Public Works Contractors, Don’t Let State-Required Payroll Records Lapse
SACRAMENTO – The Contractors State License Board (CSLB) is reminding contractors and subcontractors who work on public works projects that they must continue to keep certified payroll records while the California Department of Industrial Relations (DIR) updates its online reporting system.
Enforcement of the requirement to submit certified payroll records using DIR’s online system will resume in August. DIR has additional compliance information on its Public Works page.
In a related matter, public works contractors who are registered with DIR for the current fiscal year (ending June 30, 2016) are encouraged to renew their registrations for the next fiscal year (starting July 1, 2016) using DIR’s online public works contractor registration system.
Registered contractors who fail to renew by July 1 but continue working on public works after that date will be subject to late fees and potential penalties.
Contractors must be registered with DIR before bidding, being awarded or performing work on public works projects in California. DIR registration requires that all contractors be in good legal standing, which includes having a current license in good standing with CSLB.
Using any Internet-connected computer, public works contractors can:
- Register for the first time
- Renew an active registration
- Reactivate a prior registration
- Securely pay the non-refundable $300 registration/renewal fee (and penalties if applicable)
The registration process is finished upon processing of payment. If paying by credit card, the registration process can be completed within 24 hours.
Contractors who are not currently registered should carefully consider when to register. Any contractor who fails to register before bidding for a public works project or being awarded a public works project may be subject to a $2,000 penalty. Contractors who plan to bid or work on public works prior to July 1 may complete the registration process, including payment of the $300 fee, to register for the remainder of the current fiscal year, which expires on June 30, 2016. Once registered, contractors may then renew their registration for the following fiscal year (beginning July 1), which will also require payment of the $300 renewal fee.
New features on DIR’s online registration system allow contractors to print out proof of registration and verify the status of their renewal or application on the database of qualified public works contractors. A user guide with instructions is posted online.
DIR has additional compliance information on its Public Works page.
Public agencies must confirm this registration before considering a bid or awarding a public works contract, and prime contractors are required to make sure their bid team members are registered.
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