Report Title:

Public Works

Description:

Makes violations of the wages and hours law on public contracts apply to the rules adopted under the law and the contracts subject to the law. Makes suspensions for violations apply to doing any new work on a public work of a governmental contract agency.

HOUSE OF REPRESENTATIVES

H.B. NO.

307

TWENTY-SECOND LEGISLATURE, 2003

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO WAGES AND HOURS ON PUBLIC WORKS.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Section 104-24, Hawaii Revised Statutes, is amended by amending subsections (b), (c) and (d) to read as follows:

"(b) Where the department finds that a second violation of this chapter has been committed, whether on the same contract or another, within two years of the first notification of violation, the department, after proper notice and opportunity for hearing, including serving a written complaint on the person or firm involved, shall order the person or firm in violation to pay a penalty equal to the amount of back wages found due or $100 for each offense, whichever is greater.

(c) Where the department finds that a third violation of this chapter has been committed, whether on the same contract or another, within two years of the second notification of violation, the department, after proper notice and opportunity for hearing, including serving a written complaint on the person or firm involved, shall order the person or firm in violation:

(1) To pay a penalty equal to two times the amount of back wages found due or $200 for each offense, whichever is greater; and

(2) To be suspended from doing any new work on any public work of a governmental contracting agency for a period of three years except as provided in section 104-25(a)(2). "New work on any public work" includes any public works project in which the suspended person or firm has not begun work at the job site as of the date of the suspension order.

(d) A first, second, or third violation refers to each investigation involving one or more projects in which the department finds that a contractor has knowingly failed to comply with this chapter[.], the rules adopted thereunder, or the terms of the contract subject to this chapter."

SECTION 2. Section 104-25, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) The director shall suspend a person or firm as follows:

(1) For a first or second violation, if a person or firm fails to pay wages found due, any penalty assessed, or both, the person or firm shall be immediately suspended from doing any new work on any public work of a governmental contracting agency until all wages and penalties are paid in full; and

(2) For a third violation, the suspension shall be as prescribed in section 104-24(c); provided that, if the person or firm continues to violate this chapter or fails to pay wages found due or any penalty assessed, or both, then the contractor shall immediately be suspended from doing any new work on any public work of a governmental contracting agency for a mandatory three-year period. If after the three-year suspension period, the wages found due or penalties assessed are still unpaid, the suspension shall remain in force until payment is made in full."

SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 4. This Act shall take effect upon its approval.

INTRODUCED BY:

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