Professional Contractors Support 'Cracking Down' on Misconduct Within the Industry

California Attorney General Brown's leadership and state agencies gain support from professional contractors.

SACRAMENTO, Calif., Dec. 1, 2010 /PRNewswire/ -- California Attorney General and Governor-Elect Jerry Brown, the Employment Development Department and the Department of Insurance received sincere appreciation from the California Professional Association of Specialty Contractors (CALPASC) for the enforcement efforts of charges against a concrete company in Placer County.

Yesterday, criminal charges were filed against the founder and chief executive of a Granite Bay concrete company for tax evasion and insurance fraud. The owner was charged with submitting false payroll reports, misrepresenting the status of his employees as independent contractors, and owing the state $230,000 in back taxes.

"Unfortunately, once again, we must point out that owners, builders and general contractors too often take the lowest bids from unethical contractors at 5 to 50 percent below cost," said Brad Diede, chief executive officer of CALPASC. "These bids often are low because contractors frequently skirt wage, insurance and safety laws. Without effective enforcement, professional contractors operate at a competitive disadvantage against dishonest contractors who ignore workers' safety and pay their employees improperly."

CALPASC recently initiated a comprehensive enforcement campaign, LEVEL, in coordination with professional construction trade contractors, to work with state agencies in their efforts to apprehend flagrant violators.

"The state does not have the resources to address all infractions," said Diede. "We appreciate Attorney General Brown's and state agencies' pursuit of major violations and stand ready to support these efforts."

The California Professional Association of Specialty Contractors is a nonprofit 501(c)6 trade association advocating on behalf of trade contractors and suppliers of building materials in California. CALPASC is committed to educating members on complex issues and advancing safety and compliance within the building industry.