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ComplianceGlossary Term

Surety Bond

A three-party guarantee where a bonding company backs a subcontractor's ability to complete a contract. If the subcontractor defaults, the surety covers losses to the project owner. Many oil and gas operators and general contractors require bonds before awarding field service work.

Related Terms

Wage and Hour Division

Compliance

The U.S. Department of Labour branch that enforces federal wage laws, including overtime and minimum wage rules. Subcontractors must ensure field crew pay practices meet WHD standards to avoid audits and penalties. Misclassifying workers as independent contractors is a common trigger for WHD investigations.

Dig-In

Compliance

An accidental strike on a buried utility, pipeline, or cable during excavation work. For subcontractors, a dig-in can trigger work stoppages, liability claims, and regulatory investigations. Always confirm locate tickets are current before any ground disturbance.

CLA (Combined Licence Application)

Compliance

A single regulatory submission that covers both construction permit and operating licence for a facility, such as a nuclear plant. Subcontractors may face extended pre-qualification and compliance requirements tied to the CLA approval timeline. Work scopes and mobilisation dates are often contingent on CLA milestones.

BLM (Bureau of Land Management)

Compliance

A U.S. federal agency that manages public lands and issues permits for oil, gas, and construction operations on those lands. Subcontractors working on BLM-administered land must comply with specific permit conditions, environmental rules, and access requirements. Non-compliance can result in work stoppages or contract penalties.

PUCO (Public Utilities Commission of Ohio)

Compliance

Ohio's regulatory body overseeing utility construction and service work. Subcontractors performing pipeline, electrical, or gas utility projects in Ohio must comply with PUCO-mandated standards. Non-compliance can result in work stoppages or contract penalties.

Fall Prevention Campaign

Compliance

A structured site safety initiative targeting fall hazards across elevated work areas, scaffolding, and ladders. Subcontractors are typically required to participate and document compliance as a condition of their contract. It often involves toolbox talks, harness inspections, and audits by the prime contractor.

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