LRB-4189/1
GMM:sac:rs
2013 - 2014 LEGISLATURE
March 25, 2014 - Introduced by Representatives Mason, Barca, Berceau, Genrich,
Goyke, Hebl, Hesselbein, Hulsey, Johnson, Jorgensen, Kahl, Milroy,
Ohnstad, Pope, Sargent, Shankland, Sinicki, C. Taylor, Wright and
Zamarripa, cosponsored by Senators Miller, Carpenter and Harris. Referred
to Committee on Labor.
AB888,1,4 1An Act to renumber and amend 106.04 (3); and to create 106.04 (1) (a) to (c),
2106.04 (1) (e) and (f), 106.04 (2) and 106.04 (3m), (4), (5), (6) and (7) of the
3statutes; relating to: the employment of apprentices on state public works
4projects.
Analysis by the Legislative Reference Bureau
Under current law, a multiple-trade state public works project whose
estimated project cost of completion is $100,000 or more and a single-trade state
public works project whose estimated project cost of completion is $48,000 or more
are subject to the prevailing wage law, which requires workers employed on the site
of the project to be paid at a prevailing wage rate determined by the Department of
Workforce Development (DWD). Also, under current law, if DWD grants an
exception or modification to any requirement relating to the employment and
training of apprentices in any contract for the performance of work on a state public
works project in which work is performed by employees employed in apprenticeable
trades (project), DWD must post that information on its Internet site, together with
a detailed explanation of why the exception or modification was granted.
This bill requires a state agency that enters into a contract for the performance
of work on a project to include in that contract a provision requiring that as a
condition to performing that work a contractor, subcontractor, or agent of a
contractor or subcontractor that employs five or more employees in apprenticeable
trades (employer): 1) have an apprenticeship training program that has been
approved by DWD or have an application pending for that approval at the time the

bid to perform work on the project is submitted; and 2) be certified by DWD as the
sponsor of an acceptable apprenticeship program. Under the bill, if a state agency
determines that an employer is not in compliance with those requirements and has
not demonstrated that every good faith effort was made to meet those requirements,
the state agency must bring an action for breach of contract.
To be certified as the sponsor of an acceptable apprenticeship program, an
employer must show that at any time in the current or preceding year the employer
employed either of the following:
1. The maximum number of apprentices allowed under the employer's training
ratio for each trade employed by the employer. (The bill defines "training ratio" as
the ratio of apprentices to journeymen that may be employed by an employer in a
given trade under standards adopted, recognized, or approved by DWD.)
2. In the case of an employer that is seeking certification to perform work on
projects other than highway projects, a skilled workforce in which not less than ten
percent of the employees are apprentices or, in the case of an employer seeking
certification to perform work on highway projects, a skilled workforce in which not
less than five percent of the employees are apprentices. (The bill defines "skilled
workforce" as that portion of an employer's workforce that consists of employees who
are employed in apprenticeable trades.)
If an employer is unable to meet either of those requirements, the employer still
may be certified as the sponsor of an acceptable apprenticeship program for a
particular project by making a commitment that the employer will employ on the
project any of the following:
1. The maximum number of apprentices allowed under the employer's training
ratio for each trade included in the bid to perform work on the project.
2. In the case of an employer that is seeking certification to perform work on
a project other than a highway project, a skilled workforce in which not less than ten
percent of the hours of work that will be performed on the site of the project will be
performed by apprentices or, in the case of an employer seeking certification to
perform work on a highway project, a skilled workforce in which not less than five
percent of the hours of work that will be performed on the site of the project will be
performed by apprentices.
3. New hires so as to achieve the maximum number of apprentices allowed
under the employer's training ratio for each trade included in the bid to perform work
on the project.
The bill permits DWD to grant an exemption from or modification to the
requirements under the bill on a showing of good cause why the employer cannot
comply with those requirements. Reasons for granting an exemption or modification
include a demonstrated lack of apprentices available in the area of the project, the
unsuitability of the employer's apprenticeship training program for the project or the
unavailability of that program at the site of the project, a disproportionately high
ratio of material costs to labor hours on the project, a documented depression in the
construction industry in the area of the project, specific safety or certification
considerations, or the necessity of meeting any equal employment opportunity,
affirmative action, or other workforce participation requirements. As under current

law, if DWD grants such an exemption or modification, DWD must post that
information on its Internet site, together with a detailed explanation of why the
exemption or modification was granted.
Finally, the bill requires DWD to monitor compliance with the bill and to
monitor the age, race, and sex of the apprentices employed by an employer and the
hours worked by those apprentices.
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB888,1 1Section 1. 106.04 (1) (a) to (c) of the statutes are created to read:
AB888,3,42 106.04 (1) (a) "Apprenticeship trade trainer" means an employer whose
3apprenticeship training program has been approved by the department under sub.
4(3m).
AB888,3,75 (b) "Employer" means a contractor, subcontractor, or agent of a contractor or
6subcontractor that employs 5 or more employees in trades that are apprenticeable
7under this subchapter.
AB888,3,98 (c) "New hire" means an apprentice or journeyman who is hired by an employer
9after the employer submits a bid to perform work on a project.
AB888,2 10Section 2. 106.04 (1) (e) and (f) of the statutes are created to read:
AB888,3,1311 106.04 (1) (e) "Skilled workforce" means that portion of the workforce of an
12employer that consists of employees who are employed in trades that are
13apprenticeable under this subchapter.
AB888,3,1614 (f) "Training ratio" means the ratio of apprentices to journeymen that may be
15employed by an employer in a given trade under standards adopted, recognized, or
16approved by the department.
AB888,3 17Section 3. 106.04 (2) of the statutes is created to read:
AB888,4,4
1106.04 (2) Employment of apprentices. (a) Subject to par. (b) and sub. (5) (a),
2a state agency that enters into a contract for the performance of work on a project
3shall include in that contract a provision requiring that as a condition to performing
4that work an employer meet all of the following requirements:
AB888,4,75 1. Be approved as an apprenticeship trade trainer or have an application
6pending for that approval at the time the bid to perform work on the project is
7submitted.
AB888,4,98 2. Be certified as the sponsor of an acceptable apprenticeship program under
9sub. (4).
AB888,4,1110 (b) Paragraph (a) does not require the employment of an apprentice if that
11employment would displace any journeyman employed by an employer.
AB888,4,1512 (c) A reference to the requirements under par. (a) shall be published in the
13notice issued for the purpose of securing bids for the project and shall be posted by
14the state agency in at least one conspicuous and easily accessible place on the site
15of the project.
AB888,4 16Section 4. 106.04 (3) of the statutes is renumbered 106.04 (5) (b) and amended
17to read:
AB888,4,2218 106.04 (5) (b) Waiver. If the department grants an exception exemption or
19modification to any requirement in any contract for the performance of work on a
20project relating to the employment and training of apprentices
under par. (a), the
21department shall post that information on its Internet site, together with a detailed
22explanation of why the exception exemption or modification was granted.
AB888,5 23Section 5. 106.04 (3m), (4), (5), (6) and (7) of the statutes are created to read:
AB888,5,624 106.04 (3m) Apprenticeship training. Before submitting a bid to perform work
25on a project, an employer shall apply to the department for approval of the employer's

1apprenticeship training program. If the training program meets an acceptable
2quality of training, as determined by the department, the department shall approve
3that training program and certify the employer as an apprenticeship trade trainer.
4After certification, the department shall periodically review an apprenticeship trade
5trainer's apprentice training program to ensure that the trainer is meeting an
6acceptable quality of training.
AB888,5,19 7(4) Acceptable apprenticeship program. (a) Before submitting a bid to
8perform work on a project, an employer shall submit information to the department
9showing that the employer's total skilled workforce meets any of the requirements
10specified in par. (b) 1. or 2. or, if the employer cannot meet any of those requirements,
11the employer shall make a commitment that the employer's skilled workforce for the
12project will meet any of the requirements specified in par. (c) 1., 2., or 3. If an
13employer's total skilled workforce or skilled workforce for the project meets any of
14those requirements, the department shall certify that the employer is the sponsor of
15an acceptable apprenticeship program. A certification under par. (b) is valid for one
16year after the date of the certification. A certification under par. (c) is valid for the
17duration of the project, so long as the employer submits payrolls and other records
18and information to the department showing the employer's compliance with the
19commitment made under par. (c).
AB888,5,2220 (b) The department shall certify that an employer is the sponsor of an
21acceptable apprenticeship program if at any time in the current or preceding year the
22employer employed any of the following:
AB888,5,2423 1. The maximum number of apprentices allowed under the employer's training
24ratio for each trade employed by the employer.
AB888,6,5
12. In the case of an employer that is seeking certification to perform work on
2projects that are subject to s. 103.49, a skilled workforce in which not less than 10
3percent of the employees are apprentices or, in the case of an employer seeking
4certification to perform work on projects that are subject to s. 103.50, a skilled
5workforce in which not less than 5 percent of the employees are apprentices.
AB888,6,86 (c) The department shall certify that an employer is the sponsor of an
7acceptable apprenticeship program for purposes of performing work on a particular
8project if the employer commits to employing on the project any of the following:
AB888,6,109 1. The maximum number of apprentices allowed under the employer's training
10ratio for each trade included in the bid to perform work on the project.
AB888,6,1711 2. In the case of an employer that is seeking certification to perform work on
12a project that is subject to s. 103.49, a skilled workforce in which not less than 10
13percent of the hours of work that will be performed on the site of the project will be
14performed by apprentices or, in the case of an employer seeking certification to
15perform work on a project that is subject to s. 103.50, a skilled workforce in which
16not less than 5 percent of the hours of work that will be performed on the site of the
17project will be performed by apprentices.
AB888,6,2018 3. New hires so as to achieve the maximum number of apprentices allowed
19under the employer's training ratio for each trade included in the bid to perform work
20on the project.
AB888,7,2 21(5) Exemptions and modifications. (a) An employer may apply to the
22department for an exemption from or modification to the requirements under sub.
23(2) (a). A request for an exemption or modification shall include a showing of good
24cause why the employer cannot comply with those requirements. If the department
25finds good cause for an employer's inability to comply with those requirements, the

1department may grant the requested exemption or modification. Reasons for
2granting an exemption or modification include all of the following:
AB888,7,33 1. A demonstrated lack of apprentices available in the area of the project.
AB888,7,54 2. The unsuitability of the employer's apprenticeship training program for the
5project or the unavailability of that program at the site of the project.
AB888,7,66 3. A disproportionately high ratio of material costs to labor hours on the project.
AB888,7,87 4. A documented depression in the construction industry in the area of the
8project.
AB888,7,99 5. Specific safety or certification considerations.
AB888,7,1210 6. The necessity of meeting any equal employment opportunity, affirmative
11action, or other workforce participation requirements under any federal, state, or
12local laws, regulations, rules, or ordinances.
AB888,7,23 13(6) Compliance. (a) The department shall monitor compliance with this
14section. In monitoring that compliance the department shall also monitor the age,
15race, and sex of the apprentices employed by an employer performing work on a
16project and the hours worked by those apprentices. To that end, each employer
17performing work on a project shall keep copies of payrolls and other records and
18information as necessary for the department to perform that monitoring. The
19department may demand and examine, and each employer shall furnish upon
20request by the department, copies of those payrolls and other records and
21information. The department may inspect records in the manner provided in ch. 103.
22Every employer performing work on a project is subject to the requirements of ch. 103
23relating to the examination of records.
AB888,8,724 (b) If an employer fails to meet the requirements of a contract under sub. (2)
25(a) implementing this section, the state agency that entered into the contract shall

1give the employer the opportunity to demonstrate that every good faith effort was
2made to meet the requirements of the contract. If the state agency determines that
3the employer is in compliance with the contract or has demonstrated that every good
4faith effort was made to meet those requirements, no further action shall be taken.
5If the state agency determines that the employer is not in compliance with the
6contract and has not demonstrated that every good faith effort was made to meet
7those requirements, the state agency shall bring an action for breach of contract.
AB888,8,108 (c) An employer is responsible only for its own compliance with the
9requirements of a contract under sub. (2) (a) and is not responsible for compliance
10with those requirements by any other employer.
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