LABOR COMPLIANCE PROGRAM PRESENTATION CERRITOS COLLEGE BOARD OF TRUSTEES

Transcription

1 LABOR COMPLIANCE PROGRAM PRESENTATION CERRITOS COLLEGE BOARD OF TRUSTEES 1 of 15 CS & ASSOCIATES EXPERIENCE & BACKGROUND Established in 2003 by Charla Curtis, Former LCP Director for LAUSD Certified MBE/ WBE/ SBE/ DBE Firm Extensive Project Experience Since 2003 Large & small dollar amount projects New construction & modernizations Other Community Colleges: Mount San Antonio College, Monterey Peninsula College, North Orange County Community College District, Fresno City College, Santa Clarita Community College District Schools, Colleges, Water Districts, Water Treatment & Recycling Plants, Flood Control Districts, Fire Stations, Municipalities, Federal Housing, Counties, Mixed & Joint Use Administer LCPs & provide consulting services for Agencies throughout the State Extensive enforcement action experience Extensive appeal hearing experience 2 of 15 1

2 CS & ASSOCIATES EXPERIENCE & BACKGROUND Background: Member of team which drafted first DIR approved LCP Plan for LAUSD, currently an exemplary Legacy Program Regulatory agency experience LCP experience dating back to 1989 Experience prior to AB1506 (bill which required LCP s on State Bond funded projects) Assisted many Agencies & Third Parties with obtaining LCP approval Assisted many Agencies with updating LCP manual to meet amended regulations in 2009, 2011, & 2012 Personally handled more than 400 settlement actions 3 of 15 LCPs: Past, Present & Future Past: AB1506- Established in November 2002 & implemented in January 2003; required LCPs on all State Bond funded projects (prop 47, 55, 1D & 84) SBX2-9- Established in January 2010, Implemented August 2010 Regulations governing LCPs were extensively modified, required fees for LCP projects be paid to DIR (1/4 of 1% of total project cost) SBX2-9 (passed as AB436) was amended to define how fees are assessed & the role of Third Party LCP s was revised July 1, 2011 DIR Director s Memo discontinued the approval of Third Party LCPs August 1, 2011 LCP Approval of Third Party LCPs was transferred to the Awarding Agency Awarding Agencies had temporary LCP Approval for the duration of projects which were active on August 1, of 15 2

3 LCPs: Past, Present & Future Cerritos College received approval for its own LCP December 2010; however a fee waiver was not granted. LCP approval for all Awarding Agencies, except legacy programs, were revoked by DIR in January Cerritos College s LCP approval was revoked September 21, Present: LCP approval is granted only for Awarding Agencies utilizing Proposition 84 Funds (state bond water funds) Fee waivers continue to be denied by DIR Most recently, DIR has acknowledged LCP approval of a few Awarding Agencies who had prior LCP Approval CS & Associates continues to review, interpret, & advise awarding agencies regarding new & pending legislation/regulations which impact Labor compliance 5 of 15 LCPs: Past, Present & Future Future: Implement voluntary LCP on all Cerritos College projects Protect the best interest of Cerritos College with respect to the enforcement of prevailing wage requirements Engage in necessary activities to preserve the integrity of the competitive bidding process Engage in proactive activities which deter violators/violations 6 of 15 3

4 LABOR COMPLIANCE PROGRAM SERVICES PROVIDED Designed to meet Cerritos College s requirement to take cognizance of violations pursuant to Labor Code Conduct review of LCP requirements at pre-construction meeting (contractor/subcontractor training) Collect & review certified payroll records on weekly basis Compare CPRs to daily logs Maintain accurate data base Conduct random audits/test data that is reported Conduct routine site visits and employee interviews Bilingual staff members (3 languages) Be proactive: identify violations/problems early and resolve promptly Make a withholding (or Delay of Payment) when underpayments/violations occur Resolve informally, when possible, or engage in formal enforcement action when necessary Swiftly secure back wages for workers when under payment occurs Enforce apprenticeship requirements Process public records request Compare the physical record to the data base at close out 7 of 15 PROACTIVE MEASURES AT SERVICES PROVIDED FOR CERRITOS COLLEGE: Conduct LCP in-service with contractors payroll administrators at the start of project LCP in-service is conducted via telephone conference to ensure a higher level of participation Prepare & distribute LCP materials to all prime & subcontractors Establish early & helpful communication with payroll administrators Establish and maintain accurate internal data base Ensure proper & current contact & project information is on file Update internal data base as needed throughout life of project Collect & review CPRs weekly for early detection & correction of deficiencies/errors Investigate and respond to all claims of underpayment and make a finding 8 of 15 4

5 PROACTIVE MEASURES AT Routinely compare site visit reports and daily logs to CPRs to determine: Dates & duration that subcontractors are present on project Compare trades reported to actual scopes of work performed Compare worker head counts to CPRs Track and calculate apprentice ratios by contractor Detect unlisted subcontractors Verify that the required notice of LCP is posted on project Percent complete and whether project is on schedule 9 of 15 PROACTIVE MEASURES AT Monthly Report Provided to Cerritos College and Project Manager Communicates what has been collected Captures & reports CPRs received by: Project Contractor Weekending Status of CPRs (Approved/Rejected) 10 of 15 5

6 PROACTIVE MEASURES AT Investigate all allegations and claims of underpayment to workers Make a finding and document investigative steps If violation/underpayment is determined, take immediate steps to resolve informally Advise contractor/subcontractor of exact amount of back wages necessary to voluntarily resolve the issue Facilitate disbursement of wages and obtain waivers & releases Engage in formal enforcement action if informal resolution is not possible File notice of withholding of contract payments and follow through to resolution Conduct close out & reconcile physical file to data base 11 of 15 PROACTIVE MEASURES AT Engage in appeal hearing case preparation Collect all data for annual reporting to DIR (when required), such as collected back wages, nature of violation, violating contractor name & action taken 12 of 15 6

7 Audits, Worker Complaints and Resolution: 2005 to Present Project Year General Contractor Back Wages Infrastructure & Central Plant 2007/2008/2009 Minco $86, Seismic Retrofit 2006 Kemp Bros. $6, Aquatic Center 2009/2010 SMC $ Infrastructure & Central Plant Ph Minco $6, Infrastructure & Central Plant Ph Minco $57, North South Fire Lane 2010 Hanan Construction $8, Fire Alarm System Replace 2010/2011 Minco Construction $56, Social Science Interior Upgrade 2011 Tek Up Construction $ Baseball/Softball Field Renovation 2011 DMA Greencare $16, Gym Seismic Retrofit 2011/2012 USS Cal Builders $2, Facilities and Purchasing Complex 2011/2012 Bayley Construction $22, Auto Tech 2011/2012 Jaynes Corp $4, Physical Science Renovation 2012 RJ Daum $4, Site Improvement Softball Renovation 2012/2013 Bayley Construction $10, Liberal Arts 2013 McKenna Engineering $ Total Summary of Back Wages Collected 13 of 15 $284, IMPLEMENTING REQUIREMENTS Conclusion: Proactive measures ensure the payment of prevailing wage rates to workers on Cerritos College s projects Ensures a level playing field for competitively bid projects Attracts a higher caliber of contractors Ensures Cerritos College is in compliance with provisions of Labor Code (taking cognizance) CS & Associates looks forward to continuing its service to Cerritos College! 14 of 15 7

8 Thank You! 15 of 15 8