Maryland 2024 Regular Session

Maryland House Bill HB1276 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2
3	3	EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4	4	[Brackets] indicate matter deleted from existing law.
5	5	hb1276
6	6
7	7	HOUSE BILL 1276
8	8	P2 4lr2804
9	9	CF 4lr3514
10	10	By: Delegate Wells
11	11	Introduced and read first time: February 8, 2024
12	12	Assigned to: Health and Government Operations and Economic Matters
13	13
14	14	A BILL ENTITLED
15	15
16	16	AN ACT concerning 1
17	17
18	18	Public Works Contracts – Apprenticeship Requirements 2
19	19	(Maryland Workforce Apprenticeship Utilization Act) 3
20	20
21	21	FOR the purpose of altering certain apprenticeship requirements relating to public works 4
22	22	contracts to require certain contractors and subcontractors to employ a certain 5
23	23	number of qualified apprentices or journeyworkers necessary to meet a certain 6
24	24	applicable percentage for the project; altering the dollar value for certain projects for 7
25	25	the purpose of applying certain apprenticeship requirements to the project; repealing 8
26	26	certain provisions of law that authorized contractors and subcontractors to make 9
27	27	certain payments in lieu of employing certain apprentices; requiring the Secretary 10
28	28	of Labor to annually establish a certain applicable percentage; establishing that 11
29	29	certain apprenticeship requirements apply to the University System of Maryland 12
30	30	and Baltimore City Community College; and generally relating to apprenticeship 13
31	31	requirements for public works contracts. 14
32	32
33	33	BY repealing and reenacting, with amendments, 15
34	34	Article – State Finance and Procurement 16
35	35	Section 11–203(e) 17
36	36	Annotated Code of Maryland 18
37	37	(2021 Replacement Volume and 2023 Supplement) 19
38	38	(As enacted by Chapters 732 of the Acts of the General Assembly of 2021 and 20
39	39	Chapters 575 and 576 of the Acts of the General Assembly of 2023) 21
40	40
41	41	BY repealing and reenacting, with amendments, 22
42	42	Article – State Finance and Procurement 23
43	43	Section 17–601, 17–602, 17–603, and 17–606 24
44	44	Annotated Code of Maryland 25
45	45	(2021 Replacement Volume and 2023 Supplement) 26
46	46
47	47	BY adding to 27
48	48	Article – State Finance and Procurement 28 2 HOUSE BILL 1276
49	49
50	50
51	51	Section 17–601.1, 17–602.1, 17–604, 17–605, and 17–607 1
52	52	Annotated Code of Maryland 2
53	53	(2021 Replacement Volume and 2023 Supplement) 3
54	54
55	55	BY repealing 4
56	56	Article – State Finance and Procurement 5
57	57	Section 17–604 and 17–605 6
58	58	Annotated Code of Maryland 7
59	59	(2021 Replacement Volume and 2023 Supplement) 8
60	60
61	61	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 9
62	62	That the Laws of Maryland read as follows: 10
63	63
64	64	Article – State Finance and Procurement 11
65	65
66	66	11–203. 12
67	67
68	68	(e) (1) In this subsection, “University” means the University System of 13
69	69	Maryland, Morgan State University, or St. Mary’s College of Maryland. 14
70	70
71	71	(2) Except as otherwise provided in this subsection, this Division II does 15
72	72	not apply to the University System of Maryland, Morgan State University, St. Mary’s 16
73	73	College of Maryland, or Baltimore City Community College. 17
74	74
75	75	(3) (i) A procurement by a University or Baltimore City Community 18
76	76	College shall comply with the policies and procedures developed by the University or 19
77	77	Baltimore City Community College and approved by the Board of Public Works and the 20
78	78	Administrative, Executive, and Legislative Review Committee of the General Assembly in 21
79	79	accordance with: 22
80	80
81	81	1. § 12–112 of the Education Article for the University 23
82	82	System of Maryland; 24
83	83
84	84	2. § 14–109 of the Education Article for Morgan State 25
85	85	University; 26
86	86
87	87	3. § 14–405(f) of the Education Article for St. Mary’s College 27
88	88	of Maryland; or 28
89	89
90	90	4. § 16–505.3 of the Education Article for Baltimore City 29
91	91	Community College. 30
92	92
93	93	(ii) 1. The review and approval of the Board of Public Works 31
94	94	shall be required for the following types of contracts with a value that exceeds $1,000,000 32
95	95	for a University or $500,000 for Baltimore City Community College: 33
96	96
97	97	A. capital improvements; and 34 HOUSE BILL 1276 3
98	98
99	99
100	100
101	101	B. services. 1
102	102
103	103	2. In its review of a contract for services or capital 2
104	104	improvements with a value that exceeds $1,000,000, the Board of Public Works may request 3
105	105	the comments of the appropriate agencies, including the Department of Budget and 4
106	106	Management and the Department of General Services. 5
107	107
108	108	3. For Baltimore City Community College contracts that are 6
109	109	not subject to the review and approval of the Board of Public Works under subsubparagraph 7
110	110	1 of this subparagraph: 8
111	111
112	112	A. contracts with a value of $100,000 or less shall be reviewed 9
113	113	and approved by the President of Baltimore City Community College or the President’s 10
114	114	designee; and 11
115	115
116	116	B. contracts with a value that exceeds $100,000 but does not 12
117	117	exceed $500,000 shall be approved by the Board of Trustees of Baltimore City Community 13
118	118	College. 14
119	119
120	120	(4) The policies of a University or Baltimore City Community College shall: 15
121	121
122	122	(i) to the maximum extent practicable, require the purchasing of 16
123	123	supplies and services in accordance with Title 14, Subtitle 1 of this article; 17
124	124
125	125	(ii) promote the purposes of the regulations adopted by the 18
126	126	Department of General Services governing the procurement of architectural and 19
127	127	engineering services; 20
128	128
129	129	(iii) promote the purposes of § 13–402 of the State Personnel and 21
130	130	Pensions Article; 22
131	131
132	132	(iv) to the maximum extent practicable, be similar to § 13–218.1 of 23
133	133	this article; and 24
134	134
135	135	(v) to the maximum extent practicable, require the procurement of 25
136	136	food in accordance with Title 14, Subtitle 7 of this article. 26
137	137
138	138	(5) (i) Except as provided in paragraph (7) of this subsection, the 27
139	139	following provisions of Division II of this article apply to a University and to Baltimore City 28
140	140	Community College: 29
141	141
142	142	1. § 11–205 of this subtitle (“Collusion”); 30
143	143
144	144	2. § 11–205.1 of this subtitle (“Falsification, concealment, 31
145	145	etc., of material facts”); 32
146	146	4 HOUSE BILL 1276
147	147
148	148
149	149	3. § 13–219 of this article (“Required clauses – 1
150	150	Nondiscrimination clause”); 2
151	151
152	152	4. § 13–225 of this article (“Retainage”); 3
153	153
154	154	5. Title 14, Subtitle 3 of this article (“Minority Business 4
155	155	Participation”); 5
156	156
157	157	6. Title 14, Subtitle 7 of this article (“Certified Local Farm 6
158	158	and Fish Program”); 7
159	159
160	160	7. Title 15, Subtitle 1 of this article (“Procurement Contract 8
161	161	Administration”); 9
162	162
163	163	8. § 15–226 of this article (“Policy established; timing of 10
164	164	payments; notice upon nonpayment; disputes; appeals”); [and] 11
165	165
166	166	9. Title 16 of this article (“Suspension and Debarment of 12
167	167	Contractors”); AND 13
168	168
169	169	10. TITLE 17, SUBTITLE 6 OF THIS ARTICLE 14
170	170	(“APPRENTICESHIP REQUIREMENTS FOR PUBLIC WORKS CONTRACTS”). 15
171	171
172	172	(ii) If a procurement violates the provisions of this subsection or 16
173	173	policies adopted in accordance with this subsection, the procurement contract is void or 17
174	174	voidable in accordance with the provisions of § 11–204 of this subtitle. 18
175	175
176	176	(6) (i) The State Board of Contract Appeals shall have authority over 19
177	177	contract claims related to procurement contracts awarded by: 20
178	178
179	179	1. the University System of Maryland before July 1, 1999; 21
180	180
181	181	2. Morgan State University before July 1, 2004; and 22
182	182
183	183	3. Baltimore City Community College before July 1, 2021. 23
184	184
185	185	(ii) At the election of the Board of Regents of the University System 24
186	186	of Maryland and subject to the approval of the Board of Public Works, the State Board of 25
187	187	Contract Appeals shall have authority over contract claims related to procurement 26
188	188	contracts awarded by the University after June 30, 1999. 27
189	189
190	190	(iii) At the election of the Board of Regents of Morgan State 28
191	191	University and subject to the approval of the Board of Public Works, the State Board of 29
192	192	Contract Appeals shall have authority over contract claims related to procurement 30
193	193	contracts awarded by the University after June 30, 2004. 31
194	194	HOUSE BILL 1276 5
195	195
196	196
197	197	(iv) At the election of the Board of Trustees of St. Mary’s College of 1
198	198	Maryland and subject to the approval of the Board of Public Works, the State Board of 2
199	199	Contract Appeals shall have authority over contract claims related to procurement 3
200	200	contracts awarded by St. Mary’s College of Maryland after June 30, 2006. 4
201	201
202	202	(v) At the election of the Board of Trustees of Baltimore City 5
203	203	Community College and subject to the approval of the Board of Public Works, the State 6
204	204	Board of Contract Appeals shall have authority over contract claims related to procurement 7
205	205	contracts awarded by Baltimore City Community College after June 30, 2021. 8
206	206
207	207	(7) Except with regard to the provisions of § 15–113 of this article, 9
208	208	paragraphs (3), (4), and (5) of this subsection do not apply to: 10
209	209
210	210	(i) procurement by a University or Baltimore City Community 11
211	211	College from: 12
212	212
213	213	1. another unit; 13
214	214
215	215	2. a political subdivision of the State; 14
216	216
217	217	3. an agency of a political subdivision of the State; 15
218	218
219	219	4. a government, including the government of another state, 16
220	220	of the United States, or of another country; 17
221	221
222	222	5. an agency or political subdivision of a government; or 18
223	223
224	224	6. a bistate, multistate, bicounty, or multicounty 19
225	225	governmental agency; 20
226	226
227	227	(ii) procurement by a University in support of enterprise activities 21
228	228	for the purpose of: 22
229	229
230	230	1. direct resale; 23
231	231
232	232	2. remanufacture and subsequent resale; or 24
233	233
234	234	3. procurement by the University for overseas programs; or 25
235	235
236	236	(iii) procurement by the University System of Maryland for: 26
237	237
238	238	1. services of managers to invest, in accordance with the 27
239	239	management and investment policies adopted by the Board of Regents of the University 28
240	240	System of Maryland, gift and endowment assets received by the University System of 29
241	241	Maryland in accordance with § 12–104(e) of the Education Article; or 30
242	242	6 HOUSE BILL 1276
243	243
244	244
245	245	2. expenditures to manage, maintain, and enhance, in 1
246	246	accordance with the management and investment policies adopted by the Board of Regents 2
247	247	of the University System of Maryland, the value of gift and endowment assets received by 3
248	248	the University System of Maryland in accordance with § 12–104(e) of the Education Article. 4
249	249
250	250	17–601. 5
251	251
252	252	(a) In this subtitle the following words have the meanings indicated. 6
253	253
254	254	(B) “APPLICABLE PERCENTAGE ” MEANS THE PERCENTAGE OF TOTAL 7
255	255	LABOR HOURS OF WORK ON A COVERED PROJECT , INCLUDING CONSTRUCTI ON, 8
256	256	ALTERATION, AND REPAIR WORK , PERFORMED BY AN APPR ENTICE OR A 9
257	257	JOURNEYW ORKER ESTABLISHED UNDER § 17–602.1 OF THIS SUBTITLE. 10
258	258
259	259	[(b)] (C) “Apprenticeship training program” means an apprenticeship training 11
260	260	program that: 12
261	261
262	262	(1) is registered with, and approved by, the Apprenticeship and Training 13
263	263	Council or the U.S. Department of Labor; AND 14
264	264
265	265	(2) COMPLIES WITH THE REQUIREMENTS OF 29 C.F.R. PART 29 AND 15
266	266	PART 30. 16
267	267
268	268	[(c)] (D) “Covered craft” means a classification of workers listed in the prevailing 17
269	269	wage determination applicable to the covered project. 18
270	270
271	271	[(d)] (E) “Covered project” means a project for the construction of a public work, 19
272	272	as defined under § 17–201 of this title, that is valued at [$500,000] $250,000 or more. 20
273	273
274	274	[(e)] (F) “Department” means the Maryland Department of Labor. 21
275	275
276	276	[(f)] (G) “Fund” means the State Apprenticeship Training Fund established 22
277	277	under § 17–602 of this subtitle. 23
278	278
279	279	(H) “LABOR HOURS ” MEANS THE TOTAL NUMB ER OF HOURS DEVOTED TO 24
280	280	THE PERFORMANCE OF C ONSTRUCTION , ALTERATION, OR REPAIR WORK BY AN Y 25
281	281	INDIVIDUAL AND EXCLU DES HOURS WORKED BY : 26
282	282
283	283	(1) FOREMEN; 27
284	284
285	285	(2) SUPERINTENDENTS ; 28
286	286
287	287	(3) OWNERS; OR 29
288	288	HOUSE BILL 1276 7
289	289
290	290
291	291	(4) ANY PERSON EMPLOYED IN A BONA F IDE EXECUTIVE , 1
292	292	ADMINISTRATIVE , OR PROFESSIONAL CAPA CITY, AS DEFINED IN 29 C.F.R. PART 2
293	293	541. 3
294	294
295	295	[(g)] (I) “Participates in an apprenticeship training program” means that a 4
296	296	contractor or subcontractor makes regular financial contributions for each covered craft to 5
297	297	apprenticeship training programs for covered crafts during the term of the covered project 6
298	298	that are at least equal to the hourly fringe benefit contribution rates required for 7
299	299	apprenticeship training by the applicable prevailing wage determination for the project, as 8
300	300	specified by the Secretary. 9
301	301
302	302	(J) “QUALIFIED APPRENTICE OR JOURNEYWORKER ” MEANS AN 10
303	303	INDIVIDUAL WHO IS PA RTICIPATING IN AN AP PRENTICESHIP TRAININ G PROGRAM. 11
304	304
305	305	[(h)] (K) “Secretary” means the Secretary of Labor. 12
306	306
307	307	17–601.1. 13
308	308
309	309	(A) THIS SUBTITLE APPLIES ONLY TO CONTRACTORS AND 14
310	310	SUBCONTRACTORS WHO E MPLOY FOUR OR MORE INDIVIDUALS TO PERFORM WORK 15
311	311	ON A COVERED PROJECT . 16
312	312
313	313	(B) NOTHING IN THIS SUBTI TLE MAY PREEMPT A LOCAL LAW OR POLIC Y 17
314	314	PROVIDING FOR ADDITI ONAL SKILLED AND TRA INED WORKFORCE REQUI REMENTS 18
315	315	ON PUBLIC WORK PROJE CTS. 19
316	316
317	317	17–602. 20
318	318
319	319	(a) There is a State Apprenticeship Training Fund in the Department. 21
320	320
321	321	(b) The Fund consists of: 22
322	322
323	323	(1) payments made by contractors or subcontractors in accordance with 23
324	324	[this subtitle and] Subtitle 6A of this title; and 24
325	325
326	326	(2) penalties collected as a result of violations of this subtitle and Subtitle 25
327	327	6A of this title. 26
328	328
329	329	(c) The Fund is a special, nonlapsing fund that is not subject to § 7–302 of this 27
330	330	article. 28
331	331
332	332	(d) The State Treasurer shall hold the Fund separately, and the Comptroller shall 29
333	333	account for the Fund. 30
334	334
335	335	(e) The Secretary shall use money in the Fund to: 31 8 HOUSE BILL 1276
336	336
337	337
338	338
339	339	(1) promote preapprenticeship programs and other workforce development 1
340	340	programs in the State’s public secondary schools and community colleges that assist 2
341	341	students in preparing for and entering apprenticeship training programs; and 3
342	342
343	343	(2) pay any costs associated with carrying out the provisions of this subtitle 4
344	344	and Subtitle 6A of this title. 5
345	345
346	346	17–602.1. 6
347	347
348	348	(A) FOR CONSTRUCTION ON A COVERED PROJECT THAT BEGINS ON OR 7
349	349	AFTER JANUARY 1, 2025, THE APPLICABLE PERCE NTAGE IS 25%. 8
350	350
351	351	(B) ON OR BEFORE DECEMBER 31, 2025, AND EACH YEAR THEREA FTER, 9
352	352	THE SECRETARY SHALL SET THE APPLIC ABLE PERCENTAGE THAT WILL APPLY FOR 10
353	353	THE FOLLOWING CALEND AR YEAR. 11
354	354
355	355	17–603. 12
356	356
357	357	(a) [A] SUBJECT TO SUBSECTION (C) OF THIS SECTION , A contractor that is 13
358	358	awarded a procurement contract for a covered project shall provide to a unit, as a condition 14
359	359	of receiving the contract, written verification that[: 15
360	360
361	361	(1) the contractor participates in an apprenticeship training program for 16
362	362	each covered craft in which it will employ persons for the covered project; 17
363	363
364	364	(2) the contractor will make payments to the Fund; or 18
365	365
366	366	(3) the contractor will make payments in amounts determined under § 19
367	367	17–605 of this subtitle to a registered apprenticeship program or to an organization that 20
368	368	has registered apprenticeship programs for the purpose of supporting these programs] THE 21
369	369	CONTRACTOR IS EMPLOY ING THE NUMBER OF QUALIFIED APPRENTICES OR 22
370	370	JOURNEYWORKERS FOR A COVERED PROJEC T NECESSARY TO MEET THE 23
371	371	APPLICABLE PERCEN TAGE FOR THE COVERED PROJECT. 24
372	372
373	373	(B) SUBJECT TO SUBSECTION (C) OF THIS SECTION , A SUBCONTRACTOR 25
374	374	THAT PERFORMS WORK V ALUED AT $100,000 OR MORE FOR A COVERE D PROJECT 26
375	375	SHALL PROVIDE TO A U NIT WRITTEN VERIFICA TION THAT THE SUBCON TRACTOR IS 27
376	376	EMPLOYING THE NUMBER OF QUALIFIED APPRENTICE S OR JOURNEYWORKERS FOR 28
377	377	A COVERED PROJECT NE CESSARY TO MEET THE APPLICABLE PERCENTAG E FOR THE 29
378	378	COVERED PROJECT . 30
379	379
380	380	(C) THE SECRETARY MAY ALTER T HE APPLICABLE PERCEN TAGE FOR A 31
381	381	COVERED PROJECT TO M EET ANY RATIO REQUIR EMENTS NECESSARY FOR 32
382	382	APPRENTICE OR JOURNEYW ORKER SUPERVISION IN THE COVERED CRAFT . 33 HOUSE BILL 1276 9
383	383
384	384
385	385
386	386	[(b)] (D) The written verification required under [subsection] SUBSECTIONS (a) 1
387	387	AND (B) of this section shall be provided [by a contractor] to the unit responsible for the 2
388	388	project before the contractor OR SUBCONTRACTOR commences performance under the 3
389	389	procurement contract. 4
390	390
391	391	[(c) Organizations that have registered apprenticeship programs and receive 5
392	392	funds from contractors under subsection (a)(3) of this section shall certify to the Secretary 6
393	393	that all funds received are used solely for the purpose of improving or expanding 7
394	394	apprenticeship training in the State. 8
395	395
396	396	(d) The Secretary shall adopt regulations to establish a process for auditing 9
397	397	organizations that provide registered apprenticeship programs to ensure that all funds 10
398	398	received under subsection (a)(3) of this section are used solely to improve and expand 11
399	399	apprenticeship programs in the State.] 12
400	400
401	401	[17–604. 13
402	402
403	403	(a) A subcontractor that performs work valued at $100,000 or more for a covered 14
404	404	project shall provide to a unit written verification that: 15
405	405
406	406	(1) the subcontractor participates in an apprenticeship training program 16
407	407	for each covered craft in which it will employ persons for the covered project; 17
408	408
409	409	(2) the subcontractor will make payments to the Fund; or 18
410	410
411	411	(3) the subcontractor will make payments in amounts determined under § 19
412	412	17–605 of this subtitle to a registered apprenticeship program or to an organization that 20
413	413	has registered apprenticeship programs for the purpose of supporting these programs. 21
414	414
415	415	(b) The written verification required under subsection (a) of this section shall be 22
416	416	provided by a subcontractor to the unit responsible for the project before the subcontractor 23
417	417	commences performance under the procurement contract. 24
418	418
419	419	(c) Organizations that have registered apprenticeship programs and receive 25
420	420	funds from contractors under subsection (a)(3) of this section shall certify to the Secretary 26
421	421	that all funds received are used solely for the purpose of improving or expanding 27
422	422	apprenticeship training in the State. 28
423	423
424	424	(d) The Secretary shall adopt regulations to establish a process for auditing 29
425	425	organizations that provide registered apprenticeship programs to ensure that all funds 30
426	426	received under subsection (a)(3) of this section are used solely to improve and expand 31
427	427	apprenticeship programs in the State.] 32
428	428
429	429	17–604. 33
430	430	10 HOUSE BILL 1276
431	431
432	432
433	433	(A) IN THIS SECTION , “ALL APPLICABLE APPRE NTICESHIP TRAINING 1
434	434	PROGRAMS” MEANS EACH APPRENTIC ESHIP TRAINING PROGR AM THAT HAS A 2
435	435	GEOGRAPHIC AREA OF OPERATION THAT IN CLUDES THE LOCATION OF THE 3
436	436	COVERED PROJECT AND HAS A USUAL AND CUST OMARY BUSINESS PRACT ICE OF 4
437	437	ENTERING INTO AGREEM ENTS WITH EMPLOYERS FOR THE PLACEMENT OF 5
438	438	APPRENTICES IN THE C OVERED CRAFT . 6
439	439
440	440	(B) THE SECRETARY MAY WAIVE THE REQUIR EMENTS UNDER § 17–603 OF 7
441	441	THIS SUBTITLE IF A CONTRACTOR OR SUBC ONTRACTOR SUBMITS A WRITTEN 8
442	442	WAIVER APPLICATION , INCLUDING ANY SUPPOR TING DOCUMENTATION R EQUIRED 9
443	443	BY THE SECRETARY, DEMONSTRATING THAT T HE CONTRACTOR OR 10
444	444	SUBCONTRACTOR : 11
445	445
446	446	(1) SUBJECT TO SUBSECTIO N (C) OF THIS SECTION, HAS REQUESTED 12
447	447	QUALIFIED APPRENTICE S FROM ALL APPLICABLE APPRENTICESHIP TRAINING 13
448	448	PROGRAM S; AND 14
449	449
450	450	(2) FOR EACH REQUEST : 15
451	451
452	452	(I) THE REQUEST HAS BEEN DEN IED FOR A REASON THA T IS 16
453	453	NOT THE RESULT OF A REFUSAL BY THE CONTR ACTOR OR SUBCONTRACT OR TO 17
454	454	COMPLY WITH THE ESTA BLISHED STANDARDS AN D REQUIREMENTS OF TH E 18
455	455	APPRENTICESHIP TRAINING PROGRAM; OR 19
456	456
457	457	(II) THE APPRENTICESHIP TRAINING PROGRAM HAS FAILED TO 20
458	458	RESPOND TO THE REQUEST WITHIN 10 BUSINESS DAYS AFTER THE DATE ON WHICH 21
459	459	THE APPRENTICESHIP T RAINING PROGRAM RECEIVE D THE REQUEST. 22
460	460
461	461	(C) TO REQUEST QUALIFIED APPRENTICES FROM AN APPRENTICESHIP 23
462	462	TRAINING PROGRAM , A CONTRACTOR OR SUBC ONTRACTOR SHALL SUBMIT A 24
463	463	REQUEST: 25
464	464
465	465	(1) BY TELEPHONE AND IN WRITING SENT ELECTRONICALLY AND BY 26
466	466	REGISTERED MAIL ; AND 27
467	467
468	468	(2) FOR REQUESTS TO AN A PPRENTICESHIP TRAINI NG PROGRAM 28
469	469	WITH WHICH THE CONTR ACTOR OR SUBCONTRACT OR DOES NOT HAVE AN EXISTING 29
470	470	PARTICIPATION AGREEM ENT, AT LEAST 90 CALENDAR DAYS BEFORE THE DATE THE 30
471	471	CONTRACTOR OR SUBCON TRACTOR EXPECTS TO U SE APPRENTICE LABOR . 31
472	472
473	473	[17–605. 32
474	474
475	475	(a) (1) A contractor or subcontractor that elects to make payments to the Fund 33
476	476	in accordance with this subtitle shall make payments, as determined by the Secretary, not 34 HOUSE BILL 1276 11
477	477
478	478
479	479	to exceed 25 cents per hour for each employee in each covered craft who is employed by the 1
480	480	contractor or subcontractor on the covered project. 2
481	481
482	482	(2) If the prevailing wage determination for a covered craft includes a 3
483	483	fringe benefit contribution for apprenticeship programs that exceeds 25 cents, the 4
484	484	contractor or subcontractor shall pay the difference to the employees in the covered craft in 5
485	485	wages. 6
486	486
487	487	(3) Payments made under this section fulfill any obligations of the 7
488	488	contractor or subcontractor regarding contributions for apprenticeship programs included 8
489	489	in the prevailing wage determination under § 17–208 of this title. 9
490	490
491	491	(4) Payments made under paragraph (1) of this section are permissible 10
492	492	deductions under § 17–215(b) of this title. 11
493	493
494	494	(5) Payments made to the Fund in accordance with paragraph (1) of this 12
495	495	subsection shall be made on a monthly basis. 13
496	496
497	497	(b) (1) If the Secretary determines that a contractor or subcontractor for a 14
498	498	covered project has made contributions to an apprenticeship training program at rates 15
499	499	lower than those required by this subtitle, the contractor or subcontractor shall make 16
500	500	payments to the Fund for the difference between its contribution and the contribution rate 17
501	501	required by this subtitle. 18
502	502
503	503	(2) Payments made to the Fund in accordance with paragraph (1) of this 19
504	504	subsection shall be made on a monthly basis. 20
505	505
506	506	(c) A contractor shall report all apprenticeship payments made under this 21
507	507	subtitle on prevailing wage payroll records required by § 17–220 of this title. 22
508	508
509	509	(d) (1) A contractor or subcontractor that makes contributions to the Fund, a 23
510	510	registered apprenticeship program, or an organization that has registered apprenticeship 24
511	511	programs may request that its contributions be directed to a specific preapprenticeship or 25
512	512	workforce development program. 26
513	513
514	514	(2) The Secretary shall make a good–faith effort to accommodate requests 27
515	515	received in accordance with paragraph (1) of this subsection.] 28
516	516
517	517	17–605. 29
518	518
519	519	(A) WHILE CONSTRUCTION AC TIVITY ON A COVERED PROJECT IS ONGOING , 30
520	520	EACH CONTRACTOR AND SUBCONTRACTOR PERFOR MING WORK ON THE COV ERED 31
521	521	PROJECT SHALL SUBMIT A MONTHLY REPORT TO THE DEPARTMENT THAT 32
522	522	INCLUDES: 33
523	523
524	524	(1) FOR EACH APPRENTICE OR JOURNEY WORKER: 34 12 HOUSE BILL 1276
525	525
526	526
527	527
528	528	(I) THE NAME OF THE APPRENTICE OR JOURNEYWORKER ; 1
529	529
530	530	(II) THE NAME OF THE ASSOCIATED APPRENTIC ESHIP TRAINING 2
531	531	PROGRAM; AND 3
532	532
533	533	(III) THE APPRENTICE REGISTRAT ION OR IDENTIFICATIO N 4
534	534	NUMBER; 5
535	535
536	536	(2) THE TOTAL NUMBER OF APPRENTICE S AND LABOR HOURS 6
537	537	WORKED, CATEGORIZED BY TRADE OR CRAFT; AND 7
538	538
539	539	(3) THE TOTAL NUMBER OF JOURNEYWORKERS AND LABOR HOURS 8
540	540	WORKED, CATEGORIZED BY TRADE OR CRAFT. 9
541	541
542	542	(B) WITHIN 60 DAYS AFTER COMPLETIN G WORK ON A COVERED PROJECT, 10
543	543	EACH CONTRACTOR AND SUBCONTRACTOR SHALL SUBMIT TO THE DEPARTMENT : 11
544	544
545	545	(1) A STATEMENT OF THE T OTAL NUMBER OF LABOR HOURS OF WORK 12
546	546	ON A COVERED PROJECT , INCLUDING CONSTRUCTI ON, ALTERATION, AND REPAIR 13
547	547	WORK, PERFORMED BY AN APPR ENTICE OR JOURNEY WORKER; AND 14
548	548
549	549	(2) IF APPLICABLE , A WRITTEN DECLARATIO N AND SUPPORTING 15
550	550	DOCUMENTS JUSTIFYING ANY WAIVER RECEIVED UNDER § 17–604 OF THIS 16
551	551	SUBTITLE. 17
552	552
553	553	(C) THE DEPARTMENT SHALL MAIN TAIN ON ITS WEBSITE : 18
554	554
555	555	(1) DATA AGGREGATED FROM THE REPORTS RECEIVED UND ER 19
556	556	SUBSECTIONS (A) AND (B) OF THIS SECTION SHOWING THE USE OF Q UALIFIED 20
557	557	APPRENTICES AND JOURNEY WORKERS ON COVERED PROJECTS ; AND 21
558	558
559	559	(2) DESCRIPTIONS OF THE CIRCUMSTANCES OF ANY WAIVER 22
560	560	GRANTED UNDER § 17–604 OF THIS SUBTITLE. 23
561	561
562	562	17–606. 24
563	563
564	564	(a) A contractor or subcontractor that fails to meet the requirements of this 25
565	565	subtitle: 26
566	566
567	567	(1) shall be liable for an amount equal to [twice the amount of unpaid 27
568	568	apprenticeship training contributions required by this subtitle] $100 MULTIPLIED BY 28
569	569	THE TOTAL LABOR HOUR S FOR WHICH THE REQU IREMENT UNDER § 17–603 OF THIS 29
570	570	SUBTITLE WAS APPLICABLE ; AND 30 HOUSE BILL 1276 13
571	571
572	572
573	573
574	574	(2) MAY NOT BE CONTRACTE D TO PERFORM WORK ON A PUBLIC WORK 1
575	575	PROJECT FOR 3 YEARS AFTER THE DATE OF THE VIOLATION . 2
576	576
577	577	(b) (1) In this subsection, “willfully” means representations or omissions 3
578	578	known to be false or made with deliberate ignorance or reckless disregard for their truth or 4
579	579	falsity. 5
580	580
581	581	(2) Any person, firm, or corporation that is found to have made willfully a 6
582	582	false or fraudulent representation or omission regarding a material fact in connection with 7
583	583	prevailing wage records required by this section shall be liable for a civil penalty in an 8
584	584	amount of up to $1,000 for each employee and each falsified record. 9
585	585
586	586	(3) Penalties shall be recoverable [in civil actions and paid to the State] 10
587	587	UNDER THE MARYLAND FALSE CLAIMS ACT. 11
588	588
589	589	(c) (1) The Secretary shall adopt regulations to establish administrative 12
590	590	procedures for the collection of payments under this subtitle. 13
591	591
592	592	(2) (i) The Secretary may file suit to enforce this section in any court of 14
593	593	competent jurisdiction. 15
594	594
595	595	(ii) In an action filed under this subsection, the court shall require 16
596	596	the contractor or subcontractor to pay the amount required by subsection (a) of this section, 17
597	597	including interest, reasonable counsel fees, and court costs. 18
598	598
599	599	17–607. 19
600	600
601	601	THE SECRETARY SHALL ADOPT REGULATIONS NECESSAR Y TO CARRY OUT THE 20
602	602	REQUIREMENTS OF THIS SUBTITLE. 21
603	603
604	604	SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 22
605	605	October 1, 2024. 23