N.J. Admin. Code § 19:30-3.5

Current through Register Vol. 56, No. 12, June 17, 2024

Section 19:30-3.5 - Construction contracts

(a) The project owner/applicant and prime contractor or landlord not exempted by 19:30-3.4 shall resolve any questions regarding this subchapter with the Authority prior to the execution of any construction contracts or any construction contracts undertaken to fulfill any condition of receiving Authority financial assistance including the performance of any contract to construct, renovate or otherwise prepare a facility for operations which are necessary for the receipt of Authority financial assistance.

(b) Construction projects that are undertaken to otherwise prepare a facility for operations which are necessary for the receipt of Authority financial assistance and therefore do not receive any Authority financial assistance or other provision of the assistance until after the construction project is complete (including, but not limited to, Business Employment Incentive Program and Business Retention and Relocation Assistance Grant Program) are exempt from the retainage provisions of (c)2 below.

(c) Every construction contract must require that:

1. The NJEDA Addendum to Construction Contract, which is provided by the Authority as part of its application for financial assistance and also available at www.njeda.com/affirmativeaction, must be part of all construction contracts and must be signed by the project owner/applicant, prime contractor and subcontractor (all tiers);

2. Unless specifically exempted by 19:30-3.4 or 3.5(b), 10 percent of every disbursement for each construction contract in connection with the construction project shall be retained by the project owner/applicant, agent, trustee or lender until 50 percent completion of the contract. Upon notification to the AA Compliance Officer that a contract is 50 percent complete and confirmation from the AA Compliance Officer that the project is in substantial compliance with this subchapter, five percent of every disbursement for each construction contract must be retained. Upon approximately 90 percent completion of the construction contract and receipt of an Authority Affirmative Action Completion Certificate that is acceptable to the Authority, the Authority will notify the project owner/applicant that the remaining retainage may be released;

3. The contractor or subcontractor, where applicable, will not discriminate against any employee or applicant for employment because of age, race, creed, color, national origin, ancestry, marital status, affectional or sexual orientation, gender identity or expression, disability, nationality or sex. Except with respect to affectional or sexual orientation and gender identity or expression, the contractor or subcontractor will ensure that equal employment opportunity is afforded to such applicants in recruitment and employment, and that employees are treated during employment, without regard to their age, race, creed, color, national origin, ancestry, marital status, affectional or sexual orientation, gender identity or expression, disability, nationality, or sex. Such equal employment opportunity shall include, but not be limited, to the following: employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship;

4. The contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the Authority setting forth provisions of this nondiscrimination clause;

5. The contractor or subcontractor, where applicable, will in all solicitations or advertisements for employees placed by or on behalf of the contractor or subcontractor, state that all qualified applicants will receive consideration for employment without regard to age, race, creed, color, national origin, ancestry, marital status, affectional or sexual orientation, gender identity or expression, disability, nationality or sex;

6. The contractor or subcontractor, where applicable, will send to each labor union or representative of workers with which it has a collective bargaining agreement or other contract or understanding, a referral letter, to be provided by the Authority, advising the labor union or workers' representative of the contractor's commitments under this subchapter and shall post copies of the referral letters in conspicuous places available to employees and applicants for employment;

7. The contractor or subcontractor agrees to make good faith efforts to employ minority and women workers in each construction trade consistent with the applicable county employment goals established in accordance with 17:27-7.2; provided, however, that the Authority may, in its discretion, exempt a contractor or subcontractor from compliance with the good faith procedures prescribed in 19:30-3.6, as long as the Authority is satisfied that the contractor or subcontractor is employing workers provided by a union which provides evidence, in accordance with standards prescribed by the Authority, that its percentage of active "card-carrying" members who are minority and women workers is equal to or greater than the applicable employment goals established in accordance with 17:27-7.2;

8. The contractor that is awarded a construction contract or the project owner/applicant must submit an initial project workforce report. Each initial workforce report shall identify the estimated workforce requirements, by trade or craft, of the construction contractors and subcontractors for the duration of the construction contract;

9. The contractor must maintain or submit certified payrolls to the Authority pursuant to 19:30-4.4;

10. The contractor must submit a monthly project workforce report to the Authority within 15 business days after the end of the reporting month; and

11. The contractor or subcontractor agrees to inform in writing its appropriate recruitment agencies including, but not limited to, employment agencies, placement bureaus, colleges, universities, and labor unions, that it does not discriminate on the basis of age, creed, color, national origin, ancestry, marital status, affectional or sexual orientation, gender identity or expression, disability, nationality or sex, and that it will discontinue the use of any recruitment agency which engages in direct or indirect discriminatory practices.

(d) In the event a construction contract has been executed between a project owner/applicant or landlord not exempted by 19:30-3.4 and the contractor or subcontractor before the project owner/applicant applied to and/or received final approval, the Authority will require that any executed construction contract(s) be amended to include the NJEDA Addendum to Construction Contract, on a go-forward basis or incorporate such addendum by side letter.

N.J. Admin. Code § 19:30-3.5

Amended by R.1990 d.411, effective 8/20/1990.
See: 22 N.J.R. 1537(a), 22 N.J.R. 2532(a).
Reference to female workers and Treasury rules added. Section recodified from 6.5.
Amended by R.1995 d.435, effective 8/21/1995.
See: 27 N.J.R. 2377(a), 27 N.J.R. 3216(a).
Amended by R.2002 d.223, effective 7/15/2002.
See: 34 N.J.R. 1247(a), 34 N.J.R. 2469(a).
In (a)7, inserted "applicable" preceding "rules".
Amended by R.2005 d.274, effective 8/15/2005.
See: 37 N.J.R. 1714(a), 37 N.J.R. 3058(a).
Rewrote the section.
Amended by R.2010 d.285, effective 12/6/2010.
See: 42 N.J.R. 2019(a), 42 N.J.R. 2969(a).
Added new (a), (b) and (d); recodified former (a) as (c); and rewrote (c).