Supreme Court Denies to Hear Appeal - Court Decision Finalized: Prevailing Wage Required if Any Publ

October 19, 2011 - The California Supreme Court has declined to consider an appeal to an important Appellate Court ruling from 2010 upholding the requirement that prevailing wage be paid on public improvements performed by private contractors if any part of the project is financed with public funds. The California Court of Appeals made that ruling in December 2010 in Azusa Land Partners v. Department of Industrial Relations, and this week the California Supreme Court declined to hear the developer’s appeal.

The ruling stemmed from a construction project for residential homes and commercial structures, along with public improvements (streets, storm drains, sewer, water, schools) that were required by the city of Azusa. The public works improvements were funded in part through a Community Facilities District, and in part through private funding. The Appellate Court ruled that because some of the public works improvements were publicly funded, prevailing wage was required on all of the public improvements construction, not just the portion that was publicly funded, upholding the position taken by the state Department of Industrial Relations.

With the Supreme Court declining to consider the developer’s appeal, the Appellate Court decision will now apply to all construction on public improvements in California funded in any part by public funds. It is a significant victory for construction workers seeking to work for a decent family-supporting wage.



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