reglab/statecodes huggingface dataset:
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 1. General Provisions › 18-2-122. Plans to bear seal

18-2-122. Plans to bear seal.
This state and its political subdivisions such as counties, cities, towns, townships, boroughs, or other political entities or legally constituted boards, commissions, or authorities or officials or employees thereof may not accept plans and specifications for public buildings, water systems and storage facilities, sewerage systems, wastewater disposal projects, swimming pools, recreational facilities, and similar type projects which may have a direct bearing on the public health and safety for approval unless they bear the seal of the professional engineer for engineering projects or the professional land surveyor for land surveying projects or licensed architect for architectural projects, as provided for the practice of the respective professions by Title 37.
History: En. 66-2363 by Sec. 11, Ch. 366, L. 1975; R.C.M. 1947, 66-2363(part); amd. Sec. 24, Ch. 83, L. 1989.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 1. General Provisions › 18-2-123. Payment of contractors and subcontractors

18-2-123. Payment of contractors and subcontractors.
Notwithstanding any other provision of this title, payment of a construction contractor or subcontractor, as those terms are defined in 28-2-2101, for services performed by a construction contractor or subcontractor is governed by the provisions of Title 28, chapter 2, part 21.
History: En. Sec. 1, Ch. 470, L. 1999.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 1. General Provisions › 18-2-124. Construction contract indemnification provisions

18-2-124. Construction contract indemnification provisions.
(1) Except as provided in subsections (2) and (3), a construction contract provision that requires one party to the contract to indemnify, hold harmless, insure, or defend the other party to the contract or the other party's officers, employees, or agents for liability, damages, losses, or costs that are caused by the negligence, recklessness, or intentional misconduct of the other party or the other party's officers, employees, or agents is void as against the public policy of this state.
(2) A construction contract may contain a provision:
(a) requiring one party to the contract to indemnify, hold harmless, or insure the other party to the contract or the other party's officers, employees, or agents for liability, damages, losses, or costs, including but not limited to reasonable attorney fees, only to the extent that the liability, damages, losses, or costs are caused by the negligence, recklessness, or intentional misconduct of a third party or of the indemnifying party or the indemnifying party's officers, employees, or agents; or
(b) requiring a party to the contract to purchase a project-specific insurance policy, including but not limited to an owner's and contractor's protective insurance, a project management protective liability insurance, or a builder's risk insurance.
(3) This section does not apply to indemnity of a surety by a principal on a construction contract bond or to an insurer's obligation to its insureds.
(4) As used in this section, "construction contract" means an agreement for architectural services, alterations, construction, demolition, design services, development, engineering services, excavation, maintenance, repair, or other improvement to real property, including an agreement to supply labor, materials, or equipment for an improvement to real property.
History: En. Sec. 1, Ch. 259, L. 2007.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 2. Performance, Labor, and Materials Bonds › 18-2-202. Failure to require security -- waiver

18-2-202. Failure to require security -- waiver.
If any board, council, commission, trustee, or body acting for the state or any board of county commissioners or any mayor and common council of any incorporated city or town or tribunal transacting the business of any such municipal corporation waives or fails to take the security required or authorized by 18-2-201, the state or the county, incorporated city or town, or other municipal corporation is liable to the persons mentioned in 18-2-201 to the full extent and for the full amount of all of the contracted debts by any subcontractor as well as the contractor.
History: En. Sec. 3, Ch. 20, L. 1931; re-en. Sec. 5668.43, R.C.M. 1935; R.C.M. 1947, 6-403; amd. Sec. 2, Ch. 602, L. 1981; amd. Sec. 2, Ch. 250, L. 1987; amd. Sec. 2, Ch. 130, L. 1995.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 2. Performance, Labor, and Materials Bonds › 18-2-203. Amount and terms of security

18-2-203. Amount and terms of security.
The security mentioned in 18-2-201 must be in an amount equal to the full contract price agreed to be paid for the work or improvement and must be to the state of Montana, except in cases of cities and towns, in which case the municipality may by general ordinance fix and determine the amount of the security and the name of the secured party, provided that the amount may not be for less than 25% of the contract price of the improvement, and the security may designate that the amount is payable to the city or town and not to the state of Montana.
History: En. Sec. 4, Ch. 20, L. 1931; re-en. Sec. 5668.44, R.C.M. 1935; amd. Sec. 1, Ch. 96, L. 1941; amd. Sec. 1, Ch. 175, L. 1957; R.C.M. 1947, 6-404(part); amd. Sec. 3, Ch. 130, L. 1995.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 2. Performance, Labor, and Materials Bonds › 18-2-204. Right of action on security -- notice

18-2-204. Right of action on security -- notice.
(1) All persons mentioned in 18-2-201 have a right of action in their own name or names on any security furnished under the terms of this part for work done by the laborers or mechanics and for food, materials, supplies, provisions, or goods supplied and furnished in the work or the making of the improvements. The persons do not have any right of action on the security unless within 90 days after the completion of the contract with an acceptance of the work by the affirmative action of the board, council, commission, trustees, officer, or body acting for the state, county, or municipality or other public body, city, town, or district, the laborer, mechanic or subcontractor, or material supplier or person claiming to have supplied food, materials, provisions, or goods for the performance of the work or the making of the improvement presents to and files with the board, council, commission, trustees, or body acting for the state, county, or municipality or other public body, city, town, or district a notice in writing in substance as follows:
"TO (here insert the name of the state, county, or municipality or other public body, city, town, or district):
NOTICE IS HEREBY GIVEN that the undersigned (here insert the name of the laborer, mechanic or subcontractor, or material supplier or person claiming to have furnished labor, materials, or provisions for the contract or work) has a claim in the sum of .... dollars (here insert the amount) against the security taken from .... (here insert the name of the principal and name of the person providing the security) for the work of .... (here insert a brief mention or description of the work concerning which the security was taken). (Here to be signed) ...."
(2) The notice must be signed by the person or corporation making the claim or giving the notice. After being presented and filed, the notice is a public record open to inspection by any person.
History: En. Sec. 4, Ch. 20, L. 1931; re-en. Sec. 5668.44, R.C.M. 1935; amd. Sec. 1, Ch. 96, L. 1941; amd. Sec. 1, Ch. 175, L. 1957; R.C.M. 1947, 6-404(part); amd. Sec. 4, Ch. 130, L. 1995; amd. Sec. 224, Ch. 56, L. 2009.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 2. Performance, Labor, and Materials Bonds › 18-2-205. Effect of dealing with subcontractor

18-2-205. Effect of dealing with subcontractor.
A corporation or person performing services or furnishing provender, provisions, supplies, or material to a subcontractor has the same right under the provisions of the security as if the work, services, provender, provisions, supplies, or material was furnished to the original contractor.
History: En. Sec. 1, Ch. 20, L. 1931; re-en. Sec. 5668.41, R.C.M. 1935; R.C.M. 1947, 6-401(part); amd. Sec. 5, Ch. 130, L. 1995.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 2. Performance, Labor, and Materials Bonds › 18-2-206. Notice to contractor concerning subcontractor

18-2-206. Notice to contractor concerning subcontractor.
(1) A person, firm, or corporation furnishing provender, provisions, materials, or supplies to be used in the construction, performance, carrying on, prosecution, or doing of any work for the state or any county, city, town, district, municipality, or other public body shall, not later than 30 days after the date of the first delivery to a subcontractor or agent of a person, firm, or corporation having a subcontract for the construction, performance, carrying on, prosecution, or doing of the work, give a notice of a right of action on the security.
(2) (a) The notice must be delivered personally or sent by certified mail to the contractor.
(b) The notice must be in writing and state:
(i) that it is a notice of a right of action on the security;
(ii) that the person, firm, or corporation giving the notice has commenced to deliver provender, provisions, materials, or supplies;
(iii) the name of the subcontractor or agent who placed the order or to whom the provender, provisions, materials, or supplies were delivered; and
(iv) that the contractor and the contractor's security will be held for the unpaid price if the supplier is not paid.
(3) To have a right of action against the contractor and the security under this part, a person, firm, or corporation shall give the written notice required by this section in substantially the form described in subsection (2). Any other type of actual or constructive notice is not sufficient.
(4) A suit or action may not be maintained in any court against the contractor or the security to recover for the provender, provisions, materials, or supplies or any part thereof unless the provisions of this part have been complied with.
History: En. Sec. 2, Ch. 20, L. 1931; re-en. Sec. 5668.42, R.C.M. 1935; amd. Sec. 1, Ch. 115, L. 1967; R.C.M. 1947, 6-402; amd. Sec. 1, Ch. 637, L. 1987; amd. Sec. 6, Ch. 130, L. 1995.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 2. Performance, Labor, and Materials Bonds › 18-2-207. Costs -- attorney fees

18-2-207. Costs -- attorney fees.
In a suit or action brought against the surety, payor, or other person liable on the security by a person or corporation to recover for any of the items specified in this part, the prevailing party is entitled to recover, in addition to all other costs, attorney fees in a sum that the court finds reasonable. However, attorney fees may not be allowed in a suit or action brought or instituted before the expiration of 30 days following the date of filing of the notice required in 18-2-206.
History: En. Sec. 4, Ch. 20, L. 1931; re-en. Sec. 5668.44, R.C.M. 1935; amd. Sec. 1, Ch. 96, L. 1941; amd. Sec. 1, Ch. 175, L. 1957; R.C.M. 1947, 6-404(part); amd. Sec. 7, Ch. 130, L. 1995.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 2. Performance, Labor, and Materials Bonds › 18-2-208. Exceptions

18-2-208. Exceptions.
(1) The provisions of this part do not apply to money loaned or advanced to a contractor, subcontractor, or other person in the performance of the work.
(2) A city or town may impose any other or further conditions and obligations in the security that is considered necessary for its proper protection in the fulfillment of the terms of the contract and not in conflict with this part.
(3) The notice required by 18-2-204 to be given within 90 days after completion of the contract and acceptance of the work may not be construed to prevent or delay the payment of money due the contractor under the terms and conditions specified in the contract.
History: (1)En. Sec. 1, Ch. 20, L. 1931; re-en. Sec. 5668.41, R.C.M. 1935; Sec. 6-401, R.C.M. 1947; (2), (3)En. Sec. 4, Ch. 20, L. 1931; re-en. Sec. 5668.44, R.C.M. 1935; amd. Sec. 1, Ch. 96, L. 1941; amd. Sec. 1, Ch. 175, L. 1957; Sec. 6-404, R.C.M. 1947; R.C.M. 1947, 6-401(part), 6-404(part); amd. Sec. 8, Ch. 130, L. 1995.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 3. Contract Requirements and Restrictions › 18-2-302. Bid security -- waiver -- authority to submit

18-2-302. Bid security -- waiver -- authority to submit.
(1) (a) Except as provided in subsection (2), each bid must be accompanied by bid security in the amount of 10% of the bid. The security may consist of cash, a cashier's check, a certified check, a bank money order, a certificate of deposit, a money market certificate, an irrevocable letter of credit, or a bank draft. The security must be:
(i) drawn and issued by a federally chartered or state-chartered bank or savings and loan association that is insured by or for which insurance is administered by the federal deposit insurance corporation;
(ii) drawn and issued by a credit union insured by the national credit union share insurance fund; or
(iii) a bid bond or bonds executed by a surety company authorized to do business in the state of Montana.
(b) The state or other governmental entity may not require that a bid bond or bond provided for in subsection (1)(a)(iii) be furnished by a particular surety company or by a particular insurance producer for a surety company.
(2) The state or other governmental entity may waive the requirements for bid security on building or construction projects, as defined in 18-2-101, that cost less than $150,000.
(3) The bid security must be signed by an individual authorized to submit the security by the corporation or other business entity on whose behalf the security is submitted. If the request for bid or other specifications provided by the state or other governmental entity specify the form or content of the bid security, the security submitted must comply with the requirements of that specification.
History: En. Sec. 3, Ch. 149, L. 1927; re-en. Sec. 259.3, R.C.M. 1935; amd. Sec. 2, Ch. 193, L. 1977; amd. Sec. 1, Ch. 487, L. 1977; R.C.M. 1947, 82-1133; amd. Sec. 3, Ch. 250, L. 1987; amd. Sec. 9, Ch. 130, L. 1995; amd. Sec. 6, Ch. 249, L. 1997; amd. Sec. 1, Ch. 282, L. 1999; amd. Sec. 3, Ch. 203, L. 2003; amd. Sec. 7, Ch. 96, L. 2023.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 3. Contract Requirements and Restrictions › 18-2-303. Construction bids -- minimum requirements -- effect of failure to comply

18-2-303. Construction bids -- minimum requirements -- effect of failure to comply.
(1) Each bid communicated to a state agency for the construction of a building must contain or be accompanied by the following items that may not be waived by the state agency:
(a) bid security, as required by 18-2-302;
(b) the unit price for each item required to be bid by unit price; and
(c) the signature, including an electronic signature allowed under 60-2-113, of an individual authorized to submit the bid and authorized by that submission to agree to perform the contract if the bid is accepted. If the request for bid or other specifications provided by the state agency specify the individual required to submit the bid, the bid must comply with that requirement.
(2) The unit price must be expressly stated in the bid and may not have to be calculated by the state agency by dividing the total of the unit prices by the number of units specified or required.
(3) A bid that does not include the items required by subsection (1) as part of or along with the bid may not be accepted by the state agency.
(4) The following definitions apply to this section:
(a) "Building" has the meaning provided in 18-2-101.
(b) "Construction" has the meaning provided in 18-2-101.
(c) "State agency" means a department, board, commission, authority, or office of a branch of state government, including the board of regents and the Montana university system.
(d) "Unit price" means the price of lumber, concrete, earth, pipe, or other construction item, activity, or material for which the price is required by the request for bids to be bid on the basis of that item, a linear foot, square foot, square yard, cubic yard, activity an hour or other measurement of time, or other standard unit of measurement for that material, item, or activity.
History: En. Sec. 2, Ch. 282, L. 1999; amd. Sec. 1, Ch. 48, L. 2009.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 3. Contract Requirements and Restrictions › 18-2-306. Time of final acceptance and final payment on construction contracts -- interest

18-2-306. Time of final acceptance and final payment on construction contracts -- interest.
(1) A government entity that enters into a contract for the construction of a building shall, unless otherwise provided by law or the contract and within 10 days after a request by the construction contractor for final acceptance, decide whether or not to make final acceptance. Within 30 days after final acceptance by the government entity, the government entity shall make the final payment of the contract price specified in the contract to the other party to the contract.
(2) Except as provided by law or the contract, a government entity that fails to complete the payment of the contract price at the time required by subsection (1) shall pay to the other party to the contract interest at the rate specified in 17-8-242 or 18-1-404, as applicable. Collection of interest pursuant to this section does not preclude any other legal remedy.
(3) The following definitions apply to this section:
(a) "Building" has the meaning provided in 18-2-101.
(b) "Construction" has the meaning provided in 18-2-101.
(c) "Final acceptance" means the government entity's acceptance of the construction of a building by the contractor upon certification by the architect, project engineer, or other representative of the government entity of final completion of the building.
(d) "Final completion" means that the building has been completed in accordance with the terms and conditions of the contract documents.
(e) "Government entity" means a department, agency, commission, board, authority, institution, or office of the state, including the board of regents and the Montana university system, a municipality, county, consolidated municipal-county government, school district, or other special district.
History: En. Sec. 1, Ch. 439, L. 1999; amd. Sec. 13, Ch. 181, L. 2001.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 3. Contract Requirements and Restrictions › 18-2-311. Repealed

18-2-311. Repealed.
Sec. 3, Ch. 87, L. 1985.
History: En. Sec. 1, Ch. 141, L. 1967; R.C.M. 1947, 82-1927.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 3. Contract Requirements and Restrictions › 18-2-312. Excusable delays

18-2-312. Excusable delays.
A public contractor shall not be considered to be working beyond contract time if the delay is caused by an accident or casualty produced by physical cause which is not preventable by human foresight, i.e., any of the misadventures termed an "act of God".
History: En. Sec. 2, Ch. 141, L. 1967; R.C.M. 1947, 82-1928.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 3. Contract Requirements and Restrictions › 18-2-313. Contract provisions necessary for federal funds

18-2-313. Contract provisions necessary for federal funds.
In all contracts let for state, county, municipal, and school construction, repair, or maintenance work under any of the laws of this state when the funds for the projects are supplied in whole or in part from funds of the United States government, it is lawful to insert in each of the contracts any provisions that are or will be necessary to have such contract conform to any federal statutes or regulation under which such funds are supplied.
History: En. Sec. 1, Ch. 43, Ex. L. 1933; re-en. Sec. 269.1, R.C.M. 1935; amd. Sec. 2, Ch. 97, L. 1977; R.C.M. 1947, 82-1147.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 3. Contract Requirements and Restrictions › 18-2-314. Cost-plus system invalid

18-2-314. Cost-plus system invalid.
Any contracts made by, on behalf of, or for the state of Montana which shall directly or indirectly recognize the cost-plus system or principle shall be void and of no effect and this section shall stand as a notice of the invalidity of any such contract.
History: En. Sec. 5, Ch. 149, L. 1927; re-en. Sec. 259.5, R.C.M. 1935; R.C.M. 1947, 82-1135.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 3. Contract Requirements and Restrictions › 18-2-315. State purchasing not affected

18-2-315. State purchasing not affected.
Nothing contained in 18-2-301, 18-2-302, or 18-2-314 alters, modifies, or changes the laws providing for or relating to department of administration functions relating to state purchasing.
History: En. Sec. 6, Ch. 149, L. 1927; re-en. Sec. 259.6, R.C.M. 1935; amd. Sec. 55, Ch. 326, L. 1974; R.C.M. 1947, 82-1136.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 3. Contract Requirements and Restrictions › 18-2-316. Limit on retainage for public contracts

18-2-316. Limit on retainage for public contracts.
(1) The maximum retainage applied to construction contracts administered by the state of Montana or any department, agency, or political subdivision of the state of Montana, by any county, municipality, or political subdivision of a county or municipality, or by a school district may not exceed 5% if the contractor is performing by the terms of the contract.
(2) The retainage percentage withheld by a government entity, as provided for in subsection (1), from a contractor is the maximum retainage percentage that a contractor may withhold from a subcontractor.
(3) For the purposes for this section, "retainage" means the ratio, in percent, of funds retained to the total amount to be paid to the contractor by the government entity.
History: En. Sec. 2, Ch. 222, L. 1999.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 3. Contract Requirements and Restrictions › 18-2-317. State agency performance contracts -- exempt

18-2-317. State agency performance contracts -- exempt.
Energy performance contracts entered into by state agencies pursuant to Title 90, chapter 4, part 11, are exempt from this part.
History: En. Sec. 1, Ch. 439, L. 2009.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-402. Standard prevailing rate of wages

18-2-402. Standard prevailing rate of wages.
(1) The commissioner may determine the standard prevailing rate of wages, including fringe benefits, applicable to public works contracts under this part. The commissioner shall keep and maintain copies of collective bargaining agreements and other information on which the rates are based.
(2) The provisions of this part do not apply in those instances in which the standard prevailing rate of wages is determined by federal law.
(3) Whenever this part is applicable, the standard prevailing rate of wages, including fringe benefits, is the greater of the highest applicable rate of wages in the area for the particular work in question as negotiated under existing and current collective bargaining agreements or the rate determined by the applicable survey under this part.
History: En. Sec. 1, Ch. 102, L. 1931; re-en. Sec. 3043.1, R.C.M. 1935; amd. Sec. 1, Ch. 32, L. 1955; amd. Sec. 1, Ch. 43, L. 1961; amd. Sec. 1, Ch. 265, L. 1969; amd. Sec. 1, Ch. 375, L. 1973; amd. Sec. 1, Ch. 531, L. 1975; R.C.M. 1947, 41-701(1), (4), (5); amd. Sec. 3, Ch. 561, L. 1987; amd. Sec. 12, Ch. 277, L. 2009; amd. Sec. 1, Ch. 373, L. 2013.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-404. Approval of public works contract -- bond

18-2-404. Approval of public works contract -- bond.
(1) All public works contracts under this part must be approved in writing by the legal adviser of the contracting county, municipal corporation, school district, assessment district, or special improvement district body or officer prior to execution by the contracting public officer or officers.
(2) In all public works contracts entered into under the provisions of this part, at least $1,000 of the contract price must be withheld at all times until the termination of the public works contract.
History: (1)En. Sec. 1, Ch. 102, L. 1931; re-en. Sec. 3043.1, R.C.M. 1935; amd. Sec. 1, Ch. 32, L. 1955; amd. Sec. 1, Ch. 43, L. 1961; amd. Sec. 1, Ch. 265, L. 1969; amd. Sec. 1, Ch. 375, L. 1973; amd. Sec. 1, Ch. 531, L. 1975; Sec. 41-701, R.C.M. 1947; (2)En. Sec. 3, Ch. 102, L. 1931; re-en. Sec. 3043.3, R.C.M. 1935; amd. Sec. 2, Ch. 43, L. 1961; Sec. 41-703, R.C.M. 1947; R.C.M. 1947, 41-701(part), 41-703(part); amd. Sec. 3, Ch. 522, L. 1997.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-405. Repealed

18-2-405. Repealed.
Sec. 8, Ch. 609, L. 1993.
History: En. Sec. 1, Ch. 102, L. 1931; re-en. Sec. 3043.1, R.C.M. 1935; amd. Sec. 1, Ch. 32, L. 1955; amd. Sec. 1, Ch. 43, L. 1961; amd. Sec. 1, Ch. 265, L. 1969; amd. Sec. 1, Ch. 375, L. 1973; amd. Sec. 1, Ch. 531, L. 1975; R.C.M. 1947, 41-701(part).
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-406. Posting wage scale and fringe benefits

18-2-406. Posting wage scale and fringe benefits.
The contractor performing work or providing construction services under public works contracts, as provided in this part, shall post in a prominent and accessible site on the project or staging area, not later than the first day of work and continuing for the entire duration of the project, a legible statement of all wages and fringe benefits to be paid to the employees.
History: En. Sec. 1, Ch. 102, L. 1931; re-en. Sec. 3043.1, R.C.M. 1935; amd. Sec. 1, Ch. 32, L. 1955; amd. Sec. 1, Ch. 43, L. 1961; amd. Sec. 1, Ch. 265, L. 1969; amd. Sec. 1, Ch. 375, L. 1973; amd. Sec. 1, Ch. 531, L. 1975; R.C.M. 1947, 41-701(2); amd. Sec. 2, Ch. 517, L. 2001.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-407. Forfeiture for failure to pay standard prevailing rate of wages

18-2-407. Forfeiture for failure to pay standard prevailing rate of wages.
(1) Except as provided in 18-2-403, a contractor, subcontractor, or employer who pays workers or employees at less than the standard prevailing rate of wages as established under the public works contract shall forfeit to the department a penalty at a rate of up to 20% of the delinquent wages plus fringe benefits, attorney fees, audit fees, and court costs. Money collected by the department under this section must be deposited in the general fund. A contractor, subcontractor, or employer shall also forfeit to the employee the amount of wages owed plus $25 a day for each day that the employee was underpaid.
(2) Whenever it appears to the contracting agency or to the commissioner that there is insufficient money due to the contractor or the employer under the terms of the contract to cover penalties, the commissioner may, within 90 days after the filing of notice of completion of the project and its acceptance by the contracting agency, maintain an action in district court to recover all penalties and forfeitures due. This part does not prevent the individual worker who has been underpaid or the commissioner on behalf of all the underpaid workers from maintaining an action for recovery of the wages due under the contract as provided in Title 39, chapter 3, part 2.
History: En. Sec. 1, Ch. 102, L. 1931; re-en. Sec. 3043.1, R.C.M. 1935; amd. Sec. 1, Ch. 32, L. 1955; amd. Sec. 1, Ch. 43, L. 1961; amd. Sec. 1, Ch. 265, L. 1969; amd. Sec. 1, Ch. 375, L. 1973; amd. Sec. 1, Ch. 531, L. 1975; R.C.M. 1947, 41-701(3); amd. Sec. 5, Ch. 554, L. 1989; amd. Sec. 4, Ch. 609, L. 1993; amd. Sec. 4, Ch. 90, L. 1995; amd. Sec. 13, Ch. 389, L. 1999; amd. Sec. 2, Ch. 467, L. 2003; amd. Sec. 14, Ch. 277, L. 2009.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-409. Montana residents to be employed on state construction contracts

18-2-409. Montana residents to be employed on state construction contracts.
(1) On any state construction project funded by state or federal funds, except a project partially funded with federal aid money from the United States department of transportation or when residency preference laws are specifically prohibited by federal law and to which the state is a signatory to the construction contract, each contractor shall ensure that at least 50% of the contractor's workers performing labor on the project are bona fide Montana residents, as defined in 18-2-401.
(2) For any contract awarded for a state construction project, except a project partially funded with federal aid money from the United States department of transportation or when residency preference laws are specifically prohibited by federal law, there must be inserted in the bid specification and the contract a provision, in language approved by the commissioner of labor and industry, implementing the requirements of subsection (1). The bid specification and the contract must provide that at least 50% of the workers on the project will be bona fide Montana residents. If due to a lack of qualified personnel each contractor cannot guarantee that at least 50% of the contractor's workers on the project will be Montana residents, the contract must provide that the percentage that the commissioner of labor and industry believes possible will be Montana residents.
(3) The commissioner of labor and industry shall enforce this section and investigate complaints of its violation and may adopt rules to implement this section.
History: En. Sec. 1, Ch. 549, L. 1985; amd. Sec. 1, Ch. 564, L. 2003.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-411. Creation of prevailing wage rate districts

18-2-411. Creation of prevailing wage rate districts.
(1) Without taking into consideration heavy construction services and highway construction services wage rates, the commissioner shall divide the state into not more than five prevailing wage rate districts for building construction services and nonconstruction services.
(2) In initially determining the districts, the commissioner shall:
(a) follow the rulemaking procedures in the Montana Administrative Procedure Act; and
(b) publish the reasons supporting the creation of each district.
(3) A district boundary may not be changed except for good cause and in accordance with the rulemaking procedures in the Montana Administrative Procedure Act.
(4) The presence of collective bargaining agreements in a particular area may not be the sole basis for the creation of boundaries of a district, nor may the absence of collective bargaining agreements in a particular area be the sole basis for changing the boundaries of a district.
(5) For each prevailing wage rate district established under this section:
(a) the commissioner shall determine the standard prevailing rate of wages to be paid employees, as provided in this part. The standard prevailing rate of wages for construction services, as determined by the commissioner in this subsection, must be used for calculating an apprentice's wage, as provided in 39-6-108.
(b) zone pay must be determined by measuring the road miles in one way over the shortest practical maintained route from the dispatch city to the center of the job; and
(c) the rate of travel allowances must be computed by measuring the road miles in one direction over the shortest practical maintained route from the dispatch city or the employee's home, whichever is closest to the center of the job.
(6) As used in this section, "dispatch city" means the courthouse in either Billings, Bozeman, Butte, Great Falls, Helena, Kalispell, Miles City, Missoula, or Sidney that is closest to the center of the job and within the same prevailing wage district as the job.
History: En. Sec. 1, Ch. 561, L. 1987; amd. Sec. 5, Ch. 609, L. 1993; amd. Sec. 2, Ch. 538, L. 2005; amd. Sec. 15, Ch. 277, L. 2009; amd. Sec. 2, Ch. 373, L. 2013; amd. Sec. 1, Ch. 229, L. 2021.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-412. Method for payment of standard prevailing wage

18-2-412. Method for payment of standard prevailing wage.
(1) To fulfill the obligation to pay the standard prevailing rate of wages under 18-2-403, a contractor or subcontractor may:
(a) pay the amount of fringe benefits and the basic hourly rate of pay that is part of the standard prevailing rate of wages directly to the worker or employee in cash;
(b) make an irrevocable contribution to a trustee or a third person pursuant to a fringe benefit fund, plan, or program that meets the requirements of the Employee Retirement Income Security Act of 1974 or that is a bona fide program approved by the U.S. department of labor; or
(c) make payments using any combination of methods set forth in subsections (1)(a) and (1)(b) so that the aggregate of payments and contributions is not less than the standard prevailing rate of wages, including fringe benefits and travel allowances, applicable to the district for the particular type of work being performed.
(2) The fringe benefit fund, plan, or program described in subsection (1)(b) must provide benefits to workers or employees for health care, pensions on retirement or death, life insurance, disability and sickness insurance, or bona fide programs that meet the requirements of the Employee Retirement Income Security Act of 1974 or that are approved by the U.S. department of labor.
(3) A private contractor or subcontractor shall file a copy of the fringe benefit fund, plan, or program described in subsection (2) with the department.
History: En. Sec. 1, Ch. 609, L. 1993; amd. Sec. 16, Ch. 277, L. 2009.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-414. Standard prevailing rate of wages for heavy construction services and for highway construction services -- definition

18-2-414. Standard prevailing rate of wages for heavy construction services and for highway construction services -- definition.
(1) The department shall establish the standard prevailing rate of wages for heavy construction services and for highway construction services annually.
(2) In establishing the standard prevailing rate of wages for heavy construction services and for highway construction services, the department may:
(a) conduct a survey of construction contractors registered under Title 39, chapter 9, who perform heavy construction services or highway construction services, electrical contractors licensed under Title 37, chapter 68, who perform commercial work, or plumbers licensed under Title 37, chapter 69, whose work is performed according to commercial building codes;
(b) adopt by reference through rulemaking the rates established by the U.S. department of labor under the federal Davis-Bacon Act, 29 CFR 1, et seq., for projects in Montana; or
(c) use, as provided by rule, a combination of surveyed rates, as provided in subsection (2)(a), and rates adopted by reference, as provided in subsection (2)(b).
(3) For the purposes of this section, the term "standard prevailing rate of wages for heavy construction services and for highway construction services" means wage rates, including fringe benefits plus zone pay, per diem, and travel allowances, if applicable, that are determined and established statewide for heavy construction projects and highway construction projects. The department may define by rule the terms heavy construction projects and highway construction projects. The definitions of heavy construction projects and highway construction projects must include but are not limited to projects the same as or similar to the construction, alteration, or repair of roads, streets, highways, alleys, runways, airport runways and ramps, dams, powerhouses, canals, channels, pipelines, parking areas, utility rights-of-way, staging yards located on or off the right-of-way, or new or reopened pits that produce aggregate, asphalt, concrete, or backfill when the pit does not normally sell to the general public.
History: En. Sec. 2, Ch. 277, L. 2009; amd. Sec. 4, Ch. 373, L. 2013.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-416. Wages paid to registered apprentices

18-2-416. Wages paid to registered apprentices.
(1) (a) Only an apprentice whose indenture agreement is registered with the department under Title 39, chapter 6, or recognized by the department as being registered with an appropriate registration agency of another state or the federal government may be paid as provided in subsection (2) when working on a public works contract.
(b) An apprentice whose indenture agreement is not registered with or recognized by the department must be paid the full amount of the standard prevailing rate of wages, including any applicable travel allowances.
(c) An apprenticeship's rate of wages starts at the date of registration with the sponsor.
(2) A recognized, registered apprentice must be paid the percentage of the standard prevailing rate of wages provided for in the apprenticeship standards applicable to that apprentice. The percentage amount applies to wage rates only and not to fringe benefits. The full amount of any applicable fringe benefits must be paid to the apprentice while the apprentice is working on the public works contract.
History: En. Sec. 4, Ch. 277, L. 2009; amd. Sec. 1, Ch. 114, L. 2021.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-417. Wage rate adjustments for multiyear contracts

18-2-417. Wage rate adjustments for multiyear contracts.
(1) Any public works contract that by the terms of the original contract calls for more than 30 months to fully perform must include a provision to adjust, as provided in subsection (2), the standard prevailing rate of wages to be paid to the workers performing the contract.
(2) The standard prevailing rate of wages paid to workers under a contract subject to this section must be adjusted 12 months after the date of the award of the public works contract. The amount of the adjustment must be a 3% increase. The adjustment must be made and applied every 12 months for the term of the contract.
(3) Any increase in the standard rate of prevailing wages for workers under this section is the sole responsibility of the contractor and any subcontractors and not the contracting agency.
History: En. Sec. 5, Ch. 277, L. 2009.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-418. Wage rates based on project classification

18-2-418. Wage rates based on project classification.
(1) The contracting agency shall determine, based on the preponderance of labor hours to be worked, whether the public works construction services project is classified as a highway construction project, a heavy construction project, or a building construction project.
(2) Once the project has been classified, employees in each trade classification who are working on that project must be paid at the rate for that project classification.
History: En. Sec. 5, Ch. 373, L. 2013.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-419. Zone pay and per diem

18-2-419. Zone pay and per diem.
If there is not sufficient data reported to establish zone pay or per diem for a trade classification, the department may establish a zone pay or a per diem amount that reasonably approximates an applicable average zone pay or per diem rate that is payable for the trade classification.
History: En. Sec. 6, Ch. 373, L. 2013.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-421. Notice

18-2-421. Notice.
When a public works project is accepted by the public contracting agency, a notice of acceptance and the completion date of the project must be sent to the department. However, in the case of public works contracts that amount to $50,000 or less in cost, the notice of acceptance and the completion date of the project is not required unless the department requests that information. The 90-day limitation for filing an action in district court, as provided in 18-2-407, does not begin until the public contracting agency notifies the department of its acceptance of the public works project.
History: En. Sec. 3, Ch. 139, L. 1981; amd. Sec. 4, Ch. 522, L. 1997.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-422. Bid specification and public works contract to contain standard prevailing wage rate and payroll record notification

18-2-422. Bid specification and public works contract to contain standard prevailing wage rate and payroll record notification.
All public works contracts and the bid specifications for those contracts must contain:
(1) a provision stating for each job classification the standard prevailing wage rate, including fringe benefits, that the contractors and employers shall pay during construction of the project;
(2) a provision requiring each contractor and employer to maintain payroll records in a manner readily capable of being certified for submission under 18-2-423, for not less than 3 years after the contractor's or employer's completion of work on the project; and
(3) a provision requiring each contractor to post a statement of all wages and fringe benefits in compliance with 18-2-423.
History: En. Sec. 4, Ch. 139, L. 1981; amd. Sec. 5, Ch. 522, L. 1997; amd. Sec. 3, Ch. 517, L. 2001.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-423. Submission of payroll records

18-2-423. Submission of payroll records.
If a complaint is filed with the department alleging noncompliance with 18-2-422, the department may require the project to submit to it certified copies of the payroll records for workers employed on that project. A contractor or a subcontractor shall pay employees receiving an hourly wage on a weekly basis. If a wage violation complaint is filed with the department, the contractor or subcontractor shall provide the employee's payroll records to the department within 5 days of receiving the payroll request from the department.
History: En. Sec. 5, Ch. 139, L. 1981; amd. Sec. 6, Ch. 609, L. 1993.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-424. Enforcement

18-2-424. Enforcement.
If a contractor or a subcontractor refuses to submit payroll records requested by the department pursuant to 18-2-423, the commissioner or the commissioner's authorized representative may issue subpoenas compelling the production of those records.
History: En. Sec. 6, Ch. 139, L. 1981; amd. Sec. 225, Ch. 56, L. 2009.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-425. Prohibition -- project labor agreement

18-2-425. Prohibition -- project labor agreement.
(1) Except as otherwise provided in this chapter, the state or any political subdivision that contracts for the construction, maintenance, repair, or improvement of public works may not require that a contractor, subcontractor, or material supplier or carrier engaged in the construction, maintenance, repair, or improvement of public works execute or otherwise become a party to any project labor agreement, collective bargaining agreement, prehire agreement, or other agreement with employees, their representatives, or any labor organization as a condition of bidding, negotiating, being awarded, or performing work on a public works contract.
(2) For the purposes of this section, "public works" means:
(a) a building, road, street, sewer, storm drain, water system, irrigation system, reclamation project, or other facility owned or to be contracted for by the state or a political subdivision and that is paid for in whole or in part with tax revenue paid by residents of the state; or
(b) any other construction service or nonconstruction service as defined in 18-2-401.
History: En. Sec. 1, Ch. 540, L. 1999.
2023 Montana Code Annotated › Title 18. Public Contracts › Chapter 2. Construction Contracts › Part 4. Special Conditions -- Standard Prevailing Rate of Wages › 18-2-431. Rulemaking authority

18-2-431. Rulemaking authority.
The commissioner may adopt rules necessary to implement this part.
History: En. Sec. 1, Ch. 234, L. 1985.