Establishes minimum qualifications for persons employed on public works contract.

S3405 SBA Statement 6/28/26

SENATE BUDGET AND APPROPRIATIONS COMMITTEE

STATEMENT TO

SENATE, No.
3405

with
committee amendments

STATE
OF NEW JERSEY

DATED:
�JUNE
28, 2026

����� The Senate Budget and Appropriations Committee reports
favorably and with committee amendments Senate Bill No. 3405.

����� As amended by the committee, this bill establishes
minimum qualifications for persons employed through a public works contract.

����� Any contractor submitting a bid for a contract which
is paid for in whole or in part out of the funds of a public body in this State
will certify that each employee completing work established in the contract
meets at least one of the following qualifications: (1) has graduated from a
registered apprenticeship program conforming with the federal standards of
apprenticeship for the craft or trade of the journeyperson that are equivalent
to those of a US Department of Labor registered apprenticeship program, provided
that the craft worker is actively employed in the applicable craft or trade; or
(2) has completed four years of documented work as a craft worker that can be
verified by their pay records or through sworn statements of the craft worker
and the employer or employers for whom the craft worker performed services
during the four year period.� The qualifications established in this bill will
not apply to craft workers who are members of a labor union and are employed by
an employer that is signatory to a collective bargaining agreement that is or
was the basis for a determination by the Commissioner of Labor and Workforce
Development of the prevailing wage or are employed by an employer that is
signatory to a collective bargaining agreement with a labor organization
recognized under the �National Labor Relations Act,� where such agreement
provides for participation in one or more jointly administered labor-management
trust funds established pursuant to the �Labor Management Relations Act,�
including apprenticeship, training, pension, health, or other employee benefit
plans maintained in accordance with the �Employee Retirement Income Security
Act of 1974,� regardless of whether such agreement was utilized in determining
the prevailing wage.

����� As amended and reported by the committee, Senate Bill
No. 3405 is identical to Assembly Bill No. 4072, which was also amended and
reported by the committee on this date.

COMMITTEE AMENDMENTS
:

����� The committee amendments:

����� (1) remove language that would have required the
qualifying apprenticeship program to be sponsored by a labor union or jointly
sponsored with a labor union and an employer association, provided that the
labor union is signatory to a collective bargaining agreement that is or was
the basis for a determination by the commissioner of the �prevailing wage�;

����� (2) specify, instead, a requirement that the craft
worker is actively employed in the applicable craft or trade;

����� (3) include in the exemption from certain
qualifications of the bill craft workers who are employed by an employer that
is signatory to a collective bargaining agreement with a labor organization
recognized under the �National Labor Relations Act,� where such agreement
provides for participation in one or more jointly administered labor-management
trust funds established pursuant to the �Labor Management Relations Act,�
including apprenticeship, training, pension, health, or other employee benefit
plans maintained in accordance with the �Employee Retirement Income Security
Act of 1974,� regardless of whether such agreement was utilized in determining
the prevailing wage; and

����� (4) delay the effective date of the bill from 90 days
after the date of enactment to one year after the date of enactment.

FISCAL IMPACT
:

����� This bill has not been certified as requiring a fiscal
note.