Joint Council of Teamsters 37 v. Bureau of Labor & Industries

11 P.3d 247, 168 Or. App. 398, 2000 Ore. App. LEXIS 980
CourtCourt of Appeals of Oregon
DecidedJune 21, 2000
Docket99C-10414; CA A103356 Control, A104745, A104762, A105386, A105305
StatusPublished
Cited by15 cases

This text of 11 P.3d 247 (Joint Council of Teamsters 37 v. Bureau of Labor & Industries) is published on Counsel Stack Legal Research, covering Court of Appeals of Oregon primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Joint Council of Teamsters 37 v. Bureau of Labor & Industries, 11 P.3d 247, 168 Or. App. 398, 2000 Ore. App. LEXIS 980 (Or. Ct. App. 2000).

Opinion

*401 HASELTON, J.

This case involves five consolidated actions challenging the validity of various prevailing wage rates set by respondents, the Bureau of Labor and Industries and its commissioner (collectively, BOLI), between February 15, 1998, and January 6,1999. Petitioners, the Joint Council of Teamsters #37 and the Oregon, Southern Idaho and Wyoming District Council of Laborers, assert that BOLI’s adoption of various prevailing wage rates was invalid because BOLI exceeded its statutory authority and failed to give notice before adopting the rates. BOLI responds that petitioners’ challenges are moot because the challenged rates have been superseded by rates adopted in July 1999, and are therefore no longer in effect. BOLI argues in particular that, because ORS 279.350(2) would bar petitioners from recouping lost wages even if the challenged prevailing wage rates were invalidated, this court’s decision on the validity of those rates would have no practical effect on the rights of the parties. For the reasons explained below, we agree with BOLI that petitioners’ challenges to the superseded prevailing wage rates are moot.

In order to best understand petitioners’ challenges and the relevant sequence of events, we begin with a brief description of the purpose and operation of Oregon’s prevailing wage rate statutory scheme. The primary purpose of the prevailing wage law is to “ensure that contractors compete on the ability to perform work competently and efficiently while maintaining community established compensation standards.” ORS 279.349. ORS 279.359 requires BOLI to “determine the prevailing rate of wage for workers in each trade or occupation in each locality * * * at least once each year by means of an independent wage survey.” For purposes of that statute, a “locality” is one of 14 geographical districts identified by statute, ORS 279.348(2), and “prevailing rate of wage” is defined as:

“the rate of hourly wage * * * paid in the locality to the majority of workers employed on projects of similar character in the same trade or occupation, as determined by the Commissioner of [BOLI]. In making such determinations, the commissioner shall rely on an independent wage survey *402 to be conducted once each year. However, if it appears to the commissioner that the data derived from the survey alone are insufficient to establish the rate, the commissioner also shall consider additional information such as collective bargaining agreements, other independent wage surveys and the prevailing wage rates determined by appropriate federal agencies or agencies of adjoining states. If there is not a majority in the same trade or occupation paid at the same rate, the average rate of hourly wage * * * paid in the locality to workers in the same trade or occupation shall be the prevailing rate.”

Enforcement of the “prevailing wage rates” is effectuated by ORS 279.350, which requires all contractors and subcontractors to pay “workers upon all public works * * * not less than the prevailing rate of wage” for that occupation in the locality where the labor is performed. Any contractor or subcontractor who violates that requirement “shall be liable to the workers affected in the amount of their unpaid minimum wages * * * and in an additional amount equal to said unpaid wages as liquidated damages.” ORS 279.356.

With that background in mind, we now turn to the undisputed facts underlying petitioners’ challenges to various prevailing wage rates set by BOLI between February 1998 and January 1999.

On February 15, 1998, BOLI issued a 70-page publication entitled “Prevailing Wage Rates for Public Works Contracts in Oregon,” which identified specific prevailing wage rates by occupation and district. Five months later, on July 1,1998, BOLI published an updated version of the same “Prevailing Wage Rates for Public Works Contracts in Oregon” pamphlet. On August 28, 1998, petitioners filed a petition for review of the February and July 1998 publications pursuant to ORS 183.400, 1 alleging that *403 the rates published therein were invalidly promulgated “rules.” 2

On October 29, 1998, while the above petition was pending, BOLI adopted Temporary Rule OAR 839-016-0700, which provided that the wage rates published in the July 1998 “Prevailing Wage Rates for Public Works Contracts in Oregon” were the prevailing wage rates for work commenced after July 1, 1998. The rule was to be effective from October 29,1998 to April 27,1999, and was basically a readoption of the wage rates published in July 1998. BOLI’s “Statement of Need and Justification” for adoption of that temporary rule provided:

“If the appellate court were to hold that the prevailing rates of wage must be established through rulemaking, the challenged [July 1, 1998] rates would be invalid. That situation would create a hiatus in the existence of valid prevailing rates of wage extending forward from July 1, 1998, contrary to the legislative mandate. The hiatus would undermine the legislative policies announced in ORS 279.349. It would also preclude enforcement of those rates through any of the various procedures available under ORS 279.355 and 279.370.
“Temporary rulemaking is necessary in order to avoid the potential consequences of the invalidation of the July 1, 1998 prevailing rates of wage.”

Just a few days later, on November 2, 1998, BOLI adopted Temporary Rule OAR 839-016-0705, which provided that the prevailing wage rates for work beginning October 1, 1998, were the rates stated in the July 1998 publication of “Prevailing Wage Rates,” as amended by “Oregon Determination 98-02.” This second temporary rule was to be effective from November 2, 1998 through May 1, 1999. BOLI’s Statement of Need and Justification again provided that “[tjemporary rulemaking is necessary in order to avoid the potential consequences of the invalidation of the July 1,1998, prevailing rates of wage as amended by Oregon Determination 98-02, effective October 1,1998.”

*404 On December 29, 1998, petitioners filed two additional petitions for review — one challenging the validity of Temporary Rule OAR 839-016-0700 and the other challenging the validity of Temporary Rule OAR 839-016-0705.

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Bluebook (online)
11 P.3d 247, 168 Or. App. 398, 2000 Ore. App. LEXIS 980, Counsel Stack Legal Research, https://law.counselstack.com/opinion/joint-council-of-teamsters-37-v-bureau-of-labor-industries-orctapp-2000.