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Home My WebLink AboutTrans 2013-03-26 Item 2A - Discussion - Apprenticeship ProgramTO: City of Tukwila Jim Haggerton, Mayor Department of Public Works Bob Giberson, P.E., Director Mayor Haggerton Transportation Committee FROM: ?Bob Giberson, Public Works Directo U BY: Robin Tischmak, City Engineer DATE: March 22, 2013 SUBJECT: City of Tukwila Apprenticeship Program ISSUE Should the City Council and City Administration implement an Apprenticeship Program? BACKGROUND The City of Tukwila does not currently require an apprenticeship utilization goal for Public Works construction contracts unless it is required by State or Federal law. Other local agencies have chosen to implement apprenticeship utilization in qualifying Public Works construction contracts. DISCUSSION Attached for Transportation Committee discussion is a sample ordinance from the City of Burien and an Apprentice Utilization Form from the City of Seattle. FINANCIAL IMPACT Not known at this time. RECOMMENDATION For discussion only. Attachment: City of Burien Ordinance No. 474 City of Seattle Quarterly Apprentice Utilization Form W: \PW Eng \OTHER \Robin Tlschmak \Info Memo Apprenticeship 2013.docx.doc 1 CITY OF BURIEN, WASHINGTON ORDINANCE NO. 474 AN ORDINANCE OF THE CITY OF BURIEN, WASHINGTON, AMENDING TITLE 2 OF THE BURIEN MUNICIPAL CODE, ESTABLISHING EMPLOYEE APPRENTICESHIP PROGRAM GOALS AND REQUIREMENTS, ESTABLISHING MONETARY ASSESSMENTS FOR NONCOMPLIANCE, PROVIDING FOR SEVERABILITY, AND ESTABLISHING AN EFFECTIVE DATE WHEREAS, a highly skilled workforce is essential for enhancing economic growth and the continued prosperity of workers; and, WHEREAS, apprenticeship is a proven, highly - effective training model, providing consistent wage progression to family wage careers; and WHEREAS, shortages of skilled construction workers limit job growth and affect our economic. This "skill gap" problem will continue to grow, due to the large numbers of skilled worker retirements and increased construction activity; and WHEREAS, the responsibility to train the next generation of skilled workers rests with both the public and private sectors; and WHEREAS, the City of Burien is committed to working in partnership with labor and business to create a skilled workforce that reflects the diversity of our population and promotes community development; and WHEREAS, recent actions of the Washington State Apprenticeship and Training Council (WSATC) have made apprenticeships more widely available in the construction industry; and WHEREAS, growing participation in apprenticeship programs today will ensure a viable workforce in the construction trade industry tomorrow; and WHEREAS, the City Council finds that it would be in the best interests of the public health, safety and welfare for the City to implement an apprenticeship utilization goal in qualifying public works construction contracts; and WHEREAS, the City Council, pursuant to City Resolution No. 267 established a 15% employee apprenticeship utilization goal for City public work projects in excess of one million ($1,000,000) dollars and further directed that the City Manager develop for Council approval apprenticeship utilization guidelines for the purpose of implementing the above apprenticeship utilization goal; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF BURIEN, WASHINGTON, DOES ORDAIN AS FOLLOWS: Section 1. Construction Projects — Apprenticeship Requirements. There is hereby added to Title 2 of the Burien Municipal Code a new chapter 2.75 to be known and referred to as Construction Projects — Apprenticeship Requirements, consisting of 8 subsections and reading as follows: CHAPTER 2.75 CONSTRUCTION PROJECTS -- APPRENTICE REQUIREMENTS. 2.75.010 Definitions. Where used in this chapter, unless the context clearly requires otherwise, the following terms shall have the meaning and construction set forth herein: (1) "Apprentice" means an apprentice enrolled in a State - approved apprenticeship training program. (2) "Contractor" means a person, corporation, partnership, Iimited liability company, or joint venture entering into a contract with the City to construct a public work. (3) "Labor hours" refers to the total number of hours worked by workers receiving an hourly wage who are directly employed on the site of the public work and who are subject to state or federal prevailing wage requirements. "Labor hours" shall also include hours worked by workers employed by subcontractors on the site of the public work, and shall include additional hours worked as a result of a contract or project adjustment or pursuant to an agreed upon change order_ (4) "Employee Apprenticeship Program" ( "EAP ") refers to the requirements of this Chapter and an administrative regulations applicable thereto. (5) `BAP Coordinator" refers to the person designated by the City Manager to administer and coordinate the employee apprenticeship program. (6) "EAP Utilization Plan" refers to the plan for utilization of apprenticeship labor in a public work project that meets the requirements of Section 2.75.040 herein. (7) "Estimated Cost" shall mean the anticipated cost of a public work, as determined by the City, based upon the expected costs of materials, supplies, equipment, and labor, but excluding taxes and contingency funds. (8) "Notice to Proceed" refers to the written authorization to the contractor under the public work contract to commence work. (9) "Public work" refers to all City fund construction projects that constitute a public work pursuant to RCW 39,04.010 as now or hereafter amended and estimated to cost one million (81,000,000) dollars or more. (10) "State- approved apprenticeship program" means an apprenticeship program approved or recognized by the Washington State Apprenticeship and Training Council. (11) "Subcontractor" means a person, corporation, partnership, limited liability company, or joint venture that has contracted with the Contractor to perform all or part of the work to construct a public work by a Contractor. 2.75.020 Use of apprentices required for public works. Apprentices shall be utilized on the construction of all public works in accordance with this chapter. raccturdinances■Ord 474 3 2.75.030 Administration. (1) Apprenticeship Program Goal. All contractors and subcontractors constructing or involved with the construction of public works, and all Service Providers involved with the construction of a public work, shall ensure that the lesser of at least 15 percent of the total labor hours actually worked on the public work project, or 15 percent of the estimated labor hours, are performed by apprentices. (2) Contract Requirements. Contracts for such construction projects shall include provisions detailing the apprentice labor requirements. (3) Submission of EAP Utilization Plan. All contractors shall submit an EAP utilization plan and shall meet with the EAP coordinator to review said EAP utilization plan prior to being issued a notice to proceed. Failure to submit an EAP utilization plan may be grounds for the City to withhold remittance of a progress payment until such plan is received from the responsible contractor. A meeting with the EAP Coordinator prior to issuance of a Notice to Proceed shall be excused only when the EAP Coordinator is unavailable to meet prior to the scheduled date for issuance of the Notice to Proceed and the contractor and the EAP Coordinator have otherwise scheduled a meeting for the coordinator to review the contractor's plan. The contractor shall be responsible for meeting the EAP utilization goal requirements of the contract, including all amendments and change orders thereto, and shall be responsible for overall compliance for all hours worked by subcontractors. To the extent possible, the contractor shall recruit apprentices from multiple trades or crafts. 2.74.040 EAP Utilization Plan. The EAP utilization plan shall meet the following requirements: (1) Shall be submitted on forms prepared or approved by the EAP Coordinator; (2) Shall specify the planned labor hours for each trade or craft; (3) Shall provide for quarterly reports, as well as a final report, indicating the total labor hours and the apprenticeship hours utilized by the contractor and all subcontractors on the project; and (4) Shall include a description of how the contractor will satisfy the EAP Utilization Goal on the particular public work project include a summary of outreach and recruitment procedures to hire apprentices to work on the project. 2.75.050 Exceptions and Waivers. During the term of a construction contract subject to this chapter, the City Manager may reduce or waive the apprentice labor hour goals upon his or her determination that: (1) The contractor has demonstrated that it has utilized its "best efforts" to meet the established percentage requirement but remains unable to fulfill the goal; (2) The contractor has demonstrated that insufficient apprentices are available to meat the EAP utilization goals; (3) The reasonable and necessary requirements of the contract render apprentice utilization infeasible at the required levels; (4) There exists a disproportionately high ratio of material costs to labor hours, which does not make feasible the required minimum level of apprentice participation; (5) To the extent that apprentice labor hour goals are in conflict with funding agreements in place, including Federal Aid projects, in connection with the public work; or (6) For reasons deemed appropriate by the City Manager and no inconsistent with the purpose and goals of this Chapter. -2.. r: \cc\ordinanccs\ord 474 4 2.75.060 Monitoring. The City Manager shall implement a system for monitoring the actual use of apprentices in construction projects subject to this chapter. Such monitoring shall include identifying individual apprentices by name and Washington State apprenticeship registration number; reviewing documents provided by the contractor showing total apprentice labor hours; determining the apprentice hours worked by minorities and women, and as available, persons with disabilities and economically disadvantaged youth; and assessing whether the contractor has complied with the apprenticeship requirement established in its contract. 2.75.070 Reporting. The City Manager shall report to the City Council annually upon the use of apprentices for public work projects. The report shall include to the extent it is available: (1) The percentage of labor hours actually worked by apprentices on each project and the total number of labor hours on each project; (2) The number of apprentices by contractor broken down by trade and craft category; (3) The number and percentage of minorities, women, persons with disabilities and disadvantaged youth utilized as apprentices on each project; (4) The number of new apprentices indentured during the reporting year as a result of the City's apprenticeship requirements; and (5) The percentage of apprentices in training on City projects who have graduated to journey Ievel during the reporting year. 2.75.080 Failure to Meet Utilization Goal. (1) Hours Assessment. Contracts for the construction of public work projects shall provide that Contractors failing to meet the EAP utilization goals shall be assessed an amount for each hour that is not achieved. The amount per hour shall be based on the extent the Contractor or Service Provider met its goal. The amount per hour that shall be assessed shall be as follows: Percent of Goal Met Assessment per unmet hour 100% $ 0.00 90% - 99% $ 2.00 75% to 89% $ 3.50 50% to 74% $ 5.00 1 %to49% $ 7.50 0% $10.00 When determining the percent of goal that is met, all rounding shall be down to the nearest whole percent. No assessment shall be waived by the City unless it is determined by the City Manager to be in the best interests of the City, which determination shall be made after consultation with the EAP Coordinator. (2) Deposit of Assessments. All assessments imposed pursuant to this section shall be deposited into a separate account and utilized to support the City's pre - apprenticeship and training program. The policies and regulations adopted by the City Manager and Director of Utilities pursuant to this chapter shall address issues pertaining to a Contractor's existing workforce. Contributions need not be made for Labor Hours that have been adjusted in accordance with Section 2.75.050 BMC. - 3 - r:lcclardinanceslord 474 5 Section 2. Severability. Should any section, paragraph, sentence, clause or phrase of this ordinance, or its .application to any person or circumstance, be declared unconstitutional or otherwise invalid for any reason, or should any portion of this ordinance be pre -- empted by state or federal law or regulation, such decision or pre - emption shall not affect the validity of the remaining portions of this ordinance or its application to other persons or circumstances. Section 3. Effective. Date. This ordinance shall be published in the official newspaper of the City, and shall take effect and be in full force five (5) days after the date of publication. ADOPTED BY THE CITY COUNCIL AT A REGULAR MEETING THEREOF ON THE 17th DAY OF SEPTEMBER, 2007, AND SIGNED IN AUTHENTICATION OF ITS PASSAGE THIS 17TH DAY OF SEPTEMBER, 2007. OF EN ATTEST /AUTHENTICATED: eth JY. alp s Ange M. Chaufty, Acti` i Clerk g � tY� g � tY Approved to form: ‘D Chris Sacha Kenyon Disend PLLC, Interim City Attorney Filed with the City Clerk: 8/20/07 Passed by the City Council: 9/17/07 Ordinance No. 474 Date of Publication: 9/20/07 -4 r: cclordinancesiOrd 474 oan McGilton, Mayor 6 City of Seattle Department of Finance and Administrative Services Project Name Contractor Name Quarterly Report Quarterly Apprentice Utilization Form ❑ No Work Performed E Revised Final Journey Level Workforce A state approved program registration number required for all apprentices Only use one of the following ethnic descriptions: African American, Asian, Hispanic, Native American, White Apprentice Workforce PW# Quarter Year Ethnicity Gender * # of Workers Labor Hours Last, First Name State Registration # Trade /Craft Ethnicity Gender* Labor Hours Purchasing and Contracting Services Division 700 Fifth Avenue, 41st Floor PO Box 94689 Seattle, Washington 98124 -4689 APP -FRM -003 Quarterly Apprentice Utilization Report Tel (206) 684 -0430 Fax (206)684 -4511 contractingservices @seattle.gov http://www.cityofseattle.govicontracting Revised 8/23/2010 7