District Of Columbia Prevailing Wage Information
THRESHOLD
Public works contracts in the District of Columbia must include prevailing wage provisions as required by Davis-Bacon and Related Acts (DBRA). DBRA requires payment of prevailing wages on federally funded or assisted construction projects. The Davis-Bacon Act applies to each federal government or District of Columbia contract in excess of $2,000 for the construction, alteration, or repair (including painting and decorating) of public buildings or public works. Many federal laws that authorize federal assistance for construction through grants, loans, loan guarantees, and insurance are Davis-Bacon “related Acts.” The “related Acts” include provisions that require Davis-Bacon labor standards apply to most federally assisted construction. Examples of “related Acts” include the Federal-Aid Highway Acts, the Housing and Community Development Act of 1974, and the Federal Water Pollution Control Act.
TIMING & INCREASES
The general rule is that Davis Bacon rates established prior to bid are set for the entire project. The appropriate awarding agency is required to include the appropriate Davis-Bacon rates in the specifications and bid documents. In that way, the contractor is clear as to which prevailing wage rates will apply for the specific project. The Awarding Agency is to check the DOL website 10 days prior to the bid opening to determine if there are new determinations which have been issued applicable to this project. If so, the Agency is to provide this information to the contractors bidding this project. In that instance, the new (and usually higher) prevailing wage rate will apply.
*Please note, in some instances the Agency may require an increase in the prevailing wage that was not provided to the contractor prior to bid date (i.e., certain types of housing projects where construction does not start for several months, projects which do not commence for 90 days, etc.). In each of these instances, the contractor should be asking for a change order to cover any increase in wages required.
OVERTIME
Even though the DBRA do not specifically address overtime, overtime is required under the Fair Labor Standards Act (FLSA) and Contract Work Hours and Safety Standards Act (CWHSSA). So, workers must be paid overtime when they work more than 40 hours in a single workweek. Overtime is calculated as 1 1//2 times the workers hourly wage rate (paid on the paycheck).
WORKING ON THE WEEKENDS
DBRA does not require payment of different wage rates for working on the weekend, thus regular overtime rules apply. Please See, “Overtime” section below for overtime rules.
WORKING ON LEGAL HOLIDAYS
Under DBRA, various trades receive payment for working on legal holidays. Please See, wage determinations to view which trade receives payment for working on a recognized holiday.
SHIFT DIFFERENTIALS
Under DBRA, workers do not receive a different wage rate for working a different shift throughout a day.
FRINGE BENEFITS
The Davis-Bacon “prevailing wage” is the combination of the basic hourly rate and any fringe benefits listed in a Davis-Bacon wage determination. The contractor’s obligation to pay at least the prevailing wage listed in the contract wage determination can be met by paying each laborer and mechanic the applicable prevailing wage entirely as cash wages or by a combination of cash wages and employer-provided bona fide fringe benefits. Prevailing wages, including fringe benefits, must be paid on all hours worked on the site of the work. If the contractor does not have sufficient fringe benefits to which contributions can be made, the additional fringe benefit amount must be paid to the employee on the employee's paycheck as wages.
The following qualify as “fringe benefits”: 1) health insurance; 2) dental coverage; 3) vision coverage; 4) disability plans; 5) pension contributions; 6) life insurance; 7) annuities; and 8) other fringe benefits.
TRAINING CONTRIBUTION
DBRA does not mandate payment for training contribution.
APPRENTICE REQUIREMENTS
A contractor may employ apprentices and pay the applicable apprenticeship rate only for those individuals who are properly enrolled in a Bureau of Apprenticeship (BAT) program. The U.S. Department of Labor, Employment Training Administration oversees the Bureau of Apprenticeship Training. The BAT program may have agreements with various state apprenticeship agencies so that many (but not all) apprenticeship programs have both BAT and local state approval. Only those workers enrolled in a bona fide apprenticeship program may be employed as apprentices and paid the lower apprenticeship rates for workers performing work on Davis-Bacon projects.
*Please note, contractors should check with the apprenticeship program with which the contractor is requesting apprentices to ensure that the program is BAT approved and that the worker is properly enrolled in the program.
There is also an approved apprenticeship ratio that controls the number of apprentices on a particular jobsite. Some programs provide that there can be one apprentice for every three journeyman working, which means that after there are three journeymen working, the fourth employee can be an apprentice. Once there are more than six more journeyman working, then the eighth employee may be an apprentice. Each apprenticeship program may have a different ratio, so it is important for those contractors employing apprentices to comply with the ratio. If a contractor employs more apprentices than is allowed by the standard, the contractor must pay these additional apprentices at journeyman level pay.
A contractor may not just hire any worker, call him or her an apprentice and pay the lower apprenticeship rate. It does not matter if you hire a local college student or summer help that knows little or nothing about construction. All workers must be paid the Davis-Bacon rate published for the project unless they are enrolled in a BAT approved apprenticeship committee.
Trainees & Helpers
Unless the specific Davis-Bacon wage classification recognizes a “trainee” or “helper” as one of the specified classifications, then a contractor may not pay workers less than the specified prevailing wage rate for the classification of worker.
Persons registered and receiving on-the-job training in a construction occupation under a program that has been approved in advance by the Department of Labor, Employment Training Administration, may be paid at the lesser-approved "trainee" rate.
A contractor may not reduce a worker’s wages or pay less than the prevailing wage rate because an employee lacks knowledge or a particular skill set. All workers are paid at least the prevailing wage rate in the Davis-Bacon determination unless: 1) there is a specific category for helper or trainee; OR 2) the worker is enrolled in a BAT approved apprenticeship or an ETA approved on the job training program.
TRAVEL AND SUBSISTENCE
The DBRA does not require a specific sum be paid to workers for subsistence and travel. However, when employees travel to jobsite locations carrying tools, materials, equipment or other employees, the employee may be considered as “working” and is thus entitled to wages (although not necessarily Davis-Bacon wages). And depending on the circumstances, the time spent driving may count toward the 40-hour week overtime requirement.
If an employer pays for mileage, meals or lodging for workers on a given project, these amounts are not considered “fringe benefits” within the meaning of DBRA and a contractor may not deduct the cost of meals, lodging, and travel from the worker’s required prevailing wage packet.
CONTRACTOR LICENSING
Electrical, plumbing, asbestos abatement, home improvement and refrigeration and air conditioning contractors must be licensed to work in the District of Columbia.
To check if a plumber holds a license in the District of Columbia call (202) 442-4380 OR Click Here
Plumber's License in the District of Columbia
*Please Note, you must print the “License Information Request Form” and send it via mail to:
The Office of Information Systems
941 North Capitol Street NE, Room 1100,
Washington, DC, 20002
They will notify you of the fee for your request. Information can be sent to you either on diskettes, mailing labels, or by e-mail.
Search for a Refrigeration & Air Conditioning Contractor License
Listings of Business License Holders in the District of Columbia that are available by Request
Washington D.C.'s Contractor Policy
PENALTIES
Penalties for failure to pay prevailing wages are generally reserved for repeat violators or those who knowingly try to “skirt the system.” The penalty is a three-year debarment for working on any Davis-Bacon projects. While most first time offenders are not debarred from public works, those contractors who lie on their certified payrolls or take kickbacks from employees are definitely subject to debarment.
Under the WHSSA, an additional penalty of $10 per day is imposed for each day a contractor fails to pay overtime rates. Even though overtime is required to be paid after 40 hours in a week, the penalty is usually only $10 or $20 per day in any one week.
The time period when a claim can be made against a contractor for unpaid wages is generally two years, three years if the violation is found to be willful. It is recommended that the contractors keep all certified payrolls and related documents for at least three years from the completion of the project.
DEBARMENT
Debarment only occurs after the contractor has been given the right to an administrative hearing. Debarment is for three years and prohibits a contractor from working on any Davis-Bacon project during that time frame. Debarment is not invoked for contractors that make honest mistakes and are willing to promptly correct those mistakes. Debarment is usually invoked for contractors who falsify certified payrolls, take kickbacks from employees or who have repeat violators.
HELPFUL LINKS
BLR
Wage determinations
DBRA overview
Links to Davis-Bacon
Title 29 C.F.R. Part 1
Title 29 C.F.R. Part 3
Title 29 C.F.R. Part 5
CONTACT INFORMATION
Baltimore, Maryland District Office
US Department of Labor
Wage and Hour Division
2 Hopkins Plaza, Room 601
Baltimore, MD 21201
Phone: (401) 962-6211; (866) 487-9243
Public works contracts in the District of Columbia must include prevailing wage provisions as required by Davis-Bacon and Related Acts (DBRA). DBRA requires payment of prevailing wages on federally funded or assisted construction projects. The Davis-Bacon Act applies to each federal government or District of Columbia contract in excess of $2,000 for the construction, alteration, or repair (including painting and decorating) of public buildings or public works. Many federal laws that authorize federal assistance for construction through grants, loans, loan guarantees, and insurance are Davis-Bacon “related Acts.” The “related Acts” include provisions that require Davis-Bacon labor standards apply to most federally assisted construction. Examples of “related Acts” include the Federal-Aid Highway Acts, the Housing and Community Development Act of 1974, and the Federal Water Pollution Control Act.
TIMING & INCREASES
The general rule is that Davis Bacon rates established prior to bid are set for the entire project. The appropriate awarding agency is required to include the appropriate Davis-Bacon rates in the specifications and bid documents. In that way, the contractor is clear as to which prevailing wage rates will apply for the specific project. The Awarding Agency is to check the DOL website 10 days prior to the bid opening to determine if there are new determinations which have been issued applicable to this project. If so, the Agency is to provide this information to the contractors bidding this project. In that instance, the new (and usually higher) prevailing wage rate will apply.
*Please note, in some instances the Agency may require an increase in the prevailing wage that was not provided to the contractor prior to bid date (i.e., certain types of housing projects where construction does not start for several months, projects which do not commence for 90 days, etc.). In each of these instances, the contractor should be asking for a change order to cover any increase in wages required.
OVERTIME
Even though the DBRA do not specifically address overtime, overtime is required under the Fair Labor Standards Act (FLSA) and Contract Work Hours and Safety Standards Act (CWHSSA). So, workers must be paid overtime when they work more than 40 hours in a single workweek. Overtime is calculated as 1 1//2 times the workers hourly wage rate (paid on the paycheck).
WORKING ON THE WEEKENDS
DBRA does not require payment of different wage rates for working on the weekend, thus regular overtime rules apply. Please See, “Overtime” section below for overtime rules.
WORKING ON LEGAL HOLIDAYS
Under DBRA, various trades receive payment for working on legal holidays. Please See, wage determinations to view which trade receives payment for working on a recognized holiday.
SHIFT DIFFERENTIALS
Under DBRA, workers do not receive a different wage rate for working a different shift throughout a day.
FRINGE BENEFITS
The Davis-Bacon “prevailing wage” is the combination of the basic hourly rate and any fringe benefits listed in a Davis-Bacon wage determination. The contractor’s obligation to pay at least the prevailing wage listed in the contract wage determination can be met by paying each laborer and mechanic the applicable prevailing wage entirely as cash wages or by a combination of cash wages and employer-provided bona fide fringe benefits. Prevailing wages, including fringe benefits, must be paid on all hours worked on the site of the work. If the contractor does not have sufficient fringe benefits to which contributions can be made, the additional fringe benefit amount must be paid to the employee on the employee's paycheck as wages.
The following qualify as “fringe benefits”: 1) health insurance; 2) dental coverage; 3) vision coverage; 4) disability plans; 5) pension contributions; 6) life insurance; 7) annuities; and 8) other fringe benefits.
TRAINING CONTRIBUTION
DBRA does not mandate payment for training contribution.
APPRENTICE REQUIREMENTS
A contractor may employ apprentices and pay the applicable apprenticeship rate only for those individuals who are properly enrolled in a Bureau of Apprenticeship (BAT) program. The U.S. Department of Labor, Employment Training Administration oversees the Bureau of Apprenticeship Training. The BAT program may have agreements with various state apprenticeship agencies so that many (but not all) apprenticeship programs have both BAT and local state approval. Only those workers enrolled in a bona fide apprenticeship program may be employed as apprentices and paid the lower apprenticeship rates for workers performing work on Davis-Bacon projects.
*Please note, contractors should check with the apprenticeship program with which the contractor is requesting apprentices to ensure that the program is BAT approved and that the worker is properly enrolled in the program.
There is also an approved apprenticeship ratio that controls the number of apprentices on a particular jobsite. Some programs provide that there can be one apprentice for every three journeyman working, which means that after there are three journeymen working, the fourth employee can be an apprentice. Once there are more than six more journeyman working, then the eighth employee may be an apprentice. Each apprenticeship program may have a different ratio, so it is important for those contractors employing apprentices to comply with the ratio. If a contractor employs more apprentices than is allowed by the standard, the contractor must pay these additional apprentices at journeyman level pay.
A contractor may not just hire any worker, call him or her an apprentice and pay the lower apprenticeship rate. It does not matter if you hire a local college student or summer help that knows little or nothing about construction. All workers must be paid the Davis-Bacon rate published for the project unless they are enrolled in a BAT approved apprenticeship committee.
Trainees & Helpers
Unless the specific Davis-Bacon wage classification recognizes a “trainee” or “helper” as one of the specified classifications, then a contractor may not pay workers less than the specified prevailing wage rate for the classification of worker.
Persons registered and receiving on-the-job training in a construction occupation under a program that has been approved in advance by the Department of Labor, Employment Training Administration, may be paid at the lesser-approved "trainee" rate.
A contractor may not reduce a worker’s wages or pay less than the prevailing wage rate because an employee lacks knowledge or a particular skill set. All workers are paid at least the prevailing wage rate in the Davis-Bacon determination unless: 1) there is a specific category for helper or trainee; OR 2) the worker is enrolled in a BAT approved apprenticeship or an ETA approved on the job training program.
TRAVEL AND SUBSISTENCE
The DBRA does not require a specific sum be paid to workers for subsistence and travel. However, when employees travel to jobsite locations carrying tools, materials, equipment or other employees, the employee may be considered as “working” and is thus entitled to wages (although not necessarily Davis-Bacon wages). And depending on the circumstances, the time spent driving may count toward the 40-hour week overtime requirement.
If an employer pays for mileage, meals or lodging for workers on a given project, these amounts are not considered “fringe benefits” within the meaning of DBRA and a contractor may not deduct the cost of meals, lodging, and travel from the worker’s required prevailing wage packet.
CONTRACTOR LICENSING
Electrical, plumbing, asbestos abatement, home improvement and refrigeration and air conditioning contractors must be licensed to work in the District of Columbia.
To check if a plumber holds a license in the District of Columbia call (202) 442-4380 OR Click Here
Plumber's License in the District of Columbia
*Please Note, you must print the “License Information Request Form” and send it via mail to:
The Office of Information Systems
941 North Capitol Street NE, Room 1100,
Washington, DC, 20002
They will notify you of the fee for your request. Information can be sent to you either on diskettes, mailing labels, or by e-mail.
Search for a Refrigeration & Air Conditioning Contractor License
Listings of Business License Holders in the District of Columbia that are available by Request
Washington D.C.'s Contractor Policy
PENALTIES
Penalties for failure to pay prevailing wages are generally reserved for repeat violators or those who knowingly try to “skirt the system.” The penalty is a three-year debarment for working on any Davis-Bacon projects. While most first time offenders are not debarred from public works, those contractors who lie on their certified payrolls or take kickbacks from employees are definitely subject to debarment.
Under the WHSSA, an additional penalty of $10 per day is imposed for each day a contractor fails to pay overtime rates. Even though overtime is required to be paid after 40 hours in a week, the penalty is usually only $10 or $20 per day in any one week.
The time period when a claim can be made against a contractor for unpaid wages is generally two years, three years if the violation is found to be willful. It is recommended that the contractors keep all certified payrolls and related documents for at least three years from the completion of the project.
DEBARMENT
Debarment only occurs after the contractor has been given the right to an administrative hearing. Debarment is for three years and prohibits a contractor from working on any Davis-Bacon project during that time frame. Debarment is not invoked for contractors that make honest mistakes and are willing to promptly correct those mistakes. Debarment is usually invoked for contractors who falsify certified payrolls, take kickbacks from employees or who have repeat violators.
HELPFUL LINKS
BLR
Wage determinations
DBRA overview
Links to Davis-Bacon
Title 29 C.F.R. Part 1
Title 29 C.F.R. Part 3
Title 29 C.F.R. Part 5
CONTACT INFORMATION
Baltimore, Maryland District Office
US Department of Labor
Wage and Hour Division
2 Hopkins Plaza, Room 601
Baltimore, MD 21201
Phone: (401) 962-6211; (866) 487-9243
