093_HB3398
LRB093 03396 WGH 07431 b
1 AN ACT concerning employment.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The State Finance Act is amended by adding
5 Section 5.595 as follows:
6 (30 ILCS 105/5.595 new)
7 Sec. 5.595. The Prevailing Wage Enforcement Fund.
8 Section 10. The Prevailing Wage Act is amended by
9 changing Sections 2, 4, 5, 6, 9, 10, and 11a and adding
10 Section 11c as follows:
11 (820 ILCS 130/2) (from Ch. 48, par. 39s-2)
12 Sec. 2. This Act applies to the wages of laborers,
13 mechanics and other workers employed in any public works, as
14 hereinafter defined, by any public body and to anyone under
15 contracts for public works.
16 As used in this Act, unless the context indicates
17 otherwise:
18 "Public works" means all fixed works constructed for
19 public use by any public body, other than work done directly
20 by any public utility company, whether or not done under
21 public supervision or direction, or paid for wholly or in
22 part out of public funds. "Public works" as defined herein
23 includes all projects financed in whole or in part with bonds
24 issued under the Industrial Project Revenue Bond Act (Article
25 11, Division 74 of the Illinois Municipal Code), the
26 Industrial Building Revenue Bond Act, the Illinois
27 Development Finance Authority Act, the Illinois Sports
28 Facilities Authority Act, or the Build Illinois Bond Act, and
29 all projects financed in whole or in part with loans or other
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1 funds made available pursuant to the Build Illinois Act or
2 the Illinois FIRST program.
3 "Fixed works" means all construction associated with a
4 permanent change in real estate.
5 "Construction" means all work on public works involving
6 laborers, workers or mechanics.
7 "Locality" means the county where the physical work upon
8 public works is performed, except (1) that if there is not
9 available in the county a sufficient number of competent
10 skilled laborers, workers and mechanics to construct the
11 public works efficiently and properly, "locality" includes
12 any other county nearest the one in which the work or
13 construction is to be performed and from which such persons
14 may be obtained in sufficient numbers to perform the work and
15 (2) that, with respect to contracts for highway work with the
16 Department of Transportation of this State, "locality" may at
17 the discretion of the Secretary of the Department of
18 Transportation be construed to include two or more adjacent
19 counties from which workers may be accessible for work on
20 such construction.
21 "Public body" means the State or any officer, board or
22 commission of the State or any political subdivision or
23 department thereof, or any institution supported in whole or
24 in part by public funds, authorized by law to construct
25 public works or to enter into any contract for the
26 construction of public works, and includes every county,
27 city, town, village, township, school district, irrigation,
28 utility, reclamation improvement or other district and every
29 other political subdivision, district or municipality of the
30 state whether such political subdivision, municipality or
31 district operates under a special charter or not.
32 The terms "general prevailing rate of hourly wages",
33 "general prevailing rate of wages" or "prevailing rate of
34 wages" when used in this Act mean the hourly cash wages plus
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1 fringe benefits for training and apprenticeship programs
2 approved by the U.S. Department of Labor, Bureau of
3 Apprenticeship and Training, health and welfare, insurance,
4 vacations and pensions paid generally, in the locality in
5 which the work is being performed, to employees engaged in
6 work of a similar character on public works.
7 (Source: P.A. 91-105, eff. 1-1-00; 91-935, eff. 6-1-01;
8 92-16, eff. 6-28-01.)
9 (820 ILCS 130/4) (from Ch. 48, par. 39s-4)
10 Sec. 4. (a) The public body awarding any contract for
11 public work or otherwise undertaking any public works, shall
12 ascertain the general prevailing rate of hourly wages in the
13 locality in which the work is to be performed, for each craft
14 or type of worker or mechanic needed to execute the contract,
15 and where the public body performs the work without letting a
16 contract therefor, shall ascertain the prevailing rate of
17 wages on a per hour basis in the locality, and such public
18 body shall specify in the resolution or ordinance and in the
19 call for bids for the contract, that the general prevailing
20 rate of wages in the locality for each craft or type of
21 worker or mechanic needed to execute the contract or perform
22 such work, also the general prevailing rate for legal holiday
23 and overtime work, as ascertained by the public body or by
24 the Department of Labor shall be paid for each craft or type
25 of worker needed to execute the contract or to perform such
26 work, and it shall be mandatory upon the contractor to whom
27 the contract is awarded and upon any subcontractor under him,
28 and where the public body performs the work, upon the public
29 body, to pay not less than the specified rates to all
30 laborers, workers and mechanics employed by them in the
31 execution of the contract or such work; provided, however,
32 that if the public body desires that the Department of Labor
33 ascertain the prevailing rate of wages, it shall notify the
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1 Department of Labor to ascertain the general prevailing rate
2 of hourly wages for work under contract, or for work
3 performed by a public body without letting a contract as
4 required in the locality in which the work is to be
5 performed, for each craft or type of worker or mechanic
6 needed to execute the contract or project or work to be
7 performed. Upon such notification the Department of Labor
8 shall ascertain such general prevailing rate of wages, and
9 certify the prevailing wage to such public body. The public
10 body awarding the contract shall cause to be inserted in the
11 contract or bid proposal submitted by the bidding contractor
12 a stipulation to the effect that not less than the prevailing
13 rate of wages as found by the public body or Department of
14 Labor or determined by the court on review shall be paid to
15 all laborers, workers and mechanics performing work under the
16 contract.
17 (b) It shall also be mandatory upon the contractor to
18 whom the contract is awarded to insert into each subcontract,
19 or require in each subcontractor's bid proposal, a written
20 stipulation to the effect that not less than the prevailing
21 rate of wages shall be paid to all laborers, workers, and
22 mechanics performing work under the contract. It shall also
23 be mandatory upon each subcontractor to cause to be inserted
24 into each additional tier subcontract, or require in each
25 tier subcontractor's bid proposal, a stipulation to the
26 effect that not less than the prevailing rate of wages shall
27 be paid to all laborers, workers, and mechanics performing
28 work under the contract. A contractor or subcontractor who
29 fails to comply with this subsection (b) is in violation of
30 this Act.
31 (c) It shall also require in all such contractor's bonds
32 that the contractor include such provision as will guarantee
33 the faithful performance of such prevailing wage clause as
34 provided by contract. All bid specifications shall list the
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1 specified rates to all laborers, workers and mechanics in the
2 locality for each craft or type of worker or mechanic needed
3 to execute the contract.
4 (d) If the Department of Labor revises the prevailing
5 rate of hourly wages to be paid by the public body, the
6 revised rate shall apply to such contract, and the public
7 body shall be responsible to notify the contractor and each
8 subcontractor, of the revised rate. If any prevailing wage
9 rate is increased from the rate contained in the original
10 contract, the contractor may recover from the public body any
11 additional sums of money that the contractor may be required
12 to pay as the result of the increase.
13 (e) Two or more investigatory hearings under this
14 Section on the issue of establishing a new prevailing wage
15 classification for a particular craft or type of worker shall
16 be consolidated in a single hearing before the Department.
17 Such consolidation shall occur whether each separate
18 investigatory hearing is conducted by a public body or the
19 Department. The party requesting a consolidated investigatory
20 hearing shall have the burden of establishing that there is
21 no existing prevailing wage classification for the particular
22 craft or type of worker in any of the localities under
23 consideration.
24 (f) When 5 or more laborers, workers, or mechanics are
25 working on a public works project, it shall be mandatory upon
26 the contractor to whom the contract is awarded to cause to be
27 posted on the job site in a area readily accessible to the
28 employees a current copy of the prevailing rate of wages as
29 established by the Illinois Department of Labor. Any
30 contractor who fails to comply with this subsection (f) is in
31 violation of this Act. One posting per job site is sufficient
32 to comply with this subsection (f).
33 (Source: P.A. 92-783, eff. 8-6-02.)
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1 (820 ILCS 130/5) (from Ch. 48, par. 39s-5)
2 Sec. 5. The contractor and each subcontractor or the
3 officer of the public body in charge of the project shall
4 make and keep, for a period of not less than 3 years, true
5 and accurate records of the name, address, telephone number
6 when available, social security number, keep or cause to be
7 kept, an accurate record showing the names and occupation of
8 all laborers, workers and mechanics employed by them, in
9 connection with said public work. The records shall also show
10 the actual hourly wages paid in each pay period to each
11 employee and the hours worked each day in each work week by
12 each employee. While participating on public works, each
13 contractor's payroll records shall include the starting and
14 ending times of work for each employee. The, and showing also
15 the actual hourly wages paid to each of such persons, which
16 record shall be open at all reasonable hours to the
17 inspection of the public body awarding the contract, its
18 officers and agents, and to the Director of Labor and his
19 deputies and agents. Any contractor or subcontractor that
20 maintains its principal place of business outside of this
21 State shall make the required records or accurate copies of
22 those records available within this State at all reasonable
23 hours for inspection.
24 (Source: P.A. 92-783, eff. 8-6-02.)
25 (820 ILCS 130/6) (from Ch. 48, par. 39s-6)
26 Sec. 6. Any officer, agent or representative of any
27 public body who wilfully violates, or omits to comply with,
28 any of the provisions of this Act, and any contractor or
29 subcontractor, or agent or representative thereof, doing
30 public work as aforesaid, who neglects to keep, or cause to
31 be kept, an accurate record of the names, occupation and
32 actual wages paid to each laborer, worker and mechanic
33 employed by him, in connection with the public work or who
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1 refuses to allow access to same at any reasonable hour to any
2 person authorized to inspect same under this Act, is guilty
3 of a Class B misdemeanor. If the Director of Labor or his or
4 her deputies or agents find that a contractor or
5 subcontractor has failed to comply with the provisions of
6 this Act, a request may be made to the public body to
7 withhold payment to the contractor or subcontractor in the
8 amount of the alleged underpayment. If agreed to by the
9 public body, the withholding shall remain in effect until it
10 is determined that the violation no longer exists.
11 The Department of Labor shall inquire diligently as to
12 any violation of this Act, shall institute actions for
13 penalties herein prescribed, and shall enforce generally the
14 provisions of this Act. The Attorney General shall prosecute
15 such cases upon complaint by the Department or any interested
16 person.
17 (Source: P.A. 81-992.)
18 (820 ILCS 130/9) (from Ch. 48, par. 39s-9)
19 Sec. 9. To effectuate the purpose and policy of this Act
20 each public body shall, during the month of June of each
21 calendar year, investigate and ascertain the prevailing rate
22 of wages as defined in this Act and publicly post or keep
23 available for inspection by any interested party in the main
24 office of such public body its determination of such
25 prevailing rate of wage and shall promptly file, no later
26 than July 15 of each year, a certified copy thereof in the
27 office of the Secretary of State at Springfield and the
28 office of the Illinois Department of Labor.
29 The Department of Labor shall during the month of June of
30 each calendar year, investigate and ascertain the prevailing
31 rate of wages for each county in the State. If a public body
32 does not investigate and ascertain the prevailing rate of
33 wages during the month of June as required by the previous
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1 paragraph, then the prevailing rate of wages for that public
2 body shall be the rate as determined by the Department under
3 this paragraph for the county in which such public body is
4 located.
5 Where the Department of Labor ascertains the prevailing
6 rate of wages, it is the duty of the Department of Labor
7 within 30 days after receiving a notice from the public body
8 authorizing the proposed work, to conduct an investigation to
9 ascertain the prevailing rate of wages as defined in this Act
10 and such investigation shall be conducted in the locality in
11 which the work is to be performed. The Department of Labor
12 shall send a certified copy of its findings to the public
13 body authorizing the work and keep a record of its findings
14 available for inspection by any interested party in the
15 office of the Department of Labor at Springfield.
16 The public body except for the Department of
17 Transportation with respect to highway contracts shall within
18 30 days after filing with the Secretary of State, or the
19 Department of Labor shall within 30 days after filing with
20 such public body, publish in a newspaper of general
21 circulation within the area that the determination is
22 effective, a notice of its determination and shall promptly
23 mail a copy of its determination to any employer, and to any
24 association of employers and to any person or association of
25 employees who have filed their names and addresses,
26 requesting copies of any determination stating the particular
27 rates and the particular class of workers whose wages will be
28 affected by such rates.
29 At any time within 30 15 days after the Department of
30 Labor has published on its official web site a prevailing
31 wage schedule a certified copy of the determination has been
32 published as herein provided, any person affected thereby may
33 object in writing to the determination or such part thereof
34 as they may deem objectionable by filing a written notice
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1 with the public body or Department of Labor, whichever has
2 made such determination, stating the specified grounds of the
3 objection. It shall thereafter be the duty of the public body
4 or Department of Labor to set a date for a hearing on the
5 objection after giving written notice to the objectors at
6 least 10 days before the date of the hearing and said notice
7 shall state the time and place of such hearing. Such hearing
8 by a public body shall be held within 45 20 days after the
9 objection is filed, and shall not be postponed or reset for a
10 later date except upon the consent, in writing, of all the
11 objectors and the public body. If such hearing is not held by
12 the public body within the time herein specified, the
13 Department of Labor may, upon request of the objectors,
14 conduct the hearing on behalf of the public body.
15 The public body or Department of Labor, whichever has
16 made such determination, is authorized in its discretion to
17 hear each written objection filed separately or consolidate
18 for hearing any one or more written objections filed with
19 them. At such hearing the public body or Department of Labor
20 shall introduce in evidence the investigation it instituted
21 which formed the basis of its determination, and the public
22 body or Department of Labor, or any interested objectors may
23 thereafter introduce such evidence as is material to the
24 issue. Thereafter, the public body or Department of Labor,
25 must rule upon the written objection and make such final
26 determination as it believes the evidence warrants, and
27 promptly file a certified copy of its final determination
28 with such public body and the Secretary of State, and serve a
29 copy by personal service or registered mail on all parties to
30 the proceedings. The final determination by the Department of
31 Labor or a public body shall be rendered within 30 10 days
32 after the conclusion of the hearing.
33 If proceedings to review judicially the final
34 determination of the public body or Department of Labor are
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1 not instituted as hereafter provided, such determination
2 shall be final and binding.
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
6 for the judicial review of final administrative decisions of
7 any public body or the Department of Labor hereunder. The
8 term "administrative decision" is defined as in Section 3-101
9 of the Code of Civil Procedure.
10 Appeals from all final orders and judgments entered by
11 the court in review of the final administrative decision of
12 the public body or Department of Labor, may be taken by any
13 party to the action.
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.
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
21 shall not represent any public body, except the State, in any
22 such review or appeal.
23 (Source: P.A. 83-201.)
24 (820 ILCS 130/10) (from Ch. 48, par. 39s-10)
25 Sec. 10. The presiding officer of the public body, or
26 his or her authorized representative and the Director of the
27 Department of Labor, or his or her authorized representative
28 may administer oaths, take or cause to be taken the
29 depositions of witnesses, and require by subpoena the
30 attendance and testimony of witnesses, and the production of
31 all books, records, and other evidence relative to the matter
32 under investigation or hearing. Such subpoena shall be signed
33 and issued by such presiding officer or his or her authorized
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1 representative, or the Director or his or her authorized
2 representative.
3 Upon request by the Director of Labor or his or her
4 deputies or agents, records shall be copied and submitted for
5 evidence at no cost to the Department of Labor. Every
6 employer upon request shall furnish to the Director or his or
7 her authorized representative, on demand, a sworn statement
8 of the accuracy of the records. The sworn statement shall be
9 a statement approved by the Director of Labor and presented
10 to the contractor by the Director or an authorized
11 representative of the Director. Any employer who refuses to
12 furnish a sworn statement of the records is in violation of
13 this Act.
14 In case of failure of any person to comply with any
15 subpoena lawfully issued under this section or on the refusal
16 of any witness to produce evidence or to testify to any
17 matter regarding which he or she may be lawfully
18 interrogated, it is the duty of any circuit court, upon
19 application of such presiding officer or his or her
20 authorized representative, or the Director or his or her
21 authorized representative, to compel obedience by proceedings
22 for contempt, as in the case of disobedience of the
23 requirements of a subpoena issued by such court or a refusal
24 to testify therein. Such presiding officer and the Director
25 may certify to official acts.
26 (Source: P.A. 83-334.)
27 (820 ILCS 130/11a) (from Ch. 48, par. 39s-11a)
28 Sec. 11a. The Director of the Department of Labor shall
29 publish in the Illinois Register no less often than once each
30 calendar quarter a list of contractors or subcontractors
31 found to have disregarded their obligations to employees
32 under this Act. The Department of Labor shall determine the
33 contractors or subcontractors who, on 2 separate occasions,
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1 have been determined to have violated the provisions of this
2 Act. Upon such determination the Department shall notify the
3 violating contractor or subcontractor. Such contractor or
4 subcontractor shall then have 10 working days to request a
5 hearing by the Department on the alleged violations. Failure
6 to respond within the 10 working day period shall result in
7 automatic and immediate placement and publication on the
8 list. If the contractor or subcontractor requests a hearing
9 within the 10 working day period, the Director shall set a
10 hearing on the alleged violations. Such hearing shall take
11 place no later than 45 30 calendar days after the receipt by
12 the Department of Labor of the request for a hearing. The
13 Department of Labor is empowered to promulgate, adopt, amend
14 and rescind rules and regulations to govern the hearing
15 procedure. No contract shall be awarded to a contractor or
16 subcontractor appearing on the list, or to any firm,
17 corporation, partnership or association in which such
18 contractor or subcontractor has an interest until 2 years
19 have elapsed from the date of publication of the list
20 containing the name of such contractor or subcontractor.
21 (Source: P.A. 86-693; 86-799; 86-1028.)
22 (820 ILCS 130/11c new)
23 Sec. 11c. Prevailing Wage Enforcement Fund. Twenty
24 percent of the civil penalties recovered under this Act shall
25 be paid into the Prevailing Wage Enforcement Fund, a special
26 fund that is hereby created in the State treasury. Moneys in
27 the Fund shall be used, subject to appropriation, for
28 exemplary programs, demonstration projects, and other
29 activities or purposes related to the enforcement of this
30 Act.