Connecticut 2021 Regular Session

Connecticut Senate Bill SB00999 Compare Versions

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	7	+	General Assembly Substitute Bill No. 999
	8	+	January Session, 2021
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4		-	Substitute Senate Bill No. 999
5		-
6		-	Public Act No. 21-43
7	12
8	13
9	14		AN ACT CONCERNING A JUST TRANSITION TO CLIMATE-
10	15		PROTECTIVE ENERGY PR ODUCTION AND COMMUNI TY
11	16		INVESTMENT.
12	17		Be it enacted by the Senate and House of Representatives in General
13	18		Assembly convened:
14	19
15		-	Section 1. (NEW) (Effective July 1, 2021) (a) As used in this section,
16		-	unless the context otherwise requires:
17		-	(1) "Covered project" means a renewable energy project that is
18		-	situated on land in this state, commences construction on or after July 1,
19		-	2021, and has a total nameplate capacity of two megawatts or more.
20		-	"Covered project" does not include any renewable energy project (A)
21		-	selected in a competitive solicitation conducted by (i) the Department of
22		-	Energy and Environmental Protection, or (ii) an electric distribution
23		-	company, as defined in section 16-1 of the general statutes, and (B)
24		-	approved by the Public Utilities Regulatory Authority prior to January
25		-	1, 2022;
26		-	(2) "Renewable energy project" means a Class I renewable energy
27		-	source, as defined in section 16-1 of the general statutes. "Renewable
28		-	energy project" does not include any offshore wind facility procured
29		-	pursuant to section 16a-3h, 16a-3m or 16a-3n of the general statutes;
30		-	(3) "Community benefits agreement" means an agreement between Substitute Senate Bill No. 999
	20	+	Section 1. (NEW) (Effective from passage) (a) As used in this section, 1
	21	+	unless the context otherwise requires: 2
	22	+	(1) "Covered project" means a construction project that concerns the 3
	23	+	development of a renewable energy project or is related thereto, and the 4
	24	+	facility or facilities created in such construction project, with a total 5
	25	+	construction cost of two million five hundred thousand dollars or more; 6
	26	+	(2) "Renewable energy project" means a project that is intended to or 7
	27	+	will have the effect of enhancing energy efficiency, upgrading building 8
	28	+	electrification, developing renewable energies or enhancing climate 9
	29	+	change resiliency, including projects that create useable energy from 10
	30	+	solar power, wind power, a fuel cell, geothermal sources, landfill 11
	31	+	methane gas, anaerobic digestion or other biogas derived from 12
	32	+	biological sources, thermal electric direct energy conversion from a 13
	33	+	certified Class I renewable energy source, ocean thermal power, wave 14
	34	+	or tidal power, low emission advanced renewable energy conversion 15
	35	+	technologies and zero emission low grade heat power generation 16
	36	+	systems based on organic oil free rankine, kalina or similar nonstream 17 Substitute Bill No. 999
31	37
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33	38
34		-	(A) the developer of a covered project, and (B) community-based
35		-	organizations or a coalition of such organizations, that details the
36		-	project's contributions to the community in which it is or will be sited
37		-	and the aspects of the project that will mitigate adverse conditions of
38		-	such community and create opportunities for local businesses,
39		-	communities and workers;
40		-	(4) "Labor organization" means any organization, other than a
41		-	company union, that exists for the purpose, in whole or in part, of
42		-	collective bargaining or of dealing with employers concerning
43		-	grievances, terms or conditions of employment, or of other mutual aid
44		-	or protection, including, but not limited to, (A) bona fide labor
45		-	organizations that are certified or recognized as the organization of
46		-	jurisdiction representing the workers involved, (B) bona fide building
47		-	and construction trades councils or district councils, and (C) state and
48		-	local labor federations comprised of local unions certified or recognized
49		-	as the representative of the workers; and
50		-	(5) "Workforce development program" means a program pursuant to
51		-	which newly hired employees and existing employees are given the
52		-	opportunity to develop skills that will enable such employees to qualify
53		-	for higher paying jobs on a covered project. A workforce development
54		-	program includes: (A) Apprenticeship training through an
55		-	apprenticeship program registered with the Labor Department or a
56		-	federally recognized state apprenticeship agency that complies with the
57		-	requirements under 29 CFR 29 and 29 CFR 30, as each may be amended
58		-	from time to time, and (B) preapprenticeship training that will enable
59		-	students to qualify for registered apprenticeship training.
60		-	(b) The developer of a covered project shall (1) take all reasonable
61		-	actions to ensure that a community benefits agreement is entered into
62		-	with appropriate community organizations representing residents of
63		-	the community in which the project is or will be located if the nameplate
64		-	capacity of the project is five megawatts or more, and (2) take Substitute Senate Bill No. 999
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	43	+	cycles that use waste heat from an industrial or commercial process that 18
	44	+	does not generate electricity, a run-of-the-river hydropower facility or a 19
	45	+	biomass facility that uses sustainable biomass fuel; 20
	46	+	(3) "Community benefits agreement" means an agreement between 21
	47	+	(A) the developer of a covered project, and (B) community-based 22
	48	+	organizations or a coalition of such organizations, that details the 23
	49	+	project's contributions to the community in which it is or will be sited 24
	50	+	and the aspects of the project that will mitigate adverse conditions of 25
	51	+	such community and create opportunities for local businesses, 26
	52	+	communities and workers; 27
	53	+	(4) "Labor organization" means any organization that exists and is 28
	54	+	constituted for the purpose, in whole or in part, of collective bargaining 29
	55	+	or of dealing with employers concerning grievances, terms or conditions 30
	56	+	of employment, or of other mutual aid or protection and that is not a 31
	57	+	company union, including, but not limited to, bona fide labor 32
	58	+	organizations that are certified or recognized as the organization of 33
	59	+	jurisdiction representing the workers involved or bona fide building 34
	60	+	and construction trades councils or district councils and state and local 35
	61	+	labor federations comprised of local unions certified or recognized as 36
	62	+	the representative of the workers; and 37
	63	+	(5) "Workforce development program" means a program pursuant to 38
	64	+	which newly hired employees and existing employees are given the 39
	65	+	opportunity to develop skills that will enable such employees to qualify 40
	66	+	for higher paying jobs on a covered project. A workforce development 41
	67	+	program includes: (A) Apprenticeship t raining through an 42
	68	+	apprenticeship program registered with the Labor Department or a 43
	69	+	federally recognized state apprenticeship agency that complies with the 44
	70	+	requirements under 29 CFR 29 and 29 CFR 30, as each may be amended 45
	71	+	from time to time, and (B) preapprenticeship training that will enable 46
	72	+	students to qualify for registered apprenticeship training. 47
	73	+	(b) The developer of a covered project shall take all necessary actions 48
	74	+	to ensure that (1) a community benefits agreement is entered into with 49 Substitute Bill No. 999
67	75
68		-	appropriate actions to ensure a workforce development program is
69		-	established.
70		-	(c) The developer of a covered project shall take all necessary actions
71		-	to ensure that each contractor and subcontractor involved in the
72		-	construction of the project completes a sworn certification that the
73		-	contractor or subcontractor: (1) Has the necessary resources to perform
74		-	the portion of the covered project to which the contractor or
75		-	subcontractor are assigned, including the necessary technical, financial
76		-	and personnel resources; (2) has all required contractor, specialty
77		-	contractor or trade licenses, certifications or certificates required of any
78		-	business entity or individual by applicable state or local law; (3)
79		-	participates in apprenticeship training through an apprenticeship
80		-	program registered with the Labor Department or a federally
81		-	recognized state apprenticeship agency that complies with the
82		-	requirements under 29 CFR 29 and 29 CFR 30, as each may be amended
83		-	from time to time; (4) during the previous three years (A) has not been
84		-	debarred by any government agency; (B) has not defaulted on any
85		-	project; (C) has not had any license, certification or other credential
86		-	relating to the business revoked or suspended; and (D) has not been
87		-	found in violation of any law applicable to the contractor's or
88		-	subcontractor's business that resulted in the payment of a fine, back pay
89		-	damages or any other type of penalty in the amount of ten thousand
90		-	dollars or more; (5) will pay personnel employed on the project not less
91		-	than the applicable wage and fringe benefit rates for the classification in
92		-	which such personnel is employed and required for the project; and (6)
93		-	has not misclassified and will not misclassify labor employees as
94		-	independent contractors.
95		-	(d) The developer of a covered project shall submit to the Labor
96		-	Commissioner the sworn certification of compliance specified in
97		-	subsection (c) of this section not later than thirty days prior to
98		-	commencement of construction of the project. Such sworn certification Substitute Senate Bill No. 999
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102		-	shall be considered a public document that shall be made available
103		-	without redaction on the Labor Department's Internet web site not later
104		-	than seven days after being submitted to the Labor Commissioner. If a
105		-	sworn certification contains false, misleading or materially inaccurate
106		-	information, the contractor or subcontractor that executed such sworn
107		-	certification shall, after notice and opportunity to be heard, be subject to
108		-	debarment pursuant to section 31-53a of the general statutes, as
109		-	amended by this act.
110		-	(e) The failure of the developer of a covered project to take reasonable
111		-	steps to ensure that the sworn certification submitted to the Labor
112		-	Commissioner pursuant to subsection (d) of this section are accurate
113		-	and truthful shall constitute a violation of this section and shall be
114		-	subject to penalties and sanctions for conduct constituting
115		-	noncompliance. The commissioner shall adopt regulations, in
116		-	accordance with the provisions of chapter 54 of the general statutes,
117		-	establishing the penalties and sanctions applicable to a violation of this
118		-	subsection.
119		-	(f) (1) Each contractor and subcontractor on a covered project shall
120		-	(A) pay each construction employee on the project wages and benefits
121		-	that are not less than the prevailing wage and fringe benefit rates
122		-	prescribed in section 31-53 of the general statutes, as amended by this
123		-	act, for the corresponding classification in which the employee is
124		-	employed, and (B) be subject to all reporting and compliance
125		-	requirements of section 31-53 of the general statutes, as amended by this
126		-	act. Contractors and subcontractors that violate this subsection shall be
127		-	subject to penalties and sanctions in accordance with section 31-53 of the
128		-	general statutes, as amended by this act.
129		-	(2) Each operations, maintenance and security employee employed
130		-	in a building or facility that is constructed in a covered project shall be
131		-	paid wages and benefits that are not less than the prevailing wage and
132		-	fringe benefit rates prescribed in section 31-53 of the general statutes, as Substitute Senate Bill No. 999
	81	+	appropriate community organizations representing residents of the 50
	82	+	community in which the project is or will be located, and (2) a workforce 51
	83	+	development program is established. 52
	84	+	(c) The developer of a covered project shall take all necessary actions 53
	85	+	to ensure that each contractor and subcontractor involved in the 54
	86	+	construction of the project completes a sworn certification that the 55
	87	+	contractor or subcontractor: (1) Has the necessary resources to perform 56
	88	+	the portion of the covered project to which the contractor or 57
	89	+	subcontractor are assigned, including the necessary technical, financial 58
	90	+	and personnel resources; (2) has all required contractor, specialty 59
	91	+	contractor or trade licenses, certifications or certificates required of any 60
	92	+	business entity or individual by applicable state or local law; (3) 61
	93	+	participates in apprenticeship training through an apprenticeship 62
	94	+	program registered with the Labor Department or a federally 63
	95	+	recognized state apprenticeship agency that complies with the 64
	96	+	requirements under 29 CFR 29 and 29 CFR 30, as each may be amended 65
	97	+	from time to time; (4) during the previous three years (A) has not been 66
	98	+	debarred by any government agency; (B) has not defaulted on any 67
	99	+	project; (C) has not had any license, certification or other credential 68
	100	+	relating to the business revoked or suspended; and (D) has not been 69
	101	+	found in violation of any law applicable to the contractor's or 70
	102	+	subcontractor's business that resulted in the payment of a fine, back pay 71
	103	+	damages or any other type of penalty in the amount of ten thousand 72
	104	+	dollars or more; (5) will pay personnel employed on the project not less 73
	105	+	than the applicable wage and fringe benefit rates for the classification in 74
	106	+	which such personnel is employed and required for the project; and (6) 75
	107	+	has not misclassified and will not misclassify labor employees as 76
	108	+	independent contractors. 77
	109	+	(d) The developer of a covered project shall submit to the Labor 78
	110	+	Commissioner the certification of compliance specified in subsection (c) 79
	111	+	of this section not later than thirty days prior to commencement of 80
	112	+	construction of the project. Such certification shall be considered a 81
	113	+	public document that shall be made available without redaction on the 82 Substitute Bill No. 999
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136		-	amended by this act, or, if applicable, the standard wage specified in
137		-	section 31-57f of the general statutes for the corresponding classification
138		-	in which the employee is employed.
139		-	(g) Prevailing wage requirements under subsection (f) of this section
140		-	shall not apply to a construction project that is covered by a project labor
141		-	agreement. For the purposes of this subsection, "project labor
142		-	agreement" means an agreement that: (1) Binds all contractors and
143		-	subcontractors on the covered project to the project labor agreement
144		-	through the inclusion of specifications in all relevant solicitation
145		-	provisions and contract documents; (2) allows all contractors and
146		-	subcontractors to compete for contracts and subcontracts on the project
147		-	without regard to whether they are otherwise parties to collective
148		-	bargaining agreements; (3) establishes uniform terms and conditions of
149		-	employment for all construction labor employed on the projects; (4)
150		-	guarantees against strikes, lockouts and similar job disruptions; (5) sets
151		-	forth mutually binding procedures for resolving labor disputes arising
152		-	during the project labor agreement; and (6) includes any other
153		-	provisions as negotiated by the parties to promote successful delivery
154		-	of the covered project.
155		-	Sec. 2. Subsection (a) of section 31-53a of the general statutes is
156		-	repealed and the following is substituted in lieu thereof (Effective July 1,
157		-	2021):
158		-	(a) The State Comptroller or the contracting authority acting
159		-	pursuant to section 31-53, as amended by this act, is hereby authorized
160		-	and directed to pay to mechanics, laborers and workers from any
161		-	accrued payments withheld under the terms of a contract terminated
162		-	pursuant to subsection (b) of [said] section 31-53 any wages found to be
163		-	due such mechanics, laborers and workers pursuant to [said] section 31-
164		-	53, as amended by this act. The Labor Commissioner is further
165		-	authorized and directed to distribute a list to all departments of the state
166		-	and political subdivisions of the state giving the names of persons or Substitute Senate Bill No. 999
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	120	+	Labor Department's Internet web site not later than seven days after 83
	121	+	being submitted to the Labor Commissioner. If a certification contains 84
	122	+	false, misleading or inaccurate information, the contractor or 85
	123	+	subcontractor that executed such certification shall, after notice and 86
	124	+	opportunity to be heard, be subject to a three-year debarment from 87
	125	+	future public and publicly covered projects and be subject to other 88
	126	+	applicable penalties and sanctions. 89
	127	+	(e) The failure of the developer of a covered project to take reasonable 90
	128	+	steps to ensure that the certification submitted to the Labor 91
	129	+	Commissioner pursuant to subsection (d) of this section are accurate 92
	130	+	and truthful shall constitute a violation of this section and shall be 93
	131	+	subject to penalties and sanctions for conduct constituting 94
	132	+	noncompliance. The commissioner shall adopt regulations, in 95
	133	+	accordance with the provisions of chapter 54 of the general statutes, 96
	134	+	establishing the penalties and sanctions applicable to a violation of this 97
	135	+	subsection. 98
	136	+	(f) (1) Each contractor and subcontractor on a covered project shall 99
	137	+	(A) pay each construction employee on the project wages and benefits 100
	138	+	that are not less than the prevailing wage and fringe benefit rates 101
	139	+	prescribed in section 31-53 of the general statutes for the corresponding 102
	140	+	classification in which the employee is employed, and (B) be subject to 103
	141	+	all reporting and compliance requirements of section 31-53 of the 104
	142	+	general statutes. Contractors and subcontractors that violate this 105
	143	+	subsection shall be subject to penalties and sanctions in accordance with 106
	144	+	section 31-53 of the general statutes. 107
	145	+	(2) Each operations, maintenance and security employee employed 108
	146	+	in a building or facility that is constructed in a covered project shall be 109
	147	+	paid wages and benefits that are not less than the prevailing wage and 110
	148	+	fringe benefit rates prescribed in section 31-53 of the general statutes or, 111
	149	+	if applicable, the standard wage specified in section 31-53 of the general 112
	150	+	statutes for the corresponding classification in which the employee is 113
	151	+	employed. 114 Substitute Bill No. 999
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170		-	firms whom the Labor Commissioner has found to have (1) disregarded
171		-	their obligations under [said] section 31-53, as amended by this act, and
172		-	section 31-76c to employees and subcontractors on public works
173		-	projects, [or to have] (2) been barred from federal government contracts
174		-	in accordance with the provisions of the Davis-Bacon Act, 49 Stat. 1011
175		-	(1931), 40 USC 276a-2, or (3) submitted false, misleading or materially
176		-	inaccurate information under subsection (d) of section 1 of this act.
177		-	Sec. 3. Subsection (f) of section 31-53 of the general statutes is repealed
178		-	and the following is substituted in lieu thereof (Effective July 1, 2021):
179		-	(f) Each employer subject to the provisions of this section, section 31-
180		-	53c, [or] section 31-54 or subsection (f) of section 1 of this act shall (1)
181		-	keep, maintain and preserve such records relating to the wages and
182		-	hours worked by each person performing the work of any mechanic,
183		-	laborer and worker and a schedule of the occupation or work
184		-	classification at which each person performing the work of any
185		-	mechanic, laborer or worker on the project is employed during each
186		-	work day and week in such manner and form as the Labor
187		-	Commissioner establishes to assure the proper payments due to such
188		-	persons or employee welfare funds under this section, section 31-53c,
189		-	[or] section 31-54 or subsection (f) of section 1 of this act, regardless of
190		-	any contractual relationship alleged to exist between the contractor and
191		-	such person, provided such employer shall have the option of keeping,
192		-	maintaining and preserving such records in an electronic format, and
193		-	(2) submit monthly to the contracting agency or the Department of
194		-	Economic and Community Development pursuant to section 31-53c or
195		-	to the developer of a covered project, as defined in section 1 of this act,
196		-	as applicable, by mail, electronic mail or other method accepted by such
197		-	agency, [or] the Department of Economic and Community
198		-	Development or such developer, a certified payroll that shall consist of
199		-	a complete copy of such records accompanied by a statement signed by
200		-	the employer that indicates (A) such records are correct; (B) the rate of Substitute Senate Bill No. 999
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204		-	wages paid to each person performing the work of any mechanic,
205		-	laborer or worker and the amount of payment or contributions paid or
206		-	payable on behalf of each such person to any employee welfare fund, as
207		-	defined in subsection (i) of this section, are not less than the prevailing
208		-	rate of wages and the amount of payment or contributions paid or
209		-	payable on behalf of each such person to any employee welfare fund, as
210		-	determined by the Labor Commissioner pursuant to subsection (d) of
211		-	this section, and not less than those required by the contract to be paid;
212		-	(C) the employer has complied with the applicable provisions of this
213		-	section, section 31-53c, [and] section 31-54 and subsection (f) of section
214		-	1 of this act; (D) each such person is covered by a workers' compensation
215		-	insurance policy for the duration of such person's employment, which
216		-	shall be demonstrated by submitting to the contracting agency the name
217		-	of the workers' compensation insurance carrier covering each such
218		-	person, the effective and expiration dates of each policy and each policy
219		-	number; (E) the employer does not receive kickbacks, as defined in 41
220		-	USC 52, from any employee or employee welfare fund; and (F) pursuant
221		-	to the provisions of section 53a-157a, the employer is aware that filing a
222		-	certified payroll which the employer knows to be false is a class D felony
223		-	for which the employer may be fined up to five thousand dollars,
224		-	imprisoned for up to five years, or both. This subsection shall not be
225		-	construed to prohibit a general contractor from relying on the
226		-	certification of a lower tier subcontractor, provided the general
227		-	contractor shall not be exempted from the provisions of section 53a-157a
228		-	if the general contractor knowingly relies upon a subcontractor's false
229		-	certification. Notwithstanding the provisions of section 1-210, the
230		-	certified payroll shall be considered a public record and every person
231		-	shall have the right to inspect and copy such records in accordance with
232		-	the provisions of section 1-212. The provisions of subsections (a) and (b)
233		-	of section 31-59 and sections 31-66 and 31-69 that are not inconsistent
234		-	with the provisions of this section, section 31-53c or 31-54 apply to this
235		-	section. Failing to file a certified payroll pursuant to subdivision (2) of
236		-	this subsection is a class D felony for which the employer may be fined Substitute Senate Bill No. 999
	158	+	(g) Prevailing wage requirements under subsection (f) of this section 115
	159	+	shall not apply to a construction project that is covered by a project labor 116
	160	+	agreement. For the purposes of this subsection, "project labor 117
	161	+	agreement" means an agreement that: (1) Binds all contractors and 118
	162	+	subcontractors on the covered project to the project labor agreement 119
	163	+	through the inclusion of specifications in all relevant solicitation 120
	164	+	provisions and contract documents; (2) allows all contractors and 121
	165	+	subcontractors to compete for contracts and subcontracts on the project 122
	166	+	without regard to whether they are otherwise parties to collective 123
	167	+	bargaining agreements; (3) establishes uniform terms and conditions of 124
	168	+	employment for all construction labor employed on the projects; (4) 125
	169	+	guarantees against strikes, lockouts and similar job disruptions; (5) sets 126
	170	+	forth effective, prompt and mutually binding procedures for resolving 127
	171	+	labor disputes arising during the project labor agreement; and (6) 128
	172	+	includes any other provisions as negotiated by the parties to promote 129
	173	+	successful delivery of the covered project. 130
	174	+	This act shall take effect as follows and shall amend the following
	175	+	sections:
237	176
238		-	~~Public Act No.~~ ~~21-43~~ ~~8 of 8~~
	177	+	Section 1 from passage New section
239	178
240		-	up to five thousand dollars, imprisoned for up to five years, or both.
	179	+
	180	+	Statement of Legislative Commissioners:
	181	+	In Subsec. (a)(3), "such" was added before organizations for clarity and
	182	+	"it is sited" was changed to "it is or will be sited" for accuracy; in Subsec.
	183	+	(a)(5)(A), "as each may be amended from time to time" was added for
	184	+	accuracy and consistency with standard drafting conventions; in
	185	+	Subsec. (b), "affected community" was changed to "community in which
	186	+	the project is or will be located" for clarity and accuracy; Subsec. (c)(4)
	187	+	was rewritten for accuracy and consistency; Subsec. (c)(5) was rewritten
	188	+	for clarity and for consistency with standard drafting conventions; in
	189	+	Subsec. (d), "a publicly available web site" was changed to "the Labor
	190	+	Department's Internet web site" for clarity and accuracy; in Subsec. (e),
	191	+	"shall permit the state to impose appropriate" was changed to "shall be
	192	+	subject to" for consistency with standard drafting conventions and
	193	+	"described in this subdivision" was changed to "applicable to a violation
	194	+	of this subsection" for accuracy; in Subsec. (f)(1), "at a minimum" was Substitute Bill No. 999
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	200	+
	201	+	deleted for consistency with standard drafting conventions; in Subsec.
	202	+	(f)(2), "created" was changed to "constructed" for consistency with
	203	+	standard drafting conventions, "prevailing wage" was changed to
	204	+	"prevailing wage and fringe benefit rates" for consistency and "31-57"
	205	+	was changed to "31-53" for accuracy; and in Subsec. (g), "appropriate"
	206	+	was deleted for consistency with standard drafting conventions.
	207	+
	208	+
	209	+	LAB Joint Favorable Subst.
241	210