CA Assembly Committee Tells Employers, High Quality Obamacare is Inadequate

SACRAMENTO, Calif., May 5, 2016 /PRNewswire-USNewswire/ -- During yesterday's California State Assembly Labor and Employment Committee, AB 1865 by Assemblyman Jim Patterson failed on a party line vote. Patterson's bill, sponsored by Associated Builders and Contractors (ABC) of California, would have closed the loophole that requires contractors to pay twice for health insurance on public works projects in California where a Project Labor Agreement has been implemented.

In his comments to the Labor and Employment Committee contractor Jim Kerr, with Kerco Inc. asked, "The question for lawmakers today is basic and clear – If Obamacare constitutes "quality" coverage for all Americans, why would employers on taxpayer funded construction projects have to pay for healthcare twice?"

Mr. Kerr got his answer. The Assembly Committee members that opposed the bill effectively said that a high quality Obamacare plan was inadequate.

"AB 1865 provides a simple exemption from healthcare double payments", commented Assemblyman Jim Patterson. "Savings generated from this fix could be used for a variety of things such as increased wages for current employees, upgrading equipment or tools, or best of all, creating a job for a new employee."

"I was disappointed by the vote in the Assembly Labor and Employment Committee," added Tami Chapman a California rebar contractor and President of ABC of California. "On one hand President Obama introduced the Affordable Care Act to ensure that all Americans have access to quality health insurance at an affordable price; yet today a Legislative Committee said an Obamacare compliant plan wasn't good enough and employers have to pay into a healthcare plan that their core employees will not use. Seems like a waste of resources to me."

ABC of California is an association representing the various ABC training and workforce development centers in California. Each ABC chapter operates a workforce development training center that educates the construction workforce of tomorrow. Our employer members are united in achieving the goal of a skilled, trained, and safe construction workforce in California.

CONTACT: Russell Johnson, 1-661-203-1838, [email protected]

SOURCE Associated Builders and Contractors of California