Title
Resolution Directing the City Administrator to Expand Compliance Evaluations and to Continue to Provide Annual Reports Regarding Contractor Compliance with Prevailing Wage Requirements
Body
Drafted by: Kevin McDonald, Deputy City Attorney
Reviewed by: Nick Hutchinson, City Engineer
Approved by: Kevin McDonald, Deputy City Attorney
Body
Whereas, Section 1:320 of Chapter 14 of Ann Arbor City Code provides for compliance with the City’s prevailing wage requirements for public improvement projects, and it applies to “all craftsmen, mechanics and laborers employed directly on the site in connection with said improvements, including said employees or subcontractors”;
Whereas, City Council approved R-16-469 on December 5, 2016 which directed the City Administrator to develop new policies regarding contractor compliance with the City’s prevailing wage requirements in order to:
1. Increase public improvement project bidder knowledge and understanding of the City’s prevailing wage requirements;
2. Ensure that Ann Arbor construction bid documents for public improvement projects clearly include the prevailing wage requirements, and a plain and obvious reference or link to an appropriate resource with the applicable rates;
3. Require contractors who are subject to the prevailing wage requirements to provide the City with payroll records sufficient to demonstrate contractor compliance with prevailing wage requirements;
Whereas, Ann Arbor Administrative Policies and Procedures #204 (Purchase of Goods and Services) was amended in 2016 to include these requirements, which took effect in March, 2017;
Whereas, Currently when prevailing wage rates apply, contractors are required to provide payroll records to the City consistent with applicable laws and sufficient to demonstrate contractor compliance with prevailing wage requirements;
Whereas, Contractor compliance with the City’s prevailing wage requirements and transparency regarding compliance remain important goals of the City of Ann Arbor;
Whereas, City Council wants to expand compliance evaluations to include periodic, on-site checks that a contractor’s employees are performing jobs and duties which are consistent with payroll records provided to the City;
Whereas, For the last five years the City Administrator has provided an annual report to City Council regarding the administration of the revised policy and contractor prevailing wage compliance; and
Whereas, City Council wants to continue to be provided annual reports regarding contractor compliance with prevailing wage requirements;
RESOLVED, That City Council directs the City Administrator to draft and implement a revised administrative policy in the next 60 days that would require periodic, on-site spot checks of contractor compliance with prevailing wage requirements; and
RESOLVED, That City Council directs the City Administrator to continue to provide an annual report to the City Council for the next five years detailing contractor compliance with the City’s prevailing wage requirements, including the results of periodic, on-site spot checks, with the report to be provided each year prior to March 31st for the previous year’s construction season.
Sponsored by: Councilmembers Eyer and Radina