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contractor can do a job without employees. It is a challenge for legitimate licensed contractors to compete with unlicensed contractors, but it’s more dangerous to hide behind a license when you don’t have the proper insurance. They could be not working, or they are using temp agencies, or they are trying to undercut their bid by not carrying the proper insurance. Our board looked at those statistics and said, “There are certain disciplines where you need employees. How could there be so many exemptions?” It will really help if the industry can help us identify these companies that are flying below the radar screen. We have our enforcement people looking into it. CAM: Clearly there are some people who are not being truthful in claiming those exemptions. Paving and grading is a labor-intensive activity. CAC: A couple of years ago, we put some language in the form that says “Under penalty of perjury” on the renewal they have to sign every two years. They have to report, yes I have employees, or no I don’t. After we did that, our statistics really didn’t change much in terms of exemptions. If we do go out there and find they do have employees, we do have the ability to issue a stop order. A stop order is just like it sounds, construction work must stop. If the contractor does have a workers’ comp policy, then they have the opportunity to send that to us, or they have the opportunity to get the required
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insurance. But the last thing they want is for the project to stop because they don’t have this. We can also automatically suspend a contractor’s license if they don’t have the required insurance. CAM: Those could be pretty harsh penalties. There’s also the possibility of citations, which could include fines, and even license revocation and prosecution. People need to be aware of these consequences. And many of these things are disclosed on the CSLB website. CAC: Yes, but our No. 1 goal is we want compliance. CAM: So do we! Any final thoughts? CAC: There is one thing. In a previous job I worked for the Board of Engineers and Land Surveyors. One of the issues there that often came up is one I want to warn your members about: Please be careful not to pave over the survey monuments that are in the middle of the street. They should be identified in as-built plans. It destroys the monument, which is against the law. And it makes it difficult for the surveyor when he comes by to do a future survey. I just wanted to put in a plug for that. CAM: Consider it plugged! And while we’re at it, call 8-1-1 before you dig! CA
California Asphalt Magazine • 2016 Equipment Guide Issue