NAHRO CONFERENCE Federal Labor Standards Training May 1, Texas NAHRO 37 th Annual Conference San Antonio, TX

Transcription

1 NAHRO CONFERENCE Federal Labor Standards Training May 1, 2013 Texas NAHRO 37 th Annual Conference San Antonio, TX

2 ADMINISTRATIVE RESOURCES - An overview of the new HUD Handbook Federal Labor Standards Requirements in Housing and Urban Development Programs HUD Rev. 2 - An overview of the Contractor Workers pocket-guide ADMINISTRATION AND ENFORCEMENT - Key elements to conducting proper employee interviews - Pitfalls of common monitoring findings 3

3 ADMINISTRATIVE RESOURCES Identify the key agency responsibilities concerning labor standards enforcement (based on the new , Rev. 2 Handbook) Highlight key points in Contractor Worker s Pocketguide 4

4 ADMINISTRATION & ENFORCEMENT Provide key strategies for conducting Employee Interviews, and highlight potential red flag issues when on-site Highlight common monitoring finding and how to prevent them Discuss when to apply multiple wage schedules, and key elements that should be observed when using multiple wage schedules, on a single project 5

5 Maintenance Workers Construction Workers Public Housing Agencies Agency Grantees Contractors Developers Program Staff Other Federal Agency Staff 7

6 ADMINISTRATIVE RESOURCES Rev. 1 last updated, Dec & subsequent Change 1, January 1987 Handbook title changed Minor changes to responsibilities of state, local, and tribal agencies 8

7 1344.1, Rev Rev. 2 Federal Labor Standards Compliance in Housing and Community Development Programs Contract Management System must meet OMB Circular A-102 Informing contractors of their labor standards obligations through preconstruction conferences Not previously discussed Federal Labor Standards Requirements in Housing and Urban Development Programs Contract Management System must meet 24 CFR Part 85 The requirement for preconstruction conferences was previously eliminated through 10 Steps To Streamlining LCA must inform, support and oversee any subordinate program participation to ensure full labor standards is being met 9

8 1344.1, Rev Rev. 2 Ensuring labor standards and wage determination in bid docs, ensure no debarred contractors Conducting employee interviews, ensure posting of wage determination, and reviewing payroll reports Maintain full documentation and made available to HUD Essentially the same, however new system in place effective August ELPS functionality merged to SAM In general the same, but also added ensuring posting of Davis-Bacon poster (WH-1321) Maintain full documentation and made available to HUD and DOL 10

9 1344.1, Rev Rev. 2 Previously included Not previously included Chapter 9 Deposits and Escrow Accounts. This section was completely re-written to facilitate better coordination between local HUD and Agency when deposits are necessary. OLR coordination is a MUST before deposits are sent electronically to HUD. Consideration for residential construction description was added (page 3-4). Resource detail comes from DOL 11

10 IRS definition on independent contractor vs. employee: Based on who is controlling or directing the outcome of work? 12

11 Independent Contractor (Self-Employed) or Employee? It is critical that business owners correctly determine whether the individuals providing services are employees or independent contractors. They must know the business relationship that exists between them and the person performing the services. In determining whether the person providing service is an employee or an independent contractor, all information that provides evidence of the degree of control and independence must be considered. 13

12 Determining Whether the Individuals Providing Services are Employees or Independent Contractors Before a business can determine how to treat payments made by a business to make for services, they must first know the business relationship that exists between themselves and the person performing the services. 14

13 Common Law Rules Facts that provide evidence of the degree of control and independence fall into three categories: Behavioral Financial Type of Relationship 15

14 Businesses should contact the I.R.S. if uncertain about determination of business relationship to independent contractor verses employee 16

15 LCA ADMINISTRATION Appointing Labor Standards Officer without proper training Consultants performing the role of Labor Standards Officer should be documented with written understanding Same documentation is expected for Remote/Desk Reviews, as it is for on-site reviews Documenting the project closeout is just as important as documenting project start 17

16 LCA ADMINISTRATION Documenting interface with other departments when administering federal labor compliance Lack of submission or late submission of Semi Annual Labor Standards Enforcement Report (SAR) 18

17 LCA ADMINISTRATION No comprehensive system in place to illustrate a complete understanding of federal labor standards (i.e. lacking a documented process to cover all aspects) Not documenting eligibility of contractor (i.e. ensuring not a debarred contractor) Applying incorrect determination to project 19

18 LCA ADMINISTRATION Whether at the state or local level, the labor relations officer (LRO) should perform more than just payroll reviews. The LRO should be informed of all project planning and contracting activity, The LRO should be consulted regularly regarding the applicability of prevailing wage requirements, and The LRO should withhold funds from contractors when circumstances warrant 20

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20 RESOURCES Labor Relations Letters On-the-Mark! Series 22

21 RESOURCES DOL DBRA Homepage DOL Regulations DOL Forms 23

22 RESOURCES GSA s On-Line Debarment List Davis-Bacon Wage Decisions HUD Office of Labor Relations 24

23 Thank you!