Oregon Revised Statutes Chapter 658 § 658.415 — Application for license; proof of insurance and financial responsibility;

Application for license; proof of insurance and financial responsibility; exceptions; proceedings to collect wages owed by labor contractor; commissioner as agent for service of process; rules. (1) A person may not act as a labor contractor unless the person has first been licensed by the Commissioner of the Bureau of Labor and Industries under ORS 658.405 to 658.511. Any person may file an application for a license to act as a labor contractor at any office of the Bureau of Labor and Industries. The application shall be sworn to by the applicant and shall be written on a form prescribed by the commissioner. The form shall include, but not be limited to, questions asking: (a) The applicant’s name, Oregon address and all other temporary and permanent addresses the applicant uses or knows will be used in the future. (b) Information on all motor vehicles to be used by the applicant in operations as a labor contractor including license number and state of licensure, vehicle number and the name and address of vehicle owner for all vehicles used. (c) Whether or not the applicant was ever denied a license under ORS 658.405 to 658.511 within the preceding three years, or in this or any other jurisdiction had a labor contract license denied, revoked or suspended within the preceding three years. (d) The names and addresses of all persons financially interested, whether as partners, shareholders, associates or profit-sharers, in the applicant’s proposed operations as a labor contractor, together with the amount of their respective interests, and whether or not, to the best of the applicant’s knowledge, any of these persons was ever denied a license under ORS 658.405 to 658.511 within the preceding three years, or had a labor contractor license denied, revoked or suspended within the preceding three years in this or any other jurisdiction. (2) Each applicant shall furnish satisfactory proof with the application of the existence of: (a) A policy of insurance in an amount adequate under rules issued by the commissioner for vehicles to be used to transport workers. Satisfactory proof of adequate insurance includes: (A) The certificate of an insurance producer licensed in Oregon. (B) For property services contractors only, documentation that provides the insurance policy number, the amount of coverage under the policy and the name of the insurance producer. (b) Workers’ compensation insurance as provided in ORS 658.440 (1)(j). The commissioner may adopt rules concerning satisfactory proof of adequate workers’ compensation insurance. (3) Except as provided in subsection (6) of this section, each applicant shall submit with the application and shall continually maintain thereafter, until excused, proof of financial ability to promptly pay the wages of employees and other obligations specified in this section. The proof required in this subsection shall be in the form of a corporate surety bond of a company licensed to do such business in Oregon, a cash deposit or a deposit the equivalent of cash. For the purposes of this subsection, it shall be deemed sufficient compliance if the labor contractor procures a savings account at a bank or savings and loan institution in the name of the commissioner as trustee for the employees of the labor contractor and others as their interests may appear and delivers proof of the account and the ability to withdraw the funds to the commissioner under the terms of a bond approved by the commissioner. The amount of the bond and the security behind the bond, or the cash deposit, shall be based on the maximum number of employees the labor contractor employs at any time during the year. The bond or cash deposit shall be: (a) $10,000 if the labor contractor employs no more than 20 employees; or (b) $30,000, or such lesser sum as may be authorized by the commissioner under ORS 658.416, if the labor contractor employs 21 or more employees. (4) In the event that a single business entity licensed as a labor contractor has more than one natural person who, as an owner or employee of the business entity, engages in activities that require the persons to be licensed individually as labor contractors, and each person engages in those activities solely for that business entity, the commissioner may provide by rule for lower aggregate bonding requirements for the business entity and its owners and employees. If there is an unsatisfied judgment of a court or final decision of an administrative agency against a license applicant, the subject of which is any matter that would be covered by the bond or deposit referred to in subsection (3) of this section, the commissioner may not issue a license to the applicant until the judgment or decision is satisfied. As a condition of licensing any such applicant, the commissioner may require the applicant to submit proof of financial ability required by subsection (3) of this section in an amount up to t