A Call for Prevailing Wages as a Housing Solution

An op-ed written by city officials from two South Bay Area cities argues that reform of land use regulations won't be enough to solve California's housing crisis.

2 minute read

May 19, 2017, 8:00 AM PDT

By James Brasuell @CasualBrasuell


Construction

potowizard / Shutterstock

Margaret Abe-Koga, Mountain View City Council member, and Rick Bonilla, deputy mayor of the city of San Mateo, write an op-ed for The Mercury News tackling the thorny issue of affordability in California's large coastal cities.

The duo's argument gives consideration to the construction industry, instead of the more typical punching bag of such polemics—land use regulations.

The driving forces behind our housing crisis are not just a shortage of supply, but also a persistent wage stagnation that has priced entire segments of our workforce out of the market.  A policy solution must speak to both issues.

Enter the construction industry. Blue collar construction workers have seen a 25 percent decline in their inflation adjusted wages since 1990, according to data from a recent report by Smart Cities Prevail. Meanwhile, white collar employees of the same companies are reaping the benefits of soaring housing costs. "Developer fees and builder earnings now constitute a greater share (18 percent) of total project costs than construction wages and benefits (15 percent). Profits have grown 50 percent faster than either materials or labor," according to the article's recounting of the findings of the report.

Abe-Koga and Bonilla cite the report's findings to make the case for state legislation that would require prevailing wages for construction crafts. Streamlining local regulations, as some state legislators are currently suggesting, wouldn't be enough to bridge the gap between low wages and the high cost of living in the state.

Tuesday, May 16, 2017 in The Mercury News

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Get top-rated, practical training

Concrete Brutalism building with slanted walls and light visible through an atrium.

What ‘The Brutalist’ Teaches Us About Modern Cities

How architecture and urban landscapes reflect the trauma and dysfunction of the post-war experience.

February 28, 2025 - Justin Hollander

Complete Street

‘Complete Streets’ Webpage Deleted in Federal Purge

Basic resources and information on building bike lanes and sidewalks, formerly housed on the government’s Complete Streets website, are now gone.

February 27, 2025 - Streetsblog USA

Green electric Volkswagen van against a beach backdrop.

The VW Bus is Back — Now as an Electric Minivan

Volkswagen’s ID. Buzz reimagines its iconic Bus as a fully electric minivan, blending retro design with modern technology, a 231-mile range, and practical versatility to offer a stylish yet functional EV for the future.

March 3, 2025 - ABC 7 Eyewitness News

View of mountains with large shrubs in foreground in Altadena, California.

Healing Through Parks: Altadena’s Path to Recovery After the Eaton Fire

In the wake of the Eaton Fire, Altadena is uniting to restore Loma Alta Park, creating a renewed space for recreation, community gathering, and resilience.

March 9 - Pasadena NOw

Aerial view of single-family homes with swimming pools in San Diego, California.

San Diego to Rescind Multi-Unit ADU Rule

The city wants to close a loophole that allowed developers to build apartment buildings on single-family lots as ADUs.

March 9 - Axios

Close-up of row of electric cars plugged into chargers at outdoor station.

Electric Vehicles for All? Study Finds Disparities in Access and Incentives

A new UCLA study finds that while California has made progress in electric vehicle adoption, disadvantaged communities remain underserved in EV incentives, ownership, and charging access, requiring targeted policy changes to advance equity.

March 9 - UCLA Luskin Center for Innovation