AB 987

Bill Subjects

Abstract

Existing law defines the term "public works" for purposes of requirements regarding the payment of prevailing wages, the regulation of working hours, and the securing of workers' compensation for public works projects. Existing law further requires that, except as specified, not less than the general prevailing rate of per diem wages be paid to workers employed on public works projects, and imposes misdemeanor penalties for a violation of this requirement. Existing law exempts certain projects from the prevailing wage requirements, including public works projects of less than $1,000. This bill would specify that workers must be employed directly at the site of the work to be deemed employed upon public work. The bill would exempt from the prevailing wage requirements public projects of less than $100,000. The bill would also exempt from the prevailing wage requirements the governing board of a school district with regard to the construction, reconstruction, or rehabilitation of school facilities, any fabrication or prefabrication work done at a permanent offsite facilities of a contractor, a public work project of a local agency that adopts a resolution or ordinance, as specified, workers employed on a hospital seismic retrofitting project. The bill would also exempt from the definition of "public works," for purposes of the prevailing wage requirements, work performed during the design and preconstruction phases of construction, including inspection and land surveying work and would delete provisions of existing law specifying that "public works" includes the hauling of refuse from a public works site to an outside disposal location. This bill would revise the definition of "public works," as provided. This bill would exempt from the prevailing wage requirements contracts for which the state or any political subdivision pays a cumulative amount of less than 50% of the total payment under the contract directly to or on behalf of the contractor, subcontractor, or developer executing the contract, as provided. This bill would also exempt from the prevailing wage requirements contracts let for maintenance work. Existing law, the Bergeson-Peace Infrastructure and Economic Development Bank Act, establishes the California Infrastructure and Economic Development Bank in the Trade and Commerce Agency, which requires public works financed by the bank to comply with those laws relating to payment of prevailing wages. This bill would remove the requirement that public works financed under that act comply with the prevailing wage requirements. Existing law, until January 1, 2017, specifies that the prevailing wage requirement does not apply to work performed on or after January 1, 2002, by a volunteer, a volunteer coordinator, or a member of the California Conservation Corps or of a certified community conservation corps, as defined. This bill would delete the January 1, 2017, date upon which this provision is repealed thus extending this provision indefinitely. Existing law imposes specified requirements on contracts of $30,000 or more of general contractors or specialty contractors with regard to the use of apprentices or journeymen on public works projects. This bill would instead impose these requirements on contracts of $100,000 or more. Because this bill would expand the application of the prevailing wage requirements, the violation of which are a crime, it would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason.