City of Paterson, NJ Public Construction Contracts

Operates an apprenticeship training program in an appropriate craft or trade that is registered with the United States Department of Labor, Employment and Training Administration, Bureau of Apprenticeship and Training;

Has entered into a labor agreement with an employer or multi-employers in the building and construction industry in New Jersey;

Has represented journey level workers, mechanics and apprentices employed on public construction contracts; and

Possesses the ability to refer, provide or represent qualified and journey level workers in the crafts or trades required by the public construction contract in sufficient numbers to perform the contracted work involved in that contract.

CITY OF PATERSON or CITY

The City of Paterson and all public agencies and authorities created, controlled or directed by the City of Paterson.

PUBLIC CONSTRUCTION CONTRACT

Any contract for the construction, reconstruction, demolition or renovation of buildings or property at the public expense for which:

It is required by law that workers be paid the prevailing wage determined by the Commissioner of Labor pursuant to the provisions of the New Jersey Prevailing Wage Act, P.L. 1963, c. 150 (N.J.S.A. 34:11-56.26 et seq.); and

The City of Paterson estimates that the total cost of the contract, exclusive of any land acquisition cost, will equal or exceed $500,000, and providing part or all of said funding is supplied by or through the City of Paterson.

[Amended 3-10-2009 by Ord. No. 09-006]

§ 373-2 Labor force requirements.

Mandatory apprenticeship for public construction contracts. All requests for proposals and specifications for public construction contracts, and all such contracts, shall require that 20% of the building trade labor hours required under each such contract shall be performed by a person or persons enrolled in a local federally registered apprenticeship program or who are apprenticeship equivalents as that term is used by the State of New Jersey in the Abbott Project Labor Agreement (2003). In addition, 50% of all such apprentices shall be first-year apprentices who shall have completed a preapprenticeship training program, either approved and funded by the New Jersey Department of Labor as of January 1, 2003, or approved by the Paterson Community Apprenticeship Initiative (PCAI), through processes developed pursuant to § 373-3 of this chapter.

Contractors and subcontractors. All public construction contracts must require that the contractor and subcontractors hire workers in federally registered apprenticeship programs to comply with this chapter. All requests for proposals and all specifications relating to public construction contracts subject to this chapter shall contain such requirements.

Labor hours. All requests for proposals and all specifications for public construction contracts, and all such contracts, shall require that 20% of the labor hours required under such contracts in all trades and at all levels shall be performed by workers who have participated in a federal or state approved apprenticeship program or who are apprenticeship equivalents as that term is used by the Department of Labor of the State of New Jersey. Apprenticeship equivalents shall be utilized to the extent permitted by the regulations and guidelines of the Department of Labor of the State of New Jersey, and they shall be paid prevailing apprentice wages and shall have identical benefits pending their admission as full apprentices. In addition, 50% of all said apprentices shall be first-year apprentices and shall be drawn from PCAI approved preapprenticeship programs.

Special circumstances. In the event that a condition exists whereby there are not sufficient available applicants to satisfy the labor farce requirements of this chapter, then the affected contractor or subcontractor shall be required to supply funding equal to the cost of training an equivalent number of preapprentices in a PCAI approved preapprenticeship program. Such contractor or subcontractor must provide proof to the PCAI that a good-faith effort has been made to comply with the conditions of this chapter.

§ 373-3 Paterson Community Apprenticeship Initiative.

Establishment. The City of Paterson thereby establishes the Paterson Community Apprenticeship Initiative (PCAI), to ensure the ongoing training of preapprentices qualified to apply for federally registered apprenticeship programs and to provide the support services such preapprentices need to pursue successful careers in the construction trades.

Advisory Board. The PCAI shall be governed by an Advisory Board of nine members, comprising the Chairman of the Municipal Council's Community Development Committee, one member appointed by the Municipal Council President, one member appointed by the Municipal Council as a body, two members appointed by the Mayor of the City of Paterson, one member appointed by the Paterson Board of Education, one member appointed by the Paterson Housing Authority and two members selected by representatives of the Passaic County Building Trades Council and the Carpenters Union.

Referral source. The PCAI shall select one or more preapprenticeship programs to serve as the designated preapprentice referral source for purposes of this chapter.

Operation and curriculum. The PCAI shall supervise the development and operation of the approved preapprenticeship programs and shall retain authority to review and approve their curriculum and procedures for recruiting and selecting participants. The PCAI shall ensure that all approved preapprenticeship programs are operated in such a manner that successful graduates of the preapprenticeship programs will be equipped and eligible for entry into the apprenticeship programs of the Passaic County Building Trades Council and the Carpenters Union.

Preparatory services. The PCAI shall ensure that the selected preapprenticeship programs provide all necessary preparatory services for enrolled preapprentices, including assistance with GED preparation, obtaining drivers' licenses where appropriate, mentoring and other supportive services for preapprentices.

Training and monitoring. The PCAI stall administer the training and monitor the funding utilized to provide the preapprenticeship programs approved hereunder.

Duty to enforce. The PCAI shall coordinate, monitor and enforce the requirements of this chapter so as to ensure that the apprentices are being utilized by the contractors and subcontractors in public construction contracts as required by this chapter.

§ 373-4 Funding for preapprenticeship programs.

All public construction contracts shall include a requirement that the contractor and all subcontractors performing work pursuant to such contracts contribute to the PCAI a certain sum per worker hour projected to be worked on the project. The PCAI is hereby authorized to adopt this fee consistent with the laws of the State of New Jersey and the Code of the City of Patterson. This contractor contribution rate shall be calculated according to a formula to be determined by the PCAI that takes into account the cost of operating a preapprenticeship program such that there will be adequate funding to ensure the graduation of workers sufficient to perform 20% of the work hours projected for each public construction contract, and also to provide adequate funding to cover the costs of monitoring compliance with the provisions of this chapter. The imposition of such fee, however, shall require approval by resolution of the Municipal Council of the City of Paterson.

§ 373-5 Inclusion of minorities and women.

Public construction contracts shall require that 20% of the labor force be composed of women and minority group members, as that term is defined by N.J.S.A. 40A:11-41. All requests for proposals and specifications for public construction contracts shall set forth this requirement.

§ 373-6 Monitoring and enforcement.

Declaration of compliance. Each proposed contractor and subcontractor subject to the provisions of this chapter shall submit to the City of Paterson a completed certified declaration of compliance form as part of its proposal in response to a request for proposals and in order to meet the City specifications. The completed declaration of compliance form shall be made part of the executed contract and shall be in a form approved by the City.

Contractors and subcontractors. All contractors in public construction contracts shall require that their subcontractors comply with the provisions of this chapter. Language indicating the subcontractor's agreement to comply shall be included in the contract between the contractor and subcontractor. Copies of such agreements shall be submitted to the City for approval.

(1)

Reports. All contractors and subcontractors shall report to the PCAI and the City by March 31, June 30, September 30 and December 31 of each year and shall provide the following information certified and notarized:

(a)

The workforce employed during that quarter on public construction contracts;

(b)

The value of contracts and subcontracts covered by this chapter;

(c)

The name, address, date of hire, occupation classification, apprenticeship status, rate of pay and benefits provided to each of the employees of the contractor and subcontractor; and

(d)

The number and percentage of hours worked by apprentices on said contacts.

(2)

Records. Contractors and subcontractors shall maintain certified payroll records for all employees and shall preserve them for a period of three years after completion of the public construction contract, making such records available within 10 days of a written request authorized by this chapter.

(3)

Site and records access. All contractors and subcontractors subject to this chapter shall permit appropriate access for representatives of the City and the PCAI to all worksites and to all applicable records of the contractor or subcontractor in order to monitor compliance with the provisions of this chapter.

City Council hearings. The Municipal Council of the City of Paterson may hold public hearings at times to be determined by the Council with respect to the implementation of this chapter.

(1)

PCAI reports. Prior to any such hearing, the PCAI shall provide relevant reporting information to the City Council, including the following items:

(a)

The number of apprentices who worked on public construction contracts during the reporting period;

(b)

The number of individuals trained and approved by preapprenticeship programs who became apprentices during the reporting period;

(c)

The number and percentage of women and minority group members who were employed in public construction contracts during the reporting period; and

(d)

Detailed reports disclosing any violations found and sanctions imposed.

City remedies. In the event the City determines that any contractor or subcontractor has failed to comply with the provisions of this chapter, it shall have available all legal remedies.

(1)

Options. Such remedies shall include, but not be limited to, all remedies available at law or in equity and all such remedies included in the specifications or contract, which may provide for:

(a)

Suspending or terminating the contract;

(b)

Completing the contract and requiring the contractor or subcontractor to pay all damages and costs in utilizing a substitute contractor or subcontractor;

(c)

Debarring the contractor or subcontractor from eligibility for future City contracts;

(d)

Requiring the refunding of payments made by the City to the contractor or subcontractor prior to the suspension or termination; and

(e)

Assessing a daily fine and other penalties payable to the City of Paterson. A schedule of fines and penalties necessary to enforce this chapter shall be recommended by the PCAI and enacted by ordinance of the City Council. The City shall withhold funds from any final payment due to covered contractors in an amount sufficient to cover unpaid fees or potential penalties for shortfalls regarding the apprenticeship requirements of this chapter. Such fines and penalties shall be not less than 3% nor more than 10% of the total price of the contract in question.

(2)

Notice and hearing. In the event the City has good cause to believe that any contractor or subcontractor has failed to comply with the provisions of this chapter, said contractor or subcontractor shall be given written notice and afforded an opportunity for a hearing before the Municipal Council before the imposition of the sanctions set forth in this section.