(1) (a) The director shall establish a separate apprenticeship contribution rate under the prevailing wage and fringe benefit requirements of this part 2. (b) The contracting agency of government shall specify in the competitive solicitation for a public project in the amount of five hundred thousand dollars or more and in the contract for such public project the apprenticeship contribution rate and fringe benefit requirements of this part 2. (c) The director shall update the applicable apprenticeship contribution rate as determined pursuant to subsection (1)(a) of the section on or before July 1, 2022, and on or before July 1 each year thereafter. (d) The applicable apprenticeship contribution rate specified in the competitive solicitation and in the contract for a public project pursuant to this subsection (1) shall remain the same for the duration of the work on the public project. (2) The amount of the apprenticeship contribution will be set in accordance with the apprenticeship contribution of the collective bargaining agreement of the applicable trade in the geographic locality of the public project. Contractors shall achieve compliance with this requirement by one of the following options: (a) Contractors signatory to the applicable collective bargaining agreement shall be required to pay no more than the apprenticeship contribution rate of the agreement; (b) Contractors that are not signatory to a collective bargaining agreement but that are members of a multi-employer trade association that sponsors an apprenticeship program registered with the United States department of labor's office of apprenticeship or a state apprenticeship agency recognized by the United States department of labor, or that directly sponsor such a program for their own employees, shall pay the determined apprenticeship contribution to that program or to a state apprenticeship agency recognized by the United States department of labor; or (c) Except as otherwise provided in subsection (5) of this section, contractors that do not qualify for either option specified in subsection (2)(a) or (2)(b) of this section shall be required to pay the amount of the apprenticeship contribution to affected workers in cash payments in addition to the other components of the prevailing wage and fringe benefit package required pursuant to this part 2. (3) The apprenticeship contribution rate shall be deducted from the prevailing wage rate package to avoid double payment by the contractor or subcontractor. (4) To the extent feasible, the department of personnel shall publish an annual report detailing the amount of apprenticeship training contribution paid pursuant to subsections (2)(a), (2)(b), and (2)(c) of this section from information reported by the contracting agencies of government. An annual report issued by the department of personnel pursuant to this subsection (4) is only required to include solicitations issued for public projects on or after January 1, 2022. (5) If the data tracked by the department of personnel demonstrates that portions of the apprentice contributions required pursuant to subsection (2) of this section are paid under the requirements of subsection (2)(c) of this section at a higher rate than under the requirements of subsection (2)(a) or (2)(b) of this section, the department may promulgate rules for alternatives to the requirements subsection (2)(c) of this section.
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