1. When is the prevailing wage rate used?
2. What is the definition of a public works or related projects?
3. Are there project monetary thresholds?
4. Are any types of projects specifically exempted?
5. What is included in the calculation of wage rates?
6. Who calculates the prevailing wage rates?
7. Enforcement: what are the penalties for violations? Criminal or fines?
8. Can contractors be debarred?
9. Are there posting requirements?
10. Does the agency retain any fines for enforcement (i.e. an enforcement fund)?
11. Record Maintenance?
12. Are there any provisions which discuss apprentices?
When is the prevailing wage rate used?
Every contract or project in excess of twenty thousand dollars ($60,000) to which the state or any political subdivision thereof is a party for construction, alteration, demolition or repair or any combination of these, including painting and decorating, of public buildings, public works or public roads of the state and which requires or involves the employment of mechanics, laborers or both shall contain a provision stating the minimum wages to be paid to various classes of laborers and mechanics, which shall be based upon the wages that will be determined by the director of the labor and industrial division of the labor department to be prevailing for the corresponding classes of laborers and mechanics employed on contract work of a similar nature in the state or locality, and every contract or project shall contain a stipulation that the contractor, subcontractor, employer or any person acting as a contractor shall pay all mechanics and laborers employed on the site of the project, unconditionally and not less often than once a week and without subsequent unlawful deduction or rebate on any account, the full amounts accrued at time of payment computed at wage rates not less than those stated in the minimum wage rates issued for the project.
What is the definition of a public works or related projects?
There is no specific definition for "public works", however, in the above paragraph, it discusses which projects fall under the prevailing wage law. These projects include, Aconstruction, alteration, demolition or repair or any combination of these, including painting and decorating, of public buildings, public works or public roads of the state.
Are there project monetary thresholds?
The prevailing wage law does not include projects whose values are less than $60,000.
Are any types of projects specifically exempted?
Projects whose values are less than $20,000 are exempt from the prevailing wage laws in New Mexico.
What is included in the calculation of wage rates?
As used in Section 13-4-11 NMSA 1978, "wages", "scale of wages", "wage rates", "minimum wages" and "prevailing wages" include:
A) the rate of contribution irrevocably made by a contractor, subcontractor, employer or any person acting as a contractor to a trustee or a third person pursuant to a fund, plan or program; and
B) the rate of costs to a contractor, subcontractor, employer or any person acting as a contractor which reasonably may be anticipated in providing benefits to laborers and mechanics pursuant to an enforceable commitment to carry out a financially responsible plan or program which was communicated in writing to the laborers and mechanics affected for:
Who calculates the prevailing wage rates?
The prevailing wage rates are determined by the director of labor and industrial division of labor department.
Enforcement: what are the penalties for violations? Criminal or fines?
A) Every contract within the scope of the Public Works
Minimum Wage Act [ 13-4-11 to 13-4-17 NMSA 1978] shall contain further provision that in the event it is found by the director of the labor and industrial division of the labor department that any laborer or mechanic employed on the site of the project has been or is being paid as a result of a willful violation a rate of wages less than the rate of wages required, the contracting agency may, by written notice to the contractor, subcontractor, employer or person acting as a contractor terminate their right to proceed with the work or such part of the work as to which there has been a willful failure to pay the required wages, and the contracting agency may prosecute the work to completion by contract or otherwise, and the contractor or person acting as a contractor and his sureties shall be liable to the state for any excess costs occasioned thereby. Any party receiving notice of termination of his project or subcontract under the provisions of this section may appeal the finding of the director as provided in the Public Works Minimum Wage Act.
B) In the event of any violation of the Public Works Minimum Wage Act, the contractor, subcontractor, employer or any person acting as a contractor responsible for the violation shall be liable to any affected employee for his unpaid wages. In addition, the contractor, subcontractor, employer or any person acting as a contractor shall be liable to any affected employee for liquidated damages in the sum of ten dollars ($100.00) for each calendar day on which a contractor, subcontractor, employer or any person acting as a contractor has willfully required or permitted an individual laborer or mechanic to work in violation of the provisions of the Public Works Minimum Wage Act.
Can contractors be debarred?
The director of the labor and industrial division of the labor department shall certify to the contracting agency the names of persons or firms he has found to have disregarded their obligations to employees under the Public Works Minimum Wage Act [13-4-11 to 13-4-17 NMSA 1978] and the amount of arrears. The contracting agency is authorized and directed to pay or cause to be paid to the affected laborers and mechanics, from any accrued payments withheld under the terms of the contract or designated for the project, any wages found due such workmen pursuant to the Public Works Minimum Wage Act. The director shall, after notice to the affected persons, distribute a list to all departments of the state giving the names of persons or firms he has found to have willfully violated the Public Works Minimum Wage Act. No contract or project shall be awarded to the persons or firms appearing on this list or to any firm, corporation, partnership or association in which the persons or firms have an interest until three years have elapsed from the date of publication of the list containing the names of the persons or firms. Any person to be included on the list to be distributed may appeal the finding of the director as provided in the Public Works Minimum Wage Act.
Are there posting requirements?
The scale of wages to be paid shall be posted by the contractor or person acting as a contractor in a prominent and easily accessible place at the site of the work.
Does the agency retain any fines for enforcement (i.e. an enforcement fund)?
A) The state or any political subdivision of the state shall not accept a bid on a public works project subject to the Public Works Minimum Wage Act from a contractor that does not provide proof of required registration for itself or its subcontractors. The registration fee is $200 and is deposited in the labor enforcement fund.
B) The "labor enforcement fund" is created in the state treasury. The fund shall consist of contractor and subcontractor registration fees collected by the labor and industrial division of the labor department and all investment and interest income from the fund. The fund shall be administered by the division and money in the fund is appropriated to the division for administration and enforcement of the Public Works Minimum Wage Act [13-4-10 NMSA 1978]. Money in the fund shall not revert to the general fund at the end of a fiscal year.
Record Maintenance?
There are no provisions that discuss record maintenance requirements for the contractors
Are there any provisions which discuss apprentices?
There are no provisions that discuss apprentices.
References
1.) Sections 13-4-11 through 13-4-17 of the Act involving the prevailing wage rate.
* The link takes you to a search engine through the New Mexico Statutes. I typed in prevailing wage and was able to find the applicable sections of the law.