AN ACT

 

1Amending the act of August 15, 1961 (P.L.987, No.442), entitled 
2"An act relating to public works contracts; providing for 
3prevailing wages; imposing duties upon the Secretary of Labor 
4and Industry; providing remedies, penalties and repealing 
5existing laws," raising the threshold for applicability.

6The General Assembly of the Commonwealth of Pennsylvania
7hereby enacts as follows:

8Section 1. Sections 2 and 7 of the act of August 15, 1961 
9(P.L.987, No.442), known as the Pennsylvania Prevailing Wage 
10Act, amended August 9, 1963 (P.L.653, No.342), are amended to 
11read:

12Section 2. Definitions.--As used in this act--

13(1) "Department" means Department of Labor and Industry of 
14the Commonwealth of Pennsylvania.

15(2) "Locality" means any political subdivision, or 
16combination of the same, within the county in which the public 
17work is to be performed. When no workmen for which a prevailing 
18minimum wage is to be determined hereunder are employed in the 

1locality, the locality may be extended to include adjoining 
2political subdivisions where such workmen are employed in those 
3crafts or trades for which there are no workmen employed in the 
4locality as otherwise herein defined.

5(3) "Maintenance work" means the repair of existing 
6facilities when the size, type or extent of such facilities is 
7not thereby changed or increased.

8(4) "Public body" means the Commonwealth of Pennsylvania, 
9any of its political subdivisions, any authority created by the 
10General Assembly of the Commonwealth of Pennsylvania and any 
11instrumentality or agency of the Commonwealth of Pennsylvania.

12(5) "Public work" means construction, reconstruction, 
13demolition, alteration and/or repair work other than maintenance 
14work, done under contract and paid for in whole or in part out 
15of the funds of a public body where the estimated cost of the 
16total project is in excess of [twenty-five thousand dollars 
17($25,000)] five hundred thousand dollars ($500,000) as adjusted 
18on March 1 of each year to conform to increases or decreases in 
19the Consumer Price Index for the previous calendar year for 
20urban wage earners in the Pennsylvania, New Jersey, Delaware and 
21Maryland area combined, but shall not include work performed 
22under a rehabilitation or manpower training program.

23(6) "Secretary" means the Secretary of Labor and Industry or 
24his duly authorized deputy or representative.

25(7) "Workman" includes laborer, mechanic, skilled and semi-
26skilled laborer and apprentices employed by any contractor or 
27subcontractor and engaged in the performance of services 
28directly upon the public work project, regardless of whether 
29their work becomes a component part thereof, but does not 
30include material suppliers or their employes who do not perform 

1services at the job site.

2(8) "Work performed under a rehabilitation program," means 
3work arranged by and at a State institution primarily for 
4teaching and upgrading the skills and employment opportunities 
5of the inmates of such institutions.

6(9) "Advisory Board" means the board created by section 2.1 
7of this act.

8(10) "Appeals Board" means the board created by section 2.2 
9of this act.

10Section 7. Duty of Secretary.--[The secretary shall, after
11consultation with the advisory board, determine the general
12prevailing minimum wage rate in the locality in which the public
13work is to be performed for each craft or classification of all
14workmen needed to perform public work contracts during the
15anticipated term thereof: Provided, however, That employer and
16employe contributions for employe benefits pursuant to a bona
17fide collective bargaining agreement shall be considered an
18integral part of the wage rate for the purpose of determining
19the minimum wage rate under this act. Nothing in this act,
20however, shall prohibit the payment of more than the general
21prevailing minimum wage rate to any workman employed on public
22work. The secretary shall forthwith give notice by mail of all
23determinations of general prevailing minimum wage rates made
24pursuant to this section to any representative of any craft, any
25employer or any representative of any group of employers, who
26shall in writing request the secretary so to do.] (a) After 
27consulting with the advisory board, the secretary shall 
28determine the general prevailing minimum wage rate in the county 
29where the public work is to be performed for a craft or 
30classification of the workmen needed to perform public work 

1contracts during the anticipated term as long as the employer 
2and employe contributions for bona fide employe benefits are 
3considered an integral part of the wage rate for the purpose of 
4determining the minimum wage rate under this act.

5(b) Administration shall be as follows:

6(1) The secretary shall conduct a continuing program for
7obtaining and compiling wage rate information and shall
8encourage the voluntary submission of wage rate data for
9specified representative work weeks, from contractors,
10contractors' associations, labor organizations, public officials
11and other interested parties, which reflect wage rates paid to
12workmen in the various types of construction in the locality
13during the representative periods. Rates must be determined
14annually for varying types of projects within the entire range
15of work performed by the building and construction industry.
16Information submitted must reflect not only the specified wage
17rate paid to a particular craft in the locality but also the
18type of projects on which the wage rate or rates were paid. At a
19minimum, a submission must specify the type of project being
20reported, including whether the project is commercial,
21institutional, residential or for a highway or road and whether
22the contracted project exceeded the threshold of this act.

23(2) If the secretary deems the data at hand is insufficient
24to make a determination regarding the crafts or classifications
25necessary to perform the proposed public work in a particular
26county, the secretary may:

27(i) utilize wage data from an adjoining county with a
28comparable labor market; or

29(ii) have a field survey conducted by a staff representative
30of the secretary for the purpose of obtaining additional

1information to make a determination of the wage rates and the
2customs, usages and practices as to the type of work applicable
3to the wage rates.

4(3) The identifying information, including names and
5addresses of contractors or employes, submitted by parties
6participating in a wage survey under this subsection must remain
7confidential and not subject to the requirements of the act of
8February 14, 2008 (P.L.6, No.3), known as the "Right-to-Know
9Law," or other law requiring public disclosure. If the
10information must be disclosed in response to a subpoena, court
11order or other lawful directive, the information must be
12redacted in a way to ensure the confidentiality of the
13submitting contractor and the employes of the contractor.

14(4) The secretary shall:

15(i) ensure the wage rate data submitted under this
16subsection is accurate;

17(ii) require statements signed by parties submitting data
18certifying that the information is accurate; and

19(iii) to the maximum extent possible, conduct random audits
20to ensure accuracy of data.

21(5) After notice and hearing, a party found to have
22intentionally submitted false wage data under this subsection is
23subject to debarment, for a period of up to three years as
24determined by the secretary, from:

25(i) public work as provided for under section 11(e), in the
26case of a contractor; and

27(ii) a submission of wage data, in the case of another
28party.

29(6) Wage rate data submitted under this subsection must
30reflect the wages paid to workmen for work in the same trade or

1occupation on a project that is not subject to this act or a
2Federal or other state's prevailing wage law; however, if no
3comparable project or covered job function similar in work type
4to that needed by a public body exists, the secretary may
5utilize a wage rate promulgated under 40 U.S.C. Ch. 31 Subch. IV
6(relating to wage rate requirements) for the work.

7(c) The secretary shall give notice electronically, or by
8mail if requested, of a determination of a general prevailing
9minimum wage rate made under this section to a representative of
10a craft or an employer or representative of a group of
11employers. The request must be made in writing.

12Section 2. Section 15 of the act is amended to read:

13Section 15. Application of Act.--This act shall have no
14application to any public works subject to the Walsh-Healey Act,
15the act of June 30, 1936, chapter 881, 49 Stat. 2036, 41 USCA
16sections 35-45, or [the Davis Bacon Act, the act of March 3,
171931, 40 U. S. Code 276 (a)] 40 U.S.C. Ch. 31 Subch. IV
18(relating to wage rate requirements).

19Section 3. The amendment of section 2 of the act shall apply
20to contracts entered into on or after the effective date of this
21section.

22Section 4. This act shall take effect in 60 days.