
Aliecia Taormina, CCEP, MCA has over 20 years of experience in construction (including a role as a Senior Compliance Manager of a Fortune 300 contractor), accumulating extensive prevailing wage and Davis-Bacon knowledge over her career.
Question
We have a stationary asphalt plant and sometimes have drivers go back and forth from the plant to the jobsite that is about 30 miles away. Would this be considered an off-site location and covered on prevailing wages?
Answer: Asphalt plants and worker situations can be quite complex. The Field Operations Handbook Chapter 15 states:
“Not included in the site of the work are permanent home offices, branch plant establishments, fabrication plants, and tool yards, etc. of a contractor or subcontractor whose locations and continuance in operation are determined wholly without regard to a particular federal or federally-assisted contract or project.
Also excluded from the site of the work are fabrication plants, batch plants, borrow pits, job headquarters, tool yards, etc., of a commercial or material supplier which are established by a supplier of materials for the project before opening of bids and not on the site of the work as stated in 29 CFR 5.2(l)(1), even where such operations for a period of time may be dedicated exclusively, or nearly so, to the performance of a contract.”
To evaluate whether the asphalt plant may be considered a secondary site of work, consider the following:
- Was the asphalt plant established exclusively, or nearly so, for the project for a specific period of time?
- Can the asphalt produced at the plant be purchased by the general public, or is the plant dedicated exclusively or nearly so to the project?
- Does a significant portion of the project occur at the asphalt plant?
If the answer to these questions is generally no, the asphalt plant may not be considered a secondary site of work.
However, the worker transporting asphalt between the plant and the project site may still be covered if they meet the definition of a covered truck driver.
The determination often depends on the specific facts and circumstances. For example, a subcontractor once established an asphalt plant near a large project and began selling asphalt to the public several months before construction began. The subcontractor believed the plant would not be covered by prevailing wage requirements because it was established prior to the project and operated commercially. During a subsequent U.S. Department of Labor investigation, however, the agency determined that the plant had been established specifically to support the project and therefore constituted a covered site of work. As a result, the subcontractor was required to submit certified payroll records and provide back wages to affected employees.
Question
I was recently asked to provide an “Employee Authorization Form for Other Deductions.” This was for a Davis-Bacon project, and on the WH-347 I put those deductions in the remarks area, which is allowed on most CPR forms. However, this contractor wants a “form,” but I can’t provide the form. Are you familiar with an “Employee Authorization Form for Other Deductions”?
Answer: An Employee Authorization Form for Other Deductions is a document separate from the WH-347.
These forms provide written proof that an employee has knowingly and voluntarily agreed to a payroll deduction that is not tax-related, FICA-related, or fringe benefit-related. Examples may include loan repayments to the employer, charitable contributions, or other optional deductions.
While Davis-Bacon does not specifically require a separate authorization form, the WH-347 requires contractors to report “other” deductions in the Additional Remarks section and provide an itemized list when multiple deductions apply.
However, awarding agencies and prime contractors may require additional documentation beyond Davis-Bacon requirements. Many request authorization forms to demonstrate that deductions are voluntary and consistent with the requirements of the Copeland Anti-Kickback Act.
If a contractor requests such documentation, it may be helpful to ask whether they have a preferred version of the form. Sample versions are also widely available.
As a reminder, Davis-Bacon regulations provide that deductions not listed under 29 CFR 3.5 must be approved by the Secretary of Labor and reapproved annually. Permission is generally granted for all current and future contracts of the applicant for a one-year period. See 29 CFR 3.7 for information on the application process.
Question
If you are a subcontractor covered by the Davis-Bacon Act, do you have to post the poster at the subcontractor site or is it sufficient for the poster to be posted at the Prime Contractor’s site?
Answer: If you are referring to the Davis-Bacon poster, Worker Rights Under the Davis-Bacon Act (WH-1321), contractors and subcontractors performing covered work are required to post it, along with the wage determinations applicable to the project. These must be posted at the site of the work in a prominent and accessible place where employees can easily see them. This question commonly arises on projects that do not have a single, fixed work location, such as highway and roadwork projects.
The key factor is whether employees can easily see the required postings. If the Prime Contractor’s posting location is accessible to all employees, such as a yard or staging area where they regularly report, there is generally no need to post the materials in multiple locations. However, if employees work at a separate site and do not report to the Prime Contractor’s location, the poster and wage determinations are required to be posted at that site as well.
When posting requirements are unclear, it is generally advisable for subcontractors and prime contractors to discuss how required notices will be made available to workers and to document the agreed-upon approach.
Contractors have used a variety of methods to ensure employees have access to required postings, including:
- Providing printed copies of required posters and wage determinations in binders kept in work vehicles
- Assigning a vehicle that travels with the crew and contains the required postings
- Using a centralized reporting location, such as a yard or staging area, where employees check in before traveling to job sites
Contractors should review project-specific requirements and coordinate with the Prime Contractor to determine the most appropriate approach.
Have a burning question about labor compliance that you’ve been eager to ask? Submit it anonymously to our live submission form and you might just see it answered in a future entry of our monthly Ask the Expert series! You can also check out our past entries here.
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