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Phoenix prevailing wage ordinance denied by Maricopa Court, future in doubt

The law was originally supposed to take effect on July 1
Contractors
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PHOENIX — The city of Phoenix plans to keep fighting to establish a prevailing wage ordinance after it was overturned by the Maricopa County Superior Court.

Phoenix City Council passed the ordinance in January and it would have taken effect on July 1, but the Court stepped in because it went against state law. According to Phoenix Mayor Kate Gallego, the prevailing wage ordinance would have ensured workers on city-funded construction projects worth $4 million or above receive a fair wage.

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After a legal opinion issued by Attorney General Kris Mayes in June 2023, the city reasoned that this ordinance was within their authority under the understanding that “a prevailing wage is a type of minimum wage.”

However, the Arizona Mirror reported that Maricopa County Judge Brad Astrowsky shut the line of thinking down in a summary judgment ruling on June 24, stating that any Arizona political subdivision cannot enact an ordinance requiring contractors and subcontractors to pay workers “not less than the prevailing rate of wages.”

“This decision is disappointing, and we are exploring potential next steps," Mayor Gallego said in a statement in response to the ruling. "Those building the future of our city deserve to be paid fairly and I plan to exhaust every legal avenue to ensure workers earn the wages they deserve.”

Read more of this story from the Business Journal.