Item - 2017.GM23.22
Tracking Status
- City Council adopted this item on December 5, 2017 without amendments and without debate.
- This item was considered by Government Management Committee on November 13, 2017 and was adopted with amendments. It will be considered by City Council on December 5, 2017.
GM23.22 - Fair Wage Policy Compliance Verification - Aloia Brothers Concrete Contractors Ltd.
- Decision Type:
- ACTION
- Status:
- Adopted on Consent
- Wards:
- All
City Council Decision
City Council on December 5, 6, 7 and 8, 2017, adopted the following:
1. City Council direct the Manager, Fair Wage Office to continue to retain the amount of $100,000 in withholding funds until July 2018, to allow Aloia Brothers Concrete Contractors Ltd., the Contractor, to provide the requisite information.
2. City Council direct the Deputy City Manager, Internal Corporate Services to report to the July 3, 2018 Government Management Committee meeting on whether Aloia Brothers Concrete Contractors Ltd., the Contractor, should be disqualified from conducting business with the City for a period of two years and whether any legal entity that is related to or has the same operating mind (including successors or assigns) as Aloia Brothers Concrete Contractors Ltd. should be ineligible to bid on or be awarded City of Toronto contracts, acting as a General Contractor or Sub-contractor, for a two year period.
Background Information (Committee)
https://www.toronto.ca/legdocs/mmis/2017/gm/bgrd/backgroundfile-108507.pdf
GM23.22 - Fair Wage Policy Compliance Verification - Aloia Brothers Concrete Contractors Ltd.
- Decision Type:
- ACTION
- Status:
- Amended
- Wards:
- All
Committee Recommendations
The Government Management Committee recommends that:
1. City Council direct the Manager, Fair Wage Office to continue to retain the amount of $100,000 in withholding funds until July 2018, to allow Aloia Brothers Concrete Contractors Ltd., the Contractor, to provide the requisite information.
2. City Council direct the Deputy City Manager, Internal Corporate Services to report to the July 3, 2018 Government Management Committee meeting on whether Aloia Brothers Concrete Contractors Ltd., the Contractor, should be disqualified from conducting business with the City for a period of two years and whether any legal entity that is related to or has the same operating mind (including successors or assigns) as Aloia Brothers Concrete Contractors Ltd. should be ineligible to bid on or be awarded City of Toronto contracts, acting as a General Contractor or Sub-contractor, for a two year period.
Origin
Summary
The purpose of this report is to seek direction, from Council with respect to continuing to withhold contract holdback from a contractor or subcontractor when payroll records are delinquent, inaccurate and cannot be verified.
The Fair Wage by-law allows the Manager, Fair Wage Office, to direct the operating division to hold back funds from the contractor's progress draw or holdback when contractors fail to furnish and disclose certified pay sheets, lists, records, time sheets, open at all times for examination of wages of workers in connection with City contracts.
A case has arisen where true payroll documentation cannot be verified, the contractor has been determined to be non-compliant with disclosure requirements and hold back of funds has been exercised by the client division on instruction from the Manager, Fair Wage Office.
These funds which are on hold are without by-law direction to address, in these circumstances, how long and what happens to these funds in order to conclude the compliance investigation.
Background Information
https://www.toronto.ca/legdocs/mmis/2017/gm/bgrd/backgroundfile-108507.pdf
Speakers
Pina Aloia, Contract Administrator, Aloia Brothers Concrete Contractors Ltd.
Motions
That:
1. City Council direct the Manager, Fair Wage Office to advise Aloia Brothers Concrete Contractors Ltd., the Contractor, that the withholding funds of $100,000 will be released subject to an additional administrative fee of 15 per cent of the full value of the withheld funds.
That:
1. City Council direct the Manager, Fair Wage Office to continue to retain the amount of $100,000 in withholding funds until July 2018, to allow Aloia Brothers Concrete Contractors Ltd., the Contractor, to provide the requisite information.
2. City Council direct the Deputy City Manager, Internal Corporate Services to report to the July 3, 2018 Government Management Committee meeting on whether Aloia Brothers Concrete Contractors Ltd., the Contractor, should be disqualified from conducting business with the City for a period of two years and whether any legal entity that is related to or has the same operating mind (including successors or assigns) as Aloia Brothers Concrete Contractors Ltd. should be ineligible to bid on or be awarded City of Toronto contracts, acting as a General Contractor or Sub-contractor, for a two year period.