WSR 10-13-133

PROPOSED RULES

DEPARTMENT OF

LABOR AND INDUSTRIES

[ Filed June 22, 2010, 3:32 p.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 10-04-096.

Title of Rule and Other Identifying Information: Chapter 296-17A WAC, Classifications for workers' compensation insurance.

Hearing Location(s): Tumwater L&I Building, 7273 Linderson Way S.W., Tumwater, WA 98501, on August 25, 2010, at 2:30 p.m.

Date of Intended Adoption: October 20, 2010.

Submit Written Comments to: Richard Bredeson, P.O. Box 44140, Olympia, WA 98501, e-mail BRED235@lni.wa.gov, fax (360) 902-4988, by 5 p.m., August 25, 2010.

Assistance for Persons with Disabilities: Contact office of information and assistance by August 20, 2010, TTY (306) [(360)] 902-5797.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: WAC 296-17A-4900 Construction: Superintendent or project manager, this proposal clarifies allowed and excluded exposure and permits a division of hours by project.

Reasons Supporting Proposal: The amendment maintains current exposure restrictions, but as defined by project. This should allow increased use by smaller employers previously excluded by its restrictive "no division of hours" clause. This will also reduce confusion over what was meant by "no division of hours" and the extent of its span.

Statutory Authority for Adoption: RCW 51.16.035.

Statute Being Implemented: RCW 51.16.035.

Rule is not necessitated by federal law, federal or state court decision.

Name of Proponent: Department of labor and industries, governmental.

Name of Agency Personnel Responsible for Drafting: Richard Bredeson, Tumwater, Washington, (360) 902-4985; Implementation: Ronald C. Moore, Tumwater, Washington, (360) 902-4748; and Enforcement: Robert Malooly, Tumwater, Washington, (360) 902-4209.

No small business economic impact statement has been prepared under chapter 19.85 RCW. In this case the agency is exempt from conducting a small business economic impact statement since the proposed rules set or adjust fees or rates to legislative standards described in RCW 34.05.310 (4)(f).

A cost-benefit analysis is not required under RCW 34.05.328. Since the proposed rules adjust fees pursuant to legislative standards they are exempted by RCW 34.05.328 (5)(b)(vi) from the requirement for a cost-benefit analysis.

June 22, 2010

Judy Schurke

Director

OTS-3238.2


AMENDATORY SECTION(Amending WSR 07-01-014, filed 12/8/06, effective 12/8/06)

WAC 296-17A-4900   Classification 4900.  


4900-00 Construction: Superintendent or project manager

((Applies to those employees, of general or specialty construction contractors, whose job duties are exclusively that of construction superintendents or project managers. Construction superintendents spend some time in an office and spend the remainder of time visiting various job sites to confer with construction foreman to keep track of the progress occurring at each construction site or project location. Project managers are generally stationed at the construction site or project location and confined to a temporary type of office to schedule activities and arrival of supplies such as the delivery of iron, steel, rebar, lumber, concrete ready mix, concrete pump truck services, and cranes.

This classification excludes construction superintendents or project managers who are employed by a business that specializes in offering construction management and consulting services. These businesses do not do any of the actual construction or erection activities and are to be reported separately in classification 4901.

Special notes: This classification is a special exception classification and as such is not treated as nor subject to normal rules of the construction classifications. This classification is applicable only to construction superintendents or project managers who have no direct control over work crews and do not perform construction labor at the construction site or project location. A superintendent or project manager performing duties subject to this classification who also is engaged in operating equipment, performing manual labor, or who directly supervises a work crew at the construction site or project location is excluded from this classification. They are to be reported separately in the applicable construction or erection classification assigned to their employer without any division of hours. A division of hours is not permitted between classification 4900 and any other classification. Under no circumstances can this be the only classification assigned to a contractor, as a basic construction classification must also be assigned.)) Applies to employees of a construction company with administrative oversight or management duties. It permits working at a construction site when overseeing a project if not directly taking part in any construction operations. The work can include:

Consulting with engineers, architects, or other design experts;

Managing foremen and coordinating subcontractor schedules;

Ordering and scheduling equipment and supplies;

Inspection of work.

This classification excludes anyone who performs any of the following duties:

Foremen and others directly supervising the work of employees or independent contractors;

Performing manual labor;

Operating or repairing equipment;

Delivering supplies or equipment.

Classification 4900 is a special exception classification. It can only be assigned to an account along with a basic construction classification and a division of hours between classification 4900 and the basic construction classification is not permitted on a construction project. A construction project is defined by a unique location and unique building permit. When employees perform any duties excluded from classification 4900 on a construction project, none of their hours from that project may be reported in classification 4900. A division of hours by project requires the employer to maintain records from which the department can determine the hours worked on each project. An explanation of the payroll records an employer must keep is in WAC 296-17-35201.

[07-01-014, recodified as 296-17A-4900, filed 12/8/06, effective 12/8/06. Statutory Authority: RCW 51.04.020 and 51.16.035. 04-18-025, 296-17-64999, filed 8/24/04, effective 10/1/04. Statutory Authority: RCW 51.04.020, 51.16.035, and 51.12.120. 03-23-025, 296-17-64999, filed 11/12/03, effective 1/1/04. Statutory Authority: RCW 51.16.035. 98-18-042, 296-17-64999, filed 8/28/98, effective 10/1/98; 96-12-039, 296-17-64999, filed 5/31/96, effective 7/1/96.]

Washington State Code Reviser's Office