Delaware lawmakers advance school construction bill, despite critics

• A Delaware bill would require union labor for school construction projects costing over $5 million.
• Supporters argue the bill ensures high-quality work, on-time completion, and better worker protections.
• Opponents claim it will increase costs, hurt local non-union businesses, and lead to potential layoffs.

A controversial Senate bill that would require labor union work be used for school projects jumped its latest hurdle in House committee, despite industry opposition along its legislative journey.

Backed by Sen. Jack Walsh, the measure aims to mandate school construction or renovation projects costing $5 million or more to include a project labor agreement with the Delaware Building and Construction Trades Council for work carried out after Dec. 31.

Project Labor agreements ensure projects are completed on time and within budget, specify benefits and wages, while enforcing safety.

If passed, this bill would be Delaware’s first project labor agreement requirement law, according to Walsh. At least 12 other states have similar laws in place, according to House Majority Whip Ed Osienski, who serves as the bill’s primary backer in the House.

Supporters have argued that this bill will ensure these projects are completed on time, with high quality labor.

During the June 10 hearing, Taylor Hawk, director of Legislative and Political Strategy for Delaware State Education Association, a union that represents state educators, also argued these agreements will ensure students go to school in the highest quality buildings.

“Policies like PLAs help ensure that publicly funded school construction is completed safely to the highest standards of quality, while supporting the workers who build and maintain these critical community assets,” she said.

It’s not just quality labor supporters have pointed out. Bill backers claim requiring these agreements will be better for workers, too, as unionized laborers have greater protections.

Sam Noel, a representative of the Eastern Atlantic States Regional Council of Carpenters, said requiring these agreements will safeguard workers’ wages.

However, several opponents also packed inside the House chamber. Some told lawmakers this bill will not only take money and jobs away from in-state small and minority-owned businesses, but weaken their ability to compete with other companies and states.

Jason Stallings works for Quality Exteriors based in Harrington, which specializes in commercial roofing. During the hearing, Stallings said around 75% of the company’s yearly work comes from school and state projects.

But there are no union roofing contractors in Delaware, he said, so the work would have to fall to out-of-state laborers.

“The passing of SB 272 will pretty much be the end of our company that’s been in business for 40 years in Delaware,” Stallings said.

Others also argued this bill will lead to potential layoffs and increase project costs on the taxpayers’ dime.

Brian Maxwell, director of the Delaware Office of Management and Budget, also said construction projects with a labor agreement cost roughly 30% more per square foot than those without.

“If the cost of school construction is escalated by just 10 to 20%, that will further place significant pressure on both the state and local school district budgets,” Maxwell said during the hearing.

The Sussex County Vocational Technical School District is building a new high school in Georgetown, now expected to open in September 2028. Superintendent Kevin Carson told lawmakers this bill stands to increase costs on that project.

In the hearing, Carson said requiring a project labor agreement would bump construction costs of the high school by about 22%, costing taxpayers an additional $22 million. Opening is already delayed by one year, as the district will increase the size to accommodate 1,800 students.

The bill will now head to the House chamber for further consideration. The bill already passed close to party lines in the Senate on May 21.

Olivia Montes covers state government and community impact for Delaware Online/The News Journal. If you have a tip or a story idea, reach out to her at omontes@delawareonline.com. 

Sophia Voight is a growth and development reporter. Reach her with feedback and story tips at svoight@delawareonline.com.