Provides that certain people or corporations shall be ineligible to submit a bid on or be awarded public contracts under certain circumstances

Title of bill

An act to amend the labor law, in relation to prevailing wage

Purpose or general idea of bill

This bill would authorize the fiscal officer, under certain circumstances, to debar a public contractor or subcontractor after a single determination of willful violation.

Summary of specific provisions

Section one of the bill amends section 220-b of the Labor Law to allow the State Commissioner of Labor or the City Comptroller, as "fiscal officer" under Article 8 of the Labor Law, to declare a contractor or subcontractor ineligible to bid or be awarded a public work contract for a period of five years after one willful determination, if the contractor or subcontractor:

1. refused, after two written requests, to allow the fiscal officer to examine books and records;

2. failed, after two written requests, to respond to a formal request to produce records;

3. failed to respond to a subpoena to produce records;

4. failed to implement or comply with a settlement and/or. stipulation within 30 days of the date of the settlement or stipulation or failed to make payment required there under within 30 days of when due; or

5. failed to comply with an order of the fiscal officer within 30 days of the final order or final judicial determination, whichever is later.

This section also authorizes the fiscal officer to debar any person or company after one willful determination under certain situations.

Section 2 of the bill amends section 235 of the Labor Law, relating to building service workers, to add the same amendments as described in section one of the act.

Justification

Under current law, a person or company can be debarred, that is, found "ineligible to submit a bid on or be awarded any public work contract", for a period of five years after the fiscal officer has made two determinations within a six year period that the person or company has willfully failed to pay the prevailing wage or to provide the required supplements, except in those cases involving falsifying records or kickbacks, which require only one determination. In addition, a person or company can be debarred for a period of five years if such person or company has been convicted of certain crimes.

Recently, legislation was enacted (Chap. 7 of the Laws of 2008) that increased the criminal penalties that can be imposed on a contractor or subcontractor who willfully fails to comply with the prevailing wage laws.

Prior legislative history

A.11676 of 2008: 3rd Reading

Fiscal implications

None.

Effective date

This act shall take effect immediately.