Judge rules in favor of Michigan's wage policy
(CBS DETROIT) - A Michigan judge ruled on Tuesday in favor of the state in a lawsuit challenging Michigan's wage policy.
Judge Douglas Shapiro of the Michigan Court of Claims agreed with Attorney General Dana Nessel that the Department of Technology, Management and Budget (DTMB) did not violate the law when it implemented its policy.
A lawsuit filed back in July against the state of Michigan asked the court to demand DTMB not require wages for state contracts in excess of $50,000. The Associated Builders and Contractors of Michigan (ABC) claimed the state could not require the wage rate of its contractors because of the repeal of Michigan's prevailing wage law in 2018.
According to a press release, the court denied ABC's motion and agreed that DTMB did not violate the separation of powers when it set the prevailing wage policy.
The court also agreed that DTMB was not required to follow the formal rulemaking process of the Administrative Procedures Act of 1969 (APA) when implementing the prevailing wage policy because the policy fits within an exception to the APA's rulemaking requirements.
ABC's claim of appeal is due with the Michigan Court of Appeals by Oct. 31.