Public WorksQuestion 1592 of 163245% of test-takers get this one wrong

'Debarment' in the public works context means a contractor is:

a.Barred from bidding or being awarded for a set period
b.Barred from holding a CSLB licence too
c.Removed from the DIR's registered contractor list permanently
d.Required to pay double the prevailing wage

Explanation

Labor Code §1777.1 makes a debarred contractor, and firms in which it holds an interest, ineligible to bid on, be awarded, or perform as a subcontractor on a public works project for a fixed term, generally one to three years. The licence itself is untouched: a debarred contractor may keep working private jobs, which is why the CSLB option is wrong. Debarment runs for a stated period and then ends, so permanent removal overstates it. No statute doubles the wage rate as a penalty; §1775 adds a per-worker, per-day penalty instead.

Law Reference: Labor Code §1777.1; §1775

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Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)
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