Arkansas Administrative Code
Agency 010 - Department of Labor
Division 14 - Labor Standards Division
Rule 010.14.10-002 - Prevailing Wage Division Administrative Regulations

(a) These rules and regulations are promulgated by the Arkansas Department of Labor pursuant to the authority granted by Ark. Code Ann. § 22-9-307 (1987). These rules and regulations are applicable under the minimum prevailing wage law, Ark. Code Ann. §§ 22-9-301 through -313 (1987), which provides that a wage of not less than the minimum prevailing hourly rate of wage for work of a similar character in the county in which the work is performed shall be paid to all workmen employed by or on behalf of any public body engaged in the construction of public works, exclusive of maintenance work.

(b) The purpose of these regulations is to set forth the procedure for making and applying prevailing wage determinations; to detail the obligations of contractors, subcontractors and public bodies; to set forth the procedures for the administration and enforcement of the minimum prevailing wage law; and to set forth the procedures or rules of practice for administrative proceedings under the minimum prevailing wage law.

(c) These regulations apply to the construction of all public works where the cost of all labor and material exceeds seventy-five thousand dollars ($75,000.00).

(d) These regulations do not apply to:

(1) "Apprentice" means

(2) "Building construction" means generally the construction of sheltered enclosures with walk-in access for the purpose of housing persons, machinery, equipment, or supplies. It includes all construction of such structures, the installation of utilities and the installation of equipment, both above and below grade level as well as incidental grading, utilities and paving, unless there is an established area practice to the contrary. Additionally, such structures need not be "habitable" to be building construction. The installation of heavy machinery and/or equipment may not change the project's character as a building. Examples of building construction follow:

Alterations and additions to nonresidential buildings

Apartment buildings (5 stories and above)

Arenas (enclosed)

Auditoriums

Automobile parking garages

Banks and financial buildings

Barracks

Churches

City halls

Civic centers

Commercial buildings

Court houses

Detention facilities

Dormitories

Farm buildings

Fire stations

Hospitals

Industrial buildings

Institutional buildings

Libraries

Mausoleums

Motels

Museums

Nursing & convalescent facilities

Office buildings

Out-patient clinics

Passenger and freight terminal buildings

Police stations

Power plants

Prefabricated buildings

Remodeling buildings

Renovating buildings

Repairing buildings

Restaurants

Schools

Service stations

Shopping centers

Stores

Student housing

Subway stations

Theaters

Warehouses

Water & Sewage treatment plants (building only)

(3) "Classification" means the occupation of a workman based on duties actually performed;

(4) "Construction" means construction, reconstruction, improvement, enlargement, alteration, painting and decorating or major repair, where the cost of all labor and material exceeds seventy-five thousand dollars ($75,000.00). The term includes all work done in the construction or development of the project, including without limitation, altering, remodeling, installation (where appropriate) on the site of the work of items fabricated off-site, painting and decorating, the transportation of materials and supplies to or from the building or work by the employees of the construction contractor or construction subcontractor, and the manufacturing or furnishing of materials, articles, supplies or equipment on the site of the building or work by persons employed by the contractor or subcontractor. The term does not generally include manufacturing, furnishing materials only, landscaping, or servicing and maintenance work;

(5) "County" means the county where the physical work upon the public works is performed;

(6) "Davis-Bacon Act" means 40 U.S.C. § 276a et seq.;

(7) "Department" means the Arkansas Department of Labor;

(8) "Heavy construction" means those construction projects that are not properly classified as either "building", "highway", or "residential". Unlike these classifications, heavy construction is not a homogenous classification. Because of its catch-all nature, projects within the heavy classification may sometimes be distinguished on the basis of their particular project characteristics, and separate wage determinations. Examples of heavy construction follow:

Antenna towers

Bridges (major bridges designed for commercial navigation) Breakwaters

Caissons (other than building or highway)

Canals

Channels

Channel cut-offs

Chemical complexes or facilities (other than buildings)

Cofferdams

Coke ovens

Dams

Demolition (not incidental to construction)

Dikes

Docks

Drainage projects

Dredging projects

Electrification projects (out-door)

Flood control projects

Industrial incinerators (other than building)

Irrigation projects

Jetties

Kilns

Land drainage (not incidental to other construction)

Land leveling (not incidental to other construction)

Land reclamation

Levees

Locks, waterways

Oil refineries

Parking lots

Pipe lines

Ponds

Pumping stations (prefabricated drop-in units)

Railroad construction

Reservoirs Revetments

Runways

Sewage collection and disposal lines

Sewers (sanitary, storm, etc.)

Shoreline maintenance

Ski tows

Storage tanks

Swimming pools (outdoor)

Subways (other than buildings)

Taxiways

Tipples

Tunnels

Unsheltered piers & wharves

Viaducts (other than highway)

Water mains

Waterway construction

Water supply lines (not incidental to building)

Water and sewage treatment plants (other than buildings)

Wells

(9) "Highway, road, street, or bridge construction" shall include the construction, alteration or repair of roads, streets, highways, alleys, trails, paths, and other similar projects not incidental to building or heavy construction. Examples of such construction may include:

Alleys

Excavation and embankment (for road construction)

Fencing (highway)

Grade crossing elimination (overpasses or underpasses)

Guard rails on highway

Highway signs

Highway bridges (overpasses; underpasses; grade separation)

Medians

Resurfacing streets and highways

Roadbeds

Roadways

Shoulders

Stabilizing courses

Storm sewers incidental to road construction

Street paving

Taxiway

Such "highway" construction which does not qualify for the exemption contained in Ark. Code Ann. § 22-9-303(b) and 010.14-200(d)(5) shall be considered "heavy construction. "

(10) "Locality" means the following eighteen (18) areas of the state:

(11) "Maintenance work" means the repair, but not the replacement of existing facilities when the size, type, or extent of the existing facilities is not thereby changed or increased;

(12) "Minimum prevailing wage rates" means the wages paid, generally, in the county in which the public works are being performed, to workmen engaged in work of a similar character. In determining minimum prevailing wage rates, the department will follow the procedures established in Regulation 010.14-202 herein;

(13) "Public body" means the State of Arkansas or any officer, board, or commission of the state, any county, city, municipality or other political subdivision, or any of the agencies thereof;

(14) "Public Works" means all works constructed for public use, whether or not done under public supervision or direction or paid for wholly or in part out of public funds, but it does not include any work done for or by any drainage, improvement, or levee district;

(15) "Recognized management - labor apprenticeship training program" means an apprenticeship program registered with the U.S. Department of Labor, Employment and Training Administration, Bureau of Apprenticeship and Training or with a state apprenticeship agency recognized by the Bureau;

(16) "Residential Construction" means the construction, alteration, or repair of single family houses or apartment buildings of no more than four (4) stories in height. This includes all incidental items such as site work, parking areas, utilities, streets and sidewalks, unless there is an established area practice to the contrary. Examples of residential construction may include:

Town or Row houses

Apartment buildings (4 stories or less and excluding student housing)

Single family houses

Mobile home developments

Multi-family houses

(17) "Wages", "scale of wages", "wage rates", "minimum wages", and "prevailing wages" means and includes:

(18) "Work of a similar character" means construction work, generally, and construction work of any particular classification or occupation, specifically and work which is either "building", "heavy", "highway" or residential; and

(19) "Workmen" means laborers, workmen, and mechanics, but special rates for apprentices shall apply only when the apprentice are registered in a recognized management-labor apprenticeship training program.

(a) In determining prevailing wage rates based on information obtained pursuant to this Regulation, the prevailing wage shall be determined as the wage paid to the majority (more than 50 percent) of the workmen in the classification on similar projects in the county or locality during the period in question. If the same wage or the union wage is not paid to a majority of those employed in the classification, the prevailing wage shall be the average of the wages paid, weighted by the total employed in the classification.

(b)

(c)

(d) If there is not sufficient wage rate data obtained as the result of the annual survey provided by Regulation 010.14-202 (b), the department shall certify as prevailing the previous year's rates on those crafts for which there is insufficient wage data and new rates on those crafts for which there is sufficient current wage data. For those crafts in which the previous year's rates are certified as prevailing, the department may certify new rates after additional fact-finding which may include an examination of the following types of information:

(e) In deciding whether there is sufficient wage rate data obtained as the result of the annual survey to make prevailing wage determination pursuant to 010.14-202 (c) the department shall consider the following as insufficient:

(f) In deciding whether there is sufficient current wage rate data within the meaning of 010.14-202 (c)(2), the department shall consider whether the data would support a wage determination for at least ten (10) key classes for building rates and eight (8) key classes for heavy rates. Additionally, the department may determine that there is insufficient wage rate data obtained from the annual survey if the data for any county, locality, or classification is significantly less than the data obtained from the previous year's survey or is significantly less than the data that could reasonably be expected based on the amount of construction in the county or locality during the survey year.

(g) Fringe benefits.

(h) Wage rate data submitted on projects other than construction projects shall not be considered. Wage rate data submitted on projects where the total costs of labor and materials does not exceed two thousand dollars ($2,000.00) shall not be considered.

(i)

(j) Wage rate data on federal or federally assisted projects subject to Davis-Bacon prevailing wage requirements, or state projects subject to Arkansas prevailing wage requirements shall not be considered in determining prevailing wage rates for building construction projects. Such information shall be considered in determining prevailing wage rates for heavy construction projects.

(a) Before any public body excluding the Arkansas State Highway and Transportation Department, awards a contract or begins supervised construction for public works, it shall notify the department to ascertain the prevailing hourly rate of wages in the county in which the work is to be performed, for each craft or type of worker needed to execute the contract or project.

(b) Notification to the department shall be made on a form approved by the Director stating the name of the agency submitting the request, location of the proposed project, estimated value of the contract and a complete list of the required classifications of laborers and mechanics needed to adequately perform the work on the project. The form may be obtained from the department upon request or is contained herein as Appendix A.

(c) Should it be determined that a particular classification, or classifications, of laborer or mechanic has been inadvertently omitted from the original request for prevailing wage rates, the public body, its general contractor or any subcontractor employing such laborer or mechanic shall submit, on a form approved by the Director, a determination request for an omitted classification to the department requesting that it determine the proper prevailing rate for the classification(s) omitted. The department shall respond promptly to the request and the rate it determines shall be considered as having been made on the date of the original determination. When the need arises, the same form shall also be used to establish new classifications of laborer or mechanic and their prevailing rates of pay. The form is available from the department or is contained herein as Appendix B.

(d)

(e)

(f) A request for residential construction rates shall be deemed a request for omitted classifications.

(a) Project wage determinations shall be issued by the department upon receipt of the notification/request for a wage determination from the public body pursuant to 010.14-203. Such determinations shall be effective for one hundred and eighty (180) calendar days and shall contain an expiration date on its face. Such a project determination shall not be effective if it expires before bid of the contract. Should such a determination expire between bid opening and contract award, the determination shall remain effective, provided the contract is awarded within one (1) year of bid opening. The department may grant a request for an extension if it ascertains that the rates remain prevailing. If the project is performed by a construction manager, a determination shall be effective for the life of the project if construction begins during the one hundred and eighty (180) calendar day period. If construction does not begin in this period, a new determination shall be requested.

(b)

(c) The public body awarding the contract shall cause to be inserted in the contract a stipulation to the effect that not less than the prevailing hourly rate of wages as found by the department or determined by the court on appeal shall be paid to all workers performing work under the contract.

(d) The public body awarding the contract shall require in all the contractor's bonds that the contractor include such provisions as will guarantee the faithful performance of the prevailing hourly wage clause as provided by the contract.

(a) It is mandatory upon the public body, if it is supervised work, or upon the contractor to whom the contract is awarded and upon any subcontractor under him to pay not less than the minimum prevailing wage rates for each class, classification craft or type of worker employed by them for work on the public work project. Such minimum prevailing wage rates shall be reflected on the project wage determination issued by the department. If the public body fails to request a project determination, such failure does not relieve any public body, contractor or subcontractor from the obligation to pay minimum prevailing wage rates on the current general wage determination issued by the department on or about July 1 of each year, or to request a rate for any classification omitted from the general wage determination pursuant to 010.14-203 (e).

(b) Payroll deductions which result in payment of less than the minimum prevailing wage rate are permissible under the circumstances or in the situations which follow:

(c) A contractor or subcontractor shall be entitled to an allowance or credit against the basic hourly rate for bona fide fringe benefits in an amount not to exceed twenty-five percent (25%) of the basic hourly rate. The same fringe benefit(s) shall not be a credit against the basic hourly rate and the required prevailing rate for fringe benefits

(a) A contractor or subcontractor may discharge his obligations for the payment of the basic hourly rates and the fringe benefits where both are contained in wage determination applicable to his laborers or mechanics in the following ways:

(b) Under the definition of "Wages", in Regulation 010.14-201 (17), the amount of contributions for fringe benefits must be made to a trustee or to a third person irrevocably. The "third person" must be one who is not affiliated with the contractor or subcontractor. The trustee must assume the usual fiduciary responsibilities imposed upon trustee by applicable law. The trust or fund must be set up in such a way that in no event will the contractor or subcontractor be able to recapture any of the contributions paid in or any way divert the funds to his own use or benefit. Although contributions made to a trustee or third person pursuant to a benefit plan must be irrevocably made, this does not prevent return to the contractor or subcontractor of sums which he had paid in excess of the contributions actually called for by the plan, as where such excess payments result from error or from the necessity of making payments to cover the estimated cost of contributions at a time when the exact amount of the necessary contributions under the plan is not yet ascertained. For example, a benefit plan may provide for definite insurance benefits for employees in the event of the happening of a specified contingency such as death, sickness, accident, etc., and may provide that the cost of such definite benefits, either in full or any balance in excess of specified employee contributions, will be borne by the contractor or subcontractor. In such a case the return by the insurance company to the contractor or subcontractor of sums paid by him in excess of the amount required to provide the benefits which, under the plan, are to be provided through contributions by the contractor or subcontractor, will not be deemed a recapture or diversion by the employer of contributions made pursuant to the plan.

(c) The contributions for fringe benefits must be made pursuant to a fund, plan or program. See definitions of wages in Regulation 010.14-20 1.

The phrase "fund, plan, or program" is merely intended to recognize the various types of arrangements commonly used to provide fringe benefits through employer contributions.

In interpreting this phrase, the department will be guided by the experience and interpretation of the U.S. Department of Labor in administering the Davis-Bacon Act.

(d) The costs to a contractor or subcontractor which may be reasonably anticipated in providing benefits of the types described in the definition of "wages" in Regulation 010.14-201 (17) pursuant to an enforceable commitment to carry out a financially responsible plan or program, are considered fringe benefits.

(e) No type of fringe benefit is eligible for consideration as a so-called unfunded plan unless:

(f) No credit may be taken as a fringe benefit for any payment which a contractor or subcontractor is obligated to make under other federal, state or local law. For example, payment of workers' compensation insurance, unemployment taxes, and Social Security taxes shall not be considered a fringe benefit.

(a)

(a) Apprentices will be permitted to work at less than the predetermined rate for the work they performed when they are employed pursuant to and individually registered in a bona fide apprenticeship program registered with the U.S. Department of Labor, Employment and Training Administration, Bureau of Apprenticeship and Training, or with a state apprenticeship agency recognized by the Bureau, or if a person is employed in his or her first 90 days of probationary employment as an apprentice in such an apprenticeship program, who is not individually registered in the program, but who has been certified by the Bureau of Apprenticeship and Training or a state apprenticeship agency (where appropriate) to be eligible for probationary employment as an apprentice.

(b) The allowable ratio of apprentices to journeyman on the job site in any craft classification shall not be greater than the ratio permitted to the contractor as to the entire work force under the registered program. Any worker listed on a payroll at an apprentice wage rate, who is not registered or otherwise employed as stated above, shall be paid not less than the applicable wage rate on the wage determination for the classification of work actually performed. In addition, any apprentice performing work on the job site in excess of the ratio permitted under the registered program shall be paid not less than the applicable journeyman wage rate on the wage determination for the work actually performed. Where a contractor is performing construction on a project in a locality other than that in which its program is registered, the ratios and wage rates (expressed in percentages of the journeyman's hourly rate) specified in the contractor's or subcontractor's registered program shall be observed. Every apprentice must be paid at not less than the rate specified in the registered program for the apprentice's level of progress, expressed as a percentage of the journeymen hourly rate specified in the applicable wage determination.

(c) Apprentices shall be paid fringe benefits in accordance with the provisions of the apprenticeship program. If the apprenticeship program does not specify fringe benefits, apprentices must be paid the full amount of fringe benefits listed on the wage determination for the applicable classification.

(d) In the event the Bureau of Apprenticeship and Training, or a state apprenticeship agency recognized by the Bureau, withdraws approval of an apprenticeship program, the contractor will no longer be permitted to utilize apprentices at less than the applicable predetermined rate for the work performed until an acceptable program is approved

(a) Decisions regarding the appropriate classification of any worker, laborer, or mechanic shall be based on work actually performed by the worker, and shall not be based on job title, work history, experience, or qualifications. The U.S. Department of Labor, Dictionary of Occupational Titles or O*NET Online (http://online.onetcenter.org/) may be used as a guide in determining classification, occupation, trade or craft.

(b) Workers performing duties of more than one craft or classification shall be paid the appropriate wage rate for work actually performed in each classification. For example, an employee who works four (4) hours as a carpenter and four (4) hours as a painter shall be paid at a minimum for four (4) hours at the carpenter wage rate and four (4) hours at the painter wage rate. Workers that perform work in any classification other than laborer shall not be paid at the laborer rate for any hours worked. See Regulation 010.14-210 for record-keeping requirements.

(a) The contractor and each subcontractor shall keep and maintain accurate payroll and related records which contain the following information:

(b) Separate and accurate records shall be maintained for daily and weekly hours worked and wages actually paid for each craft or classification, on those workers performing duties of more than one craft or classification. In lieu of such separate records, the contractor or subcontractor may pay the worker for all hours worked on the project at the highest rate applicable to the worker performing duties of more than one craft.

(c) For each apprentice, the contractor or subcontractor shall maintain a copy of the apprentice certification issued by the U.S. Department of Labor, Bureau of Apprenticeship and Training.

(d) The records required by this Regulation are in addition to and not in lieu of other records or writings required by state and federal law.

(a) All records required by Regulation 010.14-210 shall be open for inspection or transcription by the department or the public body awarding the contract at all reasonable hours.

(b) All records required by Regulation 010.14-210 shall be maintained at the project site or in a central office located in the State of Arkansas. If it is not feasible to maintain these records in Arkansas, the contractor or subcontractor may seek an exemption from the director, provided adequate arrangements are made for the accessibility required by Regulation 010.14-211(a).

(c) All payroll records or wage records submitted to the department are confidential and shall not be disclosed to any unauthorized person, or be taken or with drawn, copied, or removed from the custody of the department or its employees.

(d) The Department may require records maintained pursuant to 010.14-210 of this regulation to be submitted by mail to the Director or his authorized representative.

(a) A Prevailing Wage Advisory Committee was established by Executive Order 94-06 to advise the Department on the administration and enforcement of the prevailing wage law and to review the prevailing wage rates and make recommendations to the Director of the Department of Labor, regarding such rates.

(b) The committee shall review the Department's staff recommendation regarding prevailing wage rates no later than twenty (20) days prior to the annual certification of wage rates and shall make such recommendations to the Director as it deems necessary.

(c) The committee shall meet periodically and advise the Director regarding such matters as:

(a) Wage determinations shall be made annually on or about July 1 of each year and shall remain in effect until superseded by a new determination.

(b) The department shall give at least twenty (20) days notice of its intent to certify new wage determinations. Such notice shall be (1) mailed to all persons who shall have requested advance notice of wage determinations, and (2) published for a period of three (3) consecutive days in a newspaper of general daily circulation throughout the state.

(c) A certified copy of the determinations shall be filed on or about July 1 of each year in the department in Little Rock, Arkansas. Copies shall be furnished to all persons requesting them.

(a)

(b)

(c)

(d)

(a) The department shall cause to be made such investigations as may be necessary to assure compliance with Ark. Code Ann. §§ 22-9-301 et seq. and these regulations. Such investigations may be initiated by the department, upon referral of a dispute by a public body, upon request of a contractor or subcontractor or upon complaint of an employee or employees' representative.

(b) Public bodies and agencies, contractors, subcontractors, and workers shall cooperate with any authorized representative of the department in the inspection of records, in interviews with witnesses, and with all other aspects of an investigation.

(c) If after investigation, the department finds that there has been noncompliance or willful violation of Ark. Code Ann. §§ 22-9-301 et seq. or these regulations, the department shall notify in writing the contractor, subcontractor or public body charged with the violation(s) of the following:

(d) The contractor, subcontractor or public body charged with noncompliance or willful violation shall file written notice with the department that he/she/it contests the department's determination or assessment and requests a hearing within fifteen (15) days after receiving notice in accordance with 010.14-217 (c) of this Regulation. If such a written notice is not filed with the department the determination or assessment shall be the final administrative determination of the Director of Labor.

(e) A contested determination or assessment shall be scheduled for an administrative hearing.

(f) In addition to notice of noncompliance a contractor or subcontractor may be charged by the department with a willful violation of the provisions of Ark. Code Ann § 22-9-301 et seq. Willful violation may mean, but is not limited to, any one or more of the following:

(a) Any worker employed by a public body, contractor or subcontractor on work covered by the provisions of Ark. Code Ann. § 22-9-301 et seq. who shall be paid for his services less than the applicable minimum prevailing wage rate shall have a right to file a claim or complaint with the department for whatever differences there may be between the wages paid and the minimum prevailing wage rate.

(b) A wage claim shall be filed on a form approved by the director. A copy of such form may be obtained from the department or is contained herein as Appendix D.

(c) The department shall notify in writing the contractor, subcontractor, or public body of the wage claim. Such notice shall include the following:

(d) The contractor, subcontractor, or public body against whom a claim is filed shall make a written response to the claim within fifteen (15) days of receipt of the notice required by 5.103(c). Failure to make a written response or denial shall be considered an admission of the worker's allegations and the department shall enter a final administrative determination to that effect.

(e) A contested wage claim shall be scheduled for an administrative hearing.

(f) All claims shall be filed with the department not more than thirty (30) days after the certificate of substantial completion is submitted to the public body.

(g) Pursuant to Ark. Cod Ann § 22-9-305(b), the department may seek a civil money penalty against any workman who knowingly submits to the department a false wage claim. "False wage claim" for these purposes shall mean a wage claim made by the workman and based on false and untrue representations or information given by the workman and known by the workman to be false or untrue at the time the claim is made and\or such claim is made merely for the purposes of harassment.

(a) The public body in charge of the project and the general contractor shall be provided a copy of any notice given pursuant to 010.14-217(c) or 010.14-218(c). They shall also be provided a copy of the final administrative determination.

(b) If upon a final administrative determination of a matter, the department finds that there is unpaid wages due any worker(s), the department shall request that the public body withhold so much of accrued payments under the contract as are necessary to pay this sum.

(c) The public body shall make payment to the Department of Labor upon entry of final administrative order issued by the department.

(a) Administrative proceedings shall conform to the Arkansas Administrative Procedure Act, Ark. Code Ann. §§ 25-15-201 et seq.

(b) Contested matters shall be referred to a hearing officer designated by the director.

(c) Notice of all administrative hearings shall be provided to each party and shall include:

(d) The record.

(e) Service.

(f) The parties may appear in person, by counsel, or otherwise; and

(g) Failure to appear at the administrative level shall result in a default order or finding against such party, absent a showing of unavoidable casualty or excusable neglect.

(h) Appeal. Any appeal or judicial review of any final agency action, decision or order shall be made pursuant to Ark. Code Ann. § 25-15-212.

(a) The department shall enforce the provisions of Ark. Code Ann. § 22-9-301 et seq. and these regulations. Such enforcement activity may include, but is not limited to:

(b) The department may rely on the interpretations of the U.S. Department of Labor and federal precedent established under the Davis-Bacon Act in interpreting and applying the provisions of Ark. Code Ann. § 22-9-301 et seq. and these Regulations.

(c) The department shall maintain a list of contractors or subcontracts found to be ineligible to bid on public works contracts by final administrative order or determination. The list shall include any firm, partnership, corporation or other entity in which such ineligible contractor is an officer, stockholder or has a financial interest or supervises or directs work.

(a) Any officer, agent, or representative of any public body who knowingly violates, or omits to comply with the provisions of Ark. Code Ann. § 22-9-301, et seq., and any contractor or subcontractor, or agent or representative thereof, doing public works who neglects to keep an accurate record of the names, addresses, social security number, occupation or work classification, hours worked and actual wages paid to each worker employed by him in connection with the public works, or who refuses to allow access to the records at any reasonable hour to any person authorized to inspect the records by the Department, or who knowingly submits to the department false payroll or wage information, shall be subject to a civil penalty of not less than fifty dollars ($50.00) and not more than one thousand dollars ($1,000.00) for each violation. Each day the violation continues shall with respect to each employee constitute a separate offense. In no event shall the civil penalty exceed ten percent (10%) of the contract or subcontract or ten percent (10%) of any unpaid wages due employees, whichever sum is greater.

(b) Any workman who knowingly submits to the department a false claim for unpaid wages under the provisions of this subchapter shall be subject to a civil penalty of not less than fifty dollars ($50.00) and not more than one thousand dollars ($1,000.00).

(c) The Director of the Department of Labor shall determine the amount of any civil penalty due. Such determination shall be final, unless within fifteen (15) days after receipt of notice thereof, the workman, contractor, subcontractor, or agent or representative thereof charged with the violation notifies the Director of the Department of Labor in writing that he contests the proposed penalty. Notice of a proposed penalty shall be delivered by certified mail or by any other means authorized by law for service of process. In the event a penalty is contested, a final determination shall be made pursuant to the Arkansas Administrative Procedures Act, § 25-15-201 et seq.

(d) The amount of such penalty when finally determined may be recovered in a civil action brought by the Director of the Department of Labor in a court of competent jurisdiction, without paying costs or giving bond for costs.

(e) Assessment of a civil penalty by the Director of the Department of Labor shall be made no later than three (3) years from the date of the occurrence of the violation.

(a) All previous regulations promulgated pursuant to the authority of Ark. Code Ann. § 22-9-307 are hereby repealed.

(b) The effective date of these regulations is the 31st day of January, 1996.

(c) The Regulations were renumbered and Regulations 010.14-201, 010.14-203, 010.14-204, 010.14-207, 010.14-208, 010.14-209, 010.14-213, 010.14-214, 010.14-216, 010.14-219, and 010.14-222 were amended effective August 1, 2010.