Varsity Transit, Inc. v. Saporita

98 Misc. 2d 255, 413 N.Y.S.2d 868, 1979 N.Y. Misc. LEXIS 2071
CourtNew York Supreme Court
DecidedFebruary 22, 1979
StatusPublished
Cited by4 cases

This text of 98 Misc. 2d 255 (Varsity Transit, Inc. v. Saporita) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Varsity Transit, Inc. v. Saporita, 98 Misc. 2d 255, 413 N.Y.S.2d 868, 1979 N.Y. Misc. LEXIS 2071 (N.Y. Super. Ct. 1979).

Opinion

[257]*257OPINION OF THE COURT

Arthur S. Hirsch, J.

The Board of Education of the City of New York (Board), a defendant herein, contracts with private bus companies for the transportation of children living at prescribed distances from school and for all handicapped children. The present contracts expire in June, 1979. The Board has issued bid specifications for new contracts, serial Nos. 0065 and 0070. Plaintiff Varsity Transit, Inc. (Varsity), is the largest bus company who presently holds a contract for transportation of school children. It employs members of defendant Amalgamated Transit Union (Union) as school bus drivers and matrons. Despite a collective bargaining agreement between their Union and Varsity, these employees have gone on strike, undoubtedly as an indication of their anger at certain changes in the Board’s new contract proposals that may affect them adversely. Varsity, together with Pioneer Bus Company (Pioneer), another company presently in contract with the Board, has joined with the Union in strenuously objecting to the changed contract provisions.

Varsity has initiated legal action in Queens County brought on by an order to show cause (1) to enjoin the Union and its officers from continuing a work stoppage and (2) to preliminarily and permanently enjoin the Board from accepting or opening any bids on contract proposals Nos. 0065 and 0070, on grounds that said proposals are violative of the following laws: section 220 of the Labor Law; section 17 of article I of the New York State Constitution; and section Z51-2.3 of the Administrative Code of the City of New York. Plaintiff further contends that the Board’s prior contractual practice constitutes an estoppel, prohibiting the Board from changing requirements in its new contracts.

Pioneer had earlier initiated its own action in this county, based on the identical questions of law and fact as are found in the Varsity action. It argued a similar motion for injunctive relief, the court reserving its decision. The Varsity action in Queens County was consolidated with the Pioneer and a Board of Education proceeding in Kings County. Pioneer has asked to intervene in the instant Varsity action. During oral argument on the Varsity motion, Pioneer was granted that right. In order to avoid unnecessary redundancy, this decision shall cover the motions of both plaintiffs Varsity and Pioneer and that of defendant Board of Education.

[258]*258The third motion before the court is that of the Board to dismiss Varsity’s complaint on grounds that plaintiff has failed to state a cause of action.

The changes in the proposed contract specifications that underlie the controversy are pertinent to this case. The previous contract provided, among other things, that: (a) private bus companies must pay their employees at the same hourly rate as New York City Transit Authority employees; (b) private bus companies must pay their employees for eight hours in a 10 Vi-hour day; (c) private bus companies must pay their employees the same pension and welfare benefits enjoyed by the majority of personnel presently employed in transporting pupils or the same pension and welfare benefits enjoyed by New York City Transit Authority employees, whichever is less; and (d) employees of private bus companies who lose their jobs as a result of the loss of the contract by a previous contractor must be given priority in hiring according to seniority by any replacement contractor.

After a recent study to find means of reducing school transportation costs as mandated by the Legislature (Education Law, § 305, subd 14, par c, the Board was advised that these provisions cost the city approximately $10.39 million and their deletion would effectively open real competitive bidding by a larger spectrum of bidders. This would be accomplished in part by permitting the hiring of part-time employees, eliminating the need to employ drivers for eight hours when they are actually engaged in driving only half of that time.

These considerations convinced the Board to issue the new contract specifications, which do not include the afore-stated labor provisions.

Plaintiffs contend that the ommission of said provisions violates section 220 of the Labor Law, which requires that laborers, workmen or mechanics upon public works be paid wages equal to the prevailing rate of wages.

The specifications of the contracts for transportation of handicapped children raises a different issue. The previous contract included a provision requiring buses for the handicapped to have dual door openings on two sides of the motor vehicle, pursuant to section Z51-2.3 of the Administrative Code. This requirement has been deleted from the amended proposed specifications, and at a conference for prospective bidders, the Board indicated that it will attempt to have the [259]*259Legislature repeal or amend the dual door opening requirement. Plaintiffs accused the Board of giving prospective bidders the impression that, in the event the Board is not successful with the Legislature, it would still not insist upon dual door openings. The Board emphatically denies this allegation. Plaintiffs, who had purchased the more expensive dual door buses during the run of the previous contracts, contend that the omission of the clause requiring the dual door openings is violative of State and city laws for the safety of transporting handicapped children.

Pioneer, in its action, does not ask on this issue for an injunction against the Board on opening of bids as does Varsity. Rather, it requests that the Board be directed to issue an addendum to the specifications stating that all vehicles used for handicapped children should be equipped with dual door openings.

LABOR LAW AND NEW YORK STATE CONSTITUTION

Pursuant to the Labor Law, contracts with the State or municipalities must include provisions for wages to be paid to workers at the prevailing rate. The law pertains only to certain persons who are specified in the law. Subdivision 3 of section 220 of the Labor Law requires that: "The wages to be paid for a legal day’s work, as hereinbefore defined, to laborers, workmen or mechanics upon such public works, shall not be less than the prevailing rate of wages as hereinafter defined.” (Emphasis added.)

Section 17 of article I of the New York State Constitution provides that: "No laborer, workman or mechanic, in the employ of a contractor or subcontractor engaged in the performance of any public work, shall * * * be paid less than the rate of wages prevailing in the same trade or occupation in the locality within the state where such public work is to be situated, erected or used.”

This extends the coverage of section 220 to employees of contractors and subcontractors involved in public works.

The threshold question facing the court is whether bus operators and matrons are within the ambit of employees entitled to the protection of the Labor Law or the Constitution. The court thinks not.

An analysis of the Labor Law reveals that the legislators were interested in protecting that specific portion of the work [260]*260force which is involved in the construction, replacement, maintenance and repair of public works. It has long been established that this law does not blanket all workers who have some working contact with the city or agency or department of the city (Matter of Pinkwater v Joseph, 300 NY 729).

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Bluebook (online)
98 Misc. 2d 255, 413 N.Y.S.2d 868, 1979 N.Y. Misc. LEXIS 2071, Counsel Stack Legal Research, https://law.counselstack.com/opinion/varsity-transit-inc-v-saporita-nysupct-1979.