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ComplianceGlossary Term

State Managed Plugging Program (smp)

A government-funded initiative to plug and abandon orphaned oil and gas wells with no responsible operator. Subcontractors are hired directly by state agencies to perform well abandonment, site reclamation, and compliance work. SMP contracts can offer steady workflow but often involve strict reporting requirements and government procurement processes.

Related Terms

Traffic Control Plan

Compliance

A site-specific document outlining how vehicle and pedestrian movement will be managed safely around a worksite. Subcontractors are often required to submit one before mobilising crews near roads or active facilities. It typically details signage, flagging requirements, and designated haul routes.

Industrial Hygiene

Compliance

The science of identifying and controlling workplace health hazards such as chemical exposure, noise, and dust. Subcontractors are often required to provide IH (Industrial Hygiene) assessments or comply with client IH programs on site. Non-compliance can result in work stoppages or contract termination.

FLSA (Fair Labor Standards Act)

Compliance

U.S. federal law setting minimum wage, overtime pay, and worker classification standards. Subcontractors must correctly classify workers as employees or independent contractors to avoid penalties. Misclassification can trigger back pay claims and audits on field crews.

Federal Acreage

Compliance

Land or mineral rights owned and managed by the federal government where drilling or construction activity requires federal permits and approvals. Subcontractors working on federal acreage must meet stricter regulatory requirements than on provincial or private land. Expect longer permitting timelines and additional compliance obligations that can affect project schedules and mobilisation.

Trench Box

Compliance

A steel or aluminium shoring system placed inside an excavation to prevent wall collapse and protect workers. Required by safety regulations on most open-cut pipeline and utility jobs. Subcontractors are typically responsible for supplying, installing, and inspecting trench boxes on their scope of work.

Third-Party Representative

Compliance

An independent inspector or agent hired by an operator or owner to verify that field work meets contract specifications. They are not your direct client but hold authority to approve, reject, or halt work on site. As a subcontractor, their sign-off is often required before progress billing is accepted.

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