Ritchie Paving, Inc. v. Kansas Department of Transportation

654 P.2d 440, 232 Kan. 346, 1982 Kan. LEXIS 357
CourtSupreme Court of Kansas
DecidedDecember 3, 1982
DocketNo. 54,163
StatusPublished
Cited by4 cases

This text of 654 P.2d 440 (Ritchie Paving, Inc. v. Kansas Department of Transportation) is published on Counsel Stack Legal Research, covering Supreme Court of Kansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ritchie Paving, Inc. v. Kansas Department of Transportation, 654 P.2d 440, 232 Kan. 346, 1982 Kan. LEXIS 357 (kan 1982).

Opinion

[347]*347The opinion of the court was delivered by

McFarland, J.:

This is a declaratory judgment-injunction action originally brought by five construction firms claiming the defendant Kansas Department of Transportation violated K.S.A. 44-201 by specifying, on wholly state-funded highway projects, payment of federal Davis-Bacon prevailing wage rates [40 U.S.C. § 276a(a) and (b) (1976)]. Plaintiffs Ritchie Paving, Inc., and Utility Contractors, Inc. appeal from the trial court’s adverse decision.

Defendant Kansas Department of Transportation (hereinafter referred to as KDOT) gave appropriate notice of its intention to let bids on some 32 highway projects located in various parts of the state. The bid letting was set for December 17, 1981. The bid specifications for each project: (1) required the payment of the applicable Davis-Bacon minimum wage rates; and (2) compliance with K.S.A. 44-201.

Plaintiffs contend that some Davis-Bacon wage scales set certain wage rates lower than the “current rate of per diem wages” mandated by K.S.A. 44-201 and, accordingly, KDOT’s inclusion of same in the specifications is unlawful.

Before proceeding to the discussion herein the following should be noted. R. D. Andersen Construction Co., Inc., has been a party to four comparatively recent Kansas appellate court cases involving construction and interpretation of K.S.A. 44-201. Multiple references to these cases are necessary to the determination of the issues herein. To avoid confusion arising from the similarity of case names, the four cases are listed and will be henceforth referred to as Andersen I, II, III or IV, as follows:

Andersen I: Andersen Constr. Co. v. Weltmer, 223 Kan. 808, 557 P.2d 1197 (1978), full opinion, 224 Kan. 191, 577 P.2d 1197 (1978).

Andersen II: Andersen Construction Co. v. City of Topeka, 228 Kan. 73, 612 P.2d 595 (1980).

Andersen III: R. D. Andersen Constr. Co. v. Kansas Dept, of Human Resources, 7 Kan. App. 2d 453, 643 P.2d 1142 (1982), rev. denied 231 Kan. 801 (1982).

Andersen IV: Baker v. R. D. Andersen Constr. Co., 7 Kan. App. 2d 568, 644 P.2d 1354 (1982), rev. denied 231 Kan. 799 (1982).

[348]*348In Andersen II this court summarized the Davis-Bacon Act as follows:

“The Davis-Bacon Act, ch. 411, §§ 1-7, 46 Stat. 1494 (1931), as amended (codified at 40 U.S.C. § 276a to 276a-7 [1976]), requires the Secretary of Labor to determine the minimum wages to be paid laborers and mechanics employed by contractors on federal or federally funded construction projects. Under the published regulations, 29 C.F.R. § 1.1 et seq. (1979), the Secretary compiles wage rate information, determines the prevailing wage scales, and publishes them periodically in the Federal Register. ‘Wages,’ ‘scale of wages,’ ‘wage rates,’ ‘minimum wages,’ and ‘prevailing wages’ are required by 40 U.S.C. § 276a to include not only the basic hourly rate of pay but also fringe benefits.
“Davis-Bacon wages must be paid by all contractors on state and local construction projects when any federal financial assistance is utilized. 42 U.S.C. § 6708.” 228 Kan. at 76.

For purposes of the Davis-Bacon Act wage scales, Kansas is divided into five wage areas. Multiple prevailing wage scales are developed by the United States Secretary of Labor for each area based on the type of construction project involved. The wage scale adopted in each instance by KDOT is the highway construction classification. Certain categories of highway workers therein have a lower wage rate than their counterparts in other classifications. Illustrative of this is the “carpenter” category. In Wage Area No. 2 (Sedgwick County), a carpenter on a highway project has a minimum wage of $5.83 per hour (46 Fed. Reg. 21,566 [1981]) while a carpenter on a high-rise construction project had a minimum wage of $11.45 per hour (46 Fed. Reg. 34,971 [1981]). These wage scales were stipulated in the case herein.

The key factor for purposes of this issue is that the wage rates under Davis-Bacon are the result of project-based analysis. The basis therefore is 40 U.S.C. § 276a(a), which provides in relevant part:

“[S]hall be based upon the wages that will be determined by the Secretary of Labor to be prevailing for the corresponding classes of laborers and mechanics employed on projects of a character similar to the contract work in the city, town, village, or other civil subdivision of the State, in which the work is to be performed . . . .”

We turn now to the Kansas statute in controversy. K.S.A. 44-201 provides:

“44-201. Eight-hour day; exceptions; payment of current rate of per diem wages where work performed. ‘The current rate of per diem wages’for the intents and purposes of this act shall be the rate of wage paid in the locality as hereinafter refined to the greater number of workmen, laborers or mechanics in the same trade, [349]*349occupation or work of a similar nature. In the event that it be determined that there is not a greater number in the same trade, occupation or on similar work paid at the same rate, then the average rate paid to such laborers, workmen or mechanics in the same trade, occupation, or work shall be the current rate. The locality’ for the purpose of this act shall be the county wherein the physical work is being performed: Provided, That where cities of the first or second class are located in said counties, each such city shall be considered a locality.

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654 P.2d 440, 232 Kan. 346, 1982 Kan. LEXIS 357, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ritchie-paving-inc-v-kansas-department-of-transportation-kan-1982.