Title
Staff Report for an Ordinance Amending San Leandro Municipal Code Section 1-5-400 to Eliminate Provisions Exempting Certain Public Works Contracts from Payment of Prevailing Wages and to Add a Provision Requiring Compliance with California Labor Code Section 1782
Staffreport
RECOMMENDATIONS
Staff recommends that the City Council adopt the attached Ordinance amending San Leandro Municipal Code Section 1-5-400 to eliminate provisions of the municipal code that exempt certain public works contracts from paying prevailing wage and to add a provision requiring compliance with California Labor Code Section 1782.
BACKGROUND AND SUMMARY
The City's existing municipal code generally requires payment of prevailing wages for City contracts for the performance of public works in excess of five thousand dollars ($5,000) and for certain contracts between private persons for the performance of construction work. However, the municipal code currently exempts the prevailing wage requirement from contracts on: public works performed by City employees; on maintenance contracts; on private contracts for construction work on property owned by the City and subject to a ground lease in effect prior to the effective date of the prevailing wage provision of the municipal code; for any public work performed following the declaration of an emergency.
In 2013, Governor Brown signed Senate Bill 7 into law which added Section 1782 to the California Labor Code. California Labor Code Section 1782 restricts state funding or financial assistance to cities that are not in compliance with California's prevailing wage laws. Specifically, California Labor Code Section 1782 prohibits charter cities from receiving or using state funding or financial assistance for a construction project unless contractors are required to comply with state law prevailing wage requirements on all City public works contracts.
Charter cities are not prohibited from receiving state funding...
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