A Call for Prevailing Wages as a Housing Solution

An op-ed written by city officials from two South Bay Area cities argues that reform of land use regulations won't be enough to solve California's housing crisis.

2 minute read

May 19, 2017, 8:00 AM PDT

By James Brasuell @CasualBrasuell


Construction

potowizard / Shutterstock

Margaret Abe-Koga, Mountain View City Council member, and Rick Bonilla, deputy mayor of the city of San Mateo, write an op-ed for The Mercury News tackling the thorny issue of affordability in California's large coastal cities.

The duo's argument gives consideration to the construction industry, instead of the more typical punching bag of such polemics—land use regulations.

The driving forces behind our housing crisis are not just a shortage of supply, but also a persistent wage stagnation that has priced entire segments of our workforce out of the market.  A policy solution must speak to both issues.

Enter the construction industry. Blue collar construction workers have seen a 25 percent decline in their inflation adjusted wages since 1990, according to data from a recent report by Smart Cities Prevail. Meanwhile, white collar employees of the same companies are reaping the benefits of soaring housing costs. "Developer fees and builder earnings now constitute a greater share (18 percent) of total project costs than construction wages and benefits (15 percent). Profits have grown 50 percent faster than either materials or labor," according to the article's recounting of the findings of the report.

Abe-Koga and Bonilla cite the report's findings to make the case for state legislation that would require prevailing wages for construction crafts. Streamlining local regulations, as some state legislators are currently suggesting, wouldn't be enough to bridge the gap between low wages and the high cost of living in the state.

Tuesday, May 16, 2017 in The Mercury News

Large blank mall building with only two cars in large parking lot.

Pennsylvania Mall Conversion Bill Passes House

If passed, the bill would promote the adaptive reuse of defunct commercial buildings.

April 18, 2024 - Central Penn Business Journal

Aeriel view of white sheep grazing on green grass between rows of solar panels.

Coming Soon to Ohio: The Largest Agrivoltaic Farm in the US

The ambitious 6,000-acre project will combine an 800-watt solar farm with crop and livestock production.

April 24, 2024 - Columbus Dispatch

Workers putting down asphalt on road.

U.S. Supreme Court: California's Impact Fees May Violate Takings Clause

A California property owner took El Dorado County to state court after paying a traffic impact fee he felt was exorbitant. He lost in trial court, appellate court, and the California Supreme Court denied review. Then the U.S. Supreme Court acted.

April 18, 2024 - Los Angeles Times

Freeway sign with "severe weather - use caution" over multilane freeway in rainy weather.

How Freeway Projects Impact Climate Resilience

In addition to displacement and public health impacts, highway expansions can also make communities less resilient to flooding and other climate-related disasters.

7 minutes ago - Transportation for America

Wind turbines and solar panels against a backdrop of mountains in the Mojave Desert near Palm Springs, California

California Grid Runs on 100% Renewable Energy for Over 9 Hours

The state’s energy grid was entirely powered by clean energy for some portion of the day on 37 out of the last 45 days.

April 24 - Fast Company

Close-up of hand holding up wooden thermometer in front of blurred street

New Forecasting Tool Aims to Reduce Heat-Related Deaths

Two federal agencies launched a new, easy-to-use, color-coded heat warning system that combines meteorological and medical risk factors.

April 24 - Associated Press via Portland Press Herald

News from HUD User

HUD's Office of Policy Development and Research

Call for Speakers

Mpact Transit + Community

New Updates on PD&R Edge

HUD's Office of Policy Development and Research

Urban Design for Planners 1: Software Tools

This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.

Planning for Universal Design

Learn the tools for implementing Universal Design in planning regulations.