Top Issues / MCAA Positions

Multiemployer Pension Plans—Composite Plan Design

POSITION SUMMARY:

MCAA continues to press for new multiemployer pension plan design options for pension trustees to consider – most notably the Composite Plan option, which combines the best features of Defined Benefit plans for plan participants, and the sustainability features of Defined Contribution plans for contributing employers. MCAA also supports technical corrections to the 2014 Kline-Miller Multiemployer Pension Reform Act to allow regulators to more readily approve benefits suspension applications for the 100 or so critical and declining plans, to preserve benefits for plan participants and forestall plan insolvency and mounting insurance claims on the Pension Benefit Guaranty Corporation (PBGC). MCAA also works to make sure any eventual PBGC insurance rate increases on multiemployer plans are kept to the minimal extent necessary, and are phased in gradually so as to limit incentive to exit PBGC-insured plans solely because of premium hikes. MCAA also would support low-interest Federal plan programs only to the extent necessary to forestall PBGC insolvency and exorbitant PBGC premium increase on the majority of well-funded construction industry plans.

Infrastructure Investment

POSITION SUMMARY:

MCAA supports legislative proposals to increase Federal infrastructure investments, with a fair balance of vertical and building and utility service infrastructure, as well as highways, roads and bridges. Direct Federal appropriations are essential, but given budget constraints, Federal and state cost sharing and public/private partnerships may be essential to meet the government’s need to provide adequate public purpose projects and services. Still, with those alternate financing options MCAA will work to make sure that Federal prevailing wage and workforce development policies are maintained.  Davis Bacon should be preserved, Federal contractor selection procedures and other contracting protections (contract provisions providing for equitable adjustments, differing site conditions, warranty provisions, performance and payment bonds) are preserved in those programs to the maximum extent possible.  Similarly, MCAA works to preserve public agency options to consider use of project labor agreements on both direct Federal and federally assisted projects as well.