Bill Text: NY S00618 | 2021-2022 | General Assembly | Introduced


Bill Title: Relates to covered developers, covered employers, covered lessees or lessors, financial assistance provided to covered developers, covered leases, and covered development projects; provides for rights of employees working under such circumstances.

Spectrum: Partisan Bill (Democrat 7-0)

Status: (Introduced - Dead) 2022-01-05 - REFERRED TO LABOR [S00618 Detail]

Download: New_York-2021-S00618-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                           618

                               2021-2022 Regular Sessions

                    IN SENATE

                                       (Prefiled)

                                     January 6, 2021
                                       ___________

        Introduced by Sens. RAMOS, BENJAMIN, BIAGGI, HARCKHAM, SALAZAR, SKOUFIS,
          STAVISKY  --  read  twice  and ordered printed, and when printed to be
          committed to the Committee on Labor

        AN ACT to amend the  labor  law,  in  relation  to  covered  developers,
          covered  employers,  covered  lessees or lessors, financial assistance
          provided to covered developers, covered leases, and  covered  develop-
          ment projects

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. Subdivisions 1, 5, 8, 12 and 13 of section 230 of the labor
     2  law, subdivision 1 as amended by chapter 542 of the laws of 1984, subdi-
     3  visions 5 and 8 as added by chapter 777 of the laws of 1971, and  subdi-
     4  visions  12  and  13  as  added  by chapter 547 of the laws of 1998, are
     5  amended and seven new subdivisions 15, 16, 17, 18, 19,  20  and  21  are
     6  added to read as follows:
     7    1. "Building service employee" or "employee" means any person perform-
     8  ing  work  in  connection  with  the  care or maintenance of an existing
     9  building, or in connection with the transportation of  office  furniture
    10  or  equipment to or from such building, or in connection with the trans-
    11  portation and delivery of fossil fuel to such building, for a contractor
    12  under a contract with a public agency which is in excess of one thousand
    13  five hundred dollars and the principal purpose of which  is  to  furnish
    14  services  through the use of building service employees or in connection
    15  with a covered development project or lease.
    16    "Building service employee" or "employee" includes, but is not  limit-
    17  ed,  to,  watchman,  guard, doorman, building cleaner, porter, handyman,
    18  janitor, gardener, groundskeeper, stationary fireman, elevator  operator
    19  and  starter, window cleaner, and occupations relating to the collection
    20  of garbage or refuse, and to the transportation of office furniture  and
    21  equipment,  and  to  the  transportation and delivery of fossil fuel but

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD04772-01-1

        S. 618                              2

     1  does not include clerical, sales, professional, technician  and  related
     2  occupations.
     3    "Building  service  employee"  or "employee" also does not include any
     4  employee to whom the provisions of articles eight and  eight-a  of  this
     5  chapter are applicable.
     6    5. "Wage" includes: (a) basic hourly cash rate of pay; and (b) supple-
     7  ments. The term "supplements" means fringe benefits including medical or
     8  hospital  care,  pensions on retirement or death, compensation for inju-
     9  ries or illness resulting from occupational activity,  or  insurance  to
    10  provide  any  of  the  foregoing, unemployment benefits, life insurance,
    11  disability and sickness  insurance,  accident  insurance,  vacation  and
    12  holiday pay, costs of apprenticeship or other similar programs and other
    13  bona  fide  fringe  benefits not otherwise required by federal, state or
    14  local law to be provided by the contractor, covered  developer,  covered
    15  lessee or lessor, covered employer, or subcontractor.
    16    8.  "Fiscal  officer"  means  the  industrial commissioner, except for
    17  building service work performed by or on behalf of a city, or where  the
    18  covered  development project or real property subject to a covered lease
    19  is located within a city with a population of over one million, in which
    20  case "fiscal officer" means the comptroller or other  analogous  officer
    21  of such city.
    22    12.  "Parent  company" shall mean an entity that directly controls the
    23  contractor or subcontractor, or covered developer, or covered lessee  or
    24  lessor.
    25    13.  "Subsidiary" shall mean an entity that is controlled directly, or
    26  indirectly through one  or  more  intermediaries,  by  a  contractor  or
    27  subcontractor, or covered developer, or covered lessee or lessor, or the
    28  contractor's,  or  covered  developer's, or covered lessee's or lessor's
    29  parent company.
    30    15. "Covered developer" means any entity receiving  financial  assist-
    31  ance  in  relation  to a covered development project, or any assignee or
    32  successor in interest of real  property  that  qualifies  as  a  covered
    33  development project.
    34    16. "Covered employer" means any entity, other than a covered develop-
    35  er, or covered lessee or lessor, who employs building service workers at
    36  a  covered  development  project  or  at  any real property subject to a
    37  covered lease.
    38    17. "Covered lessee" means any entity leasing  real  property  from  a
    39  public agency.
    40    18.  "Covered  lessor"  means  any entity from whom a public agency is
    41  leasing commercial office space or commercial office facilities  of  ten
    42  thousand  square  feet or more, provided that the public agency, whether
    43  through a single agreement or multiple agreements, leases no  less  than
    44  fifty-one  percent  of the total square footage of the building to which
    45  the lease or leases apply.
    46    19. "Financial assistance" means assistance  that  is  provided  to  a
    47  covered  developer  for the improvement or development of real property,
    48  economic  development,  job  retention  and  growth,  or  other  similar
    49  purposes,  and  that  is  paid in whole or in part by a public agency or
    50  agencies, and having a cumulative anticipated total financial  value  of
    51  one  million  dollars. Financial assistance includes, but is not limited
    52  to,  cash  payments  or  grants,  bond  financing,  tax  abatements   or
    53  exemptions (including, but not limited to, abatements or exemptions from
    54  real  property, mortgage recording, sales and uses taxes, or the differ-
    55  ence between any payments in lieu of taxes and the amount of real  prop-
    56  erty  or  other  taxes that would have been due if the property were not

        S. 618                              3

     1  exempted from the payment  of  such  taxes),  tax  increment  financing,
     2  filing  fee  waivers,  energy cost reductions, environmental remediation
     3  costs, write-downs in the market value of building, land, or the cost of
     4  capital  improvements  related  to  real  property  that, under ordinary
     5  circumstances, the public agency would not  pay  for.  Where  assistance
     6  takes  the  form of loans or bond financing, the value of the assistance
     7  shall be determined based on the difference between the  financing  cost
     8  to  a  borrower and the cost to a similar borrower that does not receive
     9  financial assistance.
    10    20. "Covered lease" means any agreement by  a  public  agency  with  a
    11  covered lessor or lessee.
    12    21. "Covered development project" means a project that has received or
    13  is expected to receive financial assistance.
    14    § 2. The labor law is amended by adding a new section 231-a to read as
    15  follows:
    16    §  231-a.  Prevailing  wage for covered leases and covered development
    17  projects. 1. Covered developers and covered  lessees  or  lessors  shall
    18  ensure  that  all building service employees performing building service
    19  work in connection with a covered development project or  covered  lease
    20  are paid no less than the prevailing wage.
    21    2.  The  obligation to pay prevailing supplements may be discharged by
    22  furnishing any equivalent combinations of fringe benefits or  by  making
    23  equivalent  or differential payments in cash under rules and regulations
    24  established by the fiscal officer.
    25    3. The public agency providing financial assistance or entering into a
    26  covered lease shall require, as a contractual condition of  such  finan-
    27  cial  assistance  or  covered  lease, that any building service employee
    28  performing building service work in connection with a  covered  develop-
    29  ment project or covered lease, regardless of the employing entity, shall
    30  be  paid  no  less than the prevailing wage; and any lease, contract for
    31  property management services, or contract for the provision of  building
    32  services,  entered  into  by  the covered developer or covered lessee or
    33  lessor,  and  any  subcontract  thereof,  shall  contain  the  following
    34  provision:  "All  building  service employees shall be paid no less than
    35  the prevailing wage as provided by the fiscal officer  as  described  in
    36  section  two hundred thirty-four of the Labor Law. Any covered employer,
    37  as defined in section two hundred thirty of the Labor Law,  shall  main-
    38  tain  all records relating to the employment of building service workers
    39  as described in section two hundred thirty-three of the Labor Law  which
    40  are to be provided to the covered developer. Such covered employer shall
    41  also  submit such statements as required under section two hundred thir-
    42  ty-seven of the Labor Law. This requirement shall apply to  any  covered
    43  development  project  or  real  property  subject  to a covered lease as
    44  provided by Article nine of the Labor Law."
    45    4. Upon the awarding  of  financial  assistance  or  entering  into  a
    46  covered lease by a public agency, the awarding public agency shall imme-
    47  diately furnish to the fiscal officer:
    48    (a) the name and address of the awardee;
    49    (b)  the date when the financial assistance was awarded or the covered
    50  lease was entered into;
    51    (c) the specific building or facility address or addresses, or locali-
    52  ty to which the covered lease or financial assistance pertains,  if  the
    53  financial  assistance is targeted to a particular building or buildings,
    54  facility or facilities, or locality; and
    55    (d) the anticipated total value of the financial assistance.

        S. 618                              4

     1    5. When the financial assistance to the  covered  development  project
     2  applies  to  a particular building or buildings, facility or facilities,
     3  or locality, the prevailing wage shall apply only to  such  building  or
     4  buildings, facility or facilities, or locality; however, when the finan-
     5  cial assistance is not so limited, the covered development project shall
     6  be  deemed  to  include  any  building  or facility in which the covered
     7  developer operates within the state, and the prevailing wage requirement
     8  set forth in this subdivision shall apply to any building or facility in
     9  which the covered developer operates within the state.
    10    6. The fiscal officer shall maintain a  list  of  covered  developers,
    11  covered  lessees or lessors, and covered development projects, including
    12  the addresses of each. Such list shall be updated and published as often
    13  as is necessary to keep current.
    14    7. Within two weeks of receiving financial assistance or entering into
    15  a covered lease, a covered  developer,  covered  lessee  or  lessor,  or
    16  covered  employer shall post, in the same location and manner that other
    17  statutorily required notices are posted, at every such covered  develop-
    18  ment  project or real property subject to the covered lease, and provide
    19  each building service employee a copy of a written notice which shall be
    20  prepared by the fiscal officer, detailing the wages, benefits, and other
    21  protections to which building service employees are entitled under  this
    22  section.  Such notice shall also provide the name, address and telephone
    23  number of the fiscal officer and a statement advising  building  service
    24  employees that if they have been paid less than the prevailing wage they
    25  may notify the fiscal officer and request an investigation or bring suit
    26  in  a  court  of competent jurisdiction. Such notices shall be posted in
    27  English and in any other language  which  at  least  twenty  percent  of
    28  employees  speak  as a primary language. Such notice shall remain posted
    29  for the time that the requirements of this section shall apply and shall
    30  be adjusted periodically to reflect  the  current  prevailing  wage  for
    31  building  service  employees.  In  addition  to posting such notice, the
    32  covered developer, covered lessee or lessor, or covered  employer  shall
    33  provide  each individual employee a copy of the notice in English or any
    34  other language spoken by the employee as a primary language, so long  as
    35  the  fiscal  officer has made such notice available to employers in such
    36  language on its website. The fiscal officer shall make available on  its
    37  website sample written notices explaining the rights of building service
    38  employees  under  this  section  and shall translate such sample written
    39  notices into such languages it deems appropriate.
    40    8. The requirements of this section shall apply for the  term  of  the
    41  financial assistance, ten years from the opening date of the financially
    42  assisted project, the duration of any written agreement between a public
    43  agency  and the covered developer providing for financial assistance, or
    44  the duration of the covered lease, whichever is longer.
    45    9. This section shall not preempt any public agency from  establishing
    46  higher  minimum  wages  for  covered  developers  or  covered lessees or
    47  lessors receiving financial assistance or leasing from or  to  a  public
    48  agency.  Nor  shall  any covered developer, covered lessee or lessor, or
    49  covered employer be  preempted  from  paying  a  wage  higher  than  the
    50  prevailing wage.
    51    § 3. Section 232 of the labor law, as added by chapter 777 of the laws
    52  of 1971, is amended to read as follows:
    53    §  232. Overtime. An employee, employed by a contractor or employed at
    54  a covered development project, or at real property subject to a  covered
    55  lease, who works more than eight hours in any one day or more than forty
    56  hours  in  any  workweek shall be paid wages for such overtime at a rate

        S. 618                              5

     1  not less than one-and-one-half times his prevailing  basic  cash  hourly
     2  rate.
     3    § 4. Subdivisions 1, 2 and 3 of section 233 of the labor law, as added
     4  by chapter 777 of the laws of 1971, are amended and two new subdivisions
     5  5 and 6 are added to read as follows:
     6    1.  In  all  cases where service work is being performed pursuant to a
     7  contract, or covered lease, or covered development project therefor, the
     8  contractor, or covered developer, or covered  lessee  or  lessor,  shall
     9  keep  original payrolls or transcripts thereof, subscribed and confirmed
    10  by him as true, under penalties of perjury, showing the hours  and  days
    11  worked  by each employee, the craft, trade or occupation at which he was
    12  employed, and the wages paid.  A covered developer or covered lessee  or
    13  lessor  may  satisfy  this requirement by obtaining copies of employment
    14  records from a covered employer.
    15    2. Where the wages paid include sums which are not  paid  directly  to
    16  the  workmen  weekly and which are expended for supplements, the records
    17  required to be maintained shall include a record of such hourly  payment
    18  on  behalf  of such employees, the supplement for which such payment has
    19  been made, and the name and address of the person to whom  such  payment
    20  has  been made. In all such cases, the contractor, or covered developer,
    21  or covered lessee or lessor, shall keep a true and inscribed copy of the
    22  agreement under which such payments  are  made,  a  record  of  all  net
    23  payments  made  thereunder,  and  a  list  of  all persons for whom such
    24  payments are made.  A covered developer, or covered  lessee  or  lessor,
    25  may  satisfy  this requirement by obtaining copies of employment records
    26  from a covered employer.
    27    3. The records required to be maintained shall be kept on the site  of
    28  the  work during all of the time that work under the contract, or other-
    29  wise subject to the requirements of this section, is being performed.
    30    5. A covered developer, or covered lessee or lessor, shall  include  a
    31  requirement  in all leases, management agreements, or service contracts,
    32  and any subcontracts thereof, that any  covered  employer  shall  comply
    33  with  the recordkeeping requirements of this section. The covered devel-
    34  oper, or covered lessee or lessor shall obtain  such  records  from  any
    35  covered  employer  and  preserve  such records for a period of six years
    36  after the completion of the employee's work.
    37    6. Failure to maintain such records as required by this section  shall
    38  create a rebuttable presumption that the building service employees were
    39  not paid the wages and supplements required under this article.
    40    §  5.  Paragraph (f) of subdivision 1 of section 234 of the labor law,
    41  as added by chapter 777 of the laws of  1971,  is  amended  to  read  as
    42  follows:
    43    (f)  to  require a contractor, or covered developer, or covered lessee
    44  or lessor, to file with the fiscal officer a record of the wages actual-
    45  ly paid by such contractor, or covered developer, or covered  lessee  or
    46  lessor, to the employees and of their hours of work;
    47    § 6. The labor law is amended by adding a new section 235-a to read as
    48  follows:
    49    §  235-a.  Investigations,  hearings,  and private right of action for
    50  covered leases and covered development projects. 1. Whenever the  fiscal
    51  officer  has reason to believe that a building service employee perform-
    52  ing building service work in connection with a covered lease or  covered
    53  development  project  has  been paid less than the applicable prevailing
    54  wage and supplements, or upon receipt of a written complaint, the fiscal
    55  officer shall conduct a special investigation  to  determine  the  facts
    56  relating thereto.

        S. 618                              6

     1    2.  If,  despite  the  requirements of law, the fiscal officer has not
     2  determined the prevailing wage as required in this article,  the  fiscal
     3  officer  shall determine in the proceeding before him the wages prevail-
     4  ing at the time the work was performed for the crafts, trades, or  occu-
     5  pations of the employees involved.
     6    3. In an investigation conducted under the provisions of this section,
     7  the  inquiry  of  the  fiscal officer shall not extend to work performed
     8  more than three years prior to: (a) the filing of the complaint; or  (b)
     9  the  commencement  of  the  investigation  upon the fiscal officer's own
    10  violation, whichever occurs first.
    11    4. (a) The investigation and hearing shall be expeditiously conducted,
    12  and upon the completion thereof, the fiscal officer shall determine  the
    13  issues  raised  and  shall  make and file an order in his office stating
    14  such determination, and forthwith serve personally or by mail a copy  of
    15  such  order  and determination together with a notice of filing upon all
    16  parties to the proceeding, and upon the financial officer of the  public
    17  agency involved.
    18    (b)  In  addition  to directing payment of wages found to be due, such
    19  order of the fiscal officer shall direct payment of  liquidated  damages
    20  in  an amount equal to the greater of two percent of the annual value of
    21  the financial assistance or covered lease, or two-tenths of a percent of
    22  the total value of the financial assistance or covered lease. Where  the
    23  fiscal  officer  is  the  commissioner, the penalty shall be paid to the
    24  commissioner for deposit in the state treasury. Where the fiscal officer
    25  is a city comptroller or other analogous officer, the penalty  shall  be
    26  paid to said officer for deposit in the city treasury.
    27    (c)  An  order  directing  the payment to specified employees of wages
    28  found to be due and unpaid shall include interest at  a  rate  not  less
    29  than  six  per  centum  per year, and not more than the rate of interest
    30  then in effect as prescribed by the superintendent of financial services
    31  pursuant to section fourteen-a of the banking law  per  annum  from  the
    32  time such wages should have been paid. In determining the rate of inter-
    33  est  to  be  imposed,  the fiscal officer shall consider the size of the
    34  employer's business, the good faith of the employer, the gravity of  the
    35  violation, the history of previous violations of the employer, successor
    36  or  substantially-owned  affiliated  entity,  any officer of the covered
    37  developer, covered lessee or lessor, or covered employer  who  knowingly
    38  participated  in  the violation of this article, and any of the partners
    39  if the covered developer, covered lessee or lessor, or covered  employer
    40  is a partnership, or any of the five largest shareholders of the covered
    41  developer,  covered lessee or lessor, or the covered employer, as deter-
    42  mined by the fiscal officer, and the failure to comply with  recordkeep-
    43  ing or other non-wage requirements.
    44    5.  (a) Provided that no proceeding for judicial review as provided in
    45  this section shall then be pending and the time for initiation  of  such
    46  proceeding  shall  have  expired, the fiscal officer shall file with the
    47  county clerk of the county where the employer resides or has a place  of
    48  business, the order of the fiscal officer containing the amount found to
    49  be due. The filing of such order shall have the full force and effect of
    50  a  judgment  duly docketed in the office of such clerk. The order may be
    51  enforced by and in the name of the fiscal officer in  the  same  manner,
    52  and  with  like effect, as that prescribed by the civil practice law and
    53  rules for the enforcement of a money judgment.
    54    (b) When a final determination has been made in favor of  a  complain-
    55  ant,  and  the  covered  developer, covered lessee or lessor, or covered
    56  employer found in violation of this article has failed to  make  payment

        S. 618                              7

     1  as  required  by  the  order of the fiscal officer, and provided that no
     2  relevant proceeding for judicial review shall then be  pending  and  the
     3  time  for  initiation  of such proceeding shall have expired, the fiscal
     4  officer  may  file  a copy of the order of the fiscal officer containing
     5  the amount found to be due with the county clerk of the county of  resi-
     6  dence or place of business of any of the following:
     7    (i)  any substantially-owned affiliated entity or any successor of the
     8  covered developer, covered lessee or lessor, or covered employer;
     9    (ii) any of the partners if the covered developer, covered  lessee  or
    10  lessor,  or covered employer is a partnership or any of the five largest
    11  shareholders of the covered developer,  covered  lessee  or  lessor,  or
    12  covered employer, as determined by the fiscal officer; or
    13    (iii)  any officer of the covered developer, covered lessee or lessor,
    14  or covered employer who knowingly participated in the violation of  this
    15  article;  provided,  however,  that the fiscal officer shall within five
    16  days of the filing of the order provide notice thereof to the partner or
    17  top five shareholders or  successor  or  substantially-owned  affiliated
    18  entity.
    19    (c)  The notified party may contest the filing on the basis that it is
    20  not a partner or one of the five largest shareholders, an officer of the
    21  covered developer, covered lessee or lessor,  or  covered  employer  who
    22  knowingly  participated  in  the violation of this article, successor or
    23  substantially-owned affiliated entity. If, after reviewing the  informa-
    24  tion  provided  by  the  notified  party in support of such contest, the
    25  fiscal officer determines that the notified  party  is  not  within  the
    26  definitions described herein, the fiscal officer shall immediately with-
    27  draw his filing of the order.
    28    (d) The filing of such order shall have the full force and effect of a
    29  judgment  duly  docketed  in  the office of such clerk. The order may be
    30  enforced by and in the name of the fiscal officer in  the  same  manner,
    31  and  with  like  effect as that prescribed by the civil practice law and
    32  rules for the enforcement of a money judgment.
    33    6. When a final determination has been made and such determination  is
    34  in  favor  of  an  employee, such employee may, in addition to any other
    35  remedy provided by this article, institute an action  in  any  court  of
    36  appropriate  jurisdiction against the entity found to have violated this
    37  article, any substantially-owned affiliated entity, any officer  of  the
    38  covered  developer,  covered  lessee  or lessor, or covered employer who
    39  knowingly participated in the violation of this article, and any of  the
    40  partners  if the covered developer, covered lessee or lessor, or covered
    41  employer is a partnership or any of the five largest shareholders of the
    42  covered developer, covered lessee or lessor,  or  covered  employer,  as
    43  determined  by  the  fiscal  officer, for the recovery of the difference
    44  between the sum, if any, actually paid to him or her  by  the  aforesaid
    45  financial  officer pursuant to said order and the amount found to be due
    46  to him or her as determined by said order. Such action must be commenced
    47  within three years from the date of the filing of said order, or if said
    48  order is reviewed in a proceeding pursuant to article  seventy-eight  of
    49  the  civil  practice  law and rules, within three years after the termi-
    50  nation of such review proceeding.
    51    7. (a) Any person claimed to be aggrieved by a violation of this arti-
    52  cle shall have a cause of action in any court of competent  jurisdiction
    53  against  the  entity alleged to have violated this article, any substan-
    54  tially-owned affiliated entity, any officer of  the  covered  developer,
    55  covered lessee or lessor, or covered employer who knowingly participated
    56  in the violation of this article, and any of the partners if the covered

        S. 618                              8

     1  developer,  covered  lessee or lessor, or covered employer is a partner-
     2  ship or any of the five largest shareholders of the  covered  developer,
     3  covered  lessee  or  lessor,  or  covered employer, as determined by the
     4  fiscal  officer,  for the recovery of the difference between the sum, if
     5  any, actually paid to him or her  by  the  aforesaid  financial  officer
     6  pursuant  to  said order and the amount found to be due to him or her as
     7  determined by said order.  The aggrieved party may seek damages  includ-
     8  ing  punitive damages, injunctive relief, and such other remedies as may
     9  be appropriate, unless such person has filed a complaint with the fiscal
    10  officer with respect to such claim. In an action brought by  a  building
    11  service  employee, if the court finds in favor of the employee, it shall
    12  award the employee, in addition to other relief, his or  her  reasonable
    13  attorneys' fees and costs.
    14    (b)  Investigation  by  the fiscal officer shall not be a prerequisite
    15  to, nor a bar against, a person  bringing  a  civil  action  under  this
    16  section.  Notwithstanding any inconsistent provision of subdivisions one
    17  through  six  of  this  section, where a complaint filed with the fiscal
    18  officer is dismissed, an aggrieved person shall maintain all  rights  to
    19  commence  a  civil action pursuant to this action as if no complaint had
    20  been filed.
    21    (c) No procedure or remedy set forth in this section is intended to be
    22  exclusive or a prerequisite for asserting a claim for relief to  enforce
    23  any  rights  hereunder  in  a  court  of  law. This section shall not be
    24  construed to limit an employee's right to bring a common  law  cause  of
    25  action for wrongful termination.
    26    (d)  Any judgement or court order awarding remedies under this section
    27  shall provide that if any amount remains unpaid upon the  expiration  of
    28  ninety  days following issuance of judgement, or ninety days after expi-
    29  ration of the time to appeal and no appeal is then pending, whichever is
    30  later, the total amount of judgement  shall  automatically  increase  by
    31  fifteen percent.
    32    (e)  In  any action instituted upon a wage claim by a building service
    33  employee in which the  employee  prevails,  the  court  may  allow  such
    34  employee,  in addition to ordinary costs, a reasonable sum not exceeding
    35  one hundred dollars for expenses, which may be taxed as costs. No assig-
    36  nee of a wage claim shall be benefitted by this provision.
    37    (f) Notwithstanding any other provision of law, an action  to  recover
    38  upon  liability  imposed  by  this  article must be commenced within the
    39  greater of six years from the date the cause of action accrued,  or  two
    40  years  from  the  time  the  plaintiff  or the person whom the plaintiff
    41  claims discovered the fraud, or could  with  reasonable  diligence  have
    42  discovered  it. The statute of limitations shall be tolled from the date
    43  an employee files a complaint with the fiscal officer or  the  date  the
    44  fiscal  officer  commences an investigation, whichever if earlier, until
    45  an order to comply issued by the fiscal officer becomes final, or  where
    46  the  fiscal officer does not issue an order, until the date on which the
    47  fiscal officer notifies  the  complainant  that  the  investigation  has
    48  concluded.
    49    8.  (a)  No  person  shall take any adverse action against an employee
    50  which penalizes an employee for, or is reasonably  likely  to  deter  an
    51  employee  from,  exercising  or  attempting  to exercise such employee's
    52  rights under this article or interfere with such employee's exercise  of
    53  rights under this article.
    54    (b)  Taking an adverse action includes, but is not limited to, threat-
    55  ening, intimidating, disciplining, discharging, demoting, suspending, or
    56  harassing an employee, reducing the hours of pay of an employee, inform-

        S. 618                              9

     1  ing  another  employer  that  an  employee  has  engaged  in  activities
     2  protected  by this article, discriminating against the employee, includ-
     3  ing actions related to perceived immigration  status  or  work  authori-
     4  zation, and maintenance or application of an absence control policy that
     5  counts  protected  leave  as an absence that may lead to or result in an
     6  adverse action.
     7    (c) An employee need not explicitly refer to a provision of this arti-
     8  cle to be protected from an adverse action.
     9    (d) A casual connection  may  be  established  between  the  exercise,
    10  attempted  exercise, or anticipated exercise of rights protected by this
    11  article and an employer's adverse action against an employee or a  group
    12  of employees by indirect or direct evidence.
    13    (e)  Retaliation  is  established  when  it  is shown that a protected
    14  activity was a motivating factor for an adverse action, whether  or  not
    15  other factors motivated the adverse action.
    16    9.  (a)  When  a  final  determination has been made against a covered
    17  employer in favor of a complainant and the covered developer, or covered
    18  lessee or lessor, has made payment to the complainant of any  wages  and
    19  interest  due  the complainant and any civil penalty, and providing that
    20  no relevant proceeding for judicial review shall then be pending and the
    21  time for initiation of such proceeding shall have expired,  the  covered
    22  developer,  or covered lessee or lessor, may file a copy of the order of
    23  the fiscal officer containing the amount found to be due with the county
    24  clerk of the county of residence or place of  business  of  the  covered
    25  employer.  The filing of such order shall have the full force and effect
    26  of a judgment duly docketed in the office of such  clerk.  The  judgment
    27  may  be docketed in favor of the covered developer, or covered lessee or
    28  lessor, who may proceed as  a  judgment  creditor  against  the  covered
    29  employer  for  the recovery of all monies paid by the covered developer,
    30  or covered lessee or lessor, under such order.
    31    (b) When a covered developer, or covered lessee or  lessor,  has  made
    32  payment  to  a  complainant  of any wages and interest due to him or her
    33  because of a covered employer's violation of this article,  the  covered
    34  developer,  or  covered  lessee or lessor, may bring suit to recover all
    35  monies paid by the covered developer, or covered lessee or lessor,  from
    36  the covered employer.
    37    10.  (a) When two judgments or final orders pursuant to the provisions
    38  of this section have been entered against a body, as  defined  by  para-
    39  graph  (b)  of  this  subdivision,  who  knowingly  participated  in the
    40  violation of this article within any consecutive six-year period  deter-
    41  mining  that  such  body  who knowingly participated in the violation of
    42  this article has willfully failed to pay the prevailing wages in accord-
    43  ance with the provisions of this article,  whether  such  failures  were
    44  concurrent  or  consecutive and whether or not such final determinations
    45  concerning separate covered leases or awards of financial assistance are
    46  rendered simultaneously, such entity who knowingly participated  in  the
    47  violation  of this article, or any successor is a corporation, any offi-
    48  cer of such corporation who  knowingly  participated  in  such  failure,
    49  shall be ineligible to enter into covered leases with a public agency or
    50  receive financial assistance for a period of five years from the date of
    51  the  second  order,  provided,  however, that where any such final order
    52  involves the falsification of payroll records or the kickback of  wages,
    53  the  body  who  knowingly  participated in the violation of this article
    54  shall be ineligible to enter into covered leases or to receive financial
    55  assistance for a period of five years from the date of the  first  final
    56  order.  Nothing  in this subdivision shall be construed as affecting any

        S. 618                             10

     1  provision of any other law or regulation relating  to  the  awarding  of
     2  financial  assistance  or  entering  into  a covered lease with a public
     3  agency. The industrial commissioner shall maintain  a  list  of  covered
     4  developers,  covered  lessees  or lessors, or covered employers, who are
     5  ineligible, including their names, address, date, and duration of  their
     6  ineligibility.  Such  list shall be updated and published as often as is
     7  necessary to keep it current.
     8    (b) For the purposes of paragraph (a) of this  subdivision,  the  term
     9  "body" shall mean a covered developer, covered lessee or lessor, covered
    10  employer, successor, or any substantially-owned affiliated entity of the
    11  covered developer, covered lessee or lessor, or covered employer, any of
    12  the  partners  if  the  covered  developer, covered lessee or lessor, or
    13  covered employer is a partnership, any of the five largest  shareholders
    14  of the covered developer, covered lessee or lessor, or covered employer,
    15  any  officer  of  the  covered  developer,  covered lessee or lessor, or
    16  covered employer.
    17    § 7. Subdivision 1 of section 237 of the  labor  law,  as  amended  by
    18  chapter  698  of the laws of 1988, is amended and a new subdivision 5 is
    19  added to read as follows:
    20    1. Subcontractors engaged for service work  by  a  contractor  or  its
    21  subcontractor and covered employers shall, upon receipt from the covered
    22  developer,  or covered lessee or lessor, contractor or its subcontractor
    23  of the schedule of wages and supplements specified in  the  contract  or
    24  the  prevailing  wage  schedule pursuant to this article, provide to the
    25  covered developer, covered lessee or lessor, contractor or  its  subcon-
    26  tractor  a  verified  statement  attesting  that the covered employer or
    27  subcontractor has received and  reviewed  such  schedule  of  wages  and
    28  supplements, and agrees that it will pay the applicable prevailing wages
    29  and will pay or provide the supplements specified therein. Such verified
    30  statement shall be filed in the manner described in subdivision three of
    31  this  section  for  subcontractors of a contractor or its subcontractor,
    32  and in the manner described in subdivision  five  of  this  section  for
    33  covered  employers.  It  shall  be  a  violation of this article for any
    34  covered developer, covered lessee or lessor, contractor or  its  subcon-
    35  tractor  to fail to provide for its subcontractor a copy of the schedule
    36  of wages and supplements specified in the  contract  or  the  prevailing
    37  wage schedule pursuant to this article.
    38    5.  Prior to receiving financial assistance or entering into a covered
    39  lease, or an extension, renewal, amendment, or modification of a covered
    40  lease, and annually  thereafter, every covered developer, covered lessee
    41  or lessor, or covered employer shall provide to the public agency  leas-
    42  ing or providing financial assistance and to the fiscal officer an annu-
    43  al  verified statement that all building service employees employed at a
    44  covered development project or at real property  subject  to  a  covered
    45  lease  by  the  covered  developer,  covered  lessee  or lessor, or by a
    46  covered employer to perform building service work will  be  and/or  have
    47  been  paid  the prevailing wage. Such verified statement shall include a
    48  record of the days and hours worked and the wages paid to each  building
    49  service employee employed at the covered development project, or at real
    50  property  subject  to a covered lease. Where the wages paid include sums
    51  which are not paid directly to the workmen weekly and which are expended
    52  for supplements, the statement shall include a  record  of  such  hourly
    53  payments  on  behalf  of  such employees, the supplement for which  such
    54  payment has been made, and the name and address of the  person  to  whom
    55  the  payment has been made. Such statement shall be verified by the oath
    56  of the chief executive or chief financial officer of the covered  devel-

        S. 618                             11

     1  oper,  or  covered lessee or lessor, or the  designee of any such person
     2  that he or she has read such statements subscribed by  him  or  her  and
     3  knows  the contents thereof, and that the same is true of his or her own
     4  knowledge,  except  with  respect  to  wages  and  supplements  owing by
     5  contract which  may  be  certified    upon  information  and  belief.  A
     6  violation of any provision of the statement, or failure to  provide such
     7  statement,  shall  constitute  a  violation  of this section. The fiscal
     8  officer or a public agency leasing or providing financial assistance may
     9  inspect the records maintained pursuant to section two  hundred  thirty-
    10  three of this article to verify these statements.
    11    §  8. Subdivision 1 of section 238 of the labor law, as added by chap-
    12  ter 777 of the laws of 1971, is amended and a new subdivision 3 is added
    13  to read as follows:
    14    1. Any  contractor,  covered  developer,  covered  lessee  or  lessor,
    15  covered  employer,  or  subcontractor who shall upon his oath verify any
    16  statement required to be filed under this article which is known by  him
    17  to be false shall be guilty of perjury and punishable as provided by the
    18  penal law.
    19    3. In the event of a failure by a covered developer, covered lessee or
    20  lessor,  or covered employer to comply with the provisions of this arti-
    21  cle, the covered developer, covered lessee or lessor, or covered employ-
    22  er shall be provided with a written notice of failure to comply  by  the
    23  fiscal  officer  allowing ten days to cure the failure to comply. If the
    24  covered developer, covered lessee or lessor, or covered  employer  fails
    25  to  timely cure in addition to any other remedies available at law or in
    26  equity, the fiscal officer shall be  permitted  to  seek  the  following
    27  remedies:
    28    (a)  Suspend  the  payments of any financial assistance to the covered
    29  developer until the date of cure.
    30    (b) Failure to provide a required record or statement or to allow work
    31  place access may result in liquidated damages to an amount equal to  the
    32  greater  of  two percent of the annual value of the financial assistance
    33  or covered lease, or two-tenths of a percent of the total value  of  the
    34  financial assistance or covered lease.
    35    (c)  A  material breach of this article that continues for a period of
    36  six months or more shall allow the public agency to terminate the finan-
    37  cial assistance or covered lease.
    38    (d) Late filing of any report required under this article:  a  payment
    39  of  one thousand dollars per day for each day the report is late, for up
    40  to fourteen days. After fourteen days, the remedy in  paragraph  (b)  of
    41  this subdivision shall apply.
    42    (e) Where the fiscal officer is the commissioner, the penalty shall be
    43  paid  to  the  commissioner for deposit in the state treasury. Where the
    44  fiscal officer is a city comptroller or  other  analogous  officer,  the
    45  penalty shall be paid to said officer for deposit in the city treasury.
    46    §  9.  The  opening  paragraph and subdivision 4 of section 239 of the
    47  labor law, as added by chapter 777 of the laws of 1971, are  amended  to
    48  read as follows:
    49    [Every] Covered developers and covered lessees or lessors shall comply
    50  with the following provisions, and every contract for service work shall
    51  contain provisions by which the contractor agrees:
    52    (4) that the contract, covered lease, or grant of financial assistance
    53  may  be cancelled or terminated by the public agency, and all moneys due
    54  or to become due thereunder may be forfeited for a second or any  subse-
    55  quent  violation  of  the  terms  or  conditions  of this section of the
    56  contract.

        S. 618                             12

     1    § 10. Section 239-a of the labor law, as added by chapter 777  of  the
     2  laws of 1971, is amended to read as follows:
     3    §  239-a.  Enforcement  of  article. If the fiscal officer, as defined
     4  herein, finds that any covered developer, covered lessee or  lessor,  or
     5  contractor on service work fails to comply with or evades the provisions
     6  of  this  article,  he  shall  present evidence of such noncompliance or
     7  evasion to the public agency having  charge  of  such  work,  or  having
     8  entered  into  a  covered lease or provided financial assistance for the
     9  covered development project, for enforcement.  Where such evidence indi-
    10  cates a noncompliance or evasion on  the  part  of  a  subcontractor  or
    11  covered employer, the contractor or covered developer, or covered lessee
    12  or  lessor,  shall be responsible for such noncompliance or evasion.  It
    13  shall be the duty of the public agency in charge of such  service  work,
    14  or who has entered into a covered lease or provided financial assistance
    15  for  the  covered development project, to enforce the provisions of this
    16  article.
    17    § 11. This act shall take effect immediately.
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