In April of 2002, a group of construction workers had approached Councilwoman Dolly Sandoval, complaining that they were not receiving prevailing wages. That complaint later prompted the city council to pass the Responsible Contracting Policy on April 7 of this year. At that meeting, Sandoval and the unions also brought up a proposal that would allow the city to intervene in the investigation process to ensure complaints are handled in a timely manner. The council asked the public works staff to evaluate the proposal and report back. The Aug. 4 meeting was set for their report.

At the meeting, Neil Struthers, chief executive officer of Santa Clara and San Benito Counties Building and Construction Trades Council asked workers to stand up.

"Does it matter to you that you receive prevailing wages?" he asked.

"Yes," called out the workers. Their powerful voice echoing in the small chambers.

Despite the workers' overwhelming presence, the proposal to have the city involved in investigating prevailing wage violations met with opposition from the staff of public works, and the city council decided not to adopt the proposal for now.

"I firmly believe workers should receive prevailing wages, but I feel the proposal is not mature," said Councilman Richard Lowenthal.

Existing state law requires that prevailing wages be paid to workers employed by a contractor or subcontractor of any public-works project exceeding $1,000. Compliance is enforced by the DIR's Division of Labor Standards Enforcement. Workers who don't receive prevailing wages can report to the DIR, and a labor commissioner will conduct an investigation.

Union representatives complain that it takes the DIR a long time to investigate and settle a case. They believe the investigation process would be faster if the city intervenes by hiring an independent investigator and sending the results to the DIR for reference. Union representatives said the proposal will cost the city little money.

"When a complaint is filed, the person would deposit a certain amount of money with the city for the investigation," Struthers said. "If the DIR determines that the contractor failed to pay the workers' prevailing wages, the contractor would pay for the investigation. If the contractor is not at fault, the city would draw money from the deposit to pay for the investigation."

Despite the alleged low cost of the proposal, "nay" was the staff's answer.

"This is an unusual proposal and does not exist in any other city and state. There is no good reason for Cupertino to be a prototype," said Ralph Qualls, director of public works. "It doesn't address any particular need that is not currently provided for. And there is a risk for a city of limited resources to assume state responsibilities."

"We don't recommend the council approve it because it is unproven, untried and unnecessary," Qualls said. "But if the council really wants it, we can add this provision to the current Responsible Contracting Policy."

Qualls' report angered the workers. One union representative accused Qualls of being "against the working class."

Councilwoman Sandoval also disagreed with Qualls.

"It takes the DIR years to settle a case. For the workers, justice delayed is justice denied," Sandoval said. "Even if the state provides zero resources, we still have to act. It is not a shameful thing to be a leader."

Qualls responded that the staff was not against workers' rights.

"To say I'm against the working class is complete nonsense," Qualls later said in an interview. "What I'm against is the city taking on an additional task for a process that is now and always has been the state's responsibility. The sponsors of this proposal should be directing their efforts toward improving the state process, instead of simply shifting it to the city."

Other council members were also more reserved about the proposal.

"The idea sounds wonderful, but I want to know whether this is taking away bureaucracies or adding another layer to the investigation process," said Councilwoman Sandy James. "I am interested in getting the response from the Department of Industrial Relations before we proceed."

The rest of the council members concurred with James. Both the unions and the city have made inquiries to the DIR and expect a response in September.