Mayor believes prevailing wage hurts town - KAIT Jonesboro, AR - Region 8 News, weather, sports

Mayor believes prevailing wage hurts town

(Source: KAIT) (Source: KAIT)
KENNETT, MO (KAIT) -

Kennett Mayor Bob Hancock said the Missouri prevailing wage law has kept his town from growing and he is hopeful that the Missouri legislature will get rid of the law. 

According to the Missouri Department of Labor website, the law creates a "minimum wage rate that must be paid to workers on public works construction projects in Missouri, such as bridges, roads, and government buildings. The prevailing wage rate differs by county and for different types of work." 

Supporters of the law have said it has helped to create higher wages in particular fields. However, opponents have cautioned that the higher wages can create higher costs for projects. 

Hancock said the city has been trying to build a fire station for several years and that the law has created obstacles in the construction. 

"If they don't eliminate it, at least we are hearing that they might put some caps on it. $700,000 and below, it would not apply. At least that opens up some possibilities and things we can do," Hancock said. 

Hancock also said he hopes the state legislature can look at the issue and its impact on small town growth. 

Copyright 2017 KAIT. All rights reserved.

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