Connecticut 2023 2023 Regular Session

Connecticut House Bill HB06862 Introduced / Bill

Filed 03/01/2023

                       
 
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General Assembly  Raised Bill No. 6862  
January Session, 2023 
LCO No. 5279 
 
 
Referred to Committee on LABOR AND PUBLIC EMPLOYEES  
 
 
Introduced by:  
(LAB)  
 
 
 
 
AN ACT CONCERNING BROADBAND CONSTRUCTION AND THE 
PREVAILING WAGE. 
Be it enacted by the Senate and House of Representatives in General 
Assembly convened: 
 
Section 1. Section 16-330c of the general statutes is repealed and the 1 
following is substituted in lieu thereof (Effective July 1, 2023): 2 
(a) On or before January 1, 2022, the Commissioner of Energy and 3 
Environmental Protection shall establish and administer a grant 4 
program, subject to the availability of state and federal funding, to 5 
support the deployment of broadband Internet access service. The 6 
commissioner shall establish criteria consistent with any requirement of 7 
federal law for the grants, including, but not limited to, (1) application 8 
requirements, (2) applicant eligibility, (3) addressing unserved areas in 9 
distressed municipalities, (4) broadband Internet access service speed, 10 
and (5) an applicant's commitment to pay at least twenty per cent of the 11 
costs for any project entered into pursuant to this section with such 12 
applicant's own funding, provided such funding does not derive from 13 
government grants, loans or subsidies to said applicant. 14 
(b) In awarding such grants, the commissioner [may] shall give 15  Raised Bill No.  6862 
 
 
 
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priority to applicants (1) based on the percentage of said applicant's 16 
commitment to cost sharing, (2) that are able to demonstrate that (A) 17 
said applicant provides robust training programs to its workforce who 18 
will be performing the contract that contains requirements that are tied 19 
to titles, uniform wage scales and skill codes recognized in the industry, 20 
and (B) said applicant requires occupational health and safety training 21 
for its workforce performing the contract, (3) who will perform the 22 
contract funded by the program using a directly employed workforce, 23 
(4) that are able to demonstrate that said applicant has programs to 24 
promote training and hiring pipelines for underrepresented 25 
communities, and (5) that, (A) within the last five years, have had robust 26 
records of compliance with the Connecticut Labor Code, Occupational 27 
Safety and Health Act, Fair Labor Standards Act, Title VII of the Civil 28 
Rights Act of 1964 and all other applicable labor or employment laws, 29 
or (B) have mitigated violations with labor compliance agreements and 30 
measures in order to ensure future labor compliance. The commissioner 31 
may deny applications from broadband Internet access service 32 
providers that do not provide information to the Office of Policy and 33 
Management pursuant to subsection (c) of section 16-330b or to the 34 
Department of Energy and Environmental Protection pursuant to 35 
subsection (b) of section 16-330d. The commissioner may employ 36 
outside consultants in developing and implementing said grant 37 
program. 38 
(c) Any disclosure made by an applicant pertaining to the criteria in 39 
subdivisions (2) to (5), inclusive, of subsection (b) of this section shall be 40 
made available to the public on the Office of Telecommunications and 41 
Broadband's Internet web site. 42 
(d) The commissioner shall award the grants based on a point system. 43 
Each applicant shall be given points that range from zero to one 44 
hundred points. For grants funded by the Broadband Equity, Access 45 
and Development program, satisfaction of the criteria established in 46 
subdivisions (2) to (5), inclusive, of subsection (b) of this section and the 47 
"Fair Labor Practices" outlined in the National Telecommunications and 48 
Information Notice of Funding Opportunity published on May 13, 2022, 49  Raised Bill No.  6862 
 
 
 
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together, shall be awarded at least twenty-five points. For grants not 50 
funded by the Broadband Equity, Access and Development program, 51 
satisfaction of the criteria established in subdivisions (2) to (5), inclusive, 52 
of subsection (b) of this section shall be awarded a substantial point 53 
allocation, constituting at least fifteen points. 54 
(e) In awarding such grants, the commissioner shall give priority to 55 
entities and projects that can reliably meet or exceed one hundred 56 
megabits per second symmetrical speeds and further give preference to 57 
projects that are capable of delivering gigabit symmetrical speeds. The 58 
commissioner shall also consider the scalability of the project's 59 
technology and infrastructure beyond such project's current maximum 60 
speed offering for future increases in bandwidth. The commissioner 61 
shall give preference to projects that use fiber-optic architecture and 62 
may only award grants to projects using non-fiber technologies in 63 
scenarios where fiber-optic architecture would either be (1) physically 64 
impossible, based on the geography or topography, or (2) excessively 65 
financially burdensome. 66 
(f) All projects funded by grants awarded pursuant to this section 67 
shall be subject to the prevailing wage requirements established in 68 
section 31-53, as amended by this act. 69 
[(b)] (g) On or before January 1, 2023, and every year thereafter for a 70 
period of five years after receiving a grant pursuant to this section, the 71 
recipient of such grant shall submit a report to the Commissioner of 72 
Energy and Environmental Protection concerning the status of such 73 
recipient's broadband Internet access service deployment and other 74 
information deemed relevant by the commissioner. 75 
[(c)] (h) On or before December 1, 2022, and every two years 76 
thereafter, the Department of Energy and Environmental Protection, in 77 
consultation with the Office of Policy and Management, the Office of 78 
State Broadband, the Commission for Educational Technology and 79 
other state agencies deemed appropriate by the Commissioner of 80 
Energy and Environmental Protection, shall report to the Governor 81  Raised Bill No.  6862 
 
 
 
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concerning (1) the grants awarded pursuant to this section, (2) the status 82 
and progress made toward a state-wide goal of attaining universal 83 
access to (A) broadband Internet download speeds of one gigabit per 84 
second; and (B) broadband Internet upload speeds of one hundred 85 
megabits per second, and (3) broadband Internet access service 86 
adoption rates, the price and nonprice barriers to broadband adoption 87 
and digital equity. Such report shall include recommendations to 88 
overcome any such barriers, including, but not limited to, addressing 89 
issues of digital literacy and affordability. 90 
Sec. 2. (NEW) (Effective July 1, 2023) (a) Applicants for a grant under 91 
section 16-330c of the general statutes, as amended by this act, shall 92 
provide the Commissioner of Energy and Environmental Protection the 93 
following information with such applicant's application: 94 
(1) Whether the workforce is directly employed by the contractor or 95 
whether the proposed work will be performed by a subcontracted 96 
workforce; 97 
(2) The subcontractors with whom the contractor plans to subcontract 98 
with, if any, in carrying out the proposed work; 99 
(3) For each job title required to carry out the proposed work, a 100 
description of: 101 
(A) The wages, benefits and applicable wage scales, including 102 
overtime rates, and a description of how such wages are calculated; 103 
(B) Any training programs provided by the applicant, including 104 
whether the training program is tied to titles, uniform wage scales and 105 
skill codes recognized in the industry; 106 
(C) Any safety training, certification or licensure requirements, 107 
including whether such participant requires its employees to complete 108 
occupational safety and health training or any other training required 109 
by law; and 110 
(D) The entity employing the workforce in each job title. 111  Raised Bill No.  6862 
 
 
 
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(b) If an applicant is awarded a grant under section 16-330c, as 112 
amended by this act, such applicant shall submit a monthly report to the 113 
commissioner with the information provided in subsection (a) of this 114 
section. The provisions of this section shall apply to any applicant that 115 
is a public agency. 116 
(c) Any person or entity that fails to meet the requirements of this 117 
section or provides false information on their application or the monthly 118 
report in subsection (b) of this section may be deemed ineligible for 119 
future participation in grant programs through the Office of 120 
Telecommunications and Broadband. 121 
Sec. 3. Subsections (a) to (e), inclusive, of section 31-53 of the general 122 
statutes are repealed and the following is substituted in lieu thereof 123 
(Effective July 1, 2023): 124 
(a) Each contract for the construction, remodeling, refinishing, 125 
refurbishing, rehabilitation, alteration or repair of any public works 126 
project by the state or any of its agents, or by any political subdivision 127 
of the state or any of its agents, or any broadband installation project 128 
funded by a grant pursuant to section 16-330c, as amended by this act, 129 
shall contain the following provision: "The wages paid on an hourly 130 
basis to any person performing the work of any mechanic, laborer or 131 
worker on the work herein contracted to be done and the amount of 132 
payment or contribution paid or payable on behalf of each such person 133 
to any employee welfare fund, as defined in subsection (i) of this section, 134 
shall be at a rate equal to the rate customary or prevailing for the same 135 
work in the same trade or occupation in the town in which such public 136 
works project or broadband installation project is being constructed. 137 
Any contractor who is not obligated by agreement to make payment or 138 
contribution on behalf of such persons to any such employee welfare 139 
fund shall pay to each mechanic, laborer or worker as part of such 140 
person's wages the amount of payment or contribution for such person's 141 
classification on each pay day. 142 
(b) If the commissioner, upon inspection or investigation of a 143  Raised Bill No.  6862 
 
 
 
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complaint, believes that a contractor or subcontractor has knowingly or 144 
wilfully employed any mechanic, laborer or worker in the construction, 145 
remodeling, refinishing, refurbishing, rehabilitation, alteration or repair 146 
of any public works project for or on behalf of the state or any of its 147 
agents, or any political subdivision of the state or any of its agents, or 148 
employs any mechanic, laborer or worker in a broadband installation 149 
project funded by a grant pursuant to section 16-330c, as amended by 150 
this act, at a rate of wage on an hourly basis that is less than the rate 151 
customary or prevailing for the same work in the same trade or 152 
occupation in the town in which such public works project or 153 
broadband installation project is being constructed, remodeled, 154 
refinished, refurbished, rehabilitated, altered or repaired, or who has 155 
failed to pay the amount of payment or contributions paid or payable 156 
on behalf of each such person to any employee welfare fund, or in lieu 157 
thereof to the person, as provided by subsection (a) of this section, such 158 
contractor or subcontractor shall be issued a citation and may be fined 159 
five thousand dollars for each offense. The commissioner shall maintain 160 
a list of any contractor or subcontractor that, during the three preceding 161 
calendar years, violates this section or enters into a settlement with the 162 
commissioner to resolve any claim brought by the commissioner 163 
pursuant to this section. For each contractor or subcontractor placed on 164 
such list, the commissioner shall record the following information: (1) 165 
The nature of the violation; (2) the total amount of wages and fringe 166 
benefits making up the violation or agreed upon in any settlement with 167 
the commissioner; and (3) the total amount of civil penalties and fines 168 
agreed upon by the commissioner. The commissioner shall review the 169 
list on the first day of May each year for the preceding rolling three-year 170 
period and may refer for debarment any contractor or subcontractor that 171 
committed a violation of this section during the rolling three-year 172 
period. The commissioner shall refer for debarment any contractor or 173 
subcontractor that entered into one or more settlement agreements with 174 
the commissioner where the sum total of all settlements within such 175 
period exceeds fifty thousand dollars in back wages or fringe benefits, 176 
or entered into one or more settlement agreements with the 177 
commissioner where the sum total of all settlements within such period 178  Raised Bill No.  6862 
 
 
 
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exceeds fifty thousand dollars in civil penalties or fines agreed upon by 179 
the commissioner. Any contractor or subcontractor the commissioner 180 
refers for debarment may request a hearing before the commissioner. 181 
Such hearing shall be conducted in accordance with the provisions of 182 
chapter 54. In addition, if it is found by the contracting officer 183 
representing the state or political subdivision of the state that any 184 
mechanic, laborer or worker employed by the contractor or any 185 
subcontractor directly on the site for the work covered by the contract 186 
has been or is being paid a rate of wages less than the rate of wages 187 
required by the contract to be paid as required by this section, the state 188 
or contracting political subdivision of the state may (A) by written or 189 
electronic notice to the contractor, terminate such contractor's right to 190 
proceed with the work or such part of the work as to which there has 191 
been a failure to pay said required wages and to prosecute the work to 192 
completion by contract or otherwise, and the contractor and the 193 
contractor's sureties shall be liable to the state or the contracting political 194 
subdivision for any excess costs occasioned the state or the contracting 195 
political subdivision thereby, or (B) withhold payment of money to the 196 
contractor or subcontractor. The contracting department of the state or 197 
the political subdivision of the state shall, not later than two days after 198 
taking such action, notify the Labor Commissioner, in writing or 199 
electronically, of the name of the contractor or subcontractor, the project 200 
involved, the location of the work, the violations involved, the date the 201 
contract was terminated, and steps taken to collect the required wages. 202 
(c) The Labor Commissioner may make complaint to the proper 203 
prosecuting authorities for the violation of any provision of subsection 204 
(b) of this section. 205 
(d) For the purpose of predetermining the prevailing rate of wage on 206 
an hourly basis and the amount of payment, contributions and member 207 
benefits paid or payable on behalf of each person to any employee 208 
welfare fund, as defined in subsection (i) of this section, in each town 209 
where such contract is to be performed, the Labor Commissioner shall 210 
adopt the rate of wages on an hourly basis in accordance with the 211 
provisions of this section and section 31-76c and the amount of payment, 212  Raised Bill No.  6862 
 
 
 
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contributions and member benefits, including health, pension, annuity 213 
and apprenticeship funds, as recognized by the United States 214 
Department of Labor and the Labor Commissioner paid or payable on 215 
behalf of each person to any employee welfare fund, as defined in 216 
subsection (i) of this section, as established in the collective bargaining 217 
agreements or understandings between employers or employer 218 
associations and bona fide labor organizations for the same work in the 219 
same trade or occupation in the town in which the applicable building, 220 
heavy or highway works project is being constructed. For each trade or 221 
occupation for which more than one collective bargaining agreement is 222 
in effect for the town in which such project is being constructed, the 223 
collective bargaining agreement of historical jurisdiction shall prevail. 224 
For residential project rates and for each trade or occupation for which 225 
there is no collective bargaining agreement in effect for the town in 226 
which the building, heavy or highway works project is being 227 
constructed, the Labor Commissioner shall adopt and use such 228 
appropriate and applicable prevailing wage rate determinations as have 229 
been made by the Secretary of Labor of the United States under the 230 
provisions of the Davis-Bacon Act, as amended. 231 
(e) The Labor Commissioner shall determine the prevailing rate of 232 
wages on an hourly basis and the amount of payment or contributions 233 
paid or payable on behalf of such person to any employee welfare fund, 234 
as defined in subsection (i) of this section, in each locality where any 235 
such public work is to be constructed, and the agent empowered to let 236 
such contract shall contact the Labor Commissioner, at least ten but not 237 
more than twenty days prior to the date such contracts will be 238 
advertised for bid, to ascertain the proper rate of wages and amount of 239 
employee welfare fund payments or contributions and shall include 240 
such rate of wage on an hourly basis and the amount of payment or 241 
contributions paid or payable on behalf of each person to any employee 242 
welfare fund, as defined in subsection (i) of this section, or in lieu thereof 243 
the amount to be paid directly to each person for such payment or 244 
contributions as provided in subsection (a) of this section for all 245 
classifications of labor in the proposal for the contract. The rate of wage 246  Raised Bill No.  6862 
 
 
 
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on an hourly basis and the amount of payment or contributions to any 247 
employee welfare fund, as defined in subsection (i) of this section, or 248 
cash in lieu thereof, as provided in subsection (a) of this section, shall, at 249 
all times, be considered as the minimum rate for the classification for 250 
which it was established. Prior to the award of any contract, purchase 251 
order, bid package or other designation subject to the provisions of this 252 
section, such agent shall certify to the Labor Commissioner, either in 253 
writing or electronically, the total dollar amount of work to be done in 254 
connection with such public works project or broadband installation 255 
project, regardless of whether such project consists of one or more 256 
contracts. Upon the award of any contract subject to the provisions of 257 
this section, the contractor to whom such contract is awarded shall 258 
certify, under oath, to the Labor Commissioner the pay scale to be used 259 
by such contractor and any of the contractor's subcontractors for work 260 
to be performed under such contract. 261 
This act shall take effect as follows and shall amend the following 
sections: 
 
Section 1 July 1, 2023 16-330c 
Sec. 2 July 1, 2023 New section 
Sec. 3 July 1, 2023 31-53(a) to (e) 
 
Statement of Purpose:   
To implement oversight, accountability and labor standards for the 
state's expenditure of broadband funds received pursuant to federal 
funds. 
[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except 
that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not 
underlined.]