The Anaheim Elementary School District (AESD) board recently voted to expand a controversial agreement for construction projects, an initiative originally passed in 2018. This deal, a Project Labor Agreement (PLA) commonly, has been relabeled by the AESD board as a “Community Benefit Agreement.”
During the board meeting on April 5, 2023, public comment described such construction deals as "controversial and discriminatory." In response to these concerns, AESD Trustee Ryan Ruelas stated that he did not care what the speaker had to say. This attitude, according to the Anaheim Observer website, aligns with Ruelas' past assertion, “I’m a union guy through and through.”
Critics argue that these agreements waste taxpayer dollars and discriminate against minority contractors. Minority contractors have long contended that PLAs "perpetuate the discrimination that has long pervaded construction unions." Harry C. Alford, President of the National Black Chamber of Commerce, provided an affidavit to a court stating that 98% of black and Latino-owned construction companies are non-union. He explained that PLAs restrict the use of these minority contractors on public projects. This is particularly notable in a district that is majority Latino.
Community feedback appeared to be a low priority for the district, with only two electronic public comments received. One comment, from Eric Christen of the Coalition for Fair Employment in Construction (CFEC), detailed how the special interest deal “will ban over 80% of construction workers” from participating in projects. CFEC noted that excluding such a large portion of the market increases demand and drives up prices, leading to fewer bids on construction projects. They cited examples of California cities that experienced bid shortages and had to re-bid projects after enacting Project Labor Agreements.
During the discussion, a school district staff member reading the public comments initially expressed confusion over the name change from “Project Labor Agreement” to “Community Benefit Agreement.” Following CFEC's detailed comment, Trustee Ruelas again dismissed the concerns. Trustees Jose Paolo Magcalas and Mark Lopez were observed sharing a glance and a smile at Ruelas’ dismissal.
Despite significant concerns, all five board members approved the amendment to the agreement with no debate or discussion. The motion extends the Community Benefits Agreement, held between the District and the Los Angeles and Orange Counties Building and Construction Trades Council and Signatory Craft Councils and Union, to include a project at Patrick Henry Elementary School. Trustee Mark Lopez, who was not on the board for the original 2018 vote and previously worked for an Orange County Republican Supervisor, voted for the deal, as did Trustee Juan Álvarez. Trustee Jackie Filbeck supported the deal on both occasions.
The expansion of this agreement raises questions about fiscal responsibility, especially should the district face a future budget downturn. The public will have another opportunity to address this deal at an upcoming regularly scheduled school board meeting. Opponents suggest that without an end to such agreements, students, taxpayers, and minority contractors will ultimately lose out.
