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Committee tweaks labor-compliance bond timing for residential construction
Summary
Supervisors approved an amendment moving the labor-compliance bond trigger to the time of the first construction document (first building permit) to avoid requiring costly bonds months before construction starts, while preserving worker protections.
Supervisor Rafael Mandelman introduced a technical fix March 20 to a labor-compliance bond ordinance adopted last year. The original rule required a bond when certain permits were issued; staff and industry raised concerns that site permits are often issued long before construction begins, obliging developers to carry costly bonds months in advance.
Mandelman’s amendment moves the bond trigger to the issuance of the first construction document (the first building permit or the first building permit addendum in the case of a site permit) and exempts projects with completed applications submitted by June 6, 2022 to avoid retroactive imposition. Committee members and Department of Building Inspection staff supported the change, and the committee voted to forward the amended ordinance to the full Board with a positive recommendation.
Next steps: The ordinance will be scheduled for full Board consideration.
