A 3762 — Establishes "New Jersey Private Contractor Registration Act;" appropriates $1.5 million.*

A The privatecommissioner contractor shall beprominently guiltydisplay ofthe ainformational disorderlylist personson offensea ifwebsite maintained by the contractor:department.

     (1)d.    willfullyEach hindersprivate orcontractor delaysshall thesubmit commissionerto in the performancehiring ofentity the commissioner’scertificates dutiesof inregistration thefor enforcementall ofsubcontractors. this act;

     Applications (2)for failsregistration toshall make,not keep,be andaccepted preserveas anya recordssubstitute asfor requireda undercertificate of registration for the provisionspurposes of this act;subsection.

     (3)6.    falsifiesa. any of those records, or refuses to make any of those records accessible to the commissioner upon demand;

     A (4)private refusescontractor toshall furnishbe aguilty sworn statement of thosea recordsdisorderly orpersons anyoffense otherif information required for the enforcementcontractor: of this act to the commissioner upon demand;

     (5)(1) has1[willfully] violatedknowingly1 Statehinders wage,or benefit,delays andthe taxcommissioner lawsin asthe definedperformance of the commissioner’s duties in sectionthe 1enforcement of P.L.2009,this c.194act; (C.34:1A-1.11);

     (6)(2) has1[fails committedto anmake, actkeep, inand anotherpreserve jurisdictionany thatrecords wouldas constituterequired aunder violationthe provisions of this act;

     (7)(3)]1 hasfalsifies been convicted of any criminal offense committed in connection with the performance of activitiesthose regulatedrecords, under this act or anyrefuses criminalto offensemake involving fraud, untruthfulness or dishonesty or any criminalof offensethose relatingrecords adverselyaccessible to the registrant'scommissioner fitnessupon todemand; perform activities regulated by this act.  For the purposes of this paragraph, a plea of guilty, non vult, nolo contendere or any other similar disposition of alleged criminal activity shall be deemed a conviction;

     (8)1[(4)] has(3)1 violatedrefuses Stateto orfurnish federala laborsworn lawsstatement of those records or executiveany orders,other asinformation definedrequired sectionfor 4the enforcement of this act;act to the commissioner upon demand;

or      (9)1[(5)] otherwise(4)1 violateshas anyviolated provisionState wage, benefit, and tax laws as defined in section 1 of thisP.L.2009, act.c.194 (C.34:1A-1.11);

     b.   1[(6)] As(5)1 has committed an alternative,act thein commissioneranother may,jurisdiction after1and providingfailed theto privatedisclose contractorthe withconviction noticeas ofrequired anyin allegedsection violation4 of this act,act1 andthat withwould anconstitute opportunity to request a hearingviolation beforeof thethis commissioneract; or the commissioner’s designee:

     (1)1[(7)] deny(6)1 renewal,has revokebeen convicted of any criminal offense committed in connection with the performance of activities regulated under this act or suspendany criminal offense involving fraud, untruthfulness or dishonesty or any criminal offense relating adversely to the registrationregistrant's fitness to perform activities regulated by this act 1and failed to disclose the conviction as required in section 4 of athis privateact1.  contractorFor forthe purposes of this paragraph, a periodplea of notguilty, morenon thanvult, fivenolo years;contendere or any other similar disposition of alleged criminal activity shall be deemed a conviction;1or1      1[(8)] (7)1 has violated State or federal labor laws or executive orders, as 1[defined] required in1 section of this act1[;

or      (2)(9) require otherwise aviolates private contractor, as a condition of initial or continued registration, to provide a surety bond payable to the State.  The surety bond shall be for the benefit of workers damaged by any failureprovision of a private contractor to pay wages or benefits pursuant to State wage, benefit, and tax laws, or otherwise to comply with the provisions of this act. act]1. The surety bond shall be in the amount and form that the commissioner deems necessary for the protection of the private contractor's workers, but shall not exceed $10,000 per worker.  The surety bond shall be issued by a surety that meets the requirements of N.J.S.2A:44-143.

     b.    As an alternative 1or in addition to a disorderly persons offense or administrative action1, the commissioner may, after providing the private contractor with notice of any alleged violation of this act, and at the conclusion 1[with an opportunity to request] of1 a hearing before the commissioner or the commissioner’s designee 1which upholds the finding of any alleged violation of this act1:

     (1)  deny renewal, revoke or suspend the registration of a private contractor for a period of not more than five years;

or      (2)  require a private contractor, as a condition of initial or continued registration, to provide a surety bond payable to the State.  The surety bond shall be for the benefit of workers damaged by any failure of a private contractor to pay wages or benefits pursuant to State wage, benefit, and tax laws, or otherwise to comply with the provisions of this act.  The surety bond shall be in the amount and form that the commissioner deems necessary for the protection of the private contractor's workers, but shall not exceed $10,000 per worker.  The surety bond shall be issued by a surety that meets the requirements of N.J.S.2A:44-143.

     (1) the the director shall notify the private contractor in writing of the immediate revocation and the private contractor’s rights under this subsection d.;

     (2) the the private contractor may notify the director of its request for an opportunity to be heard and contest the immediate suspension in writing within 72 hours of its receipt of immediate suspension notification;

     (3) within within seven business days of receipt of the notification from the private contractor pursuant to paragraph (2) of this subsection, the director shall grant the private contractor a hearing to contest the immediate suspension.  The director shall permit the private contractor to present evidence at the hearing;

     (4) the the director shall issue a written decision within five business days of the hearing either upholding or reversing the private contractor’s immediate suspension.  The decision shall include the grounds for upholding or reversing the private contractor’s immediate suspension;

and      (5) if if the private contractor disagrees with the written decision, the private contractor may appeal the decision to the commissioner, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).

       8.   18.   There is appropriated from the General Fund to the Department of Labor and Workforce Development $1,500,000 to effectuate the purposes of this act.  This act may be subject to additional appropriations, as identified by the department in future years, to continue effectuating the law.1        1[8.] 9.1     This act shall take effect on the first day of the sixth1[sixth] twenty-fourth1 month next following enactment, except1[except that thethe] provided that sufficient funds are appropriated for its implementation.  The1 commissioner may take any anticipatory administrative action in advance thereof as may be necessary for the implementation of this act.

    STATEMENT        This bill establishes the “New Jersey Private Contractor Registration Act.”  The bill prohibits contractors and subcontractors from engaging in private construction work, unless they are registered pursuant to the bill.

     Under the bill, “private construction work” means all building or work on a building, structure, or improvement of any type, as well as related building or work on a building, done within the State under an express or implied contract on behalf of another entity or individual.  Private construction work does not include “public work” as that term is defined in the prevailing wage law, or “home improvement,” as that term is defined in the “Contractors' Registration Act.”      As part of the registration, the contractor is required to include the following information:

     (1) the name, principal business address and telephone number of the private contractor;

     (2) whether the private contractor is a corporation, partnership, sole proprietorship, or other form of business entity;

     (3) if the private contractor's principal business address is not within the State, the name and address of the private contractor's custodian of records and agent for service of process in the State;

     (4) the name and address of each person with a financial interest in the private contractor and the percentage interest, except that if the private contractor is a publicly-traded corporation, the private contractor is required to supply the names and addresses of the corporation's officers;

     (5) the private contractor's tax identification number and unemployment insurance registration number;

     (6) a certification form provided by the commissioner, with documentation satisfactory to the commissioner, that the private contractor has all valid and effective licenses, registrations or certificates required by State law, including registrations or certifications required to do business in the State of New Jersey;

     (7) disclosure of any action committed in another jurisdiction that would constitute a violation of this bill;

     (8) disclosure of any administrative merits determination, arbitral award or decision, or civil judgment, for violations of any of the certain federal and State labor laws or executive orders;

     (9) disclosure of any criminal offense committed in connection with the performance of activities regulated under this act or any criminal offense involving fraud, untruthfulness, or dishonesty or any criminal offense relating adversely to the registrant's fitness to perform activities regulated by the bill;

and      (10) any other relevant and appropriate information as determined by the commissioner.

     The bill requires a private contractor to pay an initial non-refundable registration fee of $250 to the commissioner.  Upon successful completion of an initial two year registration, a private contractor is thereafter required to register for a two-year period and pay a non-refundable registration fee of $100.  The bill provides that reduced fee schedules based upon an entity’s annual revenue or non-profit status may be prescribed by regulation.  Further, the bill exempts private contractors that are registered as public works contractors under “The Public Works Contractor Registration Act” from the registration and fee requirements of the bill.

     The bill provides for penalties and fines for noncompliance with its provisions, including but not limited to the suspension of a contractor’s registration.