Dozens of new laws or amendments will effect the construction
industry in 2018. The following is a round-up of some of these new law.
Unsatisfied Judgment Prohibits Work
Bill 1278 provides that when an unsatisfied judgment is issued against
a license the qualifying individual or personnel of record (who worked for
the license during the time the activities took place) are prohibited from
working in the same capacity for another license. In addition, any applicant
for a license, renewal, reinstatement, or to change officers or other
personnel of record must file or have on file with the board an additional
bond sufficient to guarantee payment of the unsatisfied judgment for a minimum
of one year.
No Discretionary Waiver of Liquidated Damages for Prevailing
Senate Bill 96 permits public works
registrations for three year periods begining June 1, 2019; exempts
construction projects of $25,000 or less and maintenance projects of $15,000
or less from registration; provides penalties for failure to register a
public work; eliminates discretion of the Labor Commission to waive
liquidated damages for prevailing wage violations.
Increase in Journeymen Requirements
Senate Bill 418 provides that for work performed
after January 1, 2018, at least 40% of skilled journeypersons are graduates
of apprencticeship programs, with the exception of certain occupations. The
requirement increases to 50% for 2019 and then 60% for 2020.
No Lien on Common Interest Development
Assembly Bill 534 prohibits a mechanic’s lien from
being recorded against another owner’s property in a common interest
development on which work was performed unless consent was provided by that
owner or that owner requested the performance of labor or furnishing of
materials or services. However, consent shall be deemed given in the case of
$4.5 Billion Housing Bond
Senate Bill 3, in response to the housing and
homeless crisis, if adopted by the voters in November 2018, this bill would
authorize $4.5 billion in bonds for veterans and affordable housing.
CSLB Letter of Admonishment
Senate Bill 486 permits the Contractor’s License
Board to issue a letter of admonishment to registrants as an intermediate
form of discipline between an advisory notice and a citation.