Bill would require prevailing wage for off‑site custom fabrication used on public works; unions support, contractors cite compliance burdens

Assembly Bill 213, sponsored by Assemblymember Danielle Monroe Moreno, would expand prevailing‑wage requirements to include workers who perform custom fabrication of nonstandard goods and materials that will be incorporated into public works projects. The sponsor told the committee the bill is intended to close a perceived loophole that allows fabricated components assembled off‑site to escape prevailing‑wage requirements applied to on‑site labor.

Assemblymember Danielle Monroe Moreno opened the hearing with a short video and presentation demonstrating automated shop fabrication. Alfonso Lopez, representing Sheet Metal Workers Local 88, showed footage of computer‑driven fabrication and said the work that once occurred on a job site is increasingly done in shops. "This is strictly, custom fabrication products that are made from raw materials, period," Lopez said, describing items that cannot be bought off the shelf.

The bill would define "custom fabrication" as manufacturing, assembling or otherwise producing nonstandard goods or materials specifically for a public work, and lists examples including air conditioning systems, heating systems, plumbing or pipe fitting, sheet metal products, signage and ventilation systems. The sponsor noted the bill passed both legislative houses in the prior session but was vetoed by the governor and returned this session for reconsideration.

Supporters at the hearing included a broad coalition of construction trade unions and building‑trades councils. Labor speakers argued the bill protects local jobs and ensures tax‑funded projects pay local prevailing rates. Jeremiah Robnet, business manager of Smart Local 88, said the bill would "even the playing field for all bidders of the public works projects while also ensuring that the workforce who perform the custom fabrication on the public works are paid the same prevailing wage in the region."

Opponents — including the Associated General Contractors' Nevada chapter, Associated Builders and Contractors, mechanical contractors, manufacturers and several individual fabricators — emphasized practical and compliance concerns. Alexis Motorex of the Associated General Contractors said the bill would require "individual tracking of all parts and pieces used in the fabrication from their place of origin to the final destination in order to comply with certified payroll," an obligation she called costly and administratively challenging. Robert Sandoval, vice president of RHP Mechanical Systems, said the proposal would force contractors to hire additional office staff and disrupt shop workflows because fabricators now work on multiple public and private projects concurrently.

Multiple opposition witnesses raised enforcement and jurisdictional concerns: local governments said it is unclear how cities or counties would verify prevailing‑wage compliance for out‑of‑state suppliers, and trade‑association witnesses warned that the proposal could reduce competition for public works bids and unintentionally raise project costs. Proponents countered that many contractors already buy fabricated product from local shops and that codifying the rule would protect Nevada workers.

Committee members asked clarifying questions about the bill's language. Assemblymember DeLong asked whether the bill defines "nonstandard"; proponents acknowledged the bill does not include a strict definition and invited lawmakers to work on possible amendments. No vote on AB 213 was taken at the hearing; the sponsor indicated willingness to consider amendments and to work with stakeholders on details.