86R1149 JG-F
By: Alvarado S.B. No. 1917
A BILL TO BE ENTITLED
AN ACT
relating to the prevailing wage for work associated with public
work contracts; authorizing a penalty.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 2258.023, Government Code, is amended by
amending Subsections (a), (b), and (d) and adding Subsections (b-1)
and (f) to read as follows:
(a) The contractor who is awarded a contract by a public
body or a subcontractor of the contractor:
(1) shall pay not less than the rates determined under
Section 2258.022 to a worker employed by it in the execution of the
contract; and
(2) may not improperly classify a worker employed by
it in the execution of the contract as an independent contractor in
order to avoid paying the worker under Subdivision (1).
(b) A contractor or subcontractor who violates this section
shall pay to the state or a political subdivision of the state on
whose behalf the contract is made $90 [, $60] for:
(1) each worker employed for each calendar day or part
of the day that the worker is paid less than the wage rates
stipulated in the contract; or
(2) each worker misclassified as an independent
contractor for each calendar day or part of the day that the worker
is misclassified.
(b-1) A public body awarding a contract shall specify the
[this] penalty provided for by Subsection (b) in the contract.
(d) The public body shall:
(1) audit a public work contract to ensure compliance
with this chapter:
(A) throughout the term of the contract; and
(B) not later than the 30th day before the date
the work is scheduled to be completed on the contract; and
(2) use any money collected under this section to
offset the costs incurred in the administration of this chapter.
(f) The payment requirement under Subsection (a)(1) may
only be satisfied by payment to the employee in the form of per diem
wages.
SECTION 2. The change in law made by this Act applies only
to a public work contract entered into on or after the effective
date of this Act. A public work contract entered into before the
effective date of this Act is governed by the law in effect on the
date the contract was entered into, and the former law is continued
in effect for that purpose.
SECTION 3. This Act takes effect September 1, 2019.