BILL NUMBER: AB 1958 INTRODUCED BILL TEXT INTRODUCED BY Assembly Member Grove (Coauthor: Senator Berryhill) FEBRUARY 23, 2012 An act to amend Section 1771 of the Labor Code, relating to public contracts. LEGISLATIVE COUNSEL'S DIGEST AB 1958, as introduced, Grove. Public contracts: public works: prevailing wages. Existing law requires the general prevailing rate of per diem wages, as provided, to be paid to all workers employed on public works projects that exceed $1,000. This bill would increase the cost threshold to $2,000 and would require that cost threshold to be adjusted annually for inflation as provided by a specified California Consumer Price Index. Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 1771 of the Labor Code is amended to read: 1771. (a) (1) Except for public works projects ofonetwo thousand dollars($1,000)($2,000) or less, not less than the general prevailing rate of per diem wages for work of a similar character in the locality in which the public work is performed, and not less than the general prevailing rate of per diem wages for holiday and overtime work fixed as provided in this chapter, shall be paid to all workers employed on public works.The(2) The Department of Industrial Relations shall adjust the cost threshold set forth in paragraph (1) on October 1 of each year to be effective on January 1 of the following year by an amount equal to the percentage change in the California Consumer Price Index for Urban Wage Earners and Clerical Workers. (b) This section is applicable only to work performed under contract, and is not applicable to work carried out by a public agency with its own forces. This section is applicable to contracts let for maintenance work.