EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. *hb1276* HOUSE BILL 1276 P2 4lr2804 CF 4lr3514 By: Delegate Wells Introduced and read first time: February 8, 2024 Assigned to: Health and Government Operations and Economic Matters A BILL ENTITLED AN ACT concerning 1 Public Works Contracts – Apprenticeship Requirements 2 (Maryland Workforce Apprenticeship Utilization Act) 3 FOR the purpose of altering certain apprenticeship requirements relating to public works 4 contracts to require certain contractors and subcontractors to employ a certain 5 number of qualified apprentices or journeyworkers necessary to meet a certain 6 applicable percentage for the project; altering the dollar value for certain projects for 7 the purpose of applying certain apprenticeship requirements to the project; repealing 8 certain provisions of law that authorized contractors and subcontractors to make 9 certain payments in lieu of employing certain apprentices; requiring the Secretary 10 of Labor to annually establish a certain applicable percentage; establishing that 11 certain apprenticeship requirements apply to the University System of Maryland 12 and Baltimore City Community College; and generally relating to apprenticeship 13 requirements for public works contracts. 14 BY repealing and reenacting, with amendments, 15 Article – State Finance and Procurement 16 Section 11–203(e) 17 Annotated Code of Maryland 18 (2021 Replacement Volume and 2023 Supplement) 19 (As enacted by Chapters 732 of the Acts of the General Assembly of 2021 and 20 Chapters 575 and 576 of the Acts of the General Assembly of 2023) 21 BY repealing and reenacting, with amendments, 22 Article – State Finance and Procurement 23 Section 17–601, 17–602, 17–603, and 17–606 24 Annotated Code of Maryland 25 (2021 Replacement Volume and 2023 Supplement) 26 BY adding to 27 Article – State Finance and Procurement 28 2 HOUSE BILL 1276 Section 17–601.1, 17–602.1, 17–604, 17–605, and 17–607 1 Annotated Code of Maryland 2 (2021 Replacement Volume and 2023 Supplement) 3 BY repealing 4 Article – State Finance and Procurement 5 Section 17–604 and 17–605 6 Annotated Code of Maryland 7 (2021 Replacement Volume and 2023 Supplement) 8 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 9 That the Laws of Maryland read as follows: 10 Article – State Finance and Procurement 11 11–203. 12 (e) (1) In this subsection, “University” means the University System of 13 Maryland, Morgan State University, or St. Mary’s College of Maryland. 14 (2) Except as otherwise provided in this subsection, this Division II does 15 not apply to the University System of Maryland, Morgan State University, St. Mary’s 16 College of Maryland, or Baltimore City Community College. 17 (3) (i) A procurement by a University or Baltimore City Community 18 College shall comply with the policies and procedures developed by the University or 19 Baltimore City Community College and approved by the Board of Public Works and the 20 Administrative, Executive, and Legislative Review Committee of the General Assembly in 21 accordance with: 22 1. § 12–112 of the Education Article for the University 23 System of Maryland; 24 2. § 14–109 of the Education Article for Morgan State 25 University; 26 3. § 14–405(f) of the Education Article for St. Mary’s College 27 of Maryland; or 28 4. § 16–505.3 of the Education Article for Baltimore City 29 Community College. 30 (ii) 1. The review and approval of the Board of Public Works 31 shall be required for the following types of contracts with a value that exceeds $1,000,000 32 for a University or $500,000 for Baltimore City Community College: 33 A. capital improvements; and 34 HOUSE BILL 1276 3 B. services. 1 2. In its review of a contract for services or capital 2 improvements with a value that exceeds $1,000,000, the Board of Public Works may request 3 the comments of the appropriate agencies, including the Department of Budget and 4 Management and the Department of General Services. 5 3. For Baltimore City Community College contracts that are 6 not subject to the review and approval of the Board of Public Works under subsubparagraph 7 1 of this subparagraph: 8 A. contracts with a value of $100,000 or less shall be reviewed 9 and approved by the President of Baltimore City Community College or the President’s 10 designee; and 11 B. contracts with a value that exceeds $100,000 but does not 12 exceed $500,000 shall be approved by the Board of Trustees of Baltimore City Community 13 College. 14 (4) The policies of a University or Baltimore City Community College shall: 15 (i) to the maximum extent practicable, require the purchasing of 16 supplies and services in accordance with Title 14, Subtitle 1 of this article; 17 (ii) promote the purposes of the regulations adopted by the 18 Department of General Services governing the procurement of architectural and 19 engineering services; 20 (iii) promote the purposes of § 13–402 of the State Personnel and 21 Pensions Article; 22 (iv) to the maximum extent practicable, be similar to § 13–218.1 of 23 this article; and 24 (v) to the maximum extent practicable, require the procurement of 25 food in accordance with Title 14, Subtitle 7 of this article. 26 (5) (i) Except as provided in paragraph (7) of this subsection, the 27 following provisions of Division II of this article apply to a University and to Baltimore City 28 Community College: 29 1. § 11–205 of this subtitle (“Collusion”); 30 2. § 11–205.1 of this subtitle (“Falsification, concealment, 31 etc., of material facts”); 32 4 HOUSE BILL 1276 3. § 13–219 of this article (“Required clauses – 1 Nondiscrimination clause”); 2 4. § 13–225 of this article (“Retainage”); 3 5. Title 14, Subtitle 3 of this article (“Minority Business 4 Participation”); 5 6. Title 14, Subtitle 7 of this article (“Certified Local Farm 6 and Fish Program”); 7 7. Title 15, Subtitle 1 of this article (“Procurement Contract 8 Administration”); 9 8. § 15–226 of this article (“Policy established; timing of 10 payments; notice upon nonpayment; disputes; appeals”); [and] 11 9. Title 16 of this article (“Suspension and Debarment of 12 Contractors”); AND 13 10. TITLE 17, SUBTITLE 6 OF THIS ARTICLE 14 (“APPRENTICESHIP REQUIREMENTS FOR PUBLIC WORKS CONTRACTS”). 15 (ii) If a procurement violates the provisions of this subsection or 16 policies adopted in accordance with this subsection, the procurement contract is void or 17 voidable in accordance with the provisions of § 11–204 of this subtitle. 18 (6) (i) The State Board of Contract Appeals shall have authority over 19 contract claims related to procurement contracts awarded by: 20 1. the University System of Maryland before July 1, 1999; 21 2. Morgan State University before July 1, 2004; and 22 3. Baltimore City Community College before July 1, 2021. 23 (ii) At the election of the Board of Regents of the University System 24 of Maryland and subject to the approval of the Board of Public Works, the State Board of 25 Contract Appeals shall have authority over contract claims related to procurement 26 contracts awarded by the University after June 30, 1999. 27 (iii) At the election of the Board of Regents of Morgan State 28 University and subject to the approval of the Board of Public Works, the State Board of 29 Contract Appeals shall have authority over contract claims related to procurement 30 contracts awarded by the University after June 30, 2004. 31 HOUSE BILL 1276 5 (iv) At the election of the Board of Trustees of St. Mary’s College of 1 Maryland and subject to the approval of the Board of Public Works, the State Board of 2 Contract Appeals shall have authority over contract claims related to procurement 3 contracts awarded by St. Mary’s College of Maryland after June 30, 2006. 4 (v) At the election of the Board of Trustees of Baltimore City 5 Community College and subject to the approval of the Board of Public Works, the State 6 Board of Contract Appeals shall have authority over contract claims related to procurement 7 contracts awarded by Baltimore City Community College after June 30, 2021. 8 (7) Except with regard to the provisions of § 15–113 of this article, 9 paragraphs (3), (4), and (5) of this subsection do not apply to: 10 (i) procurement by a University or Baltimore City Community 11 College from: 12 1. another unit; 13 2. a political subdivision of the State; 14 3. an agency of a political subdivision of the State; 15 4. a government, including the government of another state, 16 of the United States, or of another country; 17 5. an agency or political subdivision of a government; or 18 6. a bistate, multistate, bicounty, or multicounty 19 governmental agency; 20 (ii) procurement by a University in support of enterprise activities 21 for the purpose of: 22 1. direct resale; 23 2. remanufacture and subsequent resale; or 24 3. procurement by the University for overseas programs; or 25 (iii) procurement by the University System of Maryland for: 26 1. services of managers to invest, in accordance with the 27 management and investment policies adopted by the Board of Regents of the University 28 System of Maryland, gift and endowment assets received by the University System of 29 Maryland in accordance with § 12–104(e) of the Education Article; or 30 6 HOUSE BILL 1276 2. expenditures to manage, maintain, and enhance, in 1 accordance with the management and investment policies adopted by the Board of Regents 2 of the University System of Maryland, the value of gift and endowment assets received by 3 the University System of Maryland in accordance with § 12–104(e) of the Education Article. 4 17–601. 5 (a) In this subtitle the following words have the meanings indicated. 6 (B) “APPLICABLE PERCENTAGE ” MEANS THE PERCENTAGE OF TOTAL 7 LABOR HOURS OF WORK ON A COVERED PROJECT , INCLUDING CONSTRUCTI ON, 8 ALTERATION, AND REPAIR WORK , PERFORMED BY AN APPR ENTICE OR A 9 JOURNEYW ORKER ESTABLISHED UNDER § 17–602.1 OF THIS SUBTITLE. 10 [(b)] (C) “Apprenticeship training program” means an apprenticeship training 11 program that: 12 (1) is registered with, and approved by, the Apprenticeship and Training 13 Council or the U.S. Department of Labor; AND 14 (2) COMPLIES WITH THE REQUIREMENTS OF 29 C.F.R. PART 29 AND 15 PART 30. 16 [(c)] (D) “Covered craft” means a classification of workers listed in the prevailing 17 wage determination applicable to the covered project. 18 [(d)] (E) “Covered project” means a project for the construction of a public work, 19 as defined under § 17–201 of this title, that is valued at [$500,000] $250,000 or more. 20 [(e)] (F) “Department” means the Maryland Department of Labor. 21 [(f)] (G) “Fund” means the State Apprenticeship Training Fund established 22 under § 17–602 of this subtitle. 23 (H) “LABOR HOURS ” MEANS THE TOTAL NUMB ER OF HOURS DEVOTED TO 24 THE PERFORMANCE OF C ONSTRUCTION , ALTERATION, OR REPAIR WORK BY AN Y 25 INDIVIDUAL AND EXCLU DES HOURS WORKED BY : 26 (1) FOREMEN; 27 (2) SUPERINTENDENTS ; 28 (3) OWNERS; OR 29 HOUSE BILL 1276 7 (4) ANY PERSON EMPLOYED IN A BONA F IDE EXECUTIVE , 1 ADMINISTRATIVE , OR PROFESSIONAL CAPA CITY, AS DEFINED IN 29 C.F.R. PART 2 541. 3 [(g)] (I) “Participates in an apprenticeship training program” means that a 4 contractor or subcontractor makes regular financial contributions for each covered craft to 5 apprenticeship training programs for covered crafts during the term of the covered project 6 that are at least equal to the hourly fringe benefit contribution rates required for 7 apprenticeship training by the applicable prevailing wage determination for the project, as 8 specified by the Secretary. 9 (J) “QUALIFIED APPRENTICE OR JOURNEYWORKER ” MEANS AN 10 INDIVIDUAL WHO IS PA RTICIPATING IN AN AP PRENTICESHIP TRAININ G PROGRAM. 11 [(h)] (K) “Secretary” means the Secretary of Labor. 12 17–601.1. 13 (A) THIS SUBTITLE APPLIES ONLY TO CONTRACTORS AND 14 SUBCONTRACTORS WHO E MPLOY FOUR OR MORE INDIVIDUALS TO PERFORM WORK 15 ON A COVERED PROJECT . 16 (B) NOTHING IN THIS SUBTI TLE MAY PREEMPT A LOCAL LAW OR POLIC Y 17 PROVIDING FOR ADDITI ONAL SKILLED AND TRA INED WORKFORCE REQUI REMENTS 18 ON PUBLIC WORK PROJE CTS. 19 17–602. 20 (a) There is a State Apprenticeship Training Fund in the Department. 21 (b) The Fund consists of: 22 (1) payments made by contractors or subcontractors in accordance with 23 [this subtitle and] Subtitle 6A of this title; and 24 (2) penalties collected as a result of violations of this subtitle and Subtitle 25 6A of this title. 26 (c) The Fund is a special, nonlapsing fund that is not subject to § 7–302 of this 27 article. 28 (d) The State Treasurer shall hold the Fund separately, and the Comptroller shall 29 account for the Fund. 30 (e) The Secretary shall use money in the Fund to: 31 8 HOUSE BILL 1276 (1) promote preapprenticeship programs and other workforce development 1 programs in the State’s public secondary schools and community colleges that assist 2 students in preparing for and entering apprenticeship training programs; and 3 (2) pay any costs associated with carrying out the provisions of this subtitle 4 and Subtitle 6A of this title. 5 17–602.1. 6 (A) FOR CONSTRUCTION ON A COVERED PROJECT THAT BEGINS ON OR 7 AFTER JANUARY 1, 2025, THE APPLICABLE PERCE NTAGE IS 25%. 8 (B) ON OR BEFORE DECEMBER 31, 2025, AND EACH YEAR THEREA FTER, 9 THE SECRETARY SHALL SET THE APPLIC ABLE PERCENTAGE THAT WILL APPLY FOR 10 THE FOLLOWING CALEND AR YEAR. 11 17–603. 12 (a) [A] SUBJECT TO SUBSECTION (C) OF THIS SECTION , A contractor that is 13 awarded a procurement contract for a covered project shall provide to a unit, as a condition 14 of receiving the contract, written verification that[: 15 (1) the contractor participates in an apprenticeship training program for 16 each covered craft in which it will employ persons for the covered project; 17 (2) the contractor will make payments to the Fund; or 18 (3) the contractor will make payments in amounts determined under § 19 17–605 of this subtitle to a registered apprenticeship program or to an organization that 20 has registered apprenticeship programs for the purpose of supporting these programs] THE 21 CONTRACTOR IS EMPLOY ING THE NUMBER OF QUALIFIED APPRENTICES OR 22 JOURNEYWORKERS FOR A COVERED PROJEC T NECESSARY TO MEET THE 23 APPLICABLE PERCEN TAGE FOR THE COVERED PROJECT. 24 (B) SUBJECT TO SUBSECTION (C) OF THIS SECTION , A SUBCONTRACTOR 25 THAT PERFORMS WORK V ALUED AT $100,000 OR MORE FOR A COVERE D PROJECT 26 SHALL PROVIDE TO A U NIT WRITTEN VERIFICA TION THAT THE SUBCON TRACTOR IS 27 EMPLOYING THE NUMBER OF QUALIFIED APPRENTICE S OR JOURNEYWORKERS FOR 28 A COVERED PROJECT NE CESSARY TO MEET THE APPLICABLE PERCENTAG E FOR THE 29 COVERED PROJECT . 30 (C) THE SECRETARY MAY ALTER T HE APPLICABLE PERCEN TAGE FOR A 31 COVERED PROJECT TO M EET ANY RATIO REQUIR EMENTS NECESSARY FOR 32 APPRENTICE OR JOURNEYW ORKER SUPERVISION IN THE COVERED CRAFT . 33 HOUSE BILL 1276 9 [(b)] (D) The written verification required under [subsection] SUBSECTIONS (a) 1 AND (B) of this section shall be provided [by a contractor] to the unit responsible for the 2 project before the contractor OR SUBCONTRACTOR commences performance under the 3 procurement contract. 4 [(c) Organizations that have registered apprenticeship programs and receive 5 funds from contractors under subsection (a)(3) of this section shall certify to the Secretary 6 that all funds received are used solely for the purpose of improving or expanding 7 apprenticeship training in the State. 8 (d) The Secretary shall adopt regulations to establish a process for auditing 9 organizations that provide registered apprenticeship programs to ensure that all funds 10 received under subsection (a)(3) of this section are used solely to improve and expand 11 apprenticeship programs in the State.] 12 [17–604. 13 (a) A subcontractor that performs work valued at $100,000 or more for a covered 14 project shall provide to a unit written verification that: 15 (1) the subcontractor participates in an apprenticeship training program 16 for each covered craft in which it will employ persons for the covered project; 17 (2) the subcontractor will make payments to the Fund; or 18 (3) the subcontractor will make payments in amounts determined under § 19 17–605 of this subtitle to a registered apprenticeship program or to an organization that 20 has registered apprenticeship programs for the purpose of supporting these programs. 21 (b) The written verification required under subsection (a) of this section shall be 22 provided by a subcontractor to the unit responsible for the project before the subcontractor 23 commences performance under the procurement contract. 24 (c) Organizations that have registered apprenticeship programs and receive 25 funds from contractors under subsection (a)(3) of this section shall certify to the Secretary 26 that all funds received are used solely for the purpose of improving or expanding 27 apprenticeship training in the State. 28 (d) The Secretary shall adopt regulations to establish a process for auditing 29 organizations that provide registered apprenticeship programs to ensure that all funds 30 received under subsection (a)(3) of this section are used solely to improve and expand 31 apprenticeship programs in the State.] 32 17–604. 33 10 HOUSE BILL 1276 (A) IN THIS SECTION , “ALL APPLICABLE APPRE NTICESHIP TRAINING 1 PROGRAMS” MEANS EACH APPRENTIC ESHIP TRAINING PROGR AM THAT HAS A 2 GEOGRAPHIC AREA OF OPERATION THAT IN CLUDES THE LOCATION OF THE 3 COVERED PROJECT AND HAS A USUAL AND CUST OMARY BUSINESS PRACT ICE OF 4 ENTERING INTO AGREEM ENTS WITH EMPLOYERS FOR THE PLACEMENT OF 5 APPRENTICES IN THE C OVERED CRAFT . 6 (B) THE SECRETARY MAY WAIVE THE REQUIR EMENTS UNDER § 17–603 OF 7 THIS SUBTITLE IF A CONTRACTOR OR SUBC ONTRACTOR SUBMITS A WRITTEN 8 WAIVER APPLICATION , INCLUDING ANY SUPPOR TING DOCUMENTATION R EQUIRED 9 BY THE SECRETARY, DEMONSTRATING THAT T HE CONTRACTOR OR 10 SUBCONTRACTOR : 11 (1) SUBJECT TO SUBSECTIO N (C) OF THIS SECTION, HAS REQUESTED 12 QUALIFIED APPRENTICE S FROM ALL APPLICABLE APPRENTICESHIP TRAINING 13 PROGRAM S; AND 14 (2) FOR EACH REQUEST : 15 (I) THE REQUEST HAS BEEN DEN IED FOR A REASON THA T IS 16 NOT THE RESULT OF A REFUSAL BY THE CONTR ACTOR OR SUBCONTRACT OR TO 17 COMPLY WITH THE ESTA BLISHED STANDARDS AN D REQUIREMENTS OF TH E 18 APPRENTICESHIP TRAINING PROGRAM; OR 19 (II) THE APPRENTICESHIP TRAINING PROGRAM HAS FAILED TO 20 RESPOND TO THE REQUEST WITHIN 10 BUSINESS DAYS AFTER THE DATE ON WHICH 21 THE APPRENTICESHIP T RAINING PROGRAM RECEIVE D THE REQUEST. 22 (C) TO REQUEST QUALIFIED APPRENTICES FROM AN APPRENTICESHIP 23 TRAINING PROGRAM , A CONTRACTOR OR SUBC ONTRACTOR SHALL SUBMIT A 24 REQUEST: 25 (1) BY TELEPHONE AND IN WRITING SENT ELECTRONICALLY AND BY 26 REGISTERED MAIL ; AND 27 (2) FOR REQUESTS TO AN A PPRENTICESHIP TRAINI NG PROGRAM 28 WITH WHICH THE CONTR ACTOR OR SUBCONTRACT OR DOES NOT HAVE AN EXISTING 29 PARTICIPATION AGREEM ENT, AT LEAST 90 CALENDAR DAYS BEFORE THE DATE THE 30 CONTRACTOR OR SUBCON TRACTOR EXPECTS TO U SE APPRENTICE LABOR . 31 [17–605. 32 (a) (1) A contractor or subcontractor that elects to make payments to the Fund 33 in accordance with this subtitle shall make payments, as determined by the Secretary, not 34 HOUSE BILL 1276 11 to exceed 25 cents per hour for each employee in each covered craft who is employed by the 1 contractor or subcontractor on the covered project. 2 (2) If the prevailing wage determination for a covered craft includes a 3 fringe benefit contribution for apprenticeship programs that exceeds 25 cents, the 4 contractor or subcontractor shall pay the difference to the employees in the covered craft in 5 wages. 6 (3) Payments made under this section fulfill any obligations of the 7 contractor or subcontractor regarding contributions for apprenticeship programs included 8 in the prevailing wage determination under § 17–208 of this title. 9 (4) Payments made under paragraph (1) of this section are permissible 10 deductions under § 17–215(b) of this title. 11 (5) Payments made to the Fund in accordance with paragraph (1) of this 12 subsection shall be made on a monthly basis. 13 (b) (1) If the Secretary determines that a contractor or subcontractor for a 14 covered project has made contributions to an apprenticeship training program at rates 15 lower than those required by this subtitle, the contractor or subcontractor shall make 16 payments to the Fund for the difference between its contribution and the contribution rate 17 required by this subtitle. 18 (2) Payments made to the Fund in accordance with paragraph (1) of this 19 subsection shall be made on a monthly basis. 20 (c) A contractor shall report all apprenticeship payments made under this 21 subtitle on prevailing wage payroll records required by § 17–220 of this title. 22 (d) (1) A contractor or subcontractor that makes contributions to the Fund, a 23 registered apprenticeship program, or an organization that has registered apprenticeship 24 programs may request that its contributions be directed to a specific preapprenticeship or 25 workforce development program. 26 (2) The Secretary shall make a good–faith effort to accommodate requests 27 received in accordance with paragraph (1) of this subsection.] 28 17–605. 29 (A) WHILE CONSTRUCTION AC TIVITY ON A COVERED PROJECT IS ONGOING , 30 EACH CONTRACTOR AND SUBCONTRACTOR PERFOR MING WORK ON THE COV ERED 31 PROJECT SHALL SUBMIT A MONTHLY REPORT TO THE DEPARTMENT THAT 32 INCLUDES: 33 (1) FOR EACH APPRENTICE OR JOURNEY WORKER: 34 12 HOUSE BILL 1276 (I) THE NAME OF THE APPRENTICE OR JOURNEYWORKER ; 1 (II) THE NAME OF THE ASSOCIATED APPRENTIC ESHIP TRAINING 2 PROGRAM; AND 3 (III) THE APPRENTICE REGISTRAT ION OR IDENTIFICATIO N 4 NUMBER; 5 (2) THE TOTAL NUMBER OF APPRENTICE S AND LABOR HOURS 6 WORKED, CATEGORIZED BY TRADE OR CRAFT; AND 7 (3) THE TOTAL NUMBER OF JOURNEYWORKERS AND LABOR HOURS 8 WORKED, CATEGORIZED BY TRADE OR CRAFT. 9 (B) WITHIN 60 DAYS AFTER COMPLETIN G WORK ON A COVERED PROJECT, 10 EACH CONTRACTOR AND SUBCONTRACTOR SHALL SUBMIT TO THE DEPARTMENT : 11 (1) A STATEMENT OF THE T OTAL NUMBER OF LABOR HOURS OF WORK 12 ON A COVERED PROJECT , INCLUDING CONSTRUCTI ON, ALTERATION, AND REPAIR 13 WORK, PERFORMED BY AN APPR ENTICE OR JOURNEY WORKER; AND 14 (2) IF APPLICABLE , A WRITTEN DECLARATIO N AND SUPPORTING 15 DOCUMENTS JUSTIFYING ANY WAIVER RECEIVED UNDER § 17–604 OF THIS 16 SUBTITLE. 17 (C) THE DEPARTMENT SHALL MAIN TAIN ON ITS WEBSITE : 18 (1) DATA AGGREGATED FROM THE REPORTS RECEIVED UND ER 19 SUBSECTIONS (A) AND (B) OF THIS SECTION SHOWING THE USE OF Q UALIFIED 20 APPRENTICES AND JOURNEY WORKERS ON COVERED PROJECTS ; AND 21 (2) DESCRIPTIONS OF THE CIRCUMSTANCES OF ANY WAIVER 22 GRANTED UNDER § 17–604 OF THIS SUBTITLE. 23 17–606. 24 (a) A contractor or subcontractor that fails to meet the requirements of this 25 subtitle: 26 (1) shall be liable for an amount equal to [twice the amount of unpaid 27 apprenticeship training contributions required by this subtitle] $100 MULTIPLIED BY 28 THE TOTAL LABOR HOUR S FOR WHICH THE REQU IREMENT UNDER § 17–603 OF THIS 29 SUBTITLE WAS APPLICABLE ; AND 30 HOUSE BILL 1276 13 (2) MAY NOT BE CONTRACTE D TO PERFORM WORK ON A PUBLIC WORK 1 PROJECT FOR 3 YEARS AFTER THE DATE OF THE VIOLATION . 2 (b) (1) In this subsection, “willfully” means representations or omissions 3 known to be false or made with deliberate ignorance or reckless disregard for their truth or 4 falsity. 5 (2) Any person, firm, or corporation that is found to have made willfully a 6 false or fraudulent representation or omission regarding a material fact in connection with 7 prevailing wage records required by this section shall be liable for a civil penalty in an 8 amount of up to $1,000 for each employee and each falsified record. 9 (3) Penalties shall be recoverable [in civil actions and paid to the State] 10 UNDER THE MARYLAND FALSE CLAIMS ACT. 11 (c) (1) The Secretary shall adopt regulations to establish administrative 12 procedures for the collection of payments under this subtitle. 13 (2) (i) The Secretary may file suit to enforce this section in any court of 14 competent jurisdiction. 15 (ii) In an action filed under this subsection, the court shall require 16 the contractor or subcontractor to pay the amount required by subsection (a) of this section, 17 including interest, reasonable counsel fees, and court costs. 18 17–607. 19 THE SECRETARY SHALL ADOPT REGULATIONS NECESSAR Y TO CARRY OUT THE 20 REQUIREMENTS OF THIS SUBTITLE. 21 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 22 October 1, 2024. 23