7.__Disbarment from future work.__A contractor or subcontractor that has violated any provision of this section is barred from performing work on another public improvement project for 6 months for the first violation, 3 years for the 2nd violation and permanently for a 3rd violation.

SUMMARY

This bill enacts criteria that must be met by any contractor or subcontractor performing work on a public improvement project. The bill requires that the contractor or subcontractor comply with prevailing wage laws, provide employer-paid health and hospitalization benefits to employees, maintain apprenticeship programs and properly classify employees for purposes of workers' compensation, unemployment and other tax purposes. The bill provides penalties for contractors or subcontractors who fail to comply with the requirements of the law, including refusal to allow the person to bid on or perform work on future projects, liquidated damages, withholding of payments under the contract and cessation of work on the project. Contractors are liable for noncompliance by their subcontractors.