http://alcatrazunion.com/node/1475Letter from Nancy Pelosi and George Miller to Elaine Chao - February 14, 2007
The Honorable Elaine Chao,
Secretary
U.S Department of Labor,
200 Constitution Ave N.W.,
Washington, D.C. 20210.
Dear Secretary Chao:
We are writing to express our concerns about enforcement of the McNamara-O'Hara Service Contract Act (SCA) in regard to the Alcatraz ferry transportation services contracts.
As you know, the Service Contract Act requires federal service contractors to pay prevailing wages, including wages and fringe benefits at least equal to those paid by predecessor contractors pursuant to a collective bargaining agreement. Importantly, the Service Contract Act ensures that no federal agency contractor undercuts prevailing wages in any community in the United States.
The Alcatraz concession contract, is originally negotiated by the National Park Service (NPS) and Alcatraz Cruises, failed to include Service Contract Act protections. In May 2006 a federal judge issued a preliminary injunction barring the award of the contract on that basis.
The NPS then signed an agreement with Alcatraz Cruises requiring compliance with the SCA.
The NPS continued to press for an exemption from the SCA, but Wage and Hour Administrator Paul Decamp ruled on September 15. 2006 that the SCA applies to the Alcatraz ferry contracts.
We understand that Alcatraz Cruises has filed an appeal of Administrator Decamp's decision with the Department's Administrative Review Board. Please provide us with any updates on the status of the contractor's petition to intervene and petition for review.
It is our understanding that, despite the current appeal, the SCA continues to apply, and Alcatraz Cruises must pay employees the wages and fringe benefits required by its predecessor's collective bargaining agreements. Concerns have been raised to us that Alcatraz Cruiser may not be in compliance with the SCA. We have been told that current Alcatraz ferry workers are not receiving a number of benefits afforded them by the predecessor agreements, including retirement benefits.
As in any locale, labor protections in the in Francisco Bay Area are undermined if the Service Contract Act is not enforced. Accordingly, we would appreciate an explanation of how the Department monitors and enforces the SCA in circumstances where successor contractors must apply the wages and fringe benefits of predecessor collective bargaining agreements. We would also appreciate any updates you can provide on compliance monitoring and enforcement of the SCA in the Alcatraz case in particular.
Thank you very much for your attention to these issues. We look forward to your response in the near future.
Sincerely,
Nancy Pelosi,
Member of Congress
George Miller
Member of Congress
cc. Mary A. Bomar, Director, National Park Service
Terry McRae, President/CEO, Hornblower Cruises and Events
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