Requires contractors and subcontractors who perform public work contracts to file with the department of labor

BILL NUMBER:A401

Title of bill

An act to amend the labor law, in relation to requiring contractors and subcontractors who perform public work contracts to file certain documentation with the department of labor

Purpose or general idea of bill

To require contractors and subcontrac- tors who perform public work to submit information with regard to their employees.

Summary of specific provisions

The bill would allow contractors working on public construction projects to file bi-weekly certified payrolls to the Department of Labor and levies nominal filing fees.

Contractors working on public construction projects would be allowed to file certified payrolls every other week using an online payroll report- ing method. The DOL would revise certified payroll forms and social security numbers would not be listed on a contractor's certified payroll. The revised certified payroll form will be available online.

Under the new law, the primary contractor working on public construction projects with an amount of $25,000 or more must file a Notice of Work and pay a one percent fee based on the value of work performed by each contractor on the project. The maximum fee is $5,000.00. The notice and fees must be filed with the DOL before work commences on the project. Upon completing a public construction project, the primary contractor must file a Notice of Completion and make payment of any additional fees due to increases in the contract amount. Unpaid filing fees and wages may be withheld from contract amounts due the primary contractor. The Notice of Work and Notice of Completion forms will be available online.

There are special provisions for filing the Notice of Work and payment of fees for emergency response projects and ongoing construction contracts. Contractors will have 14 days to pay fees and file the Notice of Work for emergency response projects. Contractors working on ongoing projects, will not be required to pay a fee for that project, but will be required to file the Notice of Work within 30 days after DOL provides a copy of the form to the contractor.

This legislation also requires the DOL to provide for filing certified payroll reports by secure online electronic filing no later than 1 year after the act shall become law.

Prior legislative history

A10939 of 2004: Advanced to third reading A3647 of 05-06: Referred to labor; A.5369 of 2007-08: referred to Labor

Fiscal implications

Revenue through the 1 percent filing fee and savings through the streamlining of the online payroll reporting

Effective date

1 year after it shall become law