This bill amends current law to extend the prohibition on receiving public works contracts to cooperatives when at least one member has failed to pay prevailing wages. Previously, this restriction applied only to contractors and subcontractors. The new language specifies that no contract shall be awarded to any cooperative, corporation, or partnership in which a contractor or subcontractor with a history of wage violations has an interest for a period of three years from the date of their listing.
Additionally, the bill provides a definition of "cooperative" as a system of collective ownership where shareholders or co-owners have a long-term proprietary interest or control over the business operations. The bill also clarifies the term "interest" to include various forms of involvement with the firm, corporation, or partnership, and establishes a rebuttable presumption of interest based on shared characteristics or capacities between entities. This legislation aims to ensure compliance with prevailing wage laws and maintain fair labor practices in public works contracts.
Statutes affected: Introduced: 34:11-56.38