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Contractor Prequalification Information

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Contractor Prequalification Information

Department of Industrial Relations (“DIR”)

Public works law requires private construction contractors to pay prevailing wages to their workers and requires the construction contractor to follow public works law when working on a project funded by a public entity.  A public entity can be the State of California, or any public agency such as a county, city, school or a special district. Prevailing wages are due, in most instances, if the project costs more than $1,000, and involves the following construction work: new construction, alteration, demolition, installation, repair and maintenance. Contractors must make an attempt to hire apprentices when the total project costs exceed $30,000.

New Public Works Contractor Registration Law

Senate Bill 854

Senate Bill 854, signed into law June 20, 2014, became effective immediately. It established a new public works contractor registration program which will collect fees to fund compliance monitoring and enforcement, determine prevailing wage and public works coverage, and hear enforcement appeals.

Senate Bill 96 

Senate Bill 96, signed into law June 27, 2017, became effective immediately. Amongst other things, the bill makes changes to Labor Code sections 1725.5 Contractor Registration, 1771.1 Stop Orders for Unregistered Contractors and 1773.3 DIR Notification of Award of Projects and Public Contract Code section 4104 Subcontractor Listing Requirements.

All contractors and subcontractors intending to bid or perform work on public works projects will be required to register and annually renew online for the program. The cost to register for the program is currently $400.00 and is non-refundable. No bid can be accepted nor any contract or subcontract entered into nor purchase order issued without proof that the contractor or subcontractor is registered.

More information and to register please visit: http://www.dir.ca.gov/

More information on the prevailing wage rates can be found at: http://www.dir.ca.gov/OPRL/DPreWageDetermination.htm

California Uniform Public Construction Cost Accounting Act (“CUPCCAA”)

The District requires all firms to complete the CUPCCAA registration form.

What is CUPCCAA?

Enacted in 1983 under Public Contract Code section 22000 et seq.  The Act allows local agencies to perform public project work of up to $45,000 with their own workforces (Force Account) if the agencies elect to follow the cost accounting procedures set forth in the Cost Accounting Policies and Procedures Manual of the California Uniform Construction Cost Accounting Commission. Public projects of $45,000 or less may be performed by negotiated contract, or by purchase order.  Public projects between $45,000 and $175,000 may be let to contract by informal procedures as set forth in the Act.  Public projects of more than $175,000 shall, except as otherwise provided in the Act, be let to contract by formal bidding procedure.

CUPCCAA Requirements:

  • Contractor Must Pay Prevailing Wages.  (Ed.  Code §17424)
  • Payment Bond Required.
    • Civil Code § 3247:  “Every original contractor to whom is awarded a contract by a public entity . . . in excess . . . of $25,000 for any public work shall file a payment bond.”
    • Get a performance bond too.
  • Fingerprinting. (Ed. Code §45125, et seq.)
  • Field Act Compliance Required. Construction is subject to all State approvals, as set forth in Education Code sections 17280 through 17313.  (Ed. Code §17421)
  • Change Orders.  Change orders are only permitted to a maximum contract total of $45,000.  
    • Note: Any non‐emergency work done by force account in excess of $45,000 is a violation of the Act.

More information can be found at: http://www.sco.ca.gov/ard_cuccac.html

To fill out the online CUPCCAA form, please click on the link below. Follow instructions listed on the form.