HomeMy WebLinkAbout11a Attachment 1 - Contract for Wood Pole Inspections Services1
CONTRACT
This Contract is entered into as of the ___ day of __________,2021, by and between the Truckee Donner
Public Utility District, a California local public agency ("DISTRICT") and OSMOSE UTILITY SERVICES,
INC.("Contractor"). District and Contractor may be referred to herein individually as “Party” or collectively
as “Parties,” as the context may require. The Parties hereto agree as follows:
1.DESCRIPTION OF WORK.
Contractor agrees, for the consideration and under the terms and conditions hereinafter set forth, to
furnish and transport all necessary labor, materials, tools, implements, and appliances required to
perform and completely finish in a workmanlike manner to the satisfaction and approval of
DISTRICT, free of any and all liens and claims of laborers, materialmen, suppliers, and
subcontractors, and in conformity in all respects with all applicable federal, state, county and
DISTRICT ordinances, rules, and regulations, the Project which is described as follows:Intrusive
Pole Testing and Treatment. The Project is further defined in Exhibit “A,” attached hereto and
incorporated herein by this reference.
The District shall obtain and pay for all required building permits and shall pay any other perm it
fees, plan check fees, and any similar charges required by public agencies in connection with the
Project.
2.EXTRA WORK.
If at any time DISTRICT desires to make any changes to Project, it may do so and the same shall in
no way affect or make void this Contract, but no such changes shall be made except on
DISTRICT's written request. Any such changes that increase the cost of the Project shall at the
DISTRICT's option be evaluated (1) on a lump-sum basis, the amount thereof to be agreed on in
writing before the initiation of such change or (2) on the basis of Contractor's actual out-of-pocket
expenses plus ten percent (10%). This extra work shall be held to be completed when the entire
Project, as amended by any changes, is finished. No premium rate for overtime, weekend or
holiday work is authorized by the DISTRICT.
3.RESPONSE TIME.
Contractor agrees to respond to requests within ________hours/days or less after receiving
notification to do so from the District. This Agreement, as may be amended, expires no later than
December 31, 2021. The District may extend the contract for two additional years. The first year
would terminate December 31, 2022. After review, the District may consider an additional year, in
which the agreement would terminate December 31, 2023.
4.CONTRACT PRICE. The District shall pay Contractor for such labor and materials as outlined in
the attached cost proposal, an amount not to exceed $558,321 ($158,321 for 2021 and $200,000
for each year the contract is extended).
5.TERMINATION OF CONTRACT/DAMAGES.
A.Should Contractor at any time during the progress of the Project refuse or neglect to supply
sufficient materials or workmen to complete the Project for a period of more than seven (7)
days after having been notified by DISTRICT to furnish them, or should Contractor at any time
during the progress of the work refuse or fail to make prompt payment to subcontractors,
laborers or materialmen for labor performed on or materials furnished to the Project for a period
of more than seven (7) days after having been notified by DISTRICT to make said payments,
DISTRICT may terminate this Contract and contract for completion of the work or complete the
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work itself and make good any deficiencies and may deduct the costs thereof, including all
expenses and attorneys' fees, from the payment then or thereafter due to the Contractor. On
completion of said Project by DISTRICT or DISTRICT's agent, if the unpaid balance of the
Contract Price exceeds the actual expenses, including attorneys' fees, incurred by DISTRICT in
completing the Project, such excess shall be promptly paid by DISTRICT to Contractor. If,
however, on completion of the Project by DISTRICT or DISTRICT's agents, the expenses,
including attorneys' fees, incurred by DISTRICT in completing the Project exceed the unpaid
balance of the Contract Price, such excess shall be promptly paid by Contractor to DISTRICT.
Additionally, upon default under this Contract by Contractor, DISTRICT may recover from
Contractor all damages allowed by law.
B.Should DISTRICT fail to pay Contractor within seven (7) days after payment becomes due as
provided herein any amount payable by DISTRICT to Contractor pursuant to this Contract,
Contractor may, following seven (7) days' written notice thereof to DISTRICT, terminate his
services under this Contract until all past-due payments have been received by Contractor or
are set aside in an escrow; and, additionally, Contractor may recover from DISTRICT all
damages allowed by law.
6.DISCHARGE OF LIENS.
If at any time during the progress of the work or before the final payment is made, any lien or claim
of lien is filed, or notification to withhold money for labor or materials furnished by or through
Contractor under this Contract is served on DISTRICT, the DISTRICT shall have the right to
withhold from any payment due Contractor, an amount equal to one and one-half (1-1/2) times the
amount of any or all such liens, claims or notices. If Contractor has not settled the liens or claims
by the date of completion of the Project, DISTRICT shall have the right, but shall not be obliged, to
discharge any and all such liens or claims out of the withheld money.
7.INDEMNITY CONTRACT.
Contractor shall defend, indemnify and save harmless DISTRICT and its elected and appointed
officials, employees, agents of and from any and all claims, demands, causes of action, damages,
costs, expenses, losses, or liabilities, in law or in equity, of every kind and nature whatsoever, for,
but not limited to, injury to or death of Contractor, any subcontractor, or any em ployees of
DISTRICT, Contractor, or any subcontractor, or any other person, and damages to or destruction
of property of the DISTRICT or any other person, caused, in whole or in part, by the Contractor’s
negligence or willful misconduct. Said defense and indemnification shall include the defense of any
actions or other legal proceedings and reimbursement of attorneys' fees and other legal expenses
incurred by DISTRICT and shall include any and all penalties imposed upon the DISTRICT on
account of the violation of any law or regulation by Contractor. In the event of joint and concurrent
negligence between Contractor and DISTRICT, each party shall be responsible for the percentage
of negligence attributed to it by agreement between the parties or in a court of competent
jurisdiction.
8.INSURANCE.
A.Before commencement of any work under this Contract, Contractor shall take out and
thereafter during the life of this Contract maintain in full force and effect an insurance policy
written upon a form and by a company which meets with the approval of DISTRICT, insuring
DISTRICT, its elected and appointed officials, employees and agents against loss or liability
which may arise during the work on the Project, or which may result from any of the work herein
required to be done, including all costs of defending any claim arising as a result thereof. The
minimum limits of such policy shall be in the amount of $2,000,000 for the death of or injury to
any person in any one accident, and $5,000,000 for the death of or injury to more than one
person in any one accident, and $1,000,000 for property damage in any one accident. Said
policy shall be written in favor of Contractor and all subcontractors and endorsed to name
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DISTRICT, its elected and appointed officials, employees and agents, as additional insureds
and shall be maintained in full force and effect until the Project is unconditionally accepted by
DISTRICT. This insurance policy shall state by its terms that it shall not be canceled without
thirty (30) days written notice thereto having been given to DISTRICT, that the right of
subrogation is waived the and that coverage is provided on a primary and non-contributory
basis.
B.Before commencement of any work under this Contract, Contractor shall take out and
thereafter during the life of this Contract, maintain in full force and effect compensation
insurance covering Contractor's full liability for compensation to any person or persons who are
or may be engaged in the execution of the work done under this Contract, and to the
dependents of such person or persons in compliance with all Workers' Compensation
Insurance and Safety Laws of the State of California and amendments thereto. By signing this
Contract below, Contractor, in accordance with California Labor Code Section 1860, makes the
following certification:
“I am aware of the provisions of Section 3700 of the California Labor Code which
requires every employer to be insured against liability for workmen's compensation or
to undertake self-insurance in accordance with the provisions of that code, and I will
comply with such provisions before commencing the performance of the work of this
contract.”
C.Copies of the insurance policies and endorsements thereto shall be filed with and approved by
DISTRICT before commencement of the Project. Contractor shall pay any and all deductibles
required by these insurance policies.
9.PERFORMANCE AND PAYMENT BOND. Reserved
10.CONTRACTOR'S WAIVER.
Contractor agrees to waive the provisions of California Civil Code Section 2819 with respect to
Contractor and any surety engaged by Contractor to provide a performance and payment
bonds pursuant to this Contract.
11.UNAVOIDABLE DELAYS AND DEFAULTS. Either Party, Contractor or DISTRICT, shall be
excused for any delays or defaults by it in the performance of this Contract unavoidably caused by
the act of the other, or the agents or subcontractors or suppliers of the other, and the Contractor
shall be excused for any delays or defaults caused by Acts of God that Contractor could not have
reasonably foreseen and provided for, by stormy weather which prevents the work, by strikes, by
walk-outs, by civil disorders, by boycotts, or by failure to obtain the necessary materials due to
governmental acts, restrictions or regulations, and the time for completion of the Project shall be
extended thereby provided that Contractor makes a written request to the DISTRICT for such
extension with fifteen (15) days of the date of the event giving rise to Contractor’s inability to timely
perform and such request is approved by the DISTRICT.
12.NOTICE OF COMPLETION. Reserved
13.EMPLOYMENT -NON-DISCRIMINATION.
Contractor shall comply strictly with applicable federal, state, and local requirements relating to the
establishment of non-discriminatory practices in hiring and employment.
14.GUARANTEE. Contractor guarantees that all equipment, materials, supplies, and work
furnished on the Project will be free from faulty materials and workmanship and guarantees same
against defects in products and workmanship. The guarantee for the equipment, materials and
supplies shall be the same warranty as that provided by the manufacturer. The warranty for the
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workmanship shall continue for one (1) year from the date of completion of the work.
15.LAWS AND REGULATIONS. Contractor shall give all notices and comply with all laws,
ordinances, rules and regulations relating to the Project. If Contractor observes that the work required
under this Contract is at variance therewith, he shall promptly notify DISTRICT in writing, and any
necessary changes shall be adjusted as provided in the Contract for changes in the work. If Contractor
performs any work contrary to such laws, ordinances, rules and regulations, and without written notice
to DISTRICT, it shall bear all costs arising therefrom.
16.PREVAILING WAGES, EMPLOYMENT OF APPRENTICES AND PAY. Contractor and its
subcontractors shall comply with provisions of the California Labor Code, several provisions of which
are set forth on Exhibit “B”, attached hereto and incorporated herein by this reference, related to the
payment of prevailing wages, the employment of apprentices and pay.
A. In accordance with California Labor Code Sections 1771 and 1774, Contractor and its
subcontractors shall pay all workers no less than the prevailing wage rate and no less than the
prevailing rate of per diem wages for holiday and overtime work as established by the California Labor
Commissioner. Failure to pay prevailing wages will result in the requirement to pay a penalty to the
State of California or DISTRICT in an amount determined by the California Labor Commissioner in
accordance with California Labor Code Section 1775.
B. In accordance with California Labor Code Section 1771.1, Contractor is notified that it and
its subcontractors shall not be qualified to bid on or be listed in a bid proposal subject to the
requirements of Section 4104 of the California Public Contract Code, or engage in the performance of
any contract for public work, unless currently registered and qualified to perform public work pursuant to
California Labor Code Section 1725.5. Contractor shall provide DISTRICT with proof of its current
registration to perform public work pursuant to California Labor Code Section 1725.5 prior to
commencing any work pursuant to this Contract.
C. In accordance with California Labor Code Section 1771.4,(1) the Project is subject to
compliance monitoring and enforcement by the California Department of Industrial Relations; (2) the
Contractor shall post job site notices, as prescribed by regulation of the California Department of
Industrial Relations; and (3) the Contractor and each subcontractor shall furnish the records specified in
California Labor Code Section 1776 directly to the California Labor Commissioner at least monthly in a
format prescribed by the California Labor Commissioner.
D. In accordance with California Labor Code Section 1773.2, DISTRICT has determined the
general prevailing rates of wages applicable to the work to be done. These rates are set forth in a
schedule located at the DISTRICT office; said schedule is available to any interested Party on request.
The Contractor shall post a copy at the jobsite.
E. Contractor and its subcontractors shall keep and file accurate payroll records and comply in
all respects with California Labor Code Section 1776.
F. Contractor shall employ apprentices and comply in all respects with California Labor Code
Section 1777.5.
G. In accordance with California Labor Code Sections 1810-1815, Contractor and its
subcontractors shall pay their employees for all work performed pursuant to this contract for all hours
worked in excess of 8 hours per day or 40 hours during any one week at not less than 1 ½ times the
basic rate of pay. If the Contractor or its subcontractor fails to compensate its employees as set forth
herein and as required by law,then it shall, as a penalty to the State of California or DISTRICT, forfeit
twenty-five dollars ($25) for each worker employed in the execution of the contract by the respective
Contractor or subcontractor for each calendar day during which the worker is required or permitted to
work more than 8 hours in any one calendar day and 40 hours in any one calendar week.
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17.CUSTOMER RELATIONS. Contractor agrees that its personnel and equipment shall at all
times present a neat appearance; all work shall be done, all contacts with customers and all complaints
handled with due regard for the DISTRICT's public relations. Contractor agrees that complaints of any
nature received from the public or from public authorities shall receive immediate attention. All
complaints and any action taken by the Contractor with respect to such complaints shall be reported to
DISTRICT.
18.CLEAN-UP. Contractor shall keep the work site reasonably clear during the progress of the
work. Before this Contract shall be considered complete, Contractor shall clean out ditches that may
have been filled during the work, replace damaged surfacing, remove surplus materials and trash,
dispose of brush, repair all damages, and otherwise leave the Project in a neat, orderly and
workmanlike condition. The surface of the land surrounding the job site shall be returned to its natural
contour and condition, and exposed and unsightly stumps, boulders or rocks shall be removed. If the
Contractor fails to clean-up to the satisfaction of the DISTRICT, DISTRICT may do so and the cost
thereof shall be charged to the Contractor.
19.CLAIM BY CONTRACTOR. Any claim brought by a contractor in an amount of $375,000 or
less which arises out of the terms of this Contract shall be filed and thereafter adjudicated pursuant to
California Public Contract Code Sections 20104-20104.6, which provide for the filing of a written claim,
consideration of the claim by DISTRICT, an opportunity to meet and confer, and the possibility of
judicially-ordered mediation and/or arbitration. Contractor is advised that California Public Contract
Code Sections 20104-20104.6 contain strict time limits and procedural requirements, and contractor is
advised to consult with an attorney in the event that it desires to file a claim with the DISTRICT.
20.WORK INVOLVING TRENCHING OR EXCAVATION. Reserved
21.ATTORNEYS', EXPERTS' AND CONSULTANTS' FEES. In the event of any litigation
concerning any controversy, claim or dispute between the Parties hereto,arising out of or relating to
this Contractor the breach hereof, or the interpretation hereof, the prevailing Party shall be entitled to
recover from the losing Party reasonable expenses, attorneys' fees, experts' fees and consultants' fees,
and costs incurred therein or in the enforcement or collection of any judgment or award rendered
therein.
22.ASSIGNMENT. Neither Party may assign this Contract, or payments due under the Contract,
without the written consent of the other Party.
23.GOVERNING LAW . This Contract shall be construed in accordance with, and governed by, the
laws of the State of California.
24.FORUM. Any litigation to enforce or interpret the provisions of this Contractor the Parties' rights
and liabilities arising out of this Contractor the performance hereunder shall be maintained only in the
courts in the County of Nevada, State of California.
25.SOLE AND ONLY CONTRACT. This Contract, including any exhibits attached hereto,
constitutes the sole and only Contract of the Parties hereto relating to the Project and correctly set forth
the rights, duties, and obligations of each to the other as of its date. Any prior Contracts, promises,
negotiations, or representations not expressly set forth in this Contract are of no force and effect.
26.DISTRICT POWERS. Nothing herein contained shall be deemed to limit, restrict or modify any
right, duty or obligation given, granted, or imposed upon the DISTRICT by the laws of the State of
California now in effect, or hereafter adopted, nor to limit or restrict the power or authority of DISTRICT.
27.TIME OF ESSENCE. Time is of the essence in this Contract.
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28.SEVERABILITY. In the event that any part or provision of this Contract is found to be illegal or
unconstitutional by a court of competent jurisdiction, such findings shall not affect the remaining parts,
portions, or provisions of this Contract.
CONTRACTOR:DISTRICT:
By: ________________________By:________________________
California State Contractor's License No.Brian C Wright,Interim General Manager,
Water Utility Director
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EXHIBIT “A”
Project Description
The Truckee Donner Public Utility District (District) intends perform inspection of wood poles
throughout the District. The inspection services that the District is seeking include a combination
of the following:
•Inspection of approximately 1850 poles annually
•Preservative Treatment of wood poles, as necessary
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EXHIBIT “B”
CALIFORNIA LABOR CODE
(As Required by Labor Code Section 1775)
1771. Except for public works projects of one thousand dollars ($1,000) or less, not less than the general
prevailing rate of per diem wages for work of a similar character in the locality in which the public work is
performed, and not less than the general prevailing rate of per diem wages for holiday and overtime work
fixed as provided in this chapter, shall be paid to all workers employed on public works.
This section is applicable only to work performed under contract, and is not applicable to work carried
out by a public agency with its own forces. This section is applicable to contracts let for maintenance
work.
1775. (a) (1) The contractor and any subcontractor under the contractor shall, as a penalty to the state
or political subdivision on whose behalf the contract is made or awarded, forfeit not more than two
hundred dollars ($200) for each calendar day, or portion thereof, for each worker paid less than the
prevailing wage rates as determined by the director for the work or craft in which the worker is employed
for any public work done under the contract by the contractor or, except as provided in subdivision (b),
by any subcontractor under the contractor.
(2) (A) The amount of the penalty shall be determined by the Labor Commissioner based on
consideration of both of the following:
(i) Whether the failure of the contractor or subcontractor to pay the correct rate of per diem wages was
a good faith mistake and, if so, the error was promptly and voluntarily corrected when brought to the
attention of the contractor or subcontractor.
(ii) Whether the contractor or subcontractor has a prior record of failing to meet its prevailing wage
obligations.
(B) (i) The penalty may not be less than forty dollars ($40) for each calendar day, or portion thereof, for
each worker paid less than the prevailing wage rate, unless the failure of the contractor or subcontractor
to pay the correct rate of per diem wages was a good faith mistake and, if so, the error was promptly and
voluntarily corrected when brought to the attention of the contractor or subcontractor.
(ii) The penalty may not be less than eighty dollars ($80) for each calendar day, or portion thereof, for
each worker paid less than the prevailing wage rate, if the contractor or subcontractor has been assessed
penalties within the previous three years for failing to meet its prevailing wage obligations on a separate
contract, unless those penalties were subsequently withdrawn or overturned. (iii) The penalty may not
be less than one hundred twenty dollars ($120) for each calendar day, or portion thereof, for each worker
paid less than the prevailing wage rate, if the Labor Commissioner determines that the violation was
willful, as defined in subdivision (c) of Section 1777.1.
(C) If the amount due under this section is collected from the contractor or subcontractor, any
outstanding wage claim under Chapter 1 (commencing with Section 1720) of Part 7 of Division 2 against
that contractor or subcontractor shall be satisfied before applying that amount to the penalty imposed on
that contractor or subcontractor pursuant to this section.
(D) The determination of the Labor Commissioner as to the amount of the penalty shall be reviewable
only for abuse of discretion.
(E) The difference between the prevailing wage rates and the amount paid to each worker for each
calendar day or portion thereof for which each worker was paid less than the prevailing wage rate shall
be paid to each worker by the contractor or subcontractor, and the body awarding the contract shall cause
to be inserted in the contract a stipulation that this section will be complied with.
(b) If a worker employed by a subcontractor on a public works project is not paid the general prevailing
rate of per diem wages by the subcontractor, the prime contractor of the project is not liable for any
penalties under subdivision (a) unless the prime contractor had knowledge of that failure of the
subcontractor to pay the specified prevailing rate of wages to those workers or unless the prime contractor
fails to comply with all of the following requirements:
(1) The contract executed between the contractor and the subcontractor for the performance of work
on the public works project shall include a copy of the provisions of this section and Sections 1771, 1776,
1777.5, 1813, and 1815.
(2) The contractor shall monitor the payment of the specified general prevailing rate of per diem wages
by the subcontractor to the employees, by periodic review of the certified payroll records of the
subcontractor.
(3) Upon becoming aware of the failure of the subcontractor to pay his or her workers the specified
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prevailing rate of wages, the contractor shall diligently take corrective action to halt or rectify the failure,
including, but not limited to, retaining sufficient funds due the subcontractor for work performed on the
public works project.
(4) Prior to making final payment to the subcontractor for work performed on the public works project,
the contractor shall obtain an affidavit signed under penalty of perjury from the subcontractor that the
subcontractor has paid the specified general prevailing rate of per diem wages to his or her employees
on the public works project and any amounts due pursuant to Section 1813.
(c) The Division of Labor Standards Enforcement shall notify the contractor on a public works project
within 15 days of the receipt by the Division of Labor Standards Enforcement of a complaint of the failure
of a subcontractor on that public works project to pay workers the general prevailing rate of per diem
wages.
1776. (a) Each contractor and subcontractor shall keep accurate payroll records, showing the name,
address, social security number, work classification, straight time and overtime hours worked each day
and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other
employee employed by him or her in connection with the public work. Each payroll record shall contain
or be verified by a written declaration that it is made under penalty of perjury, stating both of the following:
(1) The information contained in the payroll record is true and correct.
(2) The employer has complied with the requirements of Sections 1771, 1811, and 1815 for any work
performed by his or her employees on the public works project.
(b) The payroll records enumerated under subdivision (a) shall be certified and shall be available for
inspection at all reasonable hours at the principal office of the contractor on the following basis:
(1) A certified copy of an employee's payroll record shall be made available for inspection or furnished
to the employee or his or her authorized representative on request.
(2) A certified copy of all payroll records enumerated in subdivision (a) shall be made available for
inspection or furnished upon request to a representative of the body awarding the contract and the
Division of Labor Standards Enforcement of the Department of Industrial Relations.
(3) A certified copy of all payroll records enumerated in subdivision (a) shall be made available upon
request by the public for inspection or for copies thereof. However,a request by the public shall be made
through either the body awarding the contract or the Division of Labor Standards Enforcement. If the
requested payroll records have not been provided pursuant to paragraph (2), the requesting party shall,
prior to being provided the records, reimburse the costs of preparation by the contractor, subcontractors,
and the entity through which the request was made. The public may not be given access to the records
at the principal office of the contractor.
(c) Unless required to be furnished directly to the Labor Commissioner in accordance with paragraph
(3) of subdivision (a) of Section 1771.4, the certified payroll records shall be on forms provided by the
Division of Labor Standards Enforcement or shall contain the same information as the forms provided by
the division.
The payroll records may consist of printouts of payroll data that are maintained as computer records, if
the printouts contain the same information as the forms provided by the division and the printouts are
verified in the manner specified in subdivision (a).
(d) A contractor or subcontractor shall file a certified copy of the records enumerated in subdivision (a)
with the entity that requested the records within 10 days after receipt of a written request.
(e) Except as provided in subdivision (f), any copy of records made available for inspection as copies
and furnished upon request to the public or any public agency by the awarding body or the Division of
Labor Standards Enforcement shall be marked or obliterated to prevent disclosure of an individual's
name, address, and social security number. The name and address of the contractor awarded the
contract or the subcontractor performing the contract shall not be marked or obliterated. Any copy of
records made available for inspection by, or furnished to, a multiemployer Taft-Hartley trust fund (29
U.S.C. Sec. 186(c)(5)) that requests the records for the purposes of allocating contributions to participants
shall be marked or obliterated only to prevent disclosure of an individual's full social security number, but
shall provide the last four digits of the social security number. Any copy of records made available for
inspection by, or furnished to, a joint labor-management committee established pursuant to the federal
Labor Management Cooperation Act of 1978 (29 U.S.C. Sec. 175a) shall be marked or obliterated only
to prevent disclosure of an individual's social security number.
(f) (1) Notwithstanding any other provision of law, agencies that are included in the Joint Enforcement
Strike Force on the Underground Economy established pursuant to Section 329 of the Unemployment
Insurance Code and other law enforcement agencies investigating violations of law shall, upon request,
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be provided nonredacted copies of certified payroll records. Any copies of records or certified payroll
made available for inspection and furnished upon request to the public by an agency included in the Joint
Enforcement Strike Force on the Underground Economy or to a law enforcement agency investigating a
violation of law shall be marked or redacted to prevent disclosure of an individual's name, address, and
social security number.
(2) An employer shall not be liable for damages in a civil action for any reasonable act or omission
taken in good faith in compliance with this subdivision.
(g) The contractor shall inform the body awarding the contract of the location of the records enumerated
under subdivision (a), including the street address, District, and county, and shall, within five working
days, provide a notice of a change of location and address.
(h) The contractor or subcontractor has 10 days in which to comply subsequent to receipt of a written
notice requesting the records enumerated in subdivision (a). In the event that the contractor or
subcontractor fails to comply within the 10-day period, he or she shall, as a penalty to the state or political
subdivision on whose behalf the contract is made or awarded, forfeit one hundred dollars ($100) for each
calendar day, or portion thereof, for each worker, until strict compliance is effectuated. Upon the request
of the Division of Labor Standards Enforcement, these penalties shall be withheld from progress
payments then due. A contractor is not subject to a penalty assessment pursuant to this section due to
the failure of a subcontractor to comply with this section.
(i) The body awarding the contract shall cause to be inserted in the contract stipulations to effectuate
this section.
(j) The director shall adopt rules consistent with the California Public Records Act (Chapter 3.5
(commencing with Section 6250) of Division 7 of Title 1 of the Government Code) and the Information
Practices Act of 1977 (Title 1.8 (commencing with Section 1798) of Part 4 of Division 3 of the Civil Code)
governing the release of these records, including the establishment of reasonable fees to be charged for
reproducing copies of records required by this section.
1777.5. (a) Nothing in this chapter shall prevent the employment of properly registered apprentices upon
public works.
(b) Every apprentice employed upon public works shall be paid the prevailing rate of per diem wages
for apprentices in the trade to which he or she is registered and shall be employed only at the work of the
craft or trade to which he or she is registered.
(c) Only apprentices, as defined in Section 3077, who are in training under apprenticeship standards
that have been approved by the Chief of the Division of Apprenticeship Standards and who are parties to
written apprentice agreements under Chapter 4 (commencing with Section 3070) of Division 3 are eligible
to be employed at the apprentice wage rate on public works. The employment and training of each
apprentice shall be in accordance with either of the following:
(1) The apprenticeship standards and apprentice agreements under which he or she is training.
(2) The rules and regulations of the California Apprenticeship Council.
(d) When the contractor to whom the contract is awarded by the state or any political subdivision, in
performing any of the work under the contract, employs workers in any apprenticeable craft or trade, the
contractor shall employ apprentices in at least the ratio set forth in this section and may apply to any
apprenticeship program in the craft or trade that can provide apprentices to the site of the public work for
a certificate approving the contractor under the apprenticeship standards for the employment and training
of apprentices in the area or industry affected. However, the decision of the apprenticeship program to
approve or deny a certificate shall be subject to review by the Administrator of Apprenticeship. The
apprenticeship program or programs, upon approving the contractor, shall arrange for the dispatch of
apprentices to the contractor. A contractor covered by an apprenticeship program's standards shall not
be required to submit any additional application in order to include additional public works contracts under
that program. "Apprenticeable craft or trade," as used in this section, means a craft or trade determined
as an apprenticeable occupation in accordance with rules and regulations prescribed by the California
Apprenticeship Council. As used in this section, "contractor" includes any subcontractor under a
contractor who performs any public works not excluded by subdivision (o).
(e) Prior to commencing work on a contract for public works, every contractor shall submit contract
award information to an applicable apprenticeship program that can supply apprentices to the site of the
public work. The information submitted shall include an estimate of journeyman hours to be performed
under the contract, the number of apprentices proposed to be employed, and the approximate dates the
apprentices would be employed. A copy of this information shall also be submitted to the awarding body
if requested by the awarding body. Within 60 days after concluding work on the contract,each contractor
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and subcontractor shall submit to the awarding body, if requested, and to the apprenticeship program a
verified statement of the journeyman and apprentice hours performed on the contract. The information
under this subdivision shall be public. The apprenticeship programs shall retain this information for 12
months.
(f) The apprenticeship program that can supply apprentices to the area of the site of the public work
shall ensure equal employment and affirmative action in apprenticeship for women and minorities.
(g) The ratio of work performed by apprentices to journeymen employed in a particular craft or trade on
the public work may be no higher than the ratio stipulated in the apprenticeship standards under which
the apprenticeship program operates where the contractor agrees to be bound by those standards, but,
except as otherwise provided in this section, in no case shall the ratio be less than one hour of apprentice
work for every five hours of journeyman work.
(h) This ratio of apprentice work to journeyman work shall apply during any day or portion of a day when
any journeyman is employed at the jobsite and shall be computed on the basis of the hours worked during
the day by journeymen so employed. Any work performed by a journeyman in excess of eight hours per
day or 40 hours per week shall not be used to calculate the ratio. The contractor shall employ apprentices
for the number of hours computed as above before the end of the contract or, in the case of a
subcontractor, before the end of the subcontract. However, the contractor shall endeavor, to the greatest
extent possible, to employ apprentices during the same time period that the journeymen in the same craft
or trade are employed at the jobsite. Where an hourly apprenticeship ratio is not feasible for a particular
craft or trade, the Administrator of Apprenticeship, upon application of an apprenticeship program, may
order a minimum ratio of not less than one apprentice for each five journeymen in a craft or trade
classification.
(i) A contractor covered by this section who has agreed to be covered by an apprenticeship program's
standards upon the issuance of the approval certificate, or who has been previously approved for an
apprenticeship program in the craft or trade, shall employ the number of apprentices or the ratio of
apprentices to journeymen stipulated in the applicable apprenticeship standards, but in no event less
than the 1 to 5 ratio required by subdivision (g).
(j) Upon proper showing by a contractor that he or she employs apprentices in a particular craft or trade
in the state on all of his or her contracts on an annual average of not less than one hour of apprentice
work for every five hours of labor performed by journeymen, the Administrator of Apprenticeship may
grant a certificate exempting the contractor from the 1 to 5 hourly ratio, as set forth in this section for that
craft or trade.
(k) An apprenticeship program has the discretion to grant to a participating contractor or contractor
association a certificate, which shall be subject to the approval of the Administrator of Apprenticeship,
exempting the contractor from the 1 to 5 ratio set forth in this section when it finds that any one of the
following conditions is met:
(1) Unemployment for the previous three-month period in the area exceeds an average of 15 percent.
(2) The number of apprentices in training in the area exceeds a ratio of 1 to 5.
(3) There is a showing that the apprenticeable craft or trade is replacing at least one-thirtieth of its
journeymen annually through apprenticeship training, either on a statewide basis or on a local basis.
(4) Assignment of an apprentice to any work performed under a public works contract would create a
condition that would jeopardize his or her life or the life, safety, or property of fellow employees or the
public at large, or the specific task to which the apprentice is to be assigned is of a nature that training
cannot be provided by a journeyman.
(l) When an exemption is granted pursuant to subdivision (k) to an organization that represents
contractors in a specific trade from the 1 to 5 ratio on a local or statewide basis, the member contractors
shall not be required to submit individual applications for approval to local joint apprenticeship
committees, if they are already covered by the local apprenticeship standards.
(m) (1) A contractor to whom a contract is awarded, who, in performing any of the work under the
contract, employs journeymen or apprentices in any apprenticeable craft or trade shall contribute to the
California Apprenticeship Council the same amount that the director determines is the prevailing amount
of apprenticeship training contributions in the area of the public works site. A contractor may take as a
credit for payments to the council any amounts paid by the contractor to an approved apprenticeship
program that can supply apprentices to the site of the public works project. The contractor may add the
amount of the contributions in computing his or her bid for the contract.
(2) At the conclusion of the 2002-03 fiscal year and each fiscal year thereafter, the California
Apprenticeship Council shall distribute training contributions received by the council under this
subdivision, less the expenses of the Department of Industrial Relations for administering this subdivision,
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by making grants to approved apprenticeship programs for the purpose of training apprentices. The funds
shall be distributed as follows:
(A) If there is an approved multiemployer apprenticeship program serving the same craft or trade and
geographic area for which the training contributions were made to the council, a grant to that program
shall be made.
(B) If there are two or more approved multiemployer apprenticeship programs serving the same craft
or trade and county for which the training contributions were made to the council, the grant shall be
divided among those programs based on the number of apprentices from that county registered in each
program.
(C) All training contributions not distributed under subparagraphs (A) and (B) shall be used to defray
the future expenses of the Department of Industrial Relations for the administration and enforcement of
apprenticeship standards and requirements under this code.
(3) All training contributions received pursuant to this subdivision shall be deposited in the
Apprenticeship Training Contribution Fund, which is hereby created in the State Treasury. Upon
appropriation by the Legislature, all moneys in the Apprenticeship Training Contribution Fund shall be
used for the purpose of carrying out this subdivision and to pay the expenses of the Department of
Industrial Relations.
(n) The body awarding the contract shall cause to be inserted in the contract stipulations to effectuate
this section. The stipulations shall fix the responsibility of compliance with this section for all
apprenticeable occupations with the prime contractor.
(o) This section does not apply to contracts of general contractors or to contracts of specialty contractors
not bidding for work through a general or prime contractor when the contracts of general contractors or
those specialty contractors involve less than thirty thousand dollars ($30,000).
(p) An awarding body that implements an approved labor compliance program in accordance with
subdivision (b) of Section 1771.5 may, with the approval of the director, assist in the enforcement of this
section under the terms and conditions prescribed by the director.
1813. The contractor or subcontractor shall, as a penalty to the state or political subdivision on whose
behalf the contract is made or awarded, forfeit twenty-five dollars ($25) for each worker employed in the
execution of the contract by the respective contractor or subcontractor for each calendar day during which
the worker is required or permitted to work more than 8 hours in any one calendar day and 40 hours in
any one calendar week in violation of the provisions of this article. In awarding any contract for public
work, the awarding body shall cause to be inserted in the contract a stipulation to this effect. The awarding
body shall take cognizance of all violations of this article committed in the course of the execution of the
contract, and shall report them to the Division of Labor Standards Enforcement.
1815. Notwithstanding the provisions of Sections 1810 to 1814, inclusive, of this code, and
notwithstanding any stipulation inserted in any contract pursuant to the requirements of said sections,
work performed by employees of contractors in excess of 8 hours per day, and 40 hours during any one
week, shall be permitted upon public work upon compensation for all hours worked in excess of 8 hours
per day at not less than 1 1/2 times the basic rate of pay.