Prevailing-Wage Ruling Stands

The California Supreme Court has declined to hear the appeal of an appellate ruling requiring developers of many community facilities districts to pay so-called prevailing wages for all public improvements, whether or not they are financed with bonds.

The court denied the appeal petition in Azusa Land Partners LLP v. Department of Industrial Relations without comment on March 2.

The appellate court ruled in December, upholding actions by the state’s Department of Industrial Relations, which determined in 2007 that the developer of the Azusa project, which is partly financed by “Mello-Roos” bonds, is required to pay union-scale prevailing wages on public infrastructure in the district, even on things that are not being financed by the bonds.

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