City of Long Beach v. Department of Industrial Relations

In City of Long Beach v. Department of Industrial Relations (2004) 34 Cal.4th 942, the court held that public funds paid for preconstruction (not construction) did not create a public work. The court stated: "Under the law in effect when the contract at issue was executed, a project that private developers build solely with private funds on land leased from a public agency remains private. It does not become a public work subject to the prevailing wage law merely because the City had earlier contributed funds to the owner/lessee to assist in defraying such 'preconstruction' costs or expenses as legal fees, insurance premiums, architectural design costs, and project management and surveying fees." (Long Beach, supra, 34 Cal.4th at pp. 946-947.)