Chapter 12. State Apprenticeship Training Fund

In this chapter, the following terms have the meanings indicated.

Terms Defined.

If a contractor participates in an apprenticeship training program for each covered craft, the contractor satisfies their obligation under State Finance and Procurement Article, §17-603(a)(1), Annotated Code of Maryland, by making contributions of at least 25 cents per person per hour.

If a subcontractor participates in an apprenticeship training program for each covered craft, the subcontractor satisfies their obligation under State Finance and Procurement Article, §17-604(a)(1), Annotated Code of Maryland, by making contributions of at least 25 cents per person per hour.

Contractors and subcontractors that do not participate in an apprenticeship training program shall pay at least 25 cents per person per hour for each employee in each covered craft on the prevailing wage project to a registered apprenticeship program, an organization that has a registered apprenticeship program, or the Fund.

Contractors and subcontractors who make contributions to the Fund shall do so on a monthly basis.

Contractors and subcontractors who make contributions to a registered apprenticeship program or an organization that has a registered apprenticeship program shall make contributions on a monthly basis or consistent with a collective bargaining agreement or other contractual arrangement.

If there is a prevailing wage determination that includes a fringe benefit contribution for apprenticeship that exceeds 25 cents per hour, a contractor or subcontractor that makes contributions to the Fund shall pay to the employee wages in the amount that the fringe benefit contribution for apprenticeship exceeds 25 cents per hour.

Contractors performing work on a prevailing wage project shall complete the registration process at the Department’s website.

Subcontractors who are performing work valued at $100,000 or more on a prevailing wage project shall complete the registration process at the Department’s website.

Prior to the commencement of work, a registered contractor or registered subcontractor shall log onto the Department’s website and complete the required project log information including:

Contractors and subcontractors who hire subcontractors performing work valued at $100,000 or more on a public work contract subject to the Maryland Prevailing Wage Law shall provide the subcontractors with written notice of the following requirements:

Contractors and subcontractors shall retain a copy of the written notice required in §A of this regulation that was provided to covered subcontractors for inspection and review by the Commissioner for 3 years after the completion of their work on a public work project.

Indicate on their prevailing wage payroll record their contributions under State Finance and Procurement Article, §17-603 or 17-604, Annotated Code of Maryland; and

Certify that the contributions were received by an approved apprenticeship program or the Fund.

Contractors and subcontractors shall log onto the Department’s website and indicate each approved apprenticeship program or the Fund to which it will make contributions.

If a contractor or subcontractor intends to change a designation, it shall log onto the Department’s website to indicate the change in designation 30 days prior to that change.

Upon notice from the Division of Labor and Industry that the approved apprenticeship program has been designated for contributions by a contractor or subcontractor, an approved apprenticeship program shall register on the Department’s website.

An approved apprenticeship program shall complete the requested information on contributions received from contractors and subcontractors for each covered craft for each prevailing wage project at the Department's website on or before the last day of the month immediately following each calendar quarter.

Certify that all funds received are used solely for the purpose of improving or expanding apprenticeship training in the State.

The Commissioner may investigate whether State Finance and Procurement Article, Title 17, Subtitle 6, Annotated Code of Maryland, has been violated:

The Commissioner may require a contractor, subcontractor, or an approved apprenticeship program to produce records as part of its investigation.

The Commissioner may enter a place of business to:

If after an investigation, the Commissioner determines that there is a violation of State Finance and Procurement Article, Title 17, Subtitle 6, Annotated Code of Maryland, or a regulation adopted to carry out the title, the Commissioner shall issue an administrative charge that shall:

Within a reasonable amount of time after the issuance of the administrative charge, the Commissioner shall send a copy of the administrative charge to the alleged violator by certified mail with notice of the opportunity to request a hearing.

Within 15 days after the alleged violator receives the administrative charge, the employer may submit a written request for a hearing on the administrative charge and proposed penalty.

If a hearing is not requested within 15 days, the administrative charge, including any penalties, shall become a final order of the Commissioner.

If there is a request for a hearing, the Commissioner may delegate the hearing to the Office of Administrative Hearings in accordance with State Government Article, Title 10, Subtitle 2, Annotated Code of Maryland.

A proposed decision of an administrative law judge shall become a final order of the Commissioner unless, within 15 days of the issuance of the proposed decision:

After review of the proposed decision under §I of this regulation, with or without a hearing on the record, the Commissioner shall issue an order that affirms, modifies, or vacates the proposed decision