This is general information, not legal advice. Always confirm the requirements that apply to your specific project.
What is the Davis-Bacon Act?
The Davis-Bacon Act is a federal law that requires contractors and subcontractors on federally funded or assisted construction contracts over $2,000 to pay their laborers and mechanics no less than the locally prevailing wages and fringe benefits for similar work. Those rates are set by the U.S. Department of Labor and published as wage determinations for each locality and type of work.
Prevailing wage beyond federal jobs
Davis-Bacon applies to federal and federally assisted work. Many states also have their own prevailing wage laws, sometimes called "little Davis-Bacon" laws, that apply to state or locally funded projects. These vary widely. Some states have strict requirements, and others, including Kansas, have none at the state level. Because coverage depends on the funding source and the jurisdiction, the first compliance question on any job is always: what funding is involved, and which rules apply?
What compliance actually requires
- The correct wage determination for the project's location and work classifications
- Paying each worker at least the prevailing base wage plus fringe for their classification
- Classifying each worker correctly by the work they actually perform
- Submitting weekly certified payroll records (Form WH-347 on federal jobs)
- Posting the applicable wage determinations on site
- Meeting apprentice-to-journeyman ratios when using apprentices
- Keeping records for the required retention period
Where contractors get into trouble
- Using the wrong or an outdated wage determination
- Misclassifying workers and paying a lower classification than the work performed
- Miscalculating fringe benefits
- Late, incomplete, or inaccurate certified payroll
- Assuming a state job follows federal rules, or the reverse
The cost of getting it wrong
Non-compliance can mean paying back wages, having contract payments withheld, and in serious cases debarment, which bars a contractor from federal contracts for up to three years. On the thin margins most construction work runs on, any of these can turn a profitable job into a loss.
How we help
We set up the prevailing wage compliance process so your team can run it with confidence. That includes identifying the right wage determinations, building your certified payroll process and controls, setting up worker classification and fringe tracking, and creating the record-keeping system. We advise and set it up; your team executes the day-to-day payroll. The result is a job that stays compliant without becoming a full-time headache.
Common questions.
What is the Davis-Bacon Act?
The Davis-Bacon Act is a federal law requiring contractors and subcontractors on federally funded or assisted construction contracts over $2,000 to pay laborers and mechanics no less than the locally prevailing wages and fringe benefits, as determined by the U.S. Department of Labor.
What is certified payroll?
Certified payroll is a weekly record showing each worker's classification, hours, wage rate, and fringe benefits on a prevailing wage job. On federal projects it is submitted on Form WH-347 and certifies that everyone was paid the required prevailing wage.
Does Davis-Bacon apply to my project?
It depends on the funding source. Davis-Bacon applies to federal and federally assisted construction over $2,000. Many states also have their own prevailing wage laws for state-funded work, though coverage varies widely. The first question on any job is always what funding is involved and which rules apply.
Does Kansas have a state prevailing wage law?
No. Kansas does not have a state prevailing wage law, so state-funded projects in Kansas are generally not subject to state prevailing wage requirements. However, federal Davis-Bacon requirements still apply to any federally funded or assisted work in Kansas.
What happens if you do not comply with prevailing wage rules?
Non-compliance can mean paying back wages, having contract payments withheld, and in serious cases debarment, which bars a contractor from federal contracts for up to three years. On thin construction margins, any of these can turn a profitable job into a loss.
Have a prevailing wage job coming up?
We'll set up the compliance process so your team can run it with confidence.
Start a conversation →