C33 Public Works 5 — Questions and Answers
Question 1: A painting contractor on a public works project wants to subcontract 60% of the total painting work. Under California's Public Contract Code, this is:
- Permitted if the awarding body is notified in writing
- Generally prohibited; a contractor may not subcontract more than 50% of the original contract price (Correct answer)
- Allowed without restriction
- Permitted only if all subcontractors are union members
Correct answer: Generally prohibited; a contractor may not subcontract more than 50% of the original contract price
California Public Contract Code Section 4111 generally prohibits a prime contractor from subcontracting more than 50% of the original contract price without consent.
Question 2: Which document submitted at bid time guarantees that a public works painting contractor will enter into the contract if awarded the job?
- Performance bond
- Bid bond (Correct answer)
- Payment bond
- Certificate of insurance
Correct answer: Bid bond
A bid bond guarantees that the contractor will enter into the contract and provide required bonds if awarded; it is forfeited if the contractor withdraws after bid award.
Question 3: When a public works contractor is found to have underpaid workers, the penalty assessed under California Labor Code Section 1775 is up to how much per worker per day of violation?
- $50
- $100
- $200 (Correct answer)
- $500
Correct answer: $200
Labor Code Section 1775 allows a penalty of up to $200 per worker per calendar day of underpayment, in addition to wage restitution.
Question 4: On a public works project, a painting contractor uses a worker classified as an 'owner-operator' to avoid paying prevailing wages. California law would likely treat this as:
- Lawful if the worker owns their tools
- Lawful if the worker has their own business license
- A prevailing wage violation, as classification is based on the nature of the work performed (Correct answer)
- Lawful if agreed upon in a written contract between the parties
Correct answer: A prevailing wage violation, as classification is based on the nature of the work performed
California prevailing wage law looks at the nature of the work performed, not the worker's business structure, to determine if prevailing wages apply.
Question 5: A C-33 contractor receives a public works contract with an 'escalation clause.' This clause is intended to:
- Penalize the contractor for project delays
- Allow automatic contract price adjustments for significant material cost increases (Correct answer)
- Require the contractor to upgrade materials to a higher specification
- Give the awarding body the right to expand the project scope
Correct answer: Allow automatic contract price adjustments for significant material cost increases
An escalation clause allows the contract price to adjust if material costs rise significantly, protecting both parties from extreme market volatility.
Question 6: Under California's public contracting rules, if a public works painting contractor encounters differing site conditions not reflected in the contract, the FIRST step is to:
- Stop all work and wait for the owner to issue a change order
- Continue work and submit a claim at project completion
- Provide written notice to the awarding body before disturbing the conditions (Correct answer)
- Photograph the conditions and adjust the work scope internally
Correct answer: Provide written notice to the awarding body before disturbing the conditions
California Public Contract Code and most public works contracts require written notice to the awarding body before disturbing differing site conditions to preserve the right to a claim.
Question 7: Which of the following statements about public works painting contracts in California is TRUE?
- Verbal change orders are fully enforceable if both parties agree
- All changes to the scope of work must be in writing and signed by the authorized representative (Correct answer)
- The contractor may proceed with extra work if approved by the job superintendent only
- Oral authorization for extra work is sufficient if followed by an email
Correct answer: All changes to the scope of work must be in writing and signed by the authorized representative
Public works contracts in California generally require all changes and extra work to be authorized by written change order signed by the proper authority to be enforceable.
C33 Public Works 5
A painting contractor on a public works project wants to subcontract 60% of the total painting work.
Under California's Public Contract Code, this is: