My construction firm is bidding on an Invitation for Bid (IFB) for a federal public works project. The solicitation number is for a new building construction, NAICS code 236220. The bid is due in two weeks. I am working on our cost estimates and need to figure out the wage requirements. I know the Davis-Bacon Act applies to federal construction, but I am confused about what a "prevailing wage" actually means for our crew. How do I apply the prevailing wage requirements to my bid?
The "prevailing wage" under the Davis-Bacon Act means the minimum wage rates and fringe benefits that must be paid to workers on federal construction projects. This applies to federal contracts over $2,000 for construction, alteration, or repair, including painting and decorating, of public buildings or public works, as stated in FAR 22.403-1. You must consult the wage determination included in the solicitation for your specific project. This document lists the required wages and fringe benefits for various labor classifications, such as carpenters, electricians, and laborers, for the geographic area where the project will be performed. Your bid must reflect these minimum rates for all applicable employees to be compliant. For state and local government contracts, you would need to check the specific state procurement code and the relevant state procurement portal for their prevailing wage requirements, as these can differ from federal rules.