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Res 1997-38 oe 15 RESOLUTION NO. 38 - 1997 A RESOLUTION OF THE CITY OF FRIDLEY, MINNESOTA, FOR THE ADOPTION OF A POLICY AND CONTRACT LANGUAGE IMPLEMENTING THE PROVISIONS OF ORDINANCE NO. 1095, PROVIDING FOR THE PAYMENT OF PREVAILING WAGES ON CERTAIN PROJECTS AND CONTRACTS WITHIN THE CITY WHEREAS, the City of Fridley, Minnesota, has adopted a certain Ordinance, Number 1095, providing for the payment of the prevailing wage to workers within the City under certain specified conditions and circumstances; and WHEREAS, the City of Fridley, Minnesota, wishes to provide specific guidance to the public and its own employees, as well as contractors and others doing or wanting to do business with or in the City, as to how it expects the aforesaid Ordinance to be implemented in contracts and work governed by the Ordinance; NOW, THEREFORE, BE IT RESOLVED, that the City of Fridley adopts as its policy concerning all bids and contracts governed by the aforesaid Ordinance that the following language, either fully or by express reference to the aforesaid Ordinance and this Resolution, shall be included in all such bids and contracts, and that this same language shall operate as the ongoing policy of the City of Fridley with respect to any such bids and contracts: PAYMENT OF PREVAILING WAGES. The Contractor agrees that the Contractor's laborers and mechanics and any subcontractor's, of any tier, laborers and mechanics who work on this project and who fall within any job classification established and published by the Minnesota Department of Labor & Industry shall be paid, at a minimum, the prevailing wage rates as certified by said Department. Each Contractor and subcontractor of any tier performing work on this project shall post on the project the applicable prevailing wage rates and hourly basic rates of pay for the County or area within which the project is being performed, including the effective date of any changes thereof, in a least one conspicuous place for the information of the employees working on the project. The information so posted shall include a breakdown of contributions for health and welfare benefits, vacation benefits, pension benefits and any other economic benefit required to be paid. 1. Definition. The definition of "laborer" and "mechanic" used in connection prevailing wages shall be that definition contained in 29CFR Part 5 .2 (m) . 2. Submission of Payroll. a. Upon request of the City, the contractor and subcontractors, if any, shall submit to the City, weekly for each week in which any contract work is performed, a copy of all payrolls. The payroll submitted shall set out accurately and completely all the information required to be maintained under Section 5 .5 (a) (3) (I) of regulations, 29 CFR Part 5. Page 2 -- Resolution No. 38 - 1997 b. Each payroll submitted shall be accompanied by a "Statement of Compliance" signed by the contractor or subcontractor or her agent who supervises the payment of the persons employed under the contract and shall certify the following: (1) That the payroll for the payroll period contains information of the type required to be maintained under Section 5.5 (a) (3) of regulation 29 CFR Part 5, and that such information is correct and complete. (2) That each laborer or mechanic (including each helper, apprentice and trainee) employed on the contract during the payroll period has been paid the full weekly wages earned, without rebate, either directly or indirectly, and that no deductions have been made either directly or indirectly from the full wages earned. (3) That each laborer or mechanic has been paid not less than the applicable wage rates and fringe benefits or cash equivalent for the classification of work performed as specified in the applicable wage determination incorporated into the contract. (4) The contractor or subcontractor shall make the records required under this paragraph available for inspection, copying or transcription by the City and shall permit the City to interview employees during working hours on the job. If the contractor or subcontractor fails to submit the required records and make them available, the City may, after written notice to the contractor, take such action as may be necessary to cause the suspension of further payments, advance, or guarantee of funds. 3. Violation: Liability for Unpaid Wages. In the event of any violation by the contractor or subcontractor relating to the prevailing wage provision in this contract, the contractor shall be liable for the unpaid wages. 4. Withholding of Unpaid Wages. The City of Fridley may, upon its own action, withhold or cause to be withheld from any monies payable on account of work performed by the contractor or any subcontractor such sums as the City may determine to be necessary to satisfy any liabilities of such contractor or subcontractor for any unpaid wages as required herein. 77 Page 3 - Resolution No. 38 - 1997 5 . Fringe Benefits. The Contractor and subcontractor shall pay fringe benefits in the manner and in accordance with the 1964 amendments to the Davis- Bacon Act (Public Law 88-349) and the implementing regulations contained in 29 CFR, Subpart B, 5.20, et seq. 6. Liquidated Damages. If the Contractor or any subcontractor of any tier does not pay its laborers and mechanics prevailing wages as provided herein, the Contractor shall be liable to and pay to the City, as liquidated damages, a sum equal to five percent (5%) of the contract amount. The City may deduct any money due or coming due to the Contractor such sums as the City may determine to be necessary to satisfy any liability of the Contractor to pay liquidated damages as provided herein. Any monies collected or deducted are not to be construed as penalty but as liquidated damages to compensate the County for the Contractor's and/or subcontractor's failure to pay prevailing wages. The rights and remedies provided for in these specifications shall be in addition to and not a limitation of any rights or remedies otherwise available at law. In any lawsuit involving assessment or recovery of liquidated damages, the reasonableness of the charges therefore shall be presumed, and the amount assessed shall be in addition to every other remedy now or hereinafter enforceable at law, in equity, by statute or under the contract. 7. Termination of Contract. A violation of any of the above-stated provisions in a contract governed by the Ordinance shall constitute a substantial breach of that contract and shall constitute grounds for termination. PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 5TH DAY OF MAY, 1997. N' J. #+%O;' EN/a NI MAYOR ATTEST: kA OLN WILLIAM A. CHAMPA - CITY,CLERK ('