| Momentum Bucket | Early Stage |
| Legal Title | AN ACT Relating to requiring subcontractors on public works contracts to be indemnified for certain expenses incurred as a result of late payments from a contractor or a subcontractor; |
| Bill Description | Requiring subcontractors on public works contracts to be indemnified for certain expenses incurred as a result of late payments from a contractor or a subcontractor. |
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What this bill does
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The bill adds a new section to chapter 39.04 RCW that creates a new indemnity obligation: if a subcontractor certified by the Office of Minority and Women's Business Enterprises cannot make required employer contributions to a Taft‑Hartley trust on time because a contractor or subcontractor violated RCW 39.04.250, the violating contractor or subcontractor must promptly indemnify the certified subcontractor for fees or other penalties tied to those late contributions. The new obligation applies to contracts entered into or renewed on or after the section’s effective date.
This is a new statutory liability provision (an indemnification/financial responsibility requirement) rather than a change to criminal penalties. It establishes a procedural/financial remedy that shifts certain costs for late trust contributions to the party whose violation caused the delay.
The provision references the Office of Minority and Women’s Business Enterprises (chapter 39.19 RCW), contractors and subcontractors on public works governed by chapter 39.04 RCW, subcontractors certified under chapter 39.19 RCW, and Taft‑Hartley trusts as affected parties.
Important details are not included in the extracted text: the effective date of the new section is not specified; the text of RCW 39.04.250 (which defines the triggering violation) is not provided; "promptly" is not defined or given a timeframe; "Taft‑Hartley trust" and what counts as required employer contributions are not defined here; and enforcement mechanisms or penalties for failure to indemnify are not described.
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Why it matters
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If enacted, certified minority and women subcontractors who miss required Taft-Hartley trust contributions because a contractor or another subcontractor violated RCW 39.04.250 would be protected from late fees or penalties by shifting those costs to the violating party for contracts entered or renewed after the section takes effect. That reduces the immediate financial risk for those certified subcontractors and increases the exposure and incentive for contractors and subcontractors to follow the timely contribution and payment rules to avoid having to indemnify others.
The main parties affected are OMwBE‑certified subcontractors (who gain protection), contractors and subcontractors on public works (who face greater potential costs and liability), and Taft‑Hartley trusts (who still receive contributions but may see late fees paid by violators). Important implementation details are missing from the extracted text — the effective date, what specific violations of RCW 39.04.250 trigger indemnity, how quickly "promptly" must be, and how indemnity is enforced or contested — so the precise scope of costs or procedural burdens on parties remains unclear.
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| Official Documents | View Full Bill Text |
| Date Introduced | 02/12/2025 |
| Originating Chamber | House |
| Biennium | 2025-26 |
| Total Campaign Dollars Backing Bill | $1,518,498.00 |
| PUBLIC WORKS |
| Representative Entenman (Primary) |
| Representative Ramel |
| Representative Pollet |
| Representative Reed |
| Representative Hill |
| Hearing | House Capital Budget (Public) |