Capitol Connection #1082
School’s out for summer, but the lessons never end for contractors. New law, changes in interpretation and important deadlines require an ongoing ‘learning curve.’ Here’s an expert tutorial and a reminder to turn those ‘papers’ in on time!
I am frequently reminded from readers that Public Works Contractors are a big portion of my readers. So here is a reminder from the CSLB for some of my loyal followers:
“Public works contractors who are registered with the Department of Industrial Relations (DIR) for the current fiscal year ending June 30 are urged to renew their registration for the next fiscal year using DIR’s online public works contractor registration system. Registered contractors who fail to renew by July 1 but continue working on public works projects will be subject to late fees and potential penalties. The annual registration fee is $400.
Contractors not currently registered must wait until the fiscal year begins on July 1 to register for the 2018/2019 fiscal year.
Contractors must be registered with DIR before bidding, being awarded, or performing work on public works projects in California.
The Labor Commissioner can assess penalties to public works contractors of up to $10,000, in addition to the registration fee, for failure to register. Awarding agencies are also subject to penalties of $100 a day, up to a maximum of $10,000, for hiring an unregistered contractor to perform work on a public works project. A contractor that hires an unregistered subcontractor is also subject to penalties of up to $10,000.
Small Project Exemption
Contractors who work exclusively on small projects are not required to register as public works contractors, or file electronic certified payroll reports for those projects.
The small project exemption is applied based on the amount of the entire project, not a contractor’s subcontracted amount of the project. Small project exemptions apply for all public works projects that do not exceed:
$25,000 for new construction, alteration, installation, demolition or repair
$15,000 for maintenance
On projects that qualify for the small project exemption, contractors are still required to pay prevailing wages, maintain certified payroll records on a continuous basis, and provide those records to the Labor Commissioner’s Office upon request.
DIR has extensive information regarding public works requirements on its public works website, including instructions for contractors on how to renew their public works registration.”
As a reminder for Home Owners and Project Owners, the CSLB has a new website feature to help consumers find a licensed contractor. It’s labeled “Find My Licensed Contractor”. Consumers can find all contractors, sorted by classification, in their area. Super convenient! Class dismissed.
While knowledge is power, knowing where to go for the answers is half the battle. Get expert assistance immediately when you call 866-443-0657, email email@example.com, or write us at Capitol Services, Inc., 1225 8th St. Ste. 500, Sacramento, CA 95814. Research past columns at www.cutredtape.com.