BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 266
                                                                  Page  1

          Date of Hearing:   August 6, 2014

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                     SB 266 (Lieu) - As Amended:  June 30, 2014 

          Policy Committee:                             Labor Vote:5-1

          Urgency:     Yes                  State Mandated Local Program:  
          No     Reimbursable:              No

           SUMMARY  

          This bill clarifies the procedure for providing the Labor  
          Commissioner with notice of completion or acceptance of a public  
          work. Specifically, this bill:

          1)Requires the awarding body, within 10 days after receipt of a  
            written request from the Labor Commissioner, to furnish a copy  
            of the valid notice of completion or a document evidencing  
            acceptance of a public work, whichever occurs later, to the  
            Labor Commissioner by first-class mail. 

          2)Specifies if no document has been filed with 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 office of the Labor  
            Commissioner. 

          3)Requires the awarding body, after the notification of no  
            documentation, to provide copies of the applicable document  
            within 10 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)Applies a toll if the awarding body fails to furnish the Labor  
            Commissioner with specified documents.  The toll applies until  
            the Labor Commissioner receives the valid notice of completion  
            or a document evidencing the awarding body's acceptance of the  
            public work.

           FISCAL EFFECT  

          Negligible fiscal impact to the Department of Industrial  








                                                                  SB 266
                                                                  Page  2

          Relations. 

           COMMENTS  

           1)Background  . Current law defines "public works" to include  
            construction, alteration, demolition, installation or repair  
            work done under contract and "paid for in whole or in part out  
            of public funds."  Current law also requires the prevailing  
            wage rate to be paid to workers on public works projects over  
            $1,000.  
           
          2)Purpose.  SB 377 (Lieu), Chapter 780, Statutes of 2013 sought  
            to streamline the determination process for public works  
            projects to ensure workers receive prevailing wage as required  
            under existing law. Among other things, SB 377 required the  
            Labor Commissioner to determine the process for filing notice  
            of public works projects and acceptance of a public work  
            project. 
            Governor Brown's signing message for SB 377 requested the  
            Legislature introduce a bill the following year to streamline  
            the notice of completion process. According to the author's  
            office, SB 266 was drafted to address the Governor's request  
            and ensure the efficient implementation of the bill. 


           Analysis Prepared by  :    Misty Feusahrens / APPR. / (916)  
          319-2081