011-2 Wyo. Code R. § 2-10

Current through April 27, 2019
Section 2-10 - Contractor Procedure

(a) Notification Requirements, Non-Resident General or Prime Contractors and Resident General or Prime Contractors Who Hire Non-Resident Subcontractors. In addition to all other requirements under Wyoming law, upon being awarded a construction project, a non-resident general or prime contractor shall:

  • (i) Report all labor and material subcontractors hired within fifteen (15) calendar days of subcontract award notification;
  • (ii) Post a bond with the Department. In lieu of a bond, the Department may accept:
    • (A) A cashier check
    • (B) A certificate of deposit, provided that the certificate of deposit:
      • (I) Shall be issued by an FDIC insured bank with its main office or any branch located in Wyoming.
      • (II) Shall be payable in current funds or such other manner as the department may determine at a bank located in the State of Wyoming.
      • (III) Shall be issued for an initial term of not less than one year and automatically renewable from year to year.
      • (IV) The contractor must execute a valid, binding, first priority pledge agreement as to the certificate of deposit, which agreement shall be on the form approved by the Department.
      • (V) The originals of both the certificate of deposit and fully executed pledged agreement shall be delivered to the department at the same time.
        • (1.) If a certificate of deposit is accepted and retained by the Department under this section, and if the contractor has not deposited an acceptable replacement bond or other acceptable security within thirty (30) days before the certificate of deposit's maturity date, then the contractor shall be deemed to have authorized and directed the Department to demand immediate payment on the certificate of deposit and upon receipt of the proceeds, retain the same as a deposit of the proceeds of certified funds.
    • (C) A letter of credit, provided the letter of credit:
      • (I) Shall have a face amount equal to or greater than four percent (4%) of the total contract amount for the project;
      • (II) Shall be issued by an FDIC insured bank with its main office or any branch located in Wyoming;
      • (III) Shall be payable in current funds or other manner as the Department may determine on sight at the counters of an FDIC insured bank located within the State of Wyoming;
      • (IV) Shall be on a form of approved by the Department;
      • (V) Shall be issued with an initial expiry date of not less than one (1) year from the date of its issuance and automatically extended from year to year;
      • (VI) The issue date shall be written ten (10) days before the date on which the deposit is received by the Department; and
      • (VII) The original letter of credit shall be delivered to the Department.
        • (1.) If a letter of credit is accepted and retained by the Department and the contractor has not deposited an acceptable replacement surety bond or other acceptable security within thirty (30) days before the letter of credit's expiration date or maturity date, the contractor shall be deemed to have authorized and directed the Department to draw the entire face amount of letter of credit and, upon receipt of the proceeds, retain the same as a deposit of proceeds of a collected cashier's check.
        • (2.) The contractor may deliver at any time to the Department an acceptable surety bond or other acceptable security to replace a letter of credit retained by the Department. Upon receipt and acceptance of a replacement, the Department shall deliver to the contractor the original letter of credit.
        • (3.) If the Department determines that the contractor that has deposited a letter of credit under this section in lieu of a surety bond has complied with W.S. 39-15-301 through -311 and W.S. W.S. W.S. 39-16-301 through -311, the Department's rules and orders of the Department, then the Department shall deliver to the contractor the original letter of credit.

(b) Non-Resident Subcontractor Requirements. In addition to all other requirements under Wyoming law, upon being awarded a construction project or any part thereof, any non-resident subcontractor shall:

  • (i) Report all lower tier subcontractors hired within fifteen (15) calendar days of subcontract award notification, and;
  • (ii) Remit a completed affidavit of completion form within fifteen (15) days following completion date of the subcontract.

(c) Charges for labor to alter, improve, or construct real property are not subject to sales/use tax except where imposed by statute under W.S. W.S. W.S. 39-15-103(a)(i)(K).

(d) Sales of tangible personal property to be used in the repair, alteration, improvement or construction of real property shall be considered taxable sales, whether sold to the owner of real property or to a contractor or subcontractor.

(e) Work Performed for Exempt Entities. Contractors performing for exempt entities shall be subject to the sales and use tax on all equipment, materials, fixtures, and supplies purchased by the contractor to perform under the contract.

(f) Contractors shall remit use tax and any sales tax not paid to a vendor to the Department by the last day of the month following the month in which a purchase is made.

(g) The Department shall refund any excess retainage withheld from a nonresident subcontractor to the subcontractor, if the retainage has been remitted to the Department and exceeds sales or use tax owed by that subcontractor.

011-2 Wyo. Code R. § 2-10