LEGAL ISSUES Continued from page 14


based on the location of the batch plant, NOT the location of the project. Tis is counterintuitive for contractors who have always paid wages based on the location of the project. If a driver starts the day at a batch plant in one county and then goes to a batch plant in another county for additional deliveries, then the wage rates (if different between the counties) must be separately tracked and paid.


 Wage determinations can be found on the Department of Industrial Relation’s website under Statewide determination under “Driver On/ Off Haul to Construction Site” and then selecting Mixer Truck. Wage rates are issued by county. Link: http://dir.ca.gov/OPRL/PWD/C- 2K-List.htm


 Because this work is now covered by prevailing wages, concrete companies are now required to be registered as “public works contractors” with the Department of Industrial Relations (DIR) and pay an annual $300 BEFORE a bid is submitted. For more infor- mation on registration, go to the DIR’s link: http://www.dir.ca.gov/ Public-Works/Contractors.html.


 Failure to register before the bid date (or if no bid date, then before the contract is signed or delivery begins — whichever is first) will include a $2,000 fine for late registration.


 Registration is required annually and runs from July 1-June 30.


 Certified payrolls must be submitted by the concrete company through the DIR’s eCPR system. Te system was suspended in January 2016 but reinstated August 1, 2016. Payrolls must be kept on a weekly basis and submitted to the DIR at least monthly.


Tips for Contractors: A contractor who typically orders concrete for construction projects should: establish a contract template and protocol for providing a written contract or special


www.AGC-CA.org


bid form to concrete suppliers which includes specific prevailing wage contract language; be sure to check the “contractor registration” of all concrete suppliers; collect/review certified payrolls from the concrete supplier.


Tips for Concrete Companies:


Concrete companies are new to the arena of prevailing wage, and it would behoove owners to become familiar with the prevailing wage requirements in California. Prevailing wage is more than just paying a certain wage rate. It includes: understanding what is “covered work” (starting at the yard/ plant and driving the truck under the hopper all the way through returning to the yard and cleaning the truck); that wage rates can change depending on the location of the batch plant; wage increases may occur during the course of a project; and how to calculate and take credit for fringe benefits. Concrete companies would also be wise to establish a protocol which includes asking /confirming with a customer


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whether or not the work is subject to prevailing wage requirements. A good rule of thumb is to


remember that anytime work is being done on property owned by a public agency, prevailing wage will almost always apply. Tis includes a state agency, city, county water district, fire district, public park, special district or school district. Prevailing wage also applies to maintenance work with a public entity over $1,000. In some instances, prevailing wages are also required on property where it may appear that the owner is not a public agency, but because of certain public funding or condition, prevailing wages are imposed. 


Deborah Wilder is a licensed attorney and president of Contractor Compliance and Monitoring Inc. (CCMI). She is also the author of What Every Contractor Should Know about Prevailing Wages and AGC of America’s Davis Bacon Compliance Manual. She can be reached at: dwilder@ ccmilcp.com.


Safely and cost-effectively shore up a range of pipeline or pit excavations up to 35 feet deep, while maintaining required vertical clearances


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