senate Bill S2546

2013-2014 Legislative Session

Relates to providing notification of prevailing wage violation allegations

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Archive: Last Bill Status - In Committee


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jan 08, 2014 referred to infrastructure and capital investment
Feb 01, 2013 committee discharged and committed to infrastructure and capital investment
Jan 18, 2013 referred to labor

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S2546 - Bill Details

See Assembly Version of this Bill:
A1301
Current Committee:
Senate Infrastructure And Capital Investment
Law Section:
Labor Law
Laws Affected:
Amd ยงยง223 & 740, Lab L
Versions Introduced in Previous Legislative Sessions:
2011-2012: S5430, A2929A
2009-2010: A10838

S2546 - Bill Texts

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Relates to providing notification of prevailing wage violation allegations.

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BILL NUMBER:S2546

TITLE OF BILL: An act to amend the labor law, in relation to providing
notification of prevailing wage violation allegations

PURPOSE OF THE BILL: This bill mandates that a contractor be given time-
ly notification of allegations of underpayment by a sub-contractor in
order to hold that contractor liable. Notification must be given within
one year of the violation.

SUMMARY OF PROVISIONS: Section one of the bill amends section 233 of the
Labor Law by stating that contractors shall be liable for prevailing
wage violations by sub-contractors only if they are notified within one
year of the violation.

Section 2 of the bill amends section 740 of the Labor Law as it relates
to the notice.

Section 3 relates to the effective date.

JUSTIFICATION: Currently a contractor can be held liable for a wage
violation committed by a sub-contractor regardless of the amount of time
that has passed since the alleged violation. Therefore, a contractor may
have finished the job and paid the subcontractor in full before they
have any idea that a worker has been underpaid. Such open-ended liabil-
ity prevents contractors from conducting a proper investigation and/or
withholding final payment. A one year limit both protects the contractor
and the worker from unscrupulous sub-contractors.

PRIOR LEGISLATIVE HISTORY: 2009-2010 - A.10838 2011-2012 -
S.5430/A.2929-A - LABOR/Labor

FISCAL IMPLICATIONS: None to the state.

EFFECTIVE DATE: This act shall take effect on the 60th day with
provisions.

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                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  2546

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 18, 2013
                               ___________

Introduced by Sens. RANZENHOFER, ZELDIN -- read twice and ordered print-
  ed, and when printed to be committed to the Committee on Labor

AN  ACT to amend the labor law, in relation to providing notification of
  prevailing wage violation allegations

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1. Section 223 of the labor law, as amended by chapter 929 of
the laws of 1935, is amended to read as follows:
  S 223. Enforcement of article. 1. If the  fiscal  officer  as  defined
herein  finds  that  any  person contracting with the state, a municipal
corporation, or any  commission  appointed  pursuant  to  law,  for  the
performance  of  any  public  work  fails  to  comply with or evades the
provisions of this article, he shall present evidence of  such  non-com-
pliance  or  evasion  to  the  officer,  department, board or commission
having charge of such work for enforcement.   [Wherein] SUBJECT  TO  THE
PROVISIONS  OF  SUBDIVISION  TWO  OF THIS SECTION, WHEREIN such evidence
indicates a non-compliance or evasion on the part of  a  sub-contractor,
the  contractor shall be responsible for such non-compliance or evasion.
It shall be the duty of any officer, department, board or commission  in
charge  of the construction of such public work contracts to enforce the
provisions of this article.
  2. NOTWITHSTANDING ANY OTHER PROVISION  OF  LAW  TO  THE  CONTRARY,  A
CONTRACTOR  SHALL  BE RESPONSIBLE FOR THE NON-COMPLIANCE OR EVASION OF A
SUBCONTRACTOR UNDER THIS ARTICLE ONLY IF THE EMPLOYEE OF THE SUBCONTRAC-
TOR, OR THE EMPLOYEE'S  COLLECTIVE  BARGAINING  REPRESENTATIVE,  JOINTLY
TRUSTEED  FUND OR ANY OTHER INTERESTED PARTY HAS PROVIDED VERIFIED WRIT-
TEN NOTIFICATION TO THE CONTRACTOR OF SUCH NON-COMPLIANCE OR EVASION  IN
ACCORDANCE  WITH THE PROVISIONS OF THIS SUBDIVISION. SUCH NOTICE MUST BE
PROVIDED TO THE CONTRACTOR WITHIN ONE YEAR  OF  THE  DATE  OF  THE  LAST
ALLEGED UNDERPAYMENT.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD00424-01-3

S. 2546                             2

  3.  NOTHING  CONTAINED  IN THIS SECTION SHALL BE DEEMED TO RELIEVE THE
OBLIGATION OF A SUBCONTRACTOR TO PAY, AS  AN  EMPLOYER,  THE  WAGES  AND
SUPPLEMENTS,  INCLUDING  ANY  INTEREST OR PENALTIES, REQUIRED TO BE PAID
PURSUANT TO THIS ARTICLE. IN THE EVENT A CONTRACTOR UNDER  THIS  SECTION
OR  SECTION  TWO HUNDRED TWENTY-G OF THIS ARTICLE IS REQUIRED TO PAY ANY
WAGES, SUPPLEMENTS, INTEREST OR PENALTIES AS A RESULT OF THE  NONPAYMENT
OF  A  SUBCONTRACTOR,  THE  CONTRACTOR  SHALL  HAVE  A  RIGHT  OF ACTION
PERSONALLY AGAINST ANY OFFICER, OWNER OR PRINCIPAL OF SUCH SUBCONTRACTOR
TO RECOVER SUCH PAYMENTS.
  S 2. Paragraphs (b) and (c) of subdivision 2 of  section  740  of  the
labor  law, as added by chapter 660 of the laws of 1984, are amended and
a new paragraph (d) is added to read as follows:
  (b) provides information to, or  testifies  before,  any  public  body
conducting  an investigation, hearing or inquiry into any such violation
of a law, rule or regulation by such employer; [or]
  (c) objects to, or refuses to participate in any such activity, policy
or practice in violation of a law, rule or regulation[.]; OR
  (D) PROVIDES NOTICE, OR HAS NOTICE  PROVIDED  ON  HIS  OR  HER  BEHALF
PURSUANT  TO  THE  PROVISIONS  OF SUBDIVISION TWO OF SECTION TWO HUNDRED
TWENTY-THREE OF THIS CHAPTER.
  S 3. This act shall take effect on the sixtieth  day  after  it  shall
have  become a law and shall be applicable to complaints of sub-contrac-
tor non-compliance filed on and after such effective date.

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