Relates to certain off-site custom fabrication public works projects and the payment of prevailing wage, the official text

S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9464
 
                           I N  A S S E M B L Y
 
                              January 6, 2026
                                ___________
 
 Introduced  by M. of A. BRONSON -- read once and referred to the Commit-
   tee on Labor
 
 AN ACT to amend the labor law, in relation to  certain  off-site  custom
   fabrication public works projects and the payment of prevailing wage
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. Paragraph (f) of subdivision 3 of section 220 of the  labor
 law,  as  added  by a chapter of the laws of 2025 amending the labor law
 relating to inclusion of certain off-site custom fabrication  as  public
 work  for  the  purposes  of  payment of prevailing wage, as proposed in
 legislative bills numbers S. 2536-A and A. 2747-A, is amended to read as
 follows:
   (f) (i) For the purposes of this subdivision  contractors  or  subcon-
 tractors engaged in custom fabrication shall not be regarded as material
 suppliers.  For the purposes of this subdivision, a legal day's work for
 which the prevailing rate of wages for the New York county in which  the
 public  works project is situated shall be paid to laborers, workers and
 mechanics shall include custom fabrication  regardless  of  whether  the
 custom  fabrication occurs on-site, off-site, or in another jurisdiction
 [outside the state where the custom fabrication  constitutes  a  signif-
 icant  portion  of  the  building  or  work, it] AND SUCH PAY shall be a
 condition of the contract concerning all such  custom  fabrication  work
 [that]  INVOLVING  the  contractor  or  employer awarded the public work
 contract, except where the project includes federal funding  that  trig-
 gers  federal rules for wage requirements, and any subcontractor thereto
 shall pay the on-site prevailing wage required for workers at  the  site
 of the public work project to those workers performing the custom fabri-
 cation.
   (II) To perform a public works contract each contractor or subcontrac-
 tor  who  employs  workers  [off-site] for [the] custom fabrication work
 related to a public work project shall maintain certified payrolls  [for
 those  workers  and provide such payrolls, with original certifications,
 to the department at least annually and upon request,] and shall  comply
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD00331-04-6
 A. 9464                             2
 
 with [section] SECTIONS two hundred twenty-i AND TWO HUNDRED TWENTY-J of
 this article[, as applicable].
   (III)  For  the  purposes  of this subdivision the term "custom fabri-
 cation" shall include[, but not be limited to,] the fabrication of exte-
 rior or interior wall panel  systems,  woodwork,  electrical,  plumbing,
 heating,  cooling, ventilation or exhaust duct systems, rebar cages, and
 mechanical insulation solely and specifically  designed  and  engineered
 for  [installation in the construction, repair or renovation of a build-
 ing which is the subject of a contract to which the state, a  department
 of  the state, a board or officer in the state, a municipal corporation,
 a public benefit corporation or a commission appointed pursuant  to  law
 is  a  party.    For  the  purposes  of this subdivision, a "significant
 portion of building or work" means  that  portions  or  modules  of  the
 building  or  work,  as opposed to smaller prefabricated components, are
 delivered to the place where the building  or  work  will  remain,  with
 minimal  construction  work remaining other than the installation and/or
 assembly of the portions or modules] A SPECIFIED  PUBLIC  WORK  PROJECT.
 THE  TERM  "CUSTOM  FABRICATION"  DOES NOT INCLUDE COMPONENTS, PORTIONS,
 MODULES, OR MATERIALS THAT ARE OTHERWISE STOCKED  OR  READILY  AVAILABLE
 ABSENT A SPECIFIED PUBLIC WORK PROJECT.
   [(ii)]  (IV)  THE  PROVISIONS  OF THIS PARAGRAPH SHALL NOT INCLUDE ANY
 HIGHWAY, STRUCTURE, VEHICLE OR WATERCRAFT USED TO  SUPPORT  TRANSPORTING
 PERSONS;  THE  FOREGOING  NOTWITHSTANDING,  THIS PARAGRAPH SHALL INCLUDE
 ELECTRICAL, PLUMBING, HEATING, COOLING, VENTILATION OR MECHANICAL  INSU-
 LATION WORK IN REST AREAS, TRANSIT STATIONS OR DEPOTS.
   (V) NOTHING IN THIS PARAGRAPH SHALL BE CONSTRUED TO APPLY THE REQUIRE-
 MENTS  SET FORTH IN SECTION TWO HUNDRED TWENTY-FOUR-A OF THIS ARTICLE TO
 ANY CUSTOM FABRICATION ASSOCIATED WITH THE CREATION OR REHABILITATION OF
 ANY RESIDENTIAL DWELLING UNITS  OR  MANUFACTURED  HOME  PARKS  THAT  ARE
 EXEMPTED  FROM  THE  DEFINITION  OF  "COVERED  PROJECTS" AS SET FORTH IN
 SECTION TWO HUNDRED TWENTY FOUR-A OF THIS ARTICLE.
   (VI) THE CONTRACTOR AWARDED A PUBLIC WORK CONTRACT, OR A SUBCONTRACTOR
 THERETO, SHALL BE REQUIRED TO REPORT TO THE DEPARTMENT  OF  JURISDICTION
 THE INTENT TO UTILIZE CUSTOM FABRICATION IN A FORM AND MANNER PRESCRIBED
 BY  THE  FISCAL  OFFICER.  SUCH  REPORTS  SHALL IDENTIFY THE PUBLIC WORK
 CONTRACT, THE NAME AND LOCATION OF THE CUSTOM  FABRICATION  ENTITY,  AND
 DESCRIPTION  OF  THE  CUSTOM  FABRICATION WORK. THE CONTRACTOR AWARDED A
 PUBLIC WORK CONTRACT, OR SUBCONTRACTOR THERETO, SHALL NOTIFY  ANY  ADDI-
 TIONAL PARTY CONTRACTED WITH FOR CUSTOM FABRICATION THAT THE CONTRACT IS
 SUBJECT  TO THIS SUBDIVISION. The department of jurisdiction, as defined
 in subdivision three-a of this section and including any entity to  whom
 such  department  of  jurisdiction  delegates  their authority, shall be
 required to report to the fiscal officer the intention to  contract  for
 custom[,  off-site]  fabrication  [of  any  materials  on all contracts,
 regardless of the amount, which may include the employment of  laborers,
 workers  or  mechanics  in the application to the fiscal officer for the
 approval of such contract. The department of jurisdiction's report shall
 state the name and address of the off-site, custom fabricator,  identify
 the custom materials that are being fabricated off-site and the quantity
 thereof,  the estimated and actual cost of the off-site fabrication, and
 the estimated number of workers employed to complete the  custom  fabri-
 cation  at the off-site location] IN A FORM AND MANNER PRESCRIBED BY THE
 FISCAL OFFICER. SUCH REPORTS SHALL IDENTIFY THE  PUBLIC  WORK  CONTRACT,
 THE  NAME AND LOCATION OF THE CUSTOM FABRICATION ENTITY, AND DESCRIPTION
 OF THE CUSTOM FABRICATION WORK. REPORTS SUBMITTED TO THE FISCAL  OFFICER
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 SHALL  BE  SUBJECT  TO  DISCLOSURE PURSUANT TO ARTICLE SIX OF THE PUBLIC
 OFFICERS LAW.
   §  2.  Severability.  If any clause, sentence, paragraph, subdivision,
 section, or part of this act shall be adjudged by any court of competent
 jurisdiction to be invalid, such judgment shall not affect,  impair,  or
 invalidate the remainder thereof, but shall be confined in its operation
 to the clause, sentence, paragraph, subdivision, section, or part there-
 of  directly  involved  in  the controversy in which such judgment shall
 have been rendered.
   § 3. This act shall take effect on the  same  date  and  in  the  same
 manner  as a chapter of the laws of 2025 amending the labor law relating
 to inclusion of certain off-site custom fabrication as public  work  for
 the  purposes  of payment of prevailing wage, as proposed in legislative
 bills numbers S. 2536-A and A. 2747-A, takes effect.