Sunday, February 27, 2011

Finding Savings. The Davis-Bacon Act.

You have probably heard the outrageous numbers before. The $600 hammer. The $400 toilet seat. Does the Federal Government really pay this much for everyday items? It is quite possible. Although, it's difficult to substantiate claims on items such as the mythical hammer, it is quite clear that the Government pays significantly more than private market rates for wages and services across numerous industries. In particular, the Fed's pay upwards of 22 percent above private market rates for construction wages. The Davis-Bacon Act dictates these rates. The Act protects unions from competition on government projects. It will also add a staggering $10.9 Billion to the deficit in 2011. Congress should work to repeal the Davis-Bacon Act. Given the current state of unprecedented deficits and skyrocketing spending, Congress should not unnecessarily inflate construction costs at the expense of taxpayers. The government should efficiently and responsibly manage funds. Special Interest handouts are bringing this country down. Deep cuts must be enacted immediately. The continuation of nonessential programs and initiatives will only hasten the rate of economic disaster. Even if Congress is not willing to reduce overall spending, the dollars could go much farther if DBA were to be suspended. Maintaining spending without DBA would result in construction dollars going 9.9 percent further. This would equate to more buildings, more bridges, more roads, and more jobs. The American people cannot and should not be the puppets of special interest agendas. Davis-Bacon remains on the books due in large part to successful Washington lobbying. Repealing Davis-Bacon would be a needed step in the right direction and a positive strike at the notion of hundred-dollar federal hammers.

No comments:

Post a Comment