Bill Text: IL SB0957 | 2017-2018 | 100th General Assembly | Introduced
Bill Title: Amends the Prevailing Wage Act. Provides that a prevailing wage determined at the time of bid submission shall continue for the duration of the contract.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Failed) 2019-01-09 - Session Sine Die [SB0957 Detail]
Download: Illinois-2017-SB0957-Introduced.html
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1 | AN ACT concerning employment.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Prevailing Wage Act is amended by changing | ||||||||||||||||||||||||||
5 | Sections 4 and 9 as follows:
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6 | (820 ILCS 130/4) (from Ch. 48, par. 39s-4)
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7 | Sec. 4. Ascertaining prevailing wage. | ||||||||||||||||||||||||||
8 | (a) The public body awarding any contract for public work | ||||||||||||||||||||||||||
9 | or
otherwise undertaking any public works, shall ascertain the | ||||||||||||||||||||||||||
10 | general
prevailing rate of hourly wages in the locality in | ||||||||||||||||||||||||||
11 | which the work is to
be performed, for each craft or type of | ||||||||||||||||||||||||||
12 | worker or mechanic needed to
execute the contract, and where | ||||||||||||||||||||||||||
13 | the public body performs the work
without letting a contract | ||||||||||||||||||||||||||
14 | therefor, shall ascertain the prevailing rate
of wages on a per | ||||||||||||||||||||||||||
15 | hour basis in the locality, and such public body shall
specify | ||||||||||||||||||||||||||
16 | in the resolution or ordinance and in the call for bids for the
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17 | contract, that the general prevailing rate of wages in the | ||||||||||||||||||||||||||
18 | locality for
each craft or type of worker or mechanic needed to | ||||||||||||||||||||||||||
19 | execute the contract
or perform such work, also the general | ||||||||||||||||||||||||||
20 | prevailing rate for legal holiday
and overtime work, as | ||||||||||||||||||||||||||
21 | ascertained by the public body or by the
Department of Labor | ||||||||||||||||||||||||||
22 | shall be paid for each craft or type of worker
needed to | ||||||||||||||||||||||||||
23 | execute the contract or to perform such work, and it shall be
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1 | mandatory upon the contractor to whom the contract is awarded | ||||||
2 | and upon
any subcontractor under him, and where the public body | ||||||
3 | performs the
work, upon the public body, to pay not less than | ||||||
4 | the specified rates to
all laborers, workers and mechanics | ||||||
5 | employed by them in the execution of
the contract or such work; | ||||||
6 | provided, however, that if the public body
desires that the | ||||||
7 | Department of Labor ascertain the prevailing rate of
wages, it | ||||||
8 | shall notify the Department of Labor to ascertain the general
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9 | prevailing rate of hourly wages for work under contract, or for | ||||||
10 | work
performed by a public body without letting a contract as | ||||||
11 | required in the
locality in which the work is to be performed, | ||||||
12 | for each craft or type of
worker or mechanic needed to execute | ||||||
13 | the contract or project or work to
be performed. Upon such | ||||||
14 | notification the Department of Labor shall
ascertain such | ||||||
15 | general prevailing rate of wages, and certify the
prevailing | ||||||
16 | wage to such public body. | ||||||
17 | (a-1) The public body or other entity awarding the
contract | ||||||
18 | shall cause to be inserted in the project specifications and | ||||||
19 | the
contract a stipulation to the
effect that not less than the | ||||||
20 | prevailing rate of wages as found by the
public body or | ||||||
21 | Department of Labor or determined by the court on review
shall | ||||||
22 | be paid to all laborers, workers and mechanics performing work
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23 | under the contract.
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24 | (a-2) When a public body or other entity covered by this | ||||||
25 | Act has awarded work to a contractor without a public bid, | ||||||
26 | contract or project specification, such public body or other |
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1 | entity shall comply with subsection (a-1) by providing the | ||||||
2 | contractor with written notice on the purchase order related to | ||||||
3 | the work to be done or on a separate document indicating that | ||||||
4 | not less than the prevailing rate of wages as found by the | ||||||
5 | public body or Department of Labor or determined by the court | ||||||
6 | on review shall be paid to all laborers, workers, and mechanics | ||||||
7 | performing work on the project. | ||||||
8 | (a-3) Where a complaint is made and the Department of Labor | ||||||
9 | determines that a violation occurred, the Department of Labor | ||||||
10 | shall determine if proper written notice under this Section 4 | ||||||
11 | was given. If proper written notice was not provided to the | ||||||
12 | contractor by the public body or other entity, the Department | ||||||
13 | of Labor shall order the public body or other entity to pay any | ||||||
14 | interest, penalties or fines that would have been owed by the | ||||||
15 | contractor if proper written notice were provided. The failure | ||||||
16 | by a public body or other entity to provide written notice does | ||||||
17 | not relieve the contractor of the duty to comply with the | ||||||
18 | prevailing wage rate, nor of the obligation to pay any back | ||||||
19 | wages, as determined under this Act. For the purposes of this | ||||||
20 | subsection, back wages shall be limited to the difference | ||||||
21 | between the actual amount paid and the prevailing rate of wages | ||||||
22 | required to be paid for the project. The failure of a public | ||||||
23 | body or other entity to provide written notice under this | ||||||
24 | Section 4 does not diminish the right of a laborer, worker, or | ||||||
25 | mechanic to the prevailing rate of wages as determined under | ||||||
26 | this Act. |
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1 | (b) It shall also be mandatory upon the contractor to whom | ||||||
2 | the contract is
awarded
to insert into each subcontract and | ||||||
3 | into the project specifications for each
subcontract a written | ||||||
4 | stipulation to the effect that not less than the
prevailing
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5 | rate of wages shall be paid to all laborers, workers, and | ||||||
6 | mechanics performing
work under the contract. It shall also be | ||||||
7 | mandatory upon each subcontractor to
cause to be inserted into | ||||||
8 | each lower tiered subcontract
and into the project | ||||||
9 | specifications for each lower tiered subcontract a
stipulation | ||||||
10 | to the effect that not less
than the prevailing rate of wages | ||||||
11 | shall be paid to all laborers, workers, and
mechanics | ||||||
12 | performing work under the contract. A contractor or | ||||||
13 | subcontractor who
fails to comply with this subsection (b) is | ||||||
14 | in violation of this Act.
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15 | (b-1) When a contractor has awarded work to a subcontractor | ||||||
16 | without a contract or contract specification, the contractor | ||||||
17 | shall comply with subsection (b) by providing a subcontractor | ||||||
18 | with a written statement indicating that not less than the | ||||||
19 | prevailing rate of wages shall be paid to all laborers, | ||||||
20 | workers, and mechanics performing work on the project. A | ||||||
21 | contractor or subcontractor who fails to comply with this | ||||||
22 | subsection (b-1) is in violation of this Act. | ||||||
23 | (b-2) Where a complaint is made and the Department of Labor | ||||||
24 | determines that a violation has occurred, the Department of | ||||||
25 | Labor shall determine if proper written notice under this | ||||||
26 | Section 4 was given. If proper written notice was not provided |
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1 | to the subcontractor by the contractor, the Department of Labor | ||||||
2 | shall order the contractor to pay any interest, penalties, or | ||||||
3 | fines that would have been owed by the subcontractor if proper | ||||||
4 | written notice were provided. The failure by a contractor to | ||||||
5 | provide written notice to a subcontractor does not relieve the | ||||||
6 | subcontractor of the duty to comply with the prevailing wage | ||||||
7 | rate, nor of the obligation to pay any back wages, as | ||||||
8 | determined under this Act. For the purposes of this subsection, | ||||||
9 | back wages shall be limited to the difference between the | ||||||
10 | actual amount paid and the prevailing rate of wages required | ||||||
11 | for the project. However, if proper written notice was not | ||||||
12 | provided to the contractor by the public body or other entity | ||||||
13 | under this Section 4, the Department of Labor shall order the | ||||||
14 | public body or other entity to pay any interest, penalties, or | ||||||
15 | fines that would have been owed by the subcontractor if proper | ||||||
16 | written notice were provided. The failure by a public body or | ||||||
17 | other entity to provide written notice does not relieve the | ||||||
18 | subcontractor of the duty to comply with the prevailing wage | ||||||
19 | rate, nor of the obligation to pay any back wages, as | ||||||
20 | determined under this Act. For the purposes of this subsection, | ||||||
21 | back wages shall be limited to the difference between the | ||||||
22 | actual amount paid and the prevailing rate of wages required | ||||||
23 | for the project. The failure to provide written notice by a | ||||||
24 | public body, other entity, or contractor does not diminish the | ||||||
25 | right of a laborer, worker, or mechanic to the prevailing rate | ||||||
26 | of wages as determined under this Act. |
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1 | (c) A public body or other entity shall also require in all | ||||||
2 | contractor's and subcontractor's bonds
that the contractor or | ||||||
3 | subcontractor include such provision as will guarantee the
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4 | faithful performance of such prevailing wage clause as provided | ||||||
5 | by
contract or other written instrument. All bid specifications | ||||||
6 | shall list the specified rates to all
laborers, workers and | ||||||
7 | mechanics in the locality for each craft or type of
worker or | ||||||
8 | mechanic needed to execute the contract.
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9 | (d) Any prevailing rate determined by a public body or the | ||||||
10 | Department at the time of bid submission shall be the rate | ||||||
11 | applicable for the duration of the contract awarded by the | ||||||
12 | public body. If the Department of Labor
revises the prevailing | ||||||
13 | rate of hourly wages to be paid by the public body or other | ||||||
14 | entity, the
revised rate shall apply to such contract, and the | ||||||
15 | public body or other entity shall be
responsible to notify the | ||||||
16 | contractor and each subcontractor, of the revised
rate.
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17 | The public body or other entity shall discharge its duty to | ||||||
18 | notify of the revised rates by inserting a written stipulation | ||||||
19 | in all contracts or other written instruments that states the | ||||||
20 | prevailing rate of wages are revised by the Department of Labor | ||||||
21 | and are available on the Department's official website. This | ||||||
22 | shall be deemed to be proper notification of any rate changes | ||||||
23 | under this subsection. | ||||||
24 | (e) Two or more investigatory hearings under this Section | ||||||
25 | on the issue
of establishing a new prevailing wage | ||||||
26 | classification for a particular craft
or type of worker shall |
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1 | be consolidated in a single hearing before the
Department. Such | ||||||
2 | consolidation shall occur whether each separate investigatory
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3 | hearing is conducted by a public body or the Department. The | ||||||
4 | party requesting
a consolidated investigatory hearing shall | ||||||
5 | have the burden of establishing that
there is no existing | ||||||
6 | prevailing wage classification for the particular craft or
type | ||||||
7 | of worker in any of the localities under consideration.
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8 | (f) It shall be mandatory upon the contractor or | ||||||
9 | construction manager
to whom a contract for public works is | ||||||
10 | awarded to post, at a
location on the project site of the | ||||||
11 | public works that is
easily accessible to the workers engaged | ||||||
12 | on the project,
the prevailing wage rates for each craft or | ||||||
13 | type of worker
or mechanic needed to execute the contract or | ||||||
14 | project or
work to be performed. In lieu of posting on the | ||||||
15 | project site of the public works, a contractor which has a | ||||||
16 | business location where laborers, workers, and mechanics | ||||||
17 | regularly visit may: (1) post in a conspicuous location at that | ||||||
18 | business the current prevailing wage rates for each county in | ||||||
19 | which the contractor is performing work; or (2) provide such | ||||||
20 | laborer, worker, or mechanic engaged on the public works | ||||||
21 | project a written notice indicating the prevailing wage rates | ||||||
22 | for the public works project. A failure to post or provide a | ||||||
23 | prevailing wage
rate as required by this Section is a violation | ||||||
24 | of this Act.
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25 | (Source: P.A. 96-437, eff. 1-1-10; 97-964, eff. 1-1-13.)
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1 | (820 ILCS 130/9) (from Ch. 48, par. 39s-9)
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2 | Sec. 9.
To effectuate the purpose and policy of this Act | ||||||
3 | each public
body shall, during the month of June of each | ||||||
4 | calendar year, investigate
and ascertain the prevailing rate of | ||||||
5 | wages as defined in this Act and
publicly post or keep | ||||||
6 | available for inspection by any interested party
in the main | ||||||
7 | office of such public body its determination of such
prevailing | ||||||
8 | rate of wage and shall promptly file, no later than July 15 of
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9 | each year, a certified copy thereof
in the office of the
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10 | Illinois Department of Labor.
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11 | The Department of Labor shall during the month of June of | ||||||
12 | each calendar
year, investigate and ascertain the prevailing | ||||||
13 | rate of wages for each county
in the State. If a public body | ||||||
14 | does not investigate and ascertain the
prevailing
rate of wages | ||||||
15 | during the month of June as required by the previous paragraph,
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16 | then the prevailing rate of wages for that public body shall be | ||||||
17 | the rate
as determined by the Department under this paragraph | ||||||
18 | for the county in which
such public body is located.
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19 | Where the Department of Labor ascertains the prevailing | ||||||
20 | rate of
wages, it is the duty of the Department of Labor within | ||||||
21 | 30 days after
receiving a notice from the public body | ||||||
22 | authorizing the proposed work,
to conduct an investigation to | ||||||
23 | ascertain the prevailing rate of wages as
defined in this Act | ||||||
24 | and such investigation shall be conducted in the
locality in | ||||||
25 | which the work is to be performed. The Department of Labor
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26 | shall send a certified copy of its findings to the public body
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1 | authorizing the work and keep a record of its findings | ||||||
2 | available for
inspection by any interested party in the office | ||||||
3 | of the Department of
Labor at Springfield.
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4 | The public body except for the Department of Transportation | ||||||
5 | with
respect to highway contracts shall within 30 days after | ||||||
6 | filing with the Department of Labor, or the Department of Labor | ||||||
7 | shall within 30 days
after filing with such public body, | ||||||
8 | publish in a newspaper of general
circulation within the area | ||||||
9 | that the determination is effective, a
notice of its | ||||||
10 | determination and shall promptly mail a copy of its
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11 | determination to any employer, and to any association of | ||||||
12 | employers and
to any person or association of employees who | ||||||
13 | have filed their names and
addresses, requesting copies of any | ||||||
14 | determination stating the particular
rates and the particular | ||||||
15 | class of workers whose wages will be affected
by such rates.
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16 | At any time within 30 days after the Department of Labor | ||||||
17 | has published
on its official web site a prevailing wage | ||||||
18 | schedule, any person affected
thereby may object in writing to | ||||||
19 | the determination or such part thereof
as they may deem | ||||||
20 | objectionable by filing a written notice with the
public body | ||||||
21 | or Department of Labor, whichever has made such
determination, | ||||||
22 | stating the specified grounds of the objection. It shall
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23 | thereafter be the duty of the public body or Department of | ||||||
24 | Labor to set
a date for a hearing on the objection after giving | ||||||
25 | written notice to the
objectors at least 10 days before the | ||||||
26 | date of the hearing and said
notice shall state the time and |
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1 | place of such hearing. Such hearing by a
public body shall be | ||||||
2 | held within 45 days after the objection is filed,
and shall not | ||||||
3 | be postponed or reset for a later date except upon the
consent, | ||||||
4 | in writing, of all the objectors and the public body. If such
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5 | hearing is not held by the public body within the time herein | ||||||
6 | specified,
the Department of Labor may, upon request of the | ||||||
7 | objectors, conduct the
hearing on behalf of the public body.
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8 | The public body or Department of Labor, whichever has made | ||||||
9 | such
determination, is authorized in its discretion to hear | ||||||
10 | each written
objection filed separately or consolidate for | ||||||
11 | hearing any one or more
written objections filed with them. At | ||||||
12 | such hearing the public body or
Department of Labor shall | ||||||
13 | introduce in evidence the investigation it
instituted which | ||||||
14 | formed the basis of its determination, and the public
body or | ||||||
15 | Department of Labor, or any interested objectors may thereafter
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16 | introduce such evidence as is material to the issue. | ||||||
17 | Thereafter, the
public body or Department of Labor, must rule | ||||||
18 | upon the written objection
and make such final determination as | ||||||
19 | it believes the evidence warrants,
and promptly file a | ||||||
20 | certified copy of its final determination with such
public | ||||||
21 | body, and serve a copy by personal
service or registered mail | ||||||
22 | on all parties to the proceedings. The final
determination by | ||||||
23 | the Department of Labor or a public body shall be rendered
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24 | within 30 days after the conclusion of the hearing.
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25 | If proceedings to review judicially the final | ||||||
26 | determination of the
public body or Department of Labor are not |
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1 | instituted as hereafter
provided, such determination shall be | ||||||
2 | final and binding.
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3 | The provisions of the Administrative Review Law, and all | ||||||
4 | amendments
and modifications thereof, and the rules
adopted | ||||||
5 | pursuant thereto, shall apply to and govern all proceedings for
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6 | the judicial review of final administrative decisions of any | ||||||
7 | public body
or the Department of Labor hereunder. The term | ||||||
8 | "administrative decision"
is defined as in Section 3-101 of the | ||||||
9 | Code of Civil Procedure.
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10 | Appeals from all final orders and judgments entered by the | ||||||
11 | court in
review of the final administrative decision of the | ||||||
12 | public body or
Department of Labor, may be taken by any party | ||||||
13 | to the action.
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14 | Any proceeding in any court affecting a determination of | ||||||
15 | the
Department of Labor or public body shall have priority in | ||||||
16 | hearing and
determination over all other civil proceedings | ||||||
17 | pending in said court,
except election contests.
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18 | In all reviews or appeals under this Act, it shall be the | ||||||
19 | duty of the
Attorney General to represent the Department of | ||||||
20 | Labor, and defend its
determination. The Attorney General shall | ||||||
21 | not represent any public body,
except the State, in any such | ||||||
22 | review or appeal.
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23 | Notwithstanding the provisions of this Section, any | ||||||
24 | prevailing rate determined by a public body or the Department | ||||||
25 | at the time of bid submission shall be the rate applicable for | ||||||
26 | the duration of the contract awarded by the public body. |
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1 | (Source: P.A. 98-173, eff. 1-1-14.)
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