Prevailing Wage and Davis-Bacon Compliance in Florida
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Florida's Public Works Regulations
Unlike other states, Florida has no state-specific prevailing wage law. However, public works projects in Florida are subject to federal regulations when federal funding is involved:
- Federal Law: The Davis-Bacon and Related Acts (DBRA) apply to federally funded or assisted public works projects in Florida.
- State Law: Florida does not have a "Little Davis-Bacon Act" or state-specific prevailing wage law.
If a project is state-funded only, Florida does not require prevailing wages to be paid unless local ordinances specify it.
Definition of "Public Works" in Florida
In Florida, "public works" generally refers to:
Construction, repair, renovation, or maintenance projects are funded by public money, such as federal, state, or local government funds. This includes but is not limited to:
- Highways
- Schools
- Government buildings
- Other public infrastructure
It's important to note that the Davis-Bacon Act requirements only apply when federal funds are involved in these projects.
Prevailing Wage Determinations: Federal (Davis-Bacon) Requirements
Since Florida does not have state-specific prevailing wage laws, the U.S. Department of Labor sets prevailing wages for federally funded projects under the Davis-Bacon Act. Key points include:
- Wages are determined for specific geographical areas within Florida.
- Different rates apply based on worker classifications (e.g., laborers, carpenters, electricians).
- Contractors must consult the federal General Wage Determinations published by the U.S. Department of Labor.
- These determinations specify prevailing wage rates, including fringe benefits, for each classification of workers.
Components of Wage Determinations
Federal wage determinations for Florida include:
- Basic Hourly Rate: The minimum wage rate paid directly to workers in a specific job classification.
- Fringe Benefits: Non-cash benefits include health insurance, retirement plans, and vacation/holiday pay.
- Total Hourly Rate: The sum of the introductory hourly rate and fringe benefits.
For example, if the basic hourly wage is $20 and the fringe benefits are $5, the total hourly rate would be $25. If fringe benefits are not provided, the worker must receive the full $25 in cash.
Compliance for Contractors and Subcontractors
Contractors and subcontractors working on federally funded public works projects in Florida must:
1. Determine the Applicable Wage Rates:
- Use the U.S. Department of Labor's Davis-Bacon Wage Determinations site to find the correct rates based on the project's location and worker classifications.
2. Submit Certified Payroll Reports:
- Use the U.S. Department of Labor's WH-347 form or equivalent to ensure appropriate wages and fringe benefits are paid to workers.
3. Pay the Correct Wage:
- Ensure that workers are paid at least the prevailing wage rate, including both the basic hourly rate and any applicable fringe benefits.
4. Post Wage Determinations On-Site:
- Post prevailing wage determinations in a visible place at the job site.
5. Maintain Accurate Records:
- Keep detailed records of the hours worked, wages paid, and fringe benefits provided to each worker. Have them readily available for inspection by the U.S. Department of Labor or other relevant authorities.
Penalties for Non-Compliance
While Florida does not have state-specific penalties, federal law imposes strict consequences for Davis-Bacon Act violations, including:
- Fines
- Back wages owed to underpaid workers
- Debarment, preventing the contractor from bidding on future federally funded projects
Unique Aspects of Florida's Public Works System
- No State Prevailing Wage Law: Unlike many states, Florida relies only on federal regulations for prevailing wages on public works projects.
- Local Wage Ordinances: Some municipalities in Florida have their prevailing wage ordinances for public works projects, requiring contractors to meet wage and benefit standards that may differ from federal rules.
- Right-to-work State: Florida is a right-to-work state, which means workers on public projects cannot be compelled to join a union or pay union dues as a condition of employment. This impacts labor practices and workforce organization in public works.
Relevant Resources
- U.S. Department of Labor Davis-Bacon Wage Determinations: Wage Determinations Online
- U.S. Department of Labor Wage and Hour Division: Davis-Bacon and Related Acts
For the most current and detailed information, always refer to the U.S. Department of Labor website and consult with legal counsel familiar with federal labor laws and their application in Florida.
Florida Prevailing Wage FAQs
Q Does Florida have a state-specific prevailing wage law?
No, Florida does not have a state-specific prevailing wage law. However, federally funded public works projects in Florida must comply with the federal Davis-Bacon Act, which requires contractors to pay workers at least the prevailing wage.
Q How are prevailing wage rates determined in Florida?
Q What are the penalties for non-compliance with Davis-Bacon regulations in Florida?
Penalties for non-compliance with Davis-Bacon regulations can include fines for failing to pay the prevailing wage. Contractors may also be required to pay back wages to workers who were underpaid. In more severe cases, non-compliant contractors can face debarment, which prevents them from bidding on future federally funded projects.
Q How are fringe benefits handled under the Davis-Bacon Act in Florida?
Fringe benefits are part of the total prevailing wage. Contractors can either provide fringe benefits like health insurance or retirement contributions or pay the equivalent value in cash to the workers. If fringe benefits are not provided, the contractor must pay the full wage (basic hourly rate plus fringe benefits) directly to the workers in cash.