Colorado 2024 2024 Regular Session

Colorado House Bill HB1008 Introduced / Bill

Filed 01/10/2024

                    Second Regular Session
Seventy-fourth General Assembly
STATE OF COLORADO
INTRODUCED
 
 
LLS NO. 24-0124.02 Yelana Love x2295
HOUSE BILL 24-1008
House Committees Senate Committees
Business Affairs & Labor
A BILL FOR AN ACT
C
ONCERNING MEASURES TO EXPAND GENERAL CONTRACTOR101
ACCOUNTABILITY FOR WAGE CLAIMS INVOLVING CONTRACTORS102
IN THE CONSTRUCTION INDUSTRY .103
Bill Summary
(Note:  This summary applies to this bill as introduced and does
not reflect any amendments that may be subsequently adopted. If this bill
passes third reading in the house of introduction, a bill summary that
applies to the reengrossed version of this bill will be available at
http://leg.colorado.gov
.)
For wage claims brought by individuals working in the
construction industry, the bill:
! Requires that a subcontractor that receives a written
demand for payment forward a copy of the written demand
for payment to the general contractor within 3 business
HOUSE SPONSORSHIP
Duran and Froelich, Brown, deGruy Kennedy, Epps, Garcia, Hamrick, Hernandez, Joseph,
Lieder, Lindstedt, Mabrey, Mauro, Ricks, Rutinel, Story, Velasco, Vigil
SENATE SPONSORSHIP
Danielson and Jaquez Lewis, Exum, Gonzales, Kolker, Marchman, Sullivan
Shading denotes HOUSE amendment.  Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law. days after receipt;
! Specifies that a general contractor and a subcontractor that
is a direct employer of an employee are jointly and
severally liable for all debts owed based on a wage claim or
investigation that are incurred by the subcontractor acting
under, by, or for the general contractor; and
! Allows a general contractor to require the following
information from each subcontractor acting under, by, or
for the general contractor:
! Pay data;
! Contact information; and
! An affidavit attesting to whether the subcontractor
has participated in a civil or administrative
proceeding within the last 5 years and, if so, the
outcome of the proceeding.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, 8-4-101, add (1.5),2
(8.7), (11.5), and (12.5) as follows:3
8-4-101.  Definitions. As used in this article 4, unless the context4
otherwise requires:5
(1.5)  "C
ONSTRUCTION CONTRACT " MEANS AN EXPRESS OR IMPLIED6
AGREEMENT:7
(a)  F
OR THE CONSTRUCTION , RECONSTRUCTION, ALTERATION,8
MAINTENANCE, MOVING, OR DEMOLITION OF ANY BUILDING, STRUCTURE,9
OR IMPROVEMENT; OR10
(b)  R
ELATING TO THE EXCAVATION OF OR OTHER DEVELOPMENT11
OF OR IMPROVEMENT TO LAND .12
(8.7)  "G
ENERAL CONTRACTOR" MEANS ANY PERSON, INCLUDING13
A CONSTRUCTION MANAGER , JOINT VENTURE, OR ANY COMBINATION14
THEREOF, ALONG WITH THE PERSON'S SUCCESSORS, HEIRS, OR ASSIGNS,15
THAT ENTERS INTO A CONSTRUCTION CONTRACT WITH AN OWNER .16
"G
ENERAL CONTRACTOR " INCLUDES AN OWNER THAT ENTERS INTO A17
HB24-1008-2- CONSTRUCTION CONTRACT WITH MORE THAN ONE CONTRACTOR OR1
SUBCONTRACTOR.2
(11.5)  "O
WNER" MEANS ANY PERSON WITH AN OWNERSHIP3
INTEREST IN REAL PROPERTY , WHETHER THE INTEREST IS IN FEE , AS4
VENDEE UNDER A CONTRACT TO PURCHASE , AS LESSEE, OR ANOTHER5
INTEREST OR ESTATE LESS THAN FEE.6
(12.5)  "S
UBCONTRACTOR" MEANS ANY PERSON THAT IS A PARTY7
TO AN EXPRESS OR IMPLIED CONTRACT WITH A GENERAL CONTRACTOR OR8
WITH A GENERAL CONTRACTOR 'S SUBCONTRACTORS AT ANY TIER TO9
PERFORM ANY PORTION OF WORK WITHIN THE SCOPE OF THE GENERAL10
CONTRACTOR'S CONSTRUCTION CONTRACT WITH THE OWNER , INCLUDING11
A PERSON THAT HAS NO DIRECT PRIVITY OF CONTRACT WITH THE GENERAL12
CONTRACTOR.13
SECTION 2. In Colorado Revised Statutes, 8-4-109, add (3)(a.3)14
as follows:15
8-4-109.  Termination of employment - payments required -16
civil penalties - payments to surviving spouse or heir. (3) (a.3) (I)  I
F17
AN EMPLOYER THAT RECEIVES A WR ITTEN DEMAND FOR PAYMENT UNDER18
SUBSECTION (3)(a) OF THIS SECTION IS A SUBCONTRACTOR, THE EMPLOYER19
SHALL FORWARD A COPY OF THE WRITTEN DEMAND FOR PAYMENT TO THE20
GENERAL CONTRACTOR WITHIN THREE BUSINESS DAYS AFTER RECEIVING21
THE WRITTEN DEMAND . THE EMPLOYER SHALL ALSO SIMULTANEOUSLY22
SEND TO THE WAGE CLAIMANT A COPY OF THE CORRESPONDENCE SENT TO23
THE GENERAL CONTRACTOR AND THE GENERAL CONTRACTOR 'S NAME AND24
ADDRESS.25
(II)  A
N EMPLOYER THAT FAILS TO FORWARD A WRITTEN DEMAND26
FOR PAYMENT TO A GENERAL CONTRACTOR AS REQUIRED IN SUBSECTION27
HB24-1008
-3- (3)(a.3)(I) OF THIS SECTION IS SUBJECT TO A FINE OF TWO THOUSAND1
DOLLARS, PAID TO THE GENERAL CONTRACTOR , IN ADDITION TO ANY2
AMOUNTS OWED PURSUANT TO SECTION 8-4-110.5 OR ANY OTHER LAW.3
SECTION 3. In Colorado Revised Statutes, add 8-4-110.5 as4
follows:5
8-4-110.5.  General contractor responsibility for wage claims6
in the construction industry. (1) (a)  A
 GENERAL CONTRACTOR AND A7
SUBCONTRACTOR THAT IS A DIRECT EMPLOYER OF AN EMPLOYEE HAVE8
JOINT AND SEVERAL LIABILITY FOR ALL DEBTS OWED , BASED ON A WAGE9
CLAIM OR INVESTIGATION AND PURSUANT TO A JUDICIAL OR10
ADMINISTRATIVE ORDER, THAT ARE INCURRED BY THE SUBCONTRACTOR11
ACTING UNDER, BY, OR FOR THE GENERAL CONTRACTOR .12
(b)  U
NLESS OTHERWISE PROVIDED BY LAW , AFTER A JUDGMENT,13
WAGE DETERMINATION , OR HEARING OFFICER DECISION HAS BEEN14
ENTERED, PROPERTY OF THE GENERAL CONTRACTOR MAY BE ATTACHED15
FOR THE PAYMENT OF ANY DEBT D ETERMINED TO BE OWED	, BASED ON A16
WAGE CLAIM OR INVESTIGATION AND PURSUANT TO A JUDICIAL OR17
ADMINISTRATIVE ORDER, BY A SUBCONTRACTOR ACTING UNDER , BY, OR18
FOR THE GENERAL CONTRACTOR .19
(2)  P
URSUANT TO SUBSECTION (1)(a) OF THIS SECTION, A20
SUBCONTRACTOR SHALL INDEMNIFY A GENERAL CONTRACTOR FOR ALL21
AMOUNTS PAID AS A RESULT OF THE SUBCONTRACTOR 'S VIOLATION UNLESS22
THE VIOLATION IS DUE TO THE GENERAL CONTRACTOR 'S LACK OF PAYMENT23
TO THE SUBCONTRACTOR IN ACCORDANCE WITH THE TERMS OF THE24
CONTRACT BETWEEN THE GENERAL CONTRACTOR AND THE25
SUBCONTRACTOR.26
(3)  A
 GENERAL CONTRACTOR MAY REQUIRE THE FOLLOWING27
HB24-1008
-4- INFORMATION FROM EACH SUBCONTRACTOR ACTING UNDER , BY, OR FOR1
THE GENERAL CONTRACTOR :2
(a)  P
AY DATA SHOWING THE HOURS WORKED , PAY, OVERTIME, AND3
DEDUCTIONS FOR EACH INDIVIDUAL WORKER ENGAGED BY THE4
SUBCONTRACTOR, REGARDLESS OF WHETHER THE INDIVIDUAL WORKER IS5
CLASSIFIED AS AN EMPLOYEE OR AN INDEPENDENT CONTRACTOR 'S6
INDIVIDUAL LABORER. THE SUBCONTRACTOR SHALL REDACT THESE7
RECORDS TO DISCLOSE ONLY THE LAST FOUR DIGITS OF THE INDIVIDUAL8
WORKER'S SOCIAL SECURITY NUMBER OR INDIVIDUAL TAXPAYER9
IDENTIFICATION NUMBER.10
(b)  C
ONTACT INFORMATION FOR ALL ADDITIONAL11
SUBCONTRACTORS THAT PERFORM ANY PORTION OF WORK WITHIN THE12
SCOPE OF THE SUBCONTRACTOR 'S CONTRACT WITH THE GENERAL13
CONTRACTOR OR WITH ANOTHER SUBCONTRACTOR THAT IS IN PRIVITY OF14
CONTRACT WITH THE GENERAL CONTRACTOR ; AND15
(c) (I)  A
N AFFIDAVIT ATTESTING TO WHETHER THE16
SUBCONTRACTOR OR ANY OF ITS CURRENT PRINCIPALS HAS PARTICIPATED17
IN ANY CIVIL OR ADMINISTRATIVE PROCEEDING WITHIN THE PRECEDING18
FIVE YEARS THAT INVOLVED ANY ALLEGATIONS OF A WAGE AND HOUR19
VIOLATION AGAINST THE SUBCONTRACTOR OR PRINCIPAL UNDER LOCAL ,20
STATE, OR FEDERAL LAW; AND21
(II)  I
F THE PROCEEDING IS COMPLETE , THE OUTCOME OF THE22
PROCEEDING, INCLUDING ANY DAMAGES , FEES, OR PENALTY AMOUNTS23
PAID TO WORKERS OR TO A GOVERNMENT AGENCY .24
(4)  A
 SUBCONTRACTOR'S FAILURE TO COMPLY WITH THIS SECTION25
DOES NOT RELIEVE A GENERAL CONTRACTOR FROM LIABILITY UNDER26
SUBSECTION (1) OF THIS SECTION.27
HB24-1008
-5- (5) (a)  NOTHING IN THIS SECTION DIMINISHES THE RIGHTS ,1
PRIVILEGES, OR REMEDIES OF ANY EMPLOYEE UNDER ANY COLLECTIVE2
BARGAINING AGREEMENT .3
(b)  A
 COLLECTIVE BARGAINING AGREEMENT MAY WAIVE THE4
REQUIREMENTS OF THIS SECTION IF THE AGREEMENT :5
(I)  I
S ENTERED INTO BY A BONA FIDE BUILDING AND6
CONSTRUCTION TRADE LABOR ORGANIZATION THAT HAS ESTABLISHED7
ITSELF OR ITS AFFILIATES AS THE COLLECTIVE BARGAINING8
REPRESENTATIVE FOR PERSONS PERFORMING WORK ON A PROJECT ;9
(II)  E
XPLICITLY REFERENCES THIS SECTION; AND10
(III)  D
OES NOT DIMINISH OR IMPAIR THE RIGHTS OF AN EMPLOYEE11
PROVIDED UNDER ANY OTHER SECTION OF THIS ARTICLE 4.12
SECTION 4. Applicability. This act applies to wage claims13
brought and investigations commenced on or after the effective date of14
this act.15
SECTION 5. Safety clause. The general assembly finds,16
determines, and declares that this act is necessary for the immediate17
preservation of the public peace, health, or safety or for appropriations for18
the support and maintenance of the departments of the state and state19
institutions.20
HB24-1008
-6-