Maryland SB 1: State Finance and Procurement – Prevailing Wage – Stop Work Orders

Bill Text

LAWRENCE J. HOGAN, JR., Governor Ch. 49 
 
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Chapter 49 
(Senate Bill 1) 
 
AN ACT concerning 
 
State Finance and Procurement – Prevailing Wage – Stop Work Orders 
 
FOR the purpose of authorizing the Commissioner of Labor and Industry to issue a stop 
work  order  for  each  work  site  where  the  Commissioner  has  made  an  initial 
determination that a contractor or subcontractor may have violated the prevailing 
wage requirements; requiring the Commissioner to follow certain procedures under 
certain circumstances; authorizing a prime contractor to terminate the contract of a 
subcontractor without incurring certain liability if the subcontractor has a stop work 
order issued against them; authorizing the Commissioner to assess a penalty against 
a contractor or subcontractor for each  day the contractor or  subcontractor violates 
the stop work order; requiring the Commissioner to release a stop work order on a 
showing  that  the  contractor  or  subcontractor  is  properly  paying  the  required 
prevailing wage to employees and has paid all associated penalties; authorizing an 
appeal  from  the  issuance  of  a  stop  work  order;  authorizing  the  Commissioner  to 
impose a civil fine for each day an employer or employer’s agent knowingly fails to 
comply  with  an  investigation; granting  the  Maryland  State  Board  of  Contract 
Appeals  jurisdiction  to  hear  a  certain  appeal; and  generally  relating  to  stop  work 
orders for the enforcement of prevailing wage laws. 
 
BY repealing and reenacting, with amendments, 
 Article – State Finance and Procurement 
Section 15–211, 17–201(b), and 17–221  
Section 17–221 
Annotated Code of Maryland 
 (2021 Replacement Volume) 
 
BY repealing and reenacting, without amendments, 
 Article – State Finance and Procurement 
Section 17–201(a), (b), (c), (f), (g), and (h)  
Annotated Code of Maryland 
 (2021 Replacement Volume) 
 
BY adding to 
 Article – State Finance and Procurement 
 Section 17–201(b) 
 Annotated Code of Maryland 
 (2021 Replacement Volume) 
 
 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 
That the Laws of Maryland read as follows: 
 

Ch. 49 2022 LAWS OF MARYLAND  
 
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Article – State Finance and Procurement 
 
15–211. 
 
 (a) The  Appeals  Board  shall  have  jurisdiction  to  hear  and  decide  all  appeals 
arising from the final action of a unit: 
 
  (1) on  a  protest  relating  to  the  formation  of  a  procurement  contract, 
including a violation of § 13–212.1 of this article; or 
 
  (2) except  for  a  contract  claim  relating  to  a  lease  of  real  property,  on  a 
contract claim by a contractor or a unit concerning: 
 
   (i) breach; 
 
   (ii) performance; 
 
   (iii) modification; or 
 
   (iv) termination. 
 
 (b) THE APPEALS BOARD SHALL HAVE JURISDICTION TO HEAR AND DECIDE 
AN  APPEAL  ARISING  FROM  A  DECISION  OF  THE COMMISSIONER  OF LABOR  AND 
INDUSTRY TO ISSUE A STOP WORK ORDER IN ACCORDANCE WITH § 17–221 OF THIS 
ARTICLE. 
 
 (C) A decision of the Appeals Board is final, subject to any judicial review. 
 
17–201. 
 
 (a) In  this  subtitle,  unless  the  context  indicates  otherwise,  the  following  words 
have the meanings indicated. 
 
 (B) “APPEALS BOARD” MEANS    THE MARYLAND STATE BOARD    OF 
CONTRACT APPEALS. 
 
 [(b)] (B–1) “Apprentice” means an individual who: 
 
  (1) is at least 16 years old; 
 
  (2) has signed with an employer or employer’s agent, an association of 
employers,  an  organization  of  employees,  or  a  joint  committee  from  both,  an  agreement 
including a statement of: 
 
   (i) the trade, craft, or occupation that the individual is learning; and 

 LAWRENCE J. HOGAN, JR., Governor Ch. 49 
 
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   (ii) the beginning and ending dates of the apprenticeship; and 
 
  (3) is registered in a program of the Council or the Office of Apprenticeship 
of the United States Department of Labor. 
 
 (c) “Commissioner” means: 
 
  (1) the Commissioner of Labor and Industry; 
 
  (2) the Deputy Commissioner of Labor and Industry; or 
 
  (3) an authorized representative of the Commissioner. 
 
 (f) (1) “Employee” means an apprentice or worker employed by a contractor or 
subcontractor under a public work contract. 
 
  (2) “Employee” does not include an individual employed by a public body. 
 
 (g) (1) “Locality” means the county in which the work is to be performed. 
 
  (2) If  the  public  work  is  located  within  2  or  more  counties,  the  locality 
includes all counties in which the public work is located. 
 
 (h) “Prevailing wage rate” means the hourly rate of wages paid in the locality as 
determined by the Commissioner under § 17–208 of this subtitle. 
 
17–221. 
 
 (a) Each public body that awards a public work contract shall: 
 
  (1) take cognizance of a complaint of a violation of this subtitle committed 
in the course of performance of the public work contract; and 
 
  (2) when  making  payments  to  the  contractor,  withhold  an