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Learn about Davis-Bacon Act provisions, wage rate interviews, and subcontractor authorization processes for compliance. Includes field inspection procedures and guidance on utilizing SiteXchange software.
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Davis-Bacon Act Enacted in 1931 to help bring the economy out of the depression Requires every bidder to pay prevailing wage. Field inspections to insure compliance Wage Rate Interview AGC Notification Program FHWA-1273
Field Inspection ProcedureSee IM 3.805, Att. D, Sect. 2.24 page 2-25 to 27 • At least one inspection on: • Contracts of short duration (six months or less) • Contracts extending over six months require inspections on six month intervals • Prime Contractors • Each Subcontractor performing more than $10,000 of work (on any contract)
Identifying Subcontractors • Before we are ready to go to the field and interview employees, we need to determine which contractors employees need to be interviewed… • Turn to IM 3.805 Attachment D Project Engineer’s Responsibility pages 32-36
Subcontractor Authorization Process • Subcontracting Process Changes effective October 15, 2013. • Contractor must submit Subcontract Requests electronically using the SiteXchange software. • Subcontractors added after the Contract has been accepted will be submitted directly to the engineer with either a hard copy or a .con file that can be read with the SiteXchange software.
Subcontractor Authorization Process - Using SiteXchange • To download the SiteXchange software go to http://www.iowadot.gov/contracts/bidx_utilityfiles.htmand click on “SiteXchange”. • When the box comes up asking “What do you want to do with SiteXchange.zip”, click “Save” • You only need to do this once to get the software on to your machine!
Subcontractor Authorization Process - Using SiteXchange • At this point, you are going to save the SubCon.exe file onto your computer. • It is VERY IMPORTANT that you keep track of where it is saved, because when the contractor sends you a “.con” file, you will need to save it in this same folder to be able to open it!!! • I would suggest making a shortcut to the SubCon.exe file on to your desktop so you won’t have to find it in explorer every time you want to open a “.con” file.
Subcontractor Authorization Process - Using SiteXchange • Now click on the icon that looks like a file folder with an arrow showing that it is opening.
Subcontractor Authorization Process - Using SiteXchange • You will get a box that says “Open Contract” at the top. • Select the contract that you need and it will open.
Subcontractor Authorization Process - Using SiteXchange • At this point, click on the printer icon to get the list of Subcontractors. • If you want a hard copy for your files and inspectors to have in the field select your printer. • You will also need to print an electronic copy print to Adobe pdf.
Subcontractor Authorization Process • Verify that the Subcontracting limit of 70% has not been exceeded. • Verify that the subcontractor has a current EEO/AA Policy, they should appear on the Status listing as found at this website: http://www.iowadot.gov/civilrights/documents/ Approved_EEO_AA_Policy_List.pdf
Subcontractor Authorization Process • Send the “.con” file on to the Office of Contracts so they can prepare tax certifications & send a new EEO poster notice for the Contractor’s bulletin board.
How many subcontractors?How much of the contract has been subcontracted?
Disadvantaged Business Enterprise (DBE)Commercially Useful Function • DBE is totally responsible for execution of a distinct element of work by actually performing, managing, and supervising the work.
Disadvantaged Business Enterprise (DBE)Commercially Useful Function • The DBE must manage the work contracted. • The DBE shall perform work with employees normally employed by and under the DBE’s Control.
Disadvantaged Business Enterprise (DBE)Commercially Useful Function • DBE must supervise daily operations of their portion of contracted work. • The DBE owner may supervise the work, or • The DBE must employ a supervisor to directly supervise that work. (The DBE owner must be actively involved in all decisions of the firm.)
Disadvantaged Business Enterprise (DBE)Commercially Useful Function • DBE’s shall supervise and perform contracted work with workers on their payroll and under their direct supervision. • The Office of Employee Services will assist in determining requirements of a Commercially useful function for DBE suppliers and manufacturers.
Assuring Davis-Bacon ComplianceWage Rate Interview • Ask the following questions: • Is the employee receiving at least the specified wage rate for type and class of work performed? • Is proper allowance being made for fringe benefits and have the plans been explained to the employees?
Wage Rate Interview • Questions (continued): • Is work performed within the proper classification? • Are additional classifications necessary • Does the employee have complaints as to hours, wages, and fringe benefits?
Prevailing WageNotification Program • Voluntary program maintained by the Associated General Contractors of Iowa • Participating contractors use a proactive approach to inform their employees of Davis-Bacon wages and benefits. • No need to conduct a wage rate interview on employees of participating contractors. • Participating contractor list available at: http://www.agcia.org/pwnp.asp
New website for IDOT Office of Construction http://www.iowadot.gov/ Construction_Materials/ contract_admin.html
Poster Board Inspection • Erected and maintained by the prime contractor for the duration of the contract. • Review contractor’s bulletin board for required notices/posters. • Issue a non-compliance if the board does not comply. • Suspend progress payments if the appropriate notices/posters are not displayed on the project site. • Suspend work for continued non-compliance.
Contractor’s EEO/AA andTraining Notice “Job Specific EEO”
EEO IS THE LAWSupplementMandatory Supplement to Form EEOC-P/E-1
EEO IS THE LAWSpanish VersionSupplementMandatory Supplement to Form EEOC-P/S-1
EmployeeRights under Davis-BaconSpanish VersionRevisedApril 2009
FHWA 1022Notice Concerning False Statements and RecordsRevised May 2015
Current Iowa Predetermined Wage Rate Decision • Appropriate Wage Rate Decision number is on the Estimating Proposal and Contract. • All pages of the Wage Rate Decision must be displayed or available for examination at all times.
