5048-S AMS CLEV MURR 230

                

SSB 5048 - S AMD 150

By Senator Cleveland

ADOPTED 03/23/2017

    On page 25, after line 36, insert the following:

    "(44)(a) During the 2017-2019 fiscal biennium, the department must revise its agreements and contracts with vendors to include a provision to require that each vendor agrees to equality among its workers by ensuring similarly employed individuals are compensated as equals as follows:

    (i) Employees are similarly employed if the individuals work for the same employer, the performance of the job requires comparable skill, effort, and responsibility, and the jobs are performed under similar working conditions.  Job titles alone are not determinative of whether employees are similarly employed;

    (ii) Vendors may allow differentials in compensation for its workers based in good faith on any of the following:

    (A) A seniority system; a merit system; a system that measures earnings by quantity or quality of production; a bona fide job-related factor or factors; or a bona fide regional difference in compensation levels.

    (B) A bona fide job-related factor or factors may include, but not be limited to, education, training, or experience, that is: consistent with business necessity; not based on or derived from a gender-based differential; and accounts for the entire differential.

    (C) A bona fide regional difference in compensation level must be: consistent with business necessity; not based on or derived from a gender-based differential; and account for the entire differential.

    (b) The provision must allow for the termination of the contract if the department or department of enterprise services determines that the vendor is not in compliance with this agreement or contract term. 

    (c) The department must implement this provision with any new contract and at the time of renewal of any existing contract."

    Renumber the subsections consecutively and correct internal references accordingly.

 

    On page 35, after line 36, insert the following:

    "(6)(a) During the 2017-2019 fiscal biennium, the department must revise its master contracts with vendors, including cooperative purchasing agreements under RCW 39.26.060, to include a provision require that each vendor agrees to equality among its workers by ensuring similarly employed individuals are compensated as equals as follows:

    (i) Employees are similarly employed if the individuals work for the same employer, the performance of the job requires comparable skill, effort, and responsibility, and the jobs are performed under similar working conditions.  Job titles alone are not determinative of whether employees are similarly employed;

    (ii) Vendors may allow differentials in compensation for its workers based in good faith on any of the following:

    (A) A seniority system; a merit system; a system that measures earnings by quantity or quality of production; a bona fide job-related factor or factors; or a bona fide regional difference in compensation levels.

    (B) A bona fide job-related factor or factors may include, but not be limited to, education, training, or experience, that is: consistent with business necessity; not based on or derived from a gender-based differential; and accounts for the entire differential.

    (C) A bona fide regional difference in compensation level must be: consistent with business necessity; not based on or derived from a gender-based differential; and account for the entire differential.

    (b) The provision must allow for the termination of the contract if the public entity using the contract or agreement of the department of enterprise services determines that the vendor is not in compliance with this agreement or contract term. 

    (c) The department must implement this provision with any new contract and at the time of renewal of any existing contract.

    (d) Any cost for the implementation of this section must be recouped from the fees charged to master contract vendors."

    Renumber the subsections consecutively and correct internal references accordingly.

 

 

    On page 40, after line 33, insert the following:

    "(7)(a) During the 2017-2019 fiscal biennium, the department must revise its agreements and contracts with vendors to include a provision to require that each vendor agrees to equality among its workers by ensuring similarly employed individuals are compensated as equals as follows:

    (i) Employees are similarly employed if the individuals work for the same employer, the performance of the job requires comparable skill, effort, and responsibility, and the jobs are performed under similar working conditions.  Job titles alone are not determinative of whether employees are similarly employed;

    (ii) Vendors may allow differentials in compensation for its workers based in good faith on any of the following:

    (A) A seniority system; a merit system; a system that measures earnings by quantity or quality of production; a bona fide job-related factor or factors; or a bona fide regional difference in compensation levels.

    (B) A bona fide job-related factor or factors may include, but not be limited to, education, training, or experience, that is: consistent with business necessity; not based on or derived from a gender-based differential; and accounts for the entire differential.

    (C) A bona fide regional difference in compensation level must be: consistent with business necessity; not based on or derived from a gender-based differential; and account for the entire differential.

    (b) The provision must allow for the termination of the contract if the department or department of enterprise services determines that the vendor is not in compliance with this agreement or contract term. 

    (c) The department must implement this provision with any new contract and at the time of renewal of any existing contract."

    Renumber the subsections consecutively and correct internal references accordingly.

 

 

    On page 90, after line 21, insert the following:

    "(qq) During the 2017-2019 fiscal biennium, the authority must revise its agreements and contracts with vendors to include a provision to require that each vendor agrees to equality among its workers by ensuring similarly employed individuals are compensated as equals as follows:

    (A) Employees are similarly employed if the individuals work for the same employer, the performance of the job requires comparable skill, effort, and responsibility, and the jobs are performed under similar working conditions.  Job titles alone are not determinative of whether employees are similarly employed;

    (B) Vendors may allow differentials in compensation for its workers based in good faith on any of the following:

    (I) A seniority system; a merit system; a system that measures earnings by quantity or quality of production; a bona fide job-related factor or factors; or a bona fide regional difference in compensation levels.

    (II) A bona fide job-related factor or factors may include, but not be limited to, education, training, or experience, that is: consistent with business necessity; not based on or derived from a gender-based differential; and accounts for the entire differential.

    (III) A bona fide regional difference in compensation level must be: consistent with business necessity; not based on or derived from a gender-based differential; and account for the entire differential.

    (B) The provision must allow for the termination of the contract if the authority or department of enterprise services determines that the vendor is not in compliance with this agreement or contract term. 

    (C) The authority must implement this provision with any new contract and at the time of renewal of any existing contract."

    Renumber the subsections consecutively and correct internal references accordingly.

 

 

    On page 102, on line 25, after "limitations:" insert "(1)".

    On page 102, after line 36, insert the following:

    "(2)(a) During the 2017-2019 fiscal biennium, the department must revise its agreements and contracts with vendors to include a provision to require that each vendor agrees to equality among its workers by ensuring similarly employed individuals are compensated as equals as follows:

    (i) Employees are similarly employed if the individuals work for the same employer, the performance of the job requires comparable skill, effort, and responsibility, and the jobs are performed under similar working conditions.  Job titles alone are not determinative of whether employees are similarly employed;

    (ii) Vendors may allow differentials in compensation for its workers based in good faith on any of the following:

    (A) A seniority system; a merit system; a system that measures earnings by quantity or quality of production; a bona fide job-related factor or factors; or a bona fide regional difference in compensation levels.

    (B) A bona fide job-related factor or factors may include, but not be limited to, education, training, or experience, that is: consistent with business necessity; not based on or derived from a gender-based differential; and accounts for the entire differential.

    (C) A bona fide regional difference in compensation level must be: consistent with business necessity; not based on or derived from a gender-based differential; and account for the entire differential.

    (b) The provision must allow for the termination of the contract if the department or department of enterprise services determines that the vendor is not in compliance with this agreement or contract term. 

    (c) The department must implement this provision with any new contract and at the time of renewal of any existing contract."

    Renumber the subsections consecutively and correct internal references accordingly.

 

 

    On page 210, after line 16, insert the following:

    "(18)(a) During the 2017-2019 fiscal biennium, the department must revise its agreements and contracts with vendors to include a provision to require that each vendor agrees to equality among its workers by ensuring similarly employed individuals are compensated as equals as follows:

    (i) Employees are similarly employed if the individuals work for the same employer, the performance of the job requires comparable skill, effort, and responsibility, and the jobs are performed under similar working conditions.  Job titles alone are not determinative of whether employees are similarly employed;

    (ii) Vendors may allow differentials in compensation for its workers based in good faith on any of the following:

    (A) A seniority system; a merit system; a system that measures earnings by quantity or quality of production; a bona fide job-related factor or factors; or a bona fide regional difference in compensation levels.

    (B) A bona fide job-related factor or factors may include, but not be limited to, education, training, or experience, that is: consistent with business necessity; not based on or derived from a gender-based differential; and accounts for the entire differential.

    (C) A bona fide regional difference in compensation level must be: consistent with business necessity; not based on or derived from a gender-based differential; and account for the entire differential.

    (b) The provision must allow for the termination of the contract if the department or department of enterprise services determines that the vendor is not in compliance with this agreement or contract term. 

    (c) The department must implement this provision with any new contract and at the time of renewal of any existing contract."

    Renumber the subsections consecutively and correct internal references accordingly.

   

    On page 317, after line 33, insert the following:

    "NEW SECTION. Sec. 976. RCW 39.26.200 and 2015 c 44 s 1 are each amended to read as follows:

(1)(a) The director shall provide notice to the contractor of the director's intent to either fine or debar with the specific reason for either the fine or debarment. The department must establish the debarment and fining processes by rule.

(b) After reasonable notice to the contractor and reasonable opportunity for that contractor to be heard, the director has the authority to debar a contractor for cause from consideration for award of contracts. The debarment must be for a period of not more than three years.

(2) The director may either fine or debar a contractor based on a finding of one or more of the following causes:

(a) Conviction for commission of a criminal offense as an incident to obtaining or attempting to obtain a public or private contract or subcontract, or in the performance of such contract or subcontract;

(b) Conviction or a final determination in a civil action under state or federal statutes of fraud, embezzlement, theft, forgery, bribery, falsification or destruction of records, receiving stolen property, violation of the federal false claims act, 31 U.S.C. Sec. 3729 et seq., or the state medicaid fraud false claims act, chapter 74.66 RCW, or any other offense indicating a lack of business integrity or business honesty that currently, seriously, and directly affects responsibility as a state contractor;

(c) Conviction under state or federal antitrust statutes arising out of the submission of bids or proposals;

(d) Two or more violations within the previous five years of the federal labor relations act as determined by the national labor relations board or court of competent jurisdiction;

(e) Violation of contract provisions, as set forth in this subsection, of a character that is regarded by the director to be so serious as to justify debarment action:

(i) Deliberate failure without good cause to perform in accordance with the specifications or within the time limit provided in the contract; or

(ii) A recent record of failure to perform or of unsatisfactory performance in accordance with the terms of one or more contracts, however the failure to perform or unsatisfactory performance caused by acts beyond the control of the contractor may not be considered to be a basis for debarment;

(f) Violation of ethical standards set forth in RCW 39.26.020; and

(g) Any other cause the director determines to be so serious and compelling as to affect responsibility as a state contractor, including debarment by another governmental entity for any cause listed in regulations.

(h) During the 2017-2019 fiscal biennium, the failure to comply with a provision in a state master contract or other agreement with a state agency that requires equality among its workers by ensuring similarly employed individuals are compensated as equals.   

(3) The director must issue a written decision to debar. The decision must:

(a) State the reasons for the action taken; and

(b) Inform the debarred contractor of the contractor's rights to judicial or administrative review."

 

 

    EFFECT:   Requires Commerce, Corrections, Early learning, Enterprise Services (DES), Social and Health Services and Health Care Authority to include a provision in contract or other agreement that requires equality among its workers by ensuring similarly employed individuals are compensated as equals. 

 

Agencies must implement this provision with any new contract and at the time of renewal of any existing contract.  DES must include this provision in any master contracts for state agency purchasing.  Violation of this provision is cause for termination of the contract, and for the 2017-19 biennium, disbarment by DES from state contracting. DES costs must be recouped through its fees charged to master contract vendors. 

 

    FISCAL EFFECT (2017-19):  None

    FOUR-YEAR OUTLOOK:  None.

 

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