BILL ANALYSIS Ó
SB 266
Page 1
SENATE THIRD READING
SB 266 (Lieu)
As Amended June 30, 2014
2/3 vote. Urgency
SENATE VOTE :28-5
LABOR & EMPLOYMENT 5-1 APPROPRIATIONS 12-5
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|Ayes:|Roger Hernández, Alejo, |Ayes:|Gatto, Bocanegra, |
| |Chau, Holden, | |Bradford, |
| |Ridley-Thomas | |Ian Calderon, Campos, |
| | | |Eggman, Gomez, Holden, |
| | | |Pan, Quirk, |
| | | |Ridley-Thomas, Weber |
| | | | |
|-----+--------------------------+-----+--------------------------|
|Nays:|Grove |Nays:|Bigelow, Donnelly, Jones, |
| | | |Linder, Wagner |
| | | | |
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SUMMARY : Clarifies the procedure for providing notice of
completion or acceptance of a public work to the Labor
Commissioner (LC). Specifically, this bill :
1)Requires, within 10 days after receipt of a written request
from the LC, the awarding body to furnish a copy of the valid
notice of completion or a document evidencing acceptance of a
public work, whichever occurs later, to the LC by United
States Postal Service first-class mail.
2)Provides that if no document has been filed to the office of
the county recorder and there is no document evidencing the
awarding body's acceptance of the public work on a particular
date, the awarding body shall notify the LC.
3)Requires that after the notification of no documentation, the
awarding body must supply copies of the applicable document
within ten days after filing a valid notice of completion with
the county recorder's office or the awarding body's acceptance
of the public work.
4)Provides that if the awarding body fails to timely furnish the
SB 266
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LC with the documents identified, the period for service of
assessments shall be tolled until the LC's actual receipt of
the valid notice of completion or a document evidencing the
awarding body's acceptance of the public work.
5)Makes related legislative findings and declarations.
6)Contains an urgency clause and states that in order to protect
workers from wage theft due to prevailing wages not being paid
for labor on a public work, it is necessary that this bill
take effect immediately.
FISCAL EFFECT : According to the Assembly Appropriations
Committee, this bill will result in negligible fiscal impact to
the Department of Industrial Relations.
COMMENTS : SB 377 (Lieu), Chapter 780, Statutes of 2013, sought
to streamline the determination process for public works
projects to ensure that workers receive the legally mandate
prevailing wage. Among other things, SB 377 required that an
awarding body notify the Director of the Department of
Industrial Relations and the LC if a project is not a public
work. Additionally, SB 377 imposed a time limit of the process
for the determination of a project's public works status and
penalty assessment in order to alleviate the long wait time many
workers experienced.
SB 377 was signed into law by Governor Brown. In his signing
message, the Governor asked the Legislature to send him a
follow-up bill to streamline the notice of completion process
outlined in SB 377. According to the author's office, this bill
was drafted to address the Governor's request and ensure the
efficient implementation of SB 377. Current law states that a
notice of completion must be provided to the LC in a manner
determined by the LC. This bill would clarify the notice of
completion process, including a ten-day deadline for furnishing
the documents requested by the LC.
According to the author's office, despite current law requiring
an awarding body to file a notice of completion with both the
office of the county recorder and the LC, the code remains vague
on the exact process of filing a notice of completion. The
author's office contends that this bill clarifies any ambiguity
by outlining the steps for furnishing the proper documentation
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to the LC.
Analysis Prepared by : Ben Ebbink / L. & E. / (916) 319-2091
FN: 0004360