Lt. Gov. Reynolds says PSA order legally sound

IOWA CITY - Officials with Gov. Terry Branstad's office believe they are on firm legal ground in halting the use of project labor agreements on state-funded construction projects after Jan. 14, Lt. Gov. Kim Reynolds said during a visit to the University of Iowa Wednesday.

Branstad signed the executive order upon taking office Jan. 14, stopping the use of project labor agreements on public projects. But the Cedar Rapids and Iowa City Building Trades Council this week threatened litigation against the state Board of Regents, in regards to a project labor agreement signed for the construction of a new UI medical clinic at the Iowa River Landing site in Coralville.

Reynolds said Wednesday she trusts the governor's position will be backed in court.

“We feel we're on firm ground as far as a legal standpoint,” she said. “We made it very clear anything going forward (from Jan. 14) could not use a PLA.”

Regents officials last week said the four bid packages signed on the Iowa River Landing outpatient clinic before Jan. 14, totaling about $7 million, will still use the project labor agreement. Other bids on the project that have yet to be finalized will not use the project labor agreement.

The attorney for the Cedar Rapids and Iowa City Building Trades Council said this week the council will sue the regents  if they continue with their plan to set aside a project labor agreement for the remaining bids.

Reynolds said Wednesday there will be no negotiation from the governor's office on the issue.

During her visit, Reynolds toured UI Hospitals and Clinics and heard about the planned new Children's Hospital tower. She also met with hospital and university officials. Reynolds met with media during an afternoon briefing.

In regards to Branstad's three new appointees to the Board of Regents, Reynolds said she doesn't see anything standing in the way of Senate confirmation. The three regents appointees are Linn-Mar Superintendent Katie Mulholland, of Marion,  Bruce Rastetter, of Hubbard, and Nicole Carroll, of Carroll. They will serve six-year terms beginning May 1, pending confirmation by the Senate.

“I fully expect them to be confirmed,” Reynolds said. “I believe it's a very diverse group in addition to being very geographically balanced.”