SF 2335 (LSB 5744SV (2) 88)

SENATE FILE 2335

BY  COMMITTEE ON COMMERCE

(SUCCESSOR TO SSB 3055)

A BILL FOR

An Act requiring that contractors provide information about persons performing construction work on certain public improvement projects to the labor commissioner and including applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  NEW SECTION.  73A.29  Contractors for public improvement projects —— information to be filed with the labor commissioner.
   1.  For purposes of this section, “contractor” means any person that enters into a contract for the performance of construction work on a public improvement project.
   2.  a.  A contractor shall file the following information with the labor commissioner prior to the contractor performing any construction work on a public improvement project:
   (1)  The contractor’s name.
   (2)  The address of the contractor’s principal place of business. 
   (3)  A mailing address for the contractor that is suitable for receiving information relating to the enforcement of this section, if different than the address provided pursuant to subparagraph (2).
   (4)  The contractor’s telephone number. 
   (5)  The contractor’s electronic mail address, if any. 
   (6)  The name, mailing address, telephone number, and electric mail address, if any, of any individual serving as a point of contact for the contractor for purposes of enforcement of this section, if different than information provided pursuant to subparagraphs (1) through (5).
   b.  A contractor shall file the following information about each person with which the contractor enters into a contract for the performance of any construction work on a public improvement project with the labor commissioner prior to the person performing any construction work on a public improvement project:
   (1)  The person’s name.
   (2)  The address of the person’s principal place of business. 
   (3)  A mailing address for the person that is suitable for receiving information relating to the enforcement of this section, if different than the address provided pursuant to subparagraph (2).
   (4)  The person’s telephone number. 
   (5)  The person’s electronic mail address, if any. 
   (6)  The name, mailing address, telephone number, and electric mail address, if any, of any individual serving as a point of contact for the person for purposes of enforcement of this section, if different than information provided pursuant to subparagraphs (1) through (5).
   3.  The requirements of subsection 2 apply to each contractor in each tier of subcontractors that enters into a contract with any other person described in subsection 2, paragraph “b”.
    Sec. 2.  Section 91C.8, subsection 1, Code 2020, is amended to read as follows:
   1.  The labor commissioner and inspectors of the division of labor services of the department of workforce development have jurisdiction for investigation and enforcement in cases where contractors may be in violation of the requirements of this chapter or rules adopted pursuant to this chapter and where contractors as defined in section 73A.29 may be in violation of the requirements of that section.
    Sec. 3.  Section 91C.8, Code 2020, is amended by adding the following new subsection:
   NEW SUBSECTION.  2A.  If, upon investigation, the labor commissioner or the commissioner’s authorized representative believes that a contractor as defined in section 73A.29 has violated the requirements of section 73A.29, the commissioner shall with reasonable promptness issue a citation to the contractor.
    Sec. 4.  APPLICABILITY.  This Act applies to contracts for public improvement projects awarded on or after January 1, 2021.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill requires that a contractor file certain specified information with the labor commissioner prior to the contractor performing any construction work on a public improvement project. The bill requires that a contractor file similar information with the labor commissioner about each person with which the contractor enters into a contract for the performance of any construction work on a public improvement project prior to the person performing any construction work on a public improvement project. The required information includes the contractor or person’s name, address of principal place of business, and other specified contact information.
   The bill provides the labor commissioner with the authority under Code chapter 91C to investigate violations of and enforce the requirements of the bill, as well as to issue citations for such violations. Code chapter 91C provides for administrative penalties of not more than $500 in the case of a first violation and not more than $5,000 for each subsequent violation.
   The bill defines a “contractor” as any person that enters into a contract for the performance of construction work on a public improvement project.
   Current Code defines “public improvement” as any building or construction work which is constructed, repaired, remodeled, or demolished under the control of a governmental entity and is paid for in whole or in part with funds of the governmental entity, including a building or improvement constructed or operated jointly with any other public or private agency.
   The bill applies to contracts for public improvement projects awarded on or after January 1, 2021.