BOARD OF SUPERVISORS, COUNTY OF LAKE STATE OF CALIFORNIA
ORDINANCE NO. 2934
AN ORDINANCE AMENDING CHAPTER 2 OF THE LAKE COUNTY CODE TO PROVIDE LOCAL WORKFORCE PARTICIPATION GOALS FOR PUBLIC PROJECTS
THE BOARD OF SUPERVISORS OF THE COUNTY OF LAKE, STATE OF CALIFORNIA, ORDAINS FOLLOWS:
Section 1: The Board of Supervisors of the County hereby adds Section 2.54 Article X of Chapter 2 of the Lake County Code to read as follows:
“Sec. 2.54. - Local Hiring For Public Works Contracts
54.1 Findings and Purpose.
(a). Findings. The Board of Supervisors of the County of Lake finds and declare as follows:
(1) The annual average unemployment rate in Lake County is consistently and significantly higher than the state and/or national average and the disparity in the unemployment rates of Lake County and the majority of other counties in California is considerable. Lake County is a beautiful, rural county but it is also
a remote location, with a population ranking in the bottom one-third of all counties in California. The median household income in Lake County is over forty percent less than the state median household income and the population in Lake County with advanced education is well under one-half the state average.
(2) Lake County’s economy primarily relies upon agriculture and tourism which results in seasonal fluctuations of its already high unemployment rate. The majority of local businesses are small and, according to state estimates, 77% of them employ less than 4 people. No local construction firm has more than 35 regular permanent employees and approximately 90% of them have fewer than 4 employees. The state reports that construction firms in Lake County employ approximately 1.4% of the civilian labor force,
which is 50% below statewide averages for such work as well as being 50% below Lake County’s historic average.
(3) The County of Lake, facing a further reduction in its already low tax base because of the severe economic conditions it faces in this recession, must create an environment which allows employment opportunities for County residents to expand or the County is at serious and significant risk of becoming unable to economically recover. The construction industry, which is itself presently experiencing growth due to federal stimulus monies, offers immediate employment opportunities for County residents, which will in turn improve the County’s economic base, improve the standard of living of our residents, and reduce the need for public assistance.
(4) However, residents of Lake County do not presently have an equal opportunity to compete for employment opportunities in the construction industry. Lake County’s labor force is not as visible or as organized as the labor force in more urban, heavily populated areas. Given the relatively low concentration of construction jobs in Lake County and the County’s remote location, residents have less frequent opportunities to compete for employment in the construction industry than in other locations within the State.
(5) As a market participant, the County may encourage and promote local hiring on public projects as a means of advancing County economic development.
(6) It is critical to the economic health and well-being of Lake County and its residents that the County develop mechanisms to promote local hiring for public projects, thereby “leveling the playing field”, by enhancing the opportunities for local residents to compete for employment while not excluding non- residents from such opportunities.
(b). Purpose. The purpose of this section is to encourage contractors who receive county public works contracts to hire residents of Lake County to achieve the
goals described hereinabove.
54.2 Definitions.
(a) “Awarding Authority” means those individuals authorized to approve a contract or purchase order in accordance with the limitations established in this Section.
(b) “Contractor” means any legally qualified person or entity, which, pursuant to a written agreement or purchase order, provides labor on public projects for the County.
(c) “Days” means calendar days unless otherwise specified.
(d) “Public Project” means a project of public works improvement which is let by contact pursuant to provisions of 22032 et seq., of the Public Contract Code.
(e) “Construction Labor Force” means those persons who are performing their work on the actual site of the public project.
(f) “Resident of Lake County” means an individual domiciled within the boundaries of Lake County at the time immediately preceding the advertisement of the bid
for a project, who can verify him or her domicile upon request of the contractor or County by producing documentation such as a rent/lease agreement, telephone and utility bills, a valid California driver’s license or identification card, or other similar reliable evidence that verifies that the individual is domiciled in Lake County.
(g) “Qualified Local Person” means a resident of Lake County who is specially trained, skilled, experienced and licensed (if required) in the work, trade, or craft specified for the portion of the public work of improvement to be performed.
(h) “Local Workforce” means qualified local persons who are working on the construction labor force.
54.3 Local Hiring Goals - Local Workforce Participation Discount.
(a) Unless such provision would conflict with a state or federal law or regulation applicable to a particular contract for a public works project, all County contracts for public
works projects shall provide that a discount, as specified hereinafter, shall be applied to any contractor's bid which voluntarily meets the County’s local workforce
participation goals as provided hereinbelow.
(1) Bid solicitations for public projects which include a certification of 30% local workforce participation of Contractor's total construction labor force, including any subcontractor workforce, measured in contract labor hours to be expended on a public project shall receive 5% bid discount.
(2) Bid solicitations for public projects which include a certification of 25% local workforce participation of Contractor's total construction labor force, including any subcontractor workforce, measured in contract labor hours to be expended on a public project shall receive 4% bid discount.
(3) Bid solicitations for public projects which include a certification of 20% local workforce participation of Contractor's total construction labor force, including any subcontractor workforce, measured in contract labor hours to be expended on a public project shall receive 3% bid discount.
(4) Bid solicitations for public projects which include a certification of 15% local workforce participation of Contractor's total construction labor force, including any subcontractor
workforce, measured in contract labor hours to be expended on a public project shall receive 2% bid discount.
(5) Bid solicitations for public projects which include a certification of 10% local workforce participation of Contractor's total construction labor force, including any subcontractor workforce, measured in contract labor hours to be expended on a public project shall receive 1% bid discount.
(6) Notwithstanding the foregoing bid discounts, in no instances shall the total dollar amount of any said bid discount exceed fifty thousand dollars ($50,000).
(b) Notwithstanding the force account limitation set forth in Section 22032(a) of the Public Contract Code, the Purchasing or Assistant Purchasing Agent may apply the provisions of this section to public projects with an estimated cost less than the statutory force account limitation.
(c) For the purpose of calculating whether a contractor's construction labor force is comprised of qualified local persons, such persons whose primary residence or business address is outside of California shall not be included in the calculation.
(d). Discounts are solely a means to establish to whom the bid is awarded and shall not impact the bid or contract amount.
(e) The County Purchasing Agent shall establish procedures sufficient to verify a participating contractor's compliance with its voluntary local workforce participation certification.
(f) Contractor shall retain ultimate discretion to hire, discharge or reject its employees and subcontractors.
54.4. Required Documentation.
During the performance of the contract, the contractor shall keep and provide to the Awarding Authority, an accurate and certifiable record on a standardized form(s) acceptable by the County, an accurate and certifiable record that shows the name, residence address, trade classification, hours employed, per diem wages and
benefits of each person employed by the contractor and the contractor's subcontractors, on the specific public project, including full-time, part-time, apprentices, permanent and temporary employees. All such records must have an original signature and be signed by an authorized officer of the company under penalty of perjury. Contractor shall make contractor's and subcontractor's records available to the County, upon request, within five working days.
54.5. Bid Requirements
(a) Certification of Voluntary Local Workforce Participation: Every bidder who wishes to obtain a local workforce discount off the bid price must complete and sign under penalty of perjury a Certification of Voluntary Local Workforce Participation on the form prescribed by the County Purchasing Agent which shall be provided in the County's bid package which must be submitted no later than the time bids are due.
(b) Prior to submitting a bid, bidder shall ensure that any and all subcontractors listed in its bid are not currently debarred nor have been declared an Irresponsible Bidder pursuant to section 2-44 herein within the last 12 months. Prospective contractors may consult the list, available from the Purchasing Agent, of contractors and subcontractors, if any, who are currently disqualified.
54.6 Nonresponsive Bids.
The Awarding Authority may declare a bid to be non-responsive under the provisions of this article for good cause including, but not limited to, the following circumstances:
(a) If a bidder or a subcontractor listed by the bidder is currently debarred or has been declared an Irresponsible Bidder pursuant to section 2-44 herein within the last 12 months.
(b) If a bidder claims to be eligible for a local workforce discount but fails to provide Certification of same at the time of submission of his/her bid package.
54.7 Rescinding Bid Award.
Subsequent to bid award but prior to contract approval by the Awarding Authority, the County may rescind the bid award if upon investigation, it determines that reasonable evidence exists to indicate a contractor whose bid was discounted as a result of a Certification of Voluntary Local Workforce Participation will fail to perform the contract in accordance with that Certification. Any such determination shall be made only after consultation with the County Administrative Officer or his/her designee and shall result in
issuance of written findings which may include a declaration of irresponsibility and may disqualify the contractor from bidding or being listed in any bid on any County contract for a public project or a reasonable period, provided however, that the contractor may appeal the determination to the Board of Supervisors.
54.8 Use of Apprentices
(a) A contractor’s use of Lake County residents as apprentices on a County public works project in accordance with Section 1777.5 of the California Labor Code
may be included in the calculation to determine eligibility for a local work force discount but may not exceed the ratios provided in Section 1777.5.
(b) On projects in excess of $125,000, prior to commencement of work, the prime contractor shall submit a plan acceptable to the Awarding Authority which outlines how the apprenticeship requirements will be met by all contractors working on the project.
(c) At any time during the term of the contract and for a period of 30 days thereafter, the prime contractor shall, within 5 days of request by the Awarding Authority, provide evidence of compliance with Section 1777.5.
54.9 Exceptions.
The provisions of this section shall not apply under any of the following circumstances:
(a) Whenever a state or federal law, regulation or terms of a federal or state grant prohibits the provision of a local hire goal.
(b) Whenever the County, in accordance with the requirements of this Code or state law, determines that the contract is necessary to respond to an emergency which endangers the public health, safety, or welfare.
(c) Whenever the Purchasing Agent or Assistant Purchasing Agent determines that a suitable pool of licensed persons providing specialized skills does not exist
locally for a specific public project.
54.10 Reduction of Certified Local Workforce Participation.
The Awarding Authority reserves the right to reduce the contractor’s certified local workforce participation during construction period when the Awarding Authority determines there is high impracticality of complying therewith for particular subcontracts. High impracticality may be evidenced by serious unforeseen circumstances, new government regulations, national or natural disasters and other events that the Awarding Authority may reasonably determine.
54.11 Rules and regulations.
The County Administrative Officer may prescribe rules, regulations and procedures relating to the application, administration and interpretation of the provisions of this article. The rules, regulations and procedures shall be consistent with the provisions of this article, and may specify forms to be used.”
Section 2: All ordinances or parts of ordinances or resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of such conflict and not further.
Section 3: This ordinance shall take effect on the day of , 201 , and before the expiration of fifteen (15) days after its passage, it shall be published at least once in a
newspaper of general circulation printed and published in the County of Lake.
Ordinance to Provide Local Workforce Participation Goals
The foregoing ordinance was introduced before the Board of Supervisors on the 23rd day of November, 2010, and passed by the following vote on the 7th day of December, 2010.
AYES: Supervisors Comstock, Smith, Rushing, Brown and Farrington
NOES: None
ABSENT OR NOT VOTING: None
____________________________________
Chairman,
Board of Supervisors
ATTEST: KELLY F. COX APPROVED AS TO FORM:
Clerk of the Board of Supervisors ANITA L.
GRANT
By:
____________________________ ____________________________________
Deputy
This ordinance was signed by:
Anthony W. Farrington – Chair, Board of Supervisors
Anita L. Grant – County Counsel
Mireya G. Turner – Asst. Clerk of the Board