Full Text of HB0924 98th General Assembly
HB0924ham002 98TH GENERAL ASSEMBLY | Rep. Jay Hoffman Filed: 4/17/2013
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| 1 | | AMENDMENT TO HOUSE BILL 924
| 2 | | AMENDMENT NO. ______. Amend House Bill 924 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Prevailing Wage Act is amended by changing | 5 | | Sections 2, 4, and 5 as follows:
| 6 | | (820 ILCS 130/2) (from Ch. 48, par. 39s-2)
| 7 | | Sec. 2. This Act applies to the wages of laborers, | 8 | | mechanics and
other workers employed in any public works, as | 9 | | hereinafter defined, by
any public body and to anyone under | 10 | | contracts for public works. This includes any maintenance, | 11 | | repair, assembly, or disassembly work performed on equipment | 12 | | whether owned, leased, or rented.
| 13 | | As used in this Act, unless the context indicates | 14 | | otherwise:
| 15 | | "Public works" means all fixed works constructed or | 16 | | demolished by
any public body,
or paid for wholly or in part |
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| 1 | | out of public funds. "Public works" as
defined herein includes | 2 | | all projects financed in whole
or in part with bonds, grants, | 3 | | loans, or other funds made available by or through the State or | 4 | | any of its political subdivisions, including but not limited | 5 | | to: bonds issued under the Industrial Project Revenue Bond
Act | 6 | | (Article 11, Division 74 of the Illinois Municipal Code), the | 7 | | Industrial
Building Revenue Bond Act, the Illinois Finance | 8 | | Authority Act,
the Illinois Sports Facilities Authority Act, or | 9 | | the Build Illinois Bond Act; loans or other funds made
| 10 | | available pursuant to the Build Illinois Act; or funds from the | 11 | | Fund for
Illinois' Future under Section 6z-47 of the State | 12 | | Finance Act, funds for school
construction under Section 5 of | 13 | | the General Obligation Bond Act, funds
authorized under Section | 14 | | 3 of the School Construction Bond Act, funds for
school | 15 | | infrastructure under Section 6z-45 of the State Finance Act, | 16 | | and funds
for transportation purposes under Section 4 of the | 17 | | General Obligation Bond
Act. "Public works" also includes (i) | 18 | | all projects financed in whole or in part
with funds from the | 19 | | Department of Commerce and Economic Opportunity under the | 20 | | Illinois Renewable Fuels Development Program
Act for which | 21 | | there is no project labor agreement; (ii) all work performed | 22 | | pursuant to a public private agreement under the Public Private | 23 | | Agreements for the Illiana Expressway Act; and (iii) all | 24 | | projects undertaken under a public-private agreement under the | 25 | | Public-Private Partnerships for Transportation Act. "Public | 26 | | works" also includes all projects at leased facility property |
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| 1 | | used for airport purposes under Section 35 of the Local | 2 | | Government Facility Lease Act. "Public works" also includes the | 3 | | construction of a new wind power facility by a business | 4 | | designated as a High Impact Business under Section 5.5(a)(3)(E) | 5 | | of the Illinois Enterprise Zone Act.
"Public works" does not | 6 | | include work done directly by any public utility company, | 7 | | whether or not done under public supervision or direction, or | 8 | | paid for wholly or in part out of public funds. "Public works" | 9 | | does not include projects undertaken by the owner at an | 10 | | owner-occupied single-family residence or at an owner-occupied | 11 | | unit of a multi-family residence.
| 12 | | "Construction" means all work on public works involving | 13 | | laborers,
workers or mechanics. This includes any maintenance, | 14 | | repair, assembly, or disassembly work performed on equipment | 15 | | whether owned, leased, or rented.
| 16 | | "Locality" means the county where the physical work upon | 17 | | public works
is performed, except (1) that if there is not | 18 | | available in the county a
sufficient number of competent | 19 | | skilled laborers, workers and mechanics
to construct the public | 20 | | works efficiently and properly, "locality"
includes any other | 21 | | county nearest the one in which the work or
construction is to | 22 | | be performed and from which such persons may be
obtained in | 23 | | sufficient numbers to perform the work and (2) that, with
| 24 | | respect to contracts for highway work with the Department of
| 25 | | Transportation of this State, "locality" may at the discretion | 26 | | of the
Secretary of the Department of Transportation be |
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| 1 | | construed to include
two or more adjacent counties from which | 2 | | workers may be accessible for
work on such construction.
| 3 | | "Public body" means the State or any officer, board or | 4 | | commission of
the State or any political subdivision or | 5 | | department thereof, or any
institution supported in whole or in | 6 | | part by public funds,
and includes every county, city, town,
| 7 | | village, township, school district, irrigation, utility, | 8 | | reclamation
improvement or other district and every other | 9 | | political subdivision,
district or municipality of the state | 10 | | whether such political
subdivision, municipality or district | 11 | | operates under a special charter
or not.
| 12 | | The terms "general prevailing rate of hourly wages", | 13 | | "general
prevailing rate of wages" or "prevailing rate of | 14 | | wages" when used in
this Act mean the hourly cash wages plus | 15 | | fringe benefits for training and
apprenticeship programs | 16 | | approved by the U.S. Department of Labor, Bureau of
| 17 | | Apprenticeship and Training, health and welfare, insurance, | 18 | | vacations and
pensions paid generally, in the
locality in which | 19 | | the work is being performed, to employees engaged in
work of a | 20 | | similar character on public works.
| 21 | | "Responsible bidder" means those individuals or firms | 22 | | meeting the requirements of Section 30-22 of the Illinois | 23 | | Procurement Code. | 24 | | (Source: P.A. 96-28, eff. 7-1-09; 96-58, eff. 1-1-10; 96-186, | 25 | | eff. 1-1-10; 96-913, eff. 6-9-10; 96-1000, eff. 7-2-10; 97-502, | 26 | | eff. 8-23-11.)
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| 1 | | (820 ILCS 130/4) (from Ch. 48, par. 39s-4)
| 2 | | Sec. 4. Ascertaining prevailing wage. | 3 | | (a) The public body awarding any contract for public work | 4 | | or
otherwise undertaking any public works, shall ascertain the | 5 | | general
prevailing rate of hourly wages in the locality in | 6 | | which the work is to
be performed, for each craft or type of | 7 | | worker or mechanic needed to
execute the contract, and where | 8 | | the public body performs the work
without letting a contract | 9 | | therefor, shall ascertain the prevailing rate
of wages on a per | 10 | | hour basis in the locality, and such public body shall
specify | 11 | | in the resolution or ordinance and in the call for bids for the
| 12 | | contract, that the general prevailing rate of wages in the | 13 | | locality for
each craft or type of worker or mechanic needed to | 14 | | execute the contract
or perform such work, also the general | 15 | | prevailing rate for legal holiday
and overtime work, as | 16 | | ascertained by the public body or by the
Department of Labor | 17 | | shall be paid for each craft or type of worker
needed to | 18 | | execute the contract or to perform such work, and it shall be
| 19 | | mandatory upon the contractor to whom the contract is awarded | 20 | | and upon
any subcontractor under him, and where the public body | 21 | | performs the
work, upon the public body, to pay not less than | 22 | | the specified rates to
all laborers, workers and mechanics | 23 | | employed by them in the execution of
the contract or such work; | 24 | | provided, however, that if the public body
desires that the | 25 | | Department of Labor ascertain the prevailing rate of
wages, it |
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| 1 | | shall notify the Department of Labor to ascertain the general
| 2 | | prevailing rate of hourly wages for work under contract, or for | 3 | | work
performed by a public body without letting a contract as | 4 | | required in the
locality in which the work is to be performed, | 5 | | for each craft or type of
worker or mechanic needed to execute | 6 | | the contract or project or work to
be performed. Upon such | 7 | | notification the Department of Labor shall
ascertain such | 8 | | general prevailing rate of wages, and certify the
prevailing | 9 | | wage to such public body. | 10 | | (a-0.5) To effectuate the purpose and policy of this Act, a | 11 | | public body awarding a contract for public work or otherwise | 12 | | undertaking any public works shall specify in the call for bids | 13 | | and shall require that each bidder be a responsible bidder. | 14 | | (a-1) The public body or other entity awarding the
contract | 15 | | shall cause to be inserted in the project specifications and | 16 | | the
contract a stipulation to the
effect that not less than the | 17 | | prevailing rate of wages as found by the
public body or | 18 | | Department of Labor or determined by the court on review
shall | 19 | | be paid to all laborers, workers and mechanics performing work
| 20 | | under the contract.
| 21 | | (a-2) When a public body or other entity covered by this | 22 | | Act has awarded work to a contractor without a public bid, | 23 | | contract or project specification, such public body or other | 24 | | entity shall comply with subsection (a-1) by providing the | 25 | | contractor with written notice on the purchase order related to | 26 | | the work to be done or on a separate document indicating that |
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| 1 | | not less than the prevailing rate of wages as found by the | 2 | | public body or Department of Labor or determined by the court | 3 | | on review shall be paid to all laborers, workers, and mechanics | 4 | | performing work on the project. | 5 | | (a-3) Where a complaint is made and the Department of Labor | 6 | | determines that a violation occurred, the Department of Labor | 7 | | shall determine if proper written notice under this Section 4 | 8 | | was given. If proper written notice was not provided to the | 9 | | contractor by the public body or other entity, the Department | 10 | | of Labor shall order the public body or other entity to pay any | 11 | | interest, penalties or fines that would have been owed by the | 12 | | contractor if proper written notice were provided. The failure | 13 | | by a public body or other entity to provide written notice does | 14 | | not relieve the contractor of the duty to comply with the | 15 | | prevailing wage rate, nor of the obligation to pay any back | 16 | | wages, as determined under this Act. For the purposes of this | 17 | | subsection, back wages shall be limited to the difference | 18 | | between the actual amount paid and the prevailing rate of wages | 19 | | required to be paid for the project. The failure of a public | 20 | | body or other entity to provide written notice under this | 21 | | Section 4 does not diminish the right of a laborer, worker, or | 22 | | mechanic to the prevailing rate of wages as determined under | 23 | | this Act. | 24 | | (b) It shall also be mandatory upon the contractor to whom | 25 | | the contract is
awarded
to insert into each subcontract and | 26 | | into the project specifications for each
subcontract a written |
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| 1 | | stipulation to the effect that not less than the
prevailing
| 2 | | rate of wages shall be paid to all laborers, workers, and | 3 | | mechanics performing
work under the contract. It shall also be | 4 | | mandatory upon each subcontractor to
cause to be inserted into | 5 | | each lower tiered subcontract
and into the project | 6 | | specifications for each lower tiered subcontract a
stipulation | 7 | | to the effect that not less
than the prevailing rate of wages | 8 | | shall be paid to all laborers, workers, and
mechanics | 9 | | performing work under the contract. A contractor or | 10 | | subcontractor who
fails to comply with this subsection (b) is | 11 | | in violation of this Act.
| 12 | | (b-1) When a contractor has awarded work to a subcontractor | 13 | | without a contract or contract specification, the contractor | 14 | | shall comply with subsection (b) by providing a subcontractor | 15 | | with a written statement indicating that not less than the | 16 | | prevailing rate of wages shall be paid to all laborers, | 17 | | workers, and mechanics performing work on the project. A | 18 | | contractor or subcontractor who fails to comply with this | 19 | | subsection (b-1) is in violation of this Act. | 20 | | (b-2) Where a complaint is made and the Department of Labor | 21 | | determines that a violation has occurred, the Department of | 22 | | Labor shall determine if proper written notice under this | 23 | | Section 4 was given. If proper written notice was not provided | 24 | | to the subcontractor by the contractor, the Department of Labor | 25 | | shall order the contractor to pay any interest, penalties, or | 26 | | fines that would have been owed by the subcontractor if proper |
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| 1 | | written notice were provided. The failure by a contractor to | 2 | | provide written notice to a subcontractor does not relieve the | 3 | | subcontractor of the duty to comply with the prevailing wage | 4 | | rate, nor of the obligation to pay any back wages, as | 5 | | determined under this Act. For the purposes of this subsection, | 6 | | back wages shall be limited to the difference between the | 7 | | actual amount paid and the prevailing rate of wages required | 8 | | for the project. However, if proper written notice was not | 9 | | provided to the contractor by the public body or other entity | 10 | | under this Section 4, the Department of Labor shall order the | 11 | | public body or other entity to pay any interest, penalties, or | 12 | | fines that would have been owed by the subcontractor if proper | 13 | | written notice were provided. The failure by a public body or | 14 | | other entity to provide written notice does not relieve the | 15 | | subcontractor of the duty to comply with the prevailing wage | 16 | | rate, nor of the obligation to pay any back wages, as | 17 | | determined under this Act. For the purposes of this subsection, | 18 | | back wages shall be limited to the difference between the | 19 | | actual amount paid and the prevailing rate of wages required | 20 | | for the project. The failure to provide written notice by a | 21 | | public body, other entity, or contractor does not diminish the | 22 | | right of a laborer, worker, or mechanic to the prevailing rate | 23 | | of wages as determined under this Act. | 24 | | (c) A public body or other entity shall also require in all | 25 | | contractor's and subcontractor's bonds
that the contractor or | 26 | | subcontractor include such provision as will guarantee the
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| 1 | | faithful performance of such prevailing wage clause as provided | 2 | | by
contract or other written instrument. All bid specifications | 3 | | shall list the specified rates to all
laborers, workers and | 4 | | mechanics in the locality for each craft or type of
worker or | 5 | | mechanic needed to execute the contract.
| 6 | | (d) If the Department of Labor
revises the prevailing rate | 7 | | of hourly wages to be paid by the public body or other entity, | 8 | | the
revised rate shall apply to such contract, and the public | 9 | | body or other entity shall be
responsible to notify the | 10 | | contractor and each subcontractor, of the revised
rate.
| 11 | | The public body or other entity shall discharge its duty to | 12 | | notify of the revised rates by inserting a written stipulation | 13 | | in all contracts or other written instruments that states the | 14 | | prevailing rate of wages are revised by the Department of Labor | 15 | | and are available on the Department's official website. This | 16 | | shall be deemed to be proper notification of any rate changes | 17 | | under this subsection. | 18 | | (e) Two or more investigatory hearings under this Section | 19 | | on the issue
of establishing a new prevailing wage | 20 | | classification for a particular craft
or type of worker shall | 21 | | be consolidated in a single hearing before the
Department. Such | 22 | | consolidation shall occur whether each separate investigatory
| 23 | | hearing is conducted by a public body or the Department. The | 24 | | party requesting
a consolidated investigatory hearing shall | 25 | | have the burden of establishing that
there is no existing | 26 | | prevailing wage classification for the particular craft or
type |
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| 1 | | of worker in any of the localities under consideration.
| 2 | | (f) It shall be mandatory upon the contractor or | 3 | | construction manager
to whom a contract for public works is | 4 | | awarded to post, at a
location on the project site of the | 5 | | public works that is
easily accessible to the workers engaged | 6 | | on the project,
the prevailing wage rates for each craft or | 7 | | type of worker
or mechanic needed to execute the contract or | 8 | | project or
work to be performed. In lieu of posting on the | 9 | | project site of the public works, a contractor which has a | 10 | | business location where laborers, workers, and mechanics | 11 | | regularly visit may: (1) post in a conspicuous location at that | 12 | | business the current prevailing wage rates for each county in | 13 | | which the contractor is performing work; or (2) provide such | 14 | | laborer, worker, or mechanic engaged on the public works | 15 | | project a written notice indicating the prevailing wage rates | 16 | | for the public works project. A failure to post or provide a | 17 | | prevailing wage
rate as required by this Section is a violation | 18 | | of this Act.
| 19 | | (Source: P.A. 96-437, eff. 1-1-10; 97-964, eff. 1-1-13.)
| 20 | | (820 ILCS 130/5) (from Ch. 48, par. 39s-5)
| 21 | | Sec. 5. Certified payroll.
| 22 | | (a) Any contractor and each subcontractor who participates | 23 | | in public works shall: | 24 | | (1) make and keep, for a period of not less
than 3 | 25 | | years from the date of the last payment on a contract or |
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| 1 | | subcontract for public works, records of all laborers, | 2 | | mechanics, and other workers employed by them on the | 3 | | project; the records shall include each worker's name, | 4 | | address, telephone number
when available, social security | 5 | | number, classification or classifications, the hourly | 6 | | wages paid in each pay period, the number of hours worked | 7 | | each day, and the starting and ending times of work each | 8 | | day; and | 9 | | (2) no later than the tenth day of each calendar month | 10 | | file a certified payroll for the immediately preceding | 11 | | month with the public body in charge of the project. A | 12 | | certified payroll must be filed for only those calendar | 13 | | months during which construction on a public works project | 14 | | has occurred. The certified payroll shall consist of a | 15 | | complete copy of the records identified in paragraph (1) of | 16 | | this subsection (a), but may exclude the starting and | 17 | | ending times of work each day. The certified payroll shall | 18 | | be accompanied by a statement signed by the contractor or | 19 | | subcontractor or an officer, employee, or agent of the | 20 | | contractor or subcontractor which avers that: (i) he or she | 21 | | has examined the certified payroll records required to be | 22 | | submitted by the Act and such records are true and | 23 | | accurate; (ii) the hourly rate paid to each worker is not | 24 | | less than the general prevailing rate of hourly wages | 25 | | required by this Act; and (iii) the contractor or | 26 | | subcontractor is aware that filing a certified payroll that |
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| 1 | | he or she knows to be false is a Class A misdemeanor. A | 2 | | general contractor is not prohibited from relying on the | 3 | | certification of a lower tier subcontractor, provided the | 4 | | general contractor does not knowingly rely upon a | 5 | | subcontractor's false certification. Any contractor or | 6 | | subcontractor subject to this Act and any officer, | 7 | | employee, or agent of such contractor or subcontractor | 8 | | whose duty as such officer, employee, or agent it is to | 9 | | file such certified payroll who willfully fails to file | 10 | | such a certified payroll on or before the date such | 11 | | certified payroll is required by this paragraph to be filed | 12 | | and any person who willfully files a false certified | 13 | | payroll that is false as to any material fact is in | 14 | | violation of this Act and guilty of a Class A misdemeanor. | 15 | | The public body in charge of the project shall keep the | 16 | | records submitted in accordance with this paragraph (2) of | 17 | | subsection (a) for a period of not less than 3 years from | 18 | | the date of the last payment for work on a contract or | 19 | | subcontract for public works. The records submitted in | 20 | | accordance with this paragraph (2) of subsection (a) shall | 21 | | be considered public records, except an employee's | 22 | | address, telephone number, and social security number, and | 23 | | made available in accordance with the Freedom of | 24 | | Information Act. The public body shall accept any | 25 | | reasonable submissions by the contractor that meet the | 26 | | requirements of this Section ; and .
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| 1 | | (3) identify and report to the public body in charge of | 2 | | the project the number of hours worked by minorities and | 3 | | females, as defined in the Illinois Human Rights Act, for | 4 | | each craft or type of worker or mechanic needed to execute | 5 | | the contract. Each contractor and subcontractor shall | 6 | | provide this information on a certified payroll report, or | 7 | | on a monthly manpower utilization report. | 8 | | (b) Upon 7 business days' notice, the contractor and each | 9 | | subcontractor shall make available for inspection and copying | 10 | | at a location within this State during reasonable hours, the | 11 | | records identified in paragraph (1) of subsection (a) of this | 12 | | Section to the public body
in charge of the project, its | 13 | | officers and agents, the Director of Labor
and his deputies and | 14 | | agents, and to federal, State, or local law enforcement | 15 | | agencies and prosecutors. | 16 | | (c) No later than October 1 of each year, the following | 17 | | State agencies shall submit a report to the General Assembly | 18 | | compiling the total number of hours worked during the | 19 | | immediately preceding fiscal year by minorities and females as | 20 | | reported in accordance with subsection (a): the Illinois | 21 | | Capital Development Board, Illinois Department of | 22 | | Transportation, and Illinois State Toll Highway Authority. | 23 | | This report shall be filed as provided in Section 3.1 of the | 24 | | General Assembly Organization Act. | 25 | | (Source: P.A. 97-571, eff. 1-1-12.)".
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