Department of Administrative Services
Purchasing and Contracts
500 S Grand Central Phy 4th Fl + Box 651217 + Las Vegas NV 89195-1217
(702) 455-2897 + Fax (702) 386-4914
Les Lee Shell, Chief Administrative Officer
‘Adieen B. Stidhum, Purchasing Manager
CETIESEE
January 29, 2018
Anneliese Ashley
Muller Construction
2133 Industrial Road
Las Vegas, NV 89102
Via Email: zashley@mullerlv.com
Re: — B604522-17, Las Vegas Boulevard Bollard Installment Spring Mountain Road to
800’ South of Harmon Avenue, PWP Number CL-2017-240
Ms. Ashley:
‘On January 2, 2018, a notice of compliance audit was issued to Muller Construction
requesting payment documents for all employees that performed work on the Las Vegas
Boulevard Bollard project.
‘On January 10, 2018, Muller Construction responded to the notice by providing
paycheck stubs, canceled checks, check registers, time records and an hourly
breakdown for each employee detailing the work performed per classification, for
certified payroll numbers 1, 5, 6, and 7. On January 16, 2017, Muller Construction
responded with the remaining audit documents to support certified payroll numbers 8, 9,
10 and 11.
Muller Construction explained that the employees performed work that consisted of
multiple classifications and were paid pursuant to NAC 338.010. Muller provided further
clarification by stating that the employees were paid at the rate for the classification that
the employee performed at the highest percentage and not by each classification that
was performed
NAC 338.010, provides the provisions for which the Labor Commissioner will determine
the prevailing rate of wage paid to each recognized class of workers in a locality. NAC
338.010 does not regulate how a contractor shall pay its employees for work performed
on a public work project. Contractors must adhere to the provisions of NRS 338.020
and NAC 338.0095 for payment of applicable prevailing rate of wages.
The audit discovered that the method used by Muller Construction to calculate employee
rates resulted in 14 out of 29 employees being misclassified and underpaid as iron
workers, carpenters, laborer group 4, laborer group 1 and cement mason in the amount
of $3,297.76. However, the audit also found that there were weeks where the
misclassification caused fourteen employees to be overpaid in the amount of $5,489.07.
Pursuant to NRS 608.100(2), it is unlawful for any employer to require an employee to
rebate, refund or return any part of the wage, salary or compensation paid to the
employee; therefore, overpayments will not be taken into consideration towards wages
owed.
BOARD OF COUNTY COMMISSIONERS Page 1 of 2
STEVE SIGOLAK, Chauman * CHRIS GIUNCHIGLIAN, Vice Chie
SUSAN BRAGER + LARRY BROWN » JAMES 8 GIBGON » MARILYN KIRKPATRICK = LAWRENCE WEEKLY
YOLANDA RING, County ManagerThe audit concludes that Muller Construction misinterpreted the application of NAC
338.010, and as a result, is in violation of NRS 338.020 and NAC 338.0095(a) for
misclassifying fourteen employees and not paying the applicable rate of prevailing wage.
It is found that Muller Construction is indebted to their employees in the amount of
$3,297.76. See the enclosed detailed audit.
Please issue payment correcting the misclassification as indicated in the audit. If Muller
Construction believes the outcome of this audit is incorrect, Muller may provide a written
response with supporting documents to substantiate its position. Proof of payment or
written response is due on or before close of business, February 5, 2018.
If Clark County Purchasing and Contracts does not receive Muller Construction’s
response on of before the prescribed due date, pursuant to NAC 338.110; a formal
Determination will be issued to the Office of the Labor Commissioner.
Should you have any questions, feel free to contact me at 702-455-2751 or by email at
Nellyb@ClarkCountyNV Gov.
Thank you for your anticipated cooperation
Respectfully,
Ald red
Nelida Bernal
Compliance Enforcement Assistant
Cc: Adleen Stidhum, Purchasing Manager, Clark County Purchasing & Contracts
Trish Wooddy, Construction Compliance Officer
Elizabeth Vibert, Deputy District Attorney
Thomas Boldt, Sr. Purchasing Analyst
Luis Lavayen, Supervising CM Inspector, Public Works
Lleta Brown, Chief Compliance Investigator, Office of the Labor Commissioner
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