Billionaire-backed ‘California Forever’ signs largest construction labor deal ever

California Forever signed the largest construction labor agreement in history with the Napa/Solano Building Trades Council and the Northern California Carpenters Union, the Solano County development firm announced Tuesday evening.

The labor agreement will span 40 years and covers all of the nearly 70,000 acres (about 110 square miles) owned by California Forever. All infrastructure, public works, major commercial, office, retail, industrial, defense, and energy projects on that land will be “built using union labor through individual Project Labor Agreements.” California Forever did not respond to The Reporter’s request to review a copy of the agreement before press time.

California Forever CEO Jan Sramek said the agreement has the potential to revive California’s spirit of innovation and renew its middle class.

“For the last 150 years, California has been the place where dreamers and builders came to build the future — and with it, the middle class,” Sramek said. “As the grandson of steelworkers and farmworkers, and the son of a mechanic and a school teacher, I could not be more proud of this historic partnership between American business and labor to build the next great American city.”

Ron Rowlett, former Mayor of Vacaville and Director of Public Relations and Governmental Affairs for the Northern California Carpenters Union, praised the project and the agreement.

“This is a project where a worker can start as an apprentice, work their entire career, and retire — all while living in the community they helped build,” he said. “This agreement sets a new national gold standard for how private investment and organized labor can work together to build a better future.”

The Bay Area Council Economic Institute conducted an analysis of California Forever’s proposals for the Suisun Expansion Plan and the Solano Shipyard, which found it will create 17,000 direct construction jobs each year the agreement is active, paying $108,000 in average annual compensation.

The report also found that the project will create 170,000 new homes of all types.

Bay Area Council Economic Institute forecast $16 billion in annual tax revenue: $3 billion for local governments, $4.1 billion for the State of California, and $9 billion for the federal government.

“Together, these tax revenues would create a stable, long-term economic foundation for Solano County and the entire state,” a release regarding the report reads.

The report claims that the combined proposals would create 530,000 total new jobs at full buildout, including 225,000 in the new city and 205,000 elsewhere in Solano County. Those jobs would pay $123,600 in annual average compensation: 25 percent higher than the current average salary in Solano County.

“Ultimately, the Suisun Expansion, including its Solano Foundry and Solano Shipyard, would position Solano County as a new economic engine for the Northern California megaregion,” the release reads. “The projects represent more than just a response to recent economic challenges; they establish a permanent, multi-billion-dollar fiscal foundation that will provide a long-term, reliable source of funding for public services across the region for decades to come.”

Steve McCall of the Solano County Building and Construction Trades said the project will make it possible for many local tradespeople to work closer to home than ever before.

“For too long, our members have had to endure long commutes out of the county to find meaningful work,” he said. “This partnership will guarantee well-paid, local jobs for a lifetime, and a future where our members don’t just work here, they’ll be able to afford a home here.”

Danny Bernadini, Executive Secretary-Treasurer for the Napa-Solano Building Trades, said the agreement between the labor groups and the developer reflects a long-term commitment to the community.

“This isn’t just a construction project; it’s a multi-generational promise to the working families of Solano County,” he said. “With this partnership, we are ensuring that the men and women of the building trades have decades of stable, high-paying work right here in their own backyard.”

Alicai Miljares, business manager for Sheet Metal Workers Local 104, said the project provides the opportunity to change the trajectory of not just her home city of Fairfield, but that of the entire region.

“This project offers us our shot at the American Dream: well-paid, stable jobs and a chance to own our own homes,” Mijares said.