SB 243 — Revises provisions relating to prevailing wages. (BDR 28-768)

(ReprintedSenate withBill amendmentsNo. adopted on May 22, 2019) THIRD REPRINT S.B.

243243–Senator SENATEHardy BCHAPTER.......... ILLN O.

243–SENATOR H ARDY FEBRUARY 28, 2019 ____________ Referred to Committee on Government Affairs SUMMARY—Revises provisions relating to prevailing wages.

(BDR 28-768) FISCAL NOTE:

Effect on Local Government:

No.

Effect on the State:

Yes.

~ EXPLANATION – Matter in bolded italics is new;

matter between brackets [omitted material] is material to be omitted.

Existing law requires that mechanics and workers employed on certain public construction projects be paid at least the wage prevailing in the county in which the 338.020)project Existingis lawlocated alsofor prescribes the mannertype inof whichwork thethat Labor CommissionerRS must determine the prevailingmechanic wageor forworker suchperforms. a project.

(NRS 338.030)338.020) SectionExisting 3law ofalso prescribes the manner in which the Labor Commissioner this bill:

(1) removes these specific requirements with which the LaborLaborction 3 of Commissioner must comply in determining the prevailing rate of wages;

Because existing law authorizes the Labor Commissioner to adopt such regulations as necessary to enable him or her to carry out his or her duties, the Labor Commissioner may establish the manner of determining the prevailing rate of wages by regulation.

(NRS 338.012)r338.012) of Section 3 also changes the geographical area for which the prevailing rate of wages is determined from a county to a region.

Section 1 of this bill establishes four suchPrevailingWageRegion; regions:

(1) the Washoe Prevailing Wage Region;

(2) the Northern Rural PrevailingWageRegion;

and (4)theSouthern(4)theSouthernal Rural Prevailing Wage Region.

Thus, mechanics and workers employed on public construction projects on which theprevailing regionwages inare whichrequired theto projectbe ispaid locatedmust forbe theirpaid craftat orleast type of work.vailing in Section 3 requires the Laborwage Commissioner to issue a determination of the prevailing ratein of wages on October 1 of the odd-numberedregion year in which the surveyproject wasis conductedlocated and makes this rate effective for 2their yearscraft unlessor thetype rateof iswork. adjusted by the Labor Commissioner.

Section 3 requires the Labor Commissioner to issue a determination of the prevailing rate of wages on October 1 of the odd-numbered year in which the survey was conducted and makes this rate effective for 2 years unless the rate is adjusted by the Labor Commissioner.

(1) the Labor Commissioner determined in the previous odd-numbered year that the prevailing rate of wages was collectively bargained and the collective bargaining - *SB243_R3* – 2 – agreement provides for such an adjustment;

or (2) the Labor Commissioner determined in the previous odd-numbered year that the prevailing rate of wages was not collectivelybargained and anychange in the Consumer Price Index for All Urban Consumers, West Region (All Items) has occurred since October 1 of the previous includingodd-numbered anyyear. adjusted rates, on October 1 of each even-numbered year.e the rates, THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 3 requires the Labor Commissioner to reissue the rates, including any adjusted rates, on October 1 of each even-numbered year.

EXPLANATION – Matter in bolded italics is new;

matter between brackets [omitted material] is material to be omitted.

- 80th Session (2019) – 2 – THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

For the purpose of determining the prevailing rate of wages pursuantestablished toin NRSthis 338.030,State fouras prevailingfollows:ing wage regions are hereby established1. in this State as follows:

1.

(a) Not be less than the rate of such wages then prevailing in the [county] region in which the public work is located, which prevailing rate of wages must have been determined in the manner provided ininling NRS 338.030;

Except as otherwise provided in subsection 4, a contractor or subcontractor shall pay to a mechanic or worker employed by the contractor or subcontractor on the public work not less than one and - *SB243_R3* – 3 – one-half times the prevailing rate of wages applicable to the class of the mechanic or worker for each hour the mechanic or worker works on the public work in excess of:

(a) Forty hours in any scheduled week of work by the mechanic or worker for the contractor or subcontractor, including, without - 80th Session (2019) – 3 – limitation, hours worked for the contractor or subcontractor on work other than the public work;

The provisions of subsection 3 do not apply to a mechanic or worker who is covered by a collective bargaining agreement that provides for the payment of wages at not less than one and one-half times the rate of wages set forth in the collective bargaining agreement for work in excess of:

pursuant5. to subsection 3 or 4 to each class of mechanics or workers must be in accordance with the jurisdictional classes recognized in the6.locNothing in this sectionprevents an employer who is signatory to a collective bargaining agreement from assigning such work in accordance with established practice.

The prevailing wage and any wages paid for overtime pursuant to subsection 3 or 4 to each class of mechanics or workers must be in accordance with the jurisdictional classes recognized in the [locality] region where the work is performed.

6.

Nothing in this sectionprevents an employer who is signatory to a collective bargaining agreement from assigning such work in accordance with established practice.

The public body awarding any contract for public work, or otherwise undertaking any public work, shall ascertain from the Labor Commissioner the prevailing wage in the [county] region established pursuant to section 1 of this act in whichthe public work is to be performed for each craft or type of work.work.hichthe public work 2.

2.

[(b) Based on the survey conducted pursuant to paragraph (a), where the rate of wages is the same for more than 50 percent of the total hours worked by each craft or type of work in that county on - *SB243_R3* – 4 – construction similar to the proposed construction, that rate will be determined as the prevailing wage.