An Act concerning certain contracts for public work and amending and supplementing P.L.1963, c.150.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
C.34:11-56.27a Lowest bidder of public work contract, proof of prevailing wage rates payment; rules, regulations.
1. a. If a person makes the lowest bid for a contract with a public body for public work subject to the provisions of the “New Jersey Prevailing Wage Act,” P.L.1963, c.150 (C.34:11-56.25 et seq.) and that bid is ten percent or more lower than the next lowest bid for the contract, the person making the lowest bid shall certify to the public body that the prevailing wage rates required by that act shall be paid. If the bidder does not provide the certification prior to award of the contract, the public body shall award the contract to the next lowest responsible and responsive bidder. This certification shall be required only when a public body is engaging in competitive bidding for public work.
b. The Commissioner of Labor and Workforce Development, in consultation with the Division of Local Government Services in the Department of Community Affairs, shall promulgate rules and regulations concerning the standardization of the certification necessary to effectuate the provisions of this section.
2. Section 3 of P.L.1963, c.150 (C.34:11-56.27) is amended to read as follows:
C.34:11-56.27 Prevailing wage rate required in contract.
3. a. Every contract in excess of the prevailing wage contract threshold amount for any public work to which any public body is a party or for public work to be done on property or premises owned by a public body or leased or to be leased by a public body shall contain a provision stating the prevailing wage rate which can be paid (as shall be designated by the commissioner) to the workers employed in the performance of the contract and the contract shall contain a stipulation that such workers shall be paid not less than such prevailing wage rate. Such contract shall also contain a provision that in the event it is found that any worker, employed by the contractor or any subcontractor covered by said contract, has been paid a rate of wages less than the prevailing wage required to be paid by such contract, the public body, the lessee to whom the public body is leasing a property or premises or the lessor from whom the public body is leasing or will be leasing a property or premises may terminate the contractor's or subcontractor's right to proceed with the work, or such part of the work as to which there has been a failure to pay required wages and to prosecute the work to completion or otherwise. The contractor and his sureties shall be liable for any excess costs occasioned thereby to the public body, any lessee to whom the public body is leasing a property or premises or any lessor from whom the public body is leasing or will be leasing a property or premises.
b. The Commissioner of Labor and Workforce Development, in consultation with the Division of Local Government Services, shall promulgate rules and regulations concerning the standardization of the contractual language necessary to effectuate the provisions of this section.
3. This act shall take effect 180 days from the date of enactment, except that the Commissioner of Labor and Workforce Development make take any anticipatory action in advance thereof as may be necessary for the implementation of this act.
Approved November 8, 2021.