Report Title:

Public Contracts; Prevailing Wages

Description:

Requires contractors on public works construction contracts to comply with department of labor and industrial relations specifications for staffing requirements. Clarifies that the state law requiring payment of prevailing wages applies to all labors, mechanics, required assistants, helpers, tenders, and apprentices on a public works project. (SB2033 HD1)

THE SENATE

S.B. NO.

2033

TWENTY-SECOND LEGISLATURE, 2004

S.D. 1

STATE OF HAWAII

H.D. 1


 

A BILL FOR AN ACT

 

relating to EXPENDITURE OF PUBLIC MONEY.

 

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

SECTION 1. Section 103-55.5, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) Before any bidder or offeror enters into a contract for construction of a public work project in excess of $2,000, which is subject to chapter 104, the bidder or offeror shall affirm the bidder's or offeror's intent to comply with the requirements of chapter 104 by certifying that:

(1) Individuals engaged in the performance of the contract on the job site shall be paid:

(A) Not less than the wages that the director of labor and industrial relations shall have determined to be prevailing for corresponding classes of laborers and mechanics employed on public works projects; and

(B) Overtime compensation at one and one-half times the basic hourly rate plus fringe benefits for hours worked on Saturday, Sunday, or a legal holiday of the State or in excess of eight hours on any other day; [and]

(2) All applicable laws of the federal and state governments relating to workers' compensation, unemployment compensation, payment of wages, and safety shall be fully complied with[.]; and

(3) All applicable requirements of the department of labor and industrial relations as to staffing requirements, including requirements to have an assistant, helper, or apprentice, as a prevailing practice, shall be fully complied with."

SECTION 2. Section 104-21, Hawaii Revised Statutes, is amended to read as follows:

"§104-21 Governmental contracting agency responsibilities. The governmental contracting agency shall:

(1) Pay or cause to be paid, within sixty days of a determination made by the director, directly to laborers [and], mechanics, and their required assistants, helpers, tenders, or apprentices or to the director, from any accrued payment withheld under the terms of the contract, any wages or overtime compensation found to be due to laborers [or], mechanics, and their required assistants, helpers, tenders, or apprentices under the terms of the contract subject to this chapter, or any penalty assessed;

(2) Pay or cause to be paid, within sixty days of a determination made by the director, directly to the director, from any accrued payment withheld under the terms of the contract, any penalty assessed or any wages or overtime compensation found to be due to the required assistants, helpers, tenders, or apprentices of the contractor or any of the contractor's subcontractors when such assistants, helpers, tenders, or apprentices are not provided for under the terms of the contract subject to this chapter;

[(2)] (3) Order any contractor to pay, within sixty days of a determination made by the director, any wages or overtime compensation which the contractor, or any of the contractor's subcontractors, should have paid to any laborer [or], mechanic, and their required assistants, helpers, tenders, or apprentices under any contract subject to this chapter, or any penalty assessed which the contractor, or any of the contractor's subcontractors, should have paid to the director; and

[(3)] (4) Report to the director any violation of this chapter, the rules adopted thereunder, or the terms of the contract subject to this chapter."

SECTION 3. This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun, before its effective date.

SECTION 4. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 5. This Act shall take effect on February 31, 3004.