1966, and the Office of the Solicitor responded on February 4, 1966. Wage Determination No. AD-18,740 was issued pursuant to the Federal Airport Act (49 U.S.C. 1114) and Department of Labor Regulations, Part 1 (29 CFR Subtitle A). Petitioner presents for review the questions of where and when the line is to be drawn between the application of heavy and/or highway wage rates and building wage rates in connection with terminal aprons and similar appurtenances in proximity or adjacent to terminal building construction in airport developments subject to the provisions of the Davis-Bacon wage predetermination provisions of the Federal Airport Act. The facts, succinctly stated, are as follows. FAA made its original wage determination request on January 8, 1965. AD-10,729 was issued January 20, 1965, applying heavy and highway rates to the construction of terminal aprons and drainage and drainage structures. The determination expired May 20, 1965, and was reissued on May 12, 1965 as AD-18,740 for terminal aprons, drainage, and drainage structures, plus runway-lights. Shortly before bid opening date, the Oklahoma Building Trades Council protested the decision. The Solicitor in a letter to the Petitioner dated August 30, 1965, stated that at the time AD-18,740 [2] ~3 [3] was issued he was unaware that the construction of a terminal building concurrently with the construction of the terminal aprons was a part of the development plan. An attempt to have the city of Oklahoma City suspend bid opening was unsuccessful. The contract was awarded July 6, 1965, to the Metropolitan Paving Company. The contractor is established in the area and bargains with the Oklahoma Building Trades Council. After the contract was awarded, there was considerable discussion between representatives of the city of Oklahoma City, FAA, the Building Trades Council, and the Solicitor's Office. The Solicitor, by above-mentioned letter dated August 30, 1965, advised FAA that the building construction wage rates schedule, and not the heavy and highway wage rates schedule as initially issued, was applicable to the construction of the terminal aprons, and the Solicitor enclosed a "schedule contract for the subject work" (see statement of Solicitor dated February 4). The Solicitor on October 1 responded to a telegraphic inquiry on September 27, 1965, by the Mayor of Oklahoma City indicating that the August 30, change of AD-18,740 was not mandatory. The City has proceeded with the construction of the terminal apron pursuant to the initial wage determination and has applied the heavy and highway wage rate schedule. The FAA makes clear its concern with future development programs [3] ~4 [4] generally. It is important to note that its petition does not indicate that there will be further developments of this nature in the foreseeable future at the Will Rogers Airport or vicinity. At page 4 of its petition it says: . . . To require the "building" wage rate classification for terminal apron construction work in any project which includes runway and taxiway construction would, in all probability, result in the contractors computing their bid price on the basis of "building" classification for the entire project because of difficulty in drawing the line between the two types of work. (Emphasis supplied) [NO EMPHASIS INDICATED] The Solicitor, in his Statement to the Board of February 4, said: The Board is asked to determine prospectively precise standards for the Solicitor to follow in situations where, because of area practice, collective bargaining patterns, or other reasons, a uniform standard is unfeasible. The corrected wage determination of the Office of the Solicitor not only did not reach FAA in the 10 days required before bid opening to legally become a part of the bid specification, but it did not reach the FAA before bid opening date at all. It was sent 55 days after the contract was awarded, and at a time when everyone concerned knew that it was only complimentary and advisory and that the City was not going to follow it. The Solicitor knew at the time the corrected determination was issued that it had no mandatory effect, and so informed the Mayor. [4] ~5 [5] In the Matter of Huntsville Madison County Airport Authority, WAB Case No. 64-01, August 31, 1964, the Wage Appeals Board ordered the dismissal of a petition for the reason that under the circumstances that it was not timely filed. The Wage Appeals Board said: The petitioner did ask at the hearing conference that if the relief requested could not be granted, it would like a further discussion of the case. Having disposed of this case on the ground that the petition was not timely filed, the Board is disinclined to comment unnecessarily on other issues on the state of the record in this case. This is not to say that in other proceedings the Board will be unwilling, when it finds it desirable and necessary, to discuss and to clarify the rules of decision followed by the Solicitor in a particular case or to establish principles for future guidance even though the order of the Board would not effectively change a wage determination in a particular case. On the basis of a fuller record than the instant one concerning the interrelation of area wage, construction contract, and labor contract practices and patterns, questions such as these may be considered for purposes of clarification of the Solicitor's rules of decision, even though a wage modification could not be timely made in the contract involved. However, we prefer to leave the questions and problems of establishing wage determination principles to future cases and, as noted, dispose of this case on the narrow ground that the petition was not timely filed. We do not dispose of this petition on the ground that it was not timely filed. As far as the applicable wage determination required by law to be applied in this case is concerned, the record stands that FAA got the wage rate it asked for and which is being applied. We do not propose [5] ~6 [6] to review a specific wage determination which was issued for complimentary and advisory purposes. The FAA's petition does not protest the post-determination practices of the Solicitor's Office in issuing corrections for other purposes with respect to the administration of the Davis-Bacon and related Acts. There are no broad or simple solutions to the issues at hand. They involve essentially questions of fact and the relevance of area practice considerations. In the light of the relief sought by FAA concerning a statement of broad principles governing the rules of decision to be applied to future undetermined apron terminal work, the necessary factual presentation would not be made from the record in this case that would be helpful to that general purpose. We suggest that the FAA and the Wage Determination Branch get together to try to iron out their differences as to the appropriate rule of decision to be followed by the Office of the Solicitor in particular cases of apron construction adjacent to building construction at airports and that this be done at the design stage of the work well in advance of bid advertising. The large volume of airport construction in the country which often includes aprons and terminals, and the low incidence of contests over whether building wage rates or heavy and/or highway wage rates apply indicates it has been possible to avoid a confrontation between the various segments of the construction industry. [6] ~7 [7] We shall be prepared to go into this question in a case which will present the issue in a way which will provide a clear and meaningful determination. Order On the basis of the foregoing, and pursuant to Section 7.8(b) of the Board's Rules and Regulations, (29 CFR Part 7), the Wage Appeals Board hereby orders that the petition be, and it hereby is, dismissed. Dated at Washington, D.C. this 22nd day of March, 1966. Oscar S. Smith, Chairman Clarence D. Barker, Member Stuart Rothman, Member [7]



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