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Proposed Rules: Open to Comments

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Agency:
Comment By: 
Friday, January 5, 2018
Proposed Rules Content: 

Statement of Basis and Purpose of Proposed Regulations

Various state and local laws vest the New York City Comptroller with authority to set prevailing wage and supplement rates, and to enforce the provisions of the above-mentioned laws by conducting investigations, issuing reports with recommendations or orders, in various situations. Over the years, as additional authority has been given to the Comptroller in this regard, it has become necessary and appropriate to update the Comptroller’s procedural rules. The laws that vest authority in the Comptroller are detailed below.

  • New York state labor law article eight requires payment of prevailing wages and supplements to construction workers on New York city public works projects.
  • New York state labor law article nine requires payment of prevailing wages and supplements to building service employees on building service contracts with city agencies. 
  • New York state real property tax law sections 421-a (8), (16)(h), and 17(g) require payment of prevailing wages to building service employees in certain buildings that receive real estate tax exemptions under that law. New York state real property tax law section 421-a (16)(c) requires payment of an average minimum hourly wage to construction workers on certain projects that are entitled to real estate tax exemptions under that law.
  • New York city administrative code section 6-109 requires payment of prevailing wages and supplements to workers on certain service contracts with city agencies and requires payment of living wages and supplements to workers on certain service contracts with city agencies.
  • New York city administrative code section 19-142 requires payment of prevailing wages and supplements to workers on New York city street excavations.

These proposed regulations set forth a clear and cohesive procedure for setting prevailing wage and supplement rates, and investigating and issuing recommendations or orders in cases brought under the above-mentioned laws. The comprehensiveness of the rules provides enhanced guidance to employers, employees, and building owners covered by these laws.

Section 1 amends the heading of chapter 2 of title 44 of the rules of the city of New York to clarify that the rules are inclusive of Comptroller activity under various laws, and not limited to labor law. Section 2 amends section 2-01 of chapter 2 of title 44 to expand the description of applicable laws.

Section 3 repeals and replaces section 2-02 of chapter 2 of title 44 to address the need for definitions of additional terms. Section 4 repeals and replaces section 2-03 of chapter 2 of title 44 to set forth the Comptroller’s procedures for determining Prevailing Wage and Supplements and how the determinations may be challenged.

Section 5 repeals and replaces section 2-04 of chapter 2 of title 44 to explain the extent of the obligation to pay prevailing wages and supplements, and record-keeping mandates for covered employers.

Section 6 repeals and replaces section 2-05 of chapter 2 of title 44 to explain how compliance investigations of covered employers are commenced, the look-back period, and the process and resolution of such investigations. The new section 2-05 now includes the parameters for penalties that may be assessed in a settlement with a covered employer in which the violation was committed by a subcontractor.

Section 7 amends chapter 2 of title 44 to add a new section 2-06 which describes the rules for hearings, and the interactions between the Comptroller, other agencies, and the office of administrative trials and hearings.

Subject: 

.

Location: 
David N. Dinkins Municipal Building, Room 1117D
One Centre Street
New York, NY 10007
Contact: 

Constantine P. Kokkoris

Adopted Rules: Closed to Comments

Adopted Rules Content: 

HPD’s rule amendments implement changes to the prevailing wage requirements for building service employees in buildings receiving tax benefits pursuant to RPTL Section 421-a enacted by Chapter 20 of the Laws of 2015 and Chapter 59 of the Laws of 2017. They also incorporate the City Comptroller’s enforcement authority under 421-a(16) for the minimum average wage requirements for construction workers in certain projects.

Effective Date: 
Thu, 10/26/2017

Adopted Rules: Closed to Comments

Adopted Rules Content: 

Statement of Basis and Purpose of Rules

Section 6-130[1] of the Administrative Code of the City of New York (the Prevailing Wage Law), added by Local Law 27 of 2012, requires certain developers receiving City financial assistance and certain lessors leasing commercial office space or commercial office facilities to the City to pay their building service employees the prevailing wage.

These rules clarify provisions in the Prevailing Wage Law, establish requirements to implement the law and meet its goals, and provide guidance to employers and employees.  Specifically, these rules:

  • Establish that covered employers must require all building service contractors to pay the prevailing wage to their building service employees;
  • Set forth the distribution and posting requirements for employee notices required by the Prevailing Wage Law;
  • Set forth the recordkeeping requirements under the Prevailing Wage Law;
  • Clarify the Prevailing Wage Law’s definition of “covered developer” and “building service work;”
  • Outline the Department’s enforcement steps, including how a covered employer may cure a violation of the Prevailing Wage Law, how the Department will commence a case, and how the Department may settle a complaint;
  • Clarify that the Office of Administrative Trials and Hearings (OATH) will issue a decision on the record in all cases;
  • Provide guidance on how an OATH administrative law judge may calculate back wages for a building service employee;
  • Clarify that if one or more building service employees start or have a civil action pending , it does not preclude the Department from commencing, prosecuting, or settling a case based on some or all of the same violations; and
  • Clarify what other appropriate relief may be imposed for a violation of  the Prevailing Wage Law, in addition to the penalties set forth in the law.

The authority for the Department of Consumer Affairs to issue these rules is found in section 6-130(d)(1) of Chapter 1 of Title 6 of the Administrative Code of the City of New York.


[1]

  There are two Sections 6-130 in the Administrative Code of the City of New York.

Effective Date: 
Thu, 06/23/2016

Proposed Rules: Closed to Comments

Agency:
Comment By: 
Friday, April 8, 2016
Proposed Rules Content: 

 

Statement of Basis and Purpose of Proposed Rules

Section 6-130[1] of the Administrative Code of the City of New York (the Prevailing Wage Law), added by Local Law 27 of 2012, requires certain developers receiving City financial assistance and certain lessors leasing commercial office space or commercial office facilities to the City to pay their building service employees the prevailing wage.

These proposed rules clarify provisions in the Prevailing Wage Law, establish requirements to implement the law and meet its goals, and provide guidance to employers and employees.  Specifically, these rules:

·         Establish that covered employers must require all building service contractors to pay the prevailing wage to their building service employees;

·         Set forth the distribution and posting requirements for employee notices required by the Prevailing Wage Law;

·         Set forth the recordkeeping requirements under the Prevailing Wage Law;

·         Clarify the Prevailing Wage Law’s definition of “covered developer” and “building service work;”

·         Outline the Department’s enforcement steps, including how a covered employer may cure a violation of the Prevailing Wage Law, how the Department will commence a case, and how the Department may settle a complaint;

·         Clarify that the Office of Administrative Trials and Hearings (OATH) will issue a decision on the record in all cases;

·         Provide guidance on how an OATH administrative law judge may calculate back wages for a building service employee;

·         Clarify that if one or more building service employees start or have a civil action pending , it does not preclude the Department from commencing, prosecuting, or settling a case based on some or all of the same violations; and

·         Clarify what other appropriate relief may be imposed for a violation of  the Prevailing Wage Law, in addition to the penalties set forth in the law.

 

New text is underlined; deleted material is in [brackets].

“Shall” and “must” denote mandatory requirements and may be used interchangeably in the rules of this department, unless otherwise specified or unless the context clearly indicates otherwise.




[1]  There are two Sections 6-130 in the Administrative Code of the City of New York.

Subject: 

DCA Prevailing Wage Law Proposed Rule

Location: 
NYC Department of Consumer Affairs
42 Broadway 5th Floor
New York , NY 10004
Contact: 

Steven Ettannani (212) 436-0210

Download Copy of Proposed Rule (.pdf): 

Adopted Rules: Closed to Comments

Adopted Rules Content: 

The adopted rule amends certain provisions of the Department of Housing Preservation and Development’s (HPD) rules governing fees for administration of loan programs and certain other municipality-aided projects.  The rule provides for a fee to be collected by HPD for monitoring contracts for compliance with equal employment opportunity and prevailing wage and labor standards. 

 

EO 50 of 1980 (as amended by Executive Order 94 of 1986, Executive Order 108 of 1986, and Executive Order 159 of 2011)prohibitsentities doing business with New York City from discriminating against any employee, applicant, or supplier.  It requires an entity that receives City funding to submit an employment report prior to contract award.  For HPD housing construction contracts, the project sponsor and prime contractors are among the entities required to submit construction employment reports to HPD’s Labor Monitoring Unit for compliance review.  The $1,400 fee will cover the agency’s costs in processing and reviewing the two submitted reports.

 

The Federal Davis Bacon Act (40 U.S.C. §3141 et seq.), State Labor Law §§220 and 230, Real Property Tax Law §421-a(8), and New York City Administrative Code §6-109require payment of prevailing wages and compliance with labor standards by contractors.  HPD’s Labor Monitoring Unit reviews payrolls and associated documentation, conducts site visits to gather data on wages, hours of work and other employment conditions, investigates complaints, and cooperates with other labor investigatory agencies like the U.S. Department of Labor.  The $30,000 fee will cover the required cost related to ongoing monitoring and enforcement of these requirements.

 

HPD has determined that certain programs covered by the equal employment opportunity and prevailing wage laws should be exempt from payment of fees for compliance monitoring.  The exempt programs provide loans or grants to projects for small buildings, buildings that were impacted by Super Storm Sandy, formerly City-owned buildings, or buildings that are under court-ordered administration.  All of these projects have limited financial resources and imposition of the fee is a hardship and impractical.  Therefore, HPD has determined that these programs should be exempt from the proposed compliance monitoring fees. 

 

Effective Date: 
Wed, 05/20/2015