In late August, President Trump’s Department of Transportation canceled $679 million in federal funding for 12 offshore wind projects across the country. That included fully taking back hundreds of millions of dollars in grant money for infrastructure work at Humboldt Bay Harbor District in Northern California — immediately throwing Local 104 members’ work opportunities into question, in the short and long term.

“As long as this administration makes decisions that directly impact our members, I’m going to keep calling balls and strikes. This decision is clearly a ball,” said SMART General President Michael Coleman. “For our members in Northern California, this was a once-in-a-lifetime project — one that was going to create dozens of jobs in the short term, and keep employing Local 104 sheet metal workers for the long haul. Taking back that grant money, which was already awarded, just makes zero sense.”

The DOT had originally awarded a $426 million infrastructure grant to the Humboldt Bay Harbor District, allowing the Harbor District and the Building and Construction Trades Council of Humboldt and Del Norte Counties — which includes Local 104 — to agree to the very first project labor agreement in the region. Around 90% of that grant was earmarked for the development of a heavy-lift marine terminal to support offshore wind; money that has since been pulled back, putting construction in jeopardy.

When SMART members hear “offshore wind,” they may not immediately think “sheet metal jobs.” But the fact is, the Humboldt offshore wind development would have turned a brownfield site into a full-blown, brand-new facility, expected to include multiple new buildings. That means sheet metal work: duct fabrication, facility construction and potentially up to dozens of Local 104 members on-site at various project phases. And that was just the immediate opportunity. The offshore wind company, RWE, had signed a memorandum of understanding that committed to using union labor for long-term operations and maintenance of the facility, guaranteeing work for years to come. 

“In short, this project represented a generational opportunity for our members in an area that doesn’t see many large infrastructure projects,” said Local 104 State Legislative Director Vince Sugrue. “The cuts are a devastating blow to the immediate construction jobs that would have put our members to work, but also to the long-term union maintenance and operations jobs that were guaranteed under the MOU.”

The Humboldt Bay Harbor District is just one example of many jeopardized jobs across the country. In Massachusetts, the DOT canceled $34 million in federal funding for the Salem Wind Port Project, where work had already started. The project was expected to create 800 construction jobs over the next couple years.

“Our government leaders have the power to do things that directly benefit our members. Federal funding for these port projects is a great example of that,” General President Coleman said. “Taking that funding away, and threatening our members’ jobs by doing so, is just not the right thing to do for members, our families or our country.”

Additional projects impacted:

Withdrawn funding:

  • Sparrows Point Steel Marshalling Port Project (Maryland)
  • Bridgeport Port Authority Operations and Maintenance Wind Port Project (Connecticut)
  • Wind Port at Paulsboro (New Jersey)
  • Arthur Kill Terminal (Staten Island, New York)
  • Gateway Upgrades for Access, Resiliency & Development at the Port of Davisville Project (Rhode Island)
  • Norfolk Offshore Wind Logistics Port (Virginia)

Terminated funding:

  • Redwood Marine Terminal Project Planning (Northern California)
  • Lake Erie Renewable Energy Resilience Project (Michigan)
  • Radio Island Rail Improvements in Support of Offshore Wind (Maryland)
  • PMT Offshore Wind Development (Virginia)

Davis-Bacon prevailing wage rates set minimum pay and benefit standards on federal construction projects, based on surveys of wage rates in the area. This ensures that contractors bidding on those jobs can’t undercut area standards — putting skilled, well-trained construction workers (including SMART members) on projects. In many places, prevailing wage laws provide union-won pay and training standards to local workers, benefiting local communities and working families.

Prevailing wage rates also help SMART members at the bargaining table. When contractors across a local area are required to provide strong, family-sustaining pay and benefits, local unions can negotiate for the contracts members deserve without worrying about bad-faith companies pricing out high-road employers and lowering area working standards.

That’s why SMART fights for strong prevailing wage laws at the local level, and to strengthen the Davis-Bacon and Related Acts in the federal government. Because unfortunately, SMART members are just as impacted when prevailing wage rates are lowered.

A recent example from Florida: For decades, the United States Department of Labor has used one Davis-Bacon wage determination for construction work at the Cape Canaveral Air Force Station, Patrick Air Force Base, Kennedy Space Center and Malabar Radar Site — known altogether as Cape Canaveral — and another for Brevard County, Florida. The Cape Canaveral wage determination reflected union-won rates for all classifications, ensuring contractors bidding on work were paying strong, union-negotiated packages (and helping signatory contractors and members win more work). The Brevard County wage determination does not reflect those rates. Most of the rates on the Brevard County wage determination are low rates that haven’t increased substantially for more than 10 years.  

Earlier this summer, the new administration’s Department of Labor announced that the Cape Canaveral prevailing wage rate would be replaced, effective July 4, 2025, by the lower Brevard County rate.

“Unfortunately, this is a decision that will affect SMART members in the near future and for many years ahead,” said SMART General President Michael Coleman. “The high standards contractors previously met at Cape Canaveral have now been lowered, opening the door for companies to bid on work without paying workers what they deserve. That’s the immediate impact. And in future negotiations, local unions in the area won’t have the foundation of strong prevailing wages to stand on when bargaining for the pay and benefits that our members earn.”

“SMART members and their fellow construction workers at Cape Canaveral are doing vital work to support our nation,” he added. “Undermining that just doesn’t make sense.” 

Canada sets the standard

The disappointing actions by the United States Department of Labor and Congress contrast sharply with the current policy that SMART members enjoy in Canada.

In the U.S., the spending bill President Trump signed into law gets rid of a variety of work-creating tax credits. In Canada, similar tax incentives known as Investment Tax Credits offer companies a 30–40% credit for investments in clean technology, hydrogen production and carbon capture. These green economy credits are designed to drive investment toward sustainable energy projects. What sets them apart, however, is their strong labour standards. To qualify, employers must ensure that at least 10% of total work hours are performed by registered apprentices and that all construction workers are paid the prevailing wage — which includes health and welfare benefits as well as pension contributions.

In other words, this represents the strongest definition of prevailing wage ever implemented in Canadian labour history, utilizing the union definition of prevailing wage.

“It’s simple: Thanks to these incredibly strong standards, SMART Canada members will be put to work and Canadian families will benefit. No question,” General President Coleman said. “We applaud the Government of Canada for putting working families first, and we will continue to work with state and federal governments in the U.S. to win policies that benefit our members and their families.”