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Davis-Bacon Act

The Davis Bacon and Related Acts (DBRA) requires all contractors and subcontractors performing work on federal or District of Columbia construction contracts or federally assisted contracts in excess of $2,000 to pay their laborers and mechanics not less than the prevailing wage rates and fringe benefits for corresponding classes of laborers and mechanics employed on similar projects in the area. The prevailing wage rates and fringe benefits are determined by the Secretary of Labor for inclusion in covered contracts.

In addition to the Davis Bacon Act itself, Congress added Davis-Bacon prevailing wage provisions to approximately 60 laws-“related Acts”-under which federal agencies assist construction projects through grants, loans, loan guarantees, and insurance. (Examples of the related Acts are the Federal-Aid Highway Acts, the Housing and Community Development Act of 1974, and the Federal Water Pollution Control Act.) Generally, the application of prevailing wage requirements to projects receiving federal assistance under any particular “related” Act depends on the provisions of that law.

The U.S. Department of Labor (DOL) has oversight responsibilities to assure coordination of administration and consistency of enforcement of the labor standards provisions of the Davis-Bacon and Related Acts. Under this authority, DOL has issued regulations establishing standards and procedures for the administration and enforcement of the Davis-Bacon labor standards provisions. Federal contracting agencies have day-to-day responsibility for administration and enforcement of the Davis-Bacon labor standards provisions in covered contracts for which they are responsible or to which they provide federal assistance under laws they administer.

Within DOL, the Wage and Hour Division (WHD) is responsible for administration and enforcement of the DBRA.

–Excerpt courtesy the US Department of Labor

For more information, visit:
http://www.dol.gov/whd/govcontracts/dbra.htm

Service Contract Act

The McNamara-O’Hara Service Contract Act (SCA) applies to every contract entered into by the United States or the District of Columbia, the principal purpose of which is to furnish services to the United States through the use of service employees. The SCA requires contractors and subcontractors performing services on covered federal or District of Columbia contracts in excess of $2,500 to pay service employees in various classes no less than the monetary wage rates and to furnish fringe benefits found prevailing in the locality, or the rates (including prospective increases) contained in a predecessor contractor’s collective bargaining agreement. Safety and health standards also apply to such contracts.

The compensation requirements of the SCA are enforced by the Employment Standards Administration’s Wage and Hour Division (WHD) within the U.S. Department of Labor (DOL). The SCA safety and health requirements are enforced by the Occupational Safety and Health Administration (OSHA) within DOL.

— Excerpt courtesy the US Department of Labor

For more information, visit:
http://www.dol.gov/whd/govcontracts/sca.htm

Health Insurance Portability and Accountability Act of 1996 (HIPAA)

The Health Insurance Portability and Accountability Act (HIPAA) provides rights and protections for participants and beneficiaries in group health plans. HIPAA includes protections for coverage under group health plans that limit exclusions for pre-existing conditions; prohibit discrimination against employees and dependents based on their health status; and allow a special opportunity to enroll in a new plan to individuals in certain circumstances. HIPAA may also give you a right to purchase individual coverage if you have no group health plan coverage available, and have exhausted COBRA or other continuation coverage.

— Excerpt courtesy the US Department of Labor

For more information, visit:
http://www.dol.gov/dol/topic/health-plans/portability.htm

Employee Retirement Income Security Act (ERISA)

The Employee Retirement Income Security Act of 1974 (ERISA) is a federal law that sets minimum standards for most voluntarily established pension and health plans in private industry to provide protection for individuals in these plans.

ERISA requires plans to provide participants with plan information including important information about plan features and funding; provides fiduciary responsibilities for those who manage and control plan assets; requires plans to establish a grievance and appeals process for participants to get benefits from their plans; and gives participants the right to sue for benefits and breaches of fiduciary duty.

— Excerpt courtesy the US Department of Labor

For more information, visit:
http://www.dol.gov/dol/topic/health-plans/erisa.htm

Living Wage Ordinances

Government contractors may, from time to time, work on jobs that are covered by Living or Responsible Wage Ordinances. Approximately 125 municipalities and local governments have these ordinances. There is no standardization among living wage ordinances, and requirements can vary drastically regarding what types of benefits can be provided with the fringe portion of the wage.

When you work with Archer Jordan, we assist you with complying with any Living or Responsible Wage Ordinance that may apply to your project. We often work in a collaborative manner with the Living Wage officers to clarify issues and offer suggestions that will work for all parties involved.