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The Davis-Bacon and Related Acts (DBRA)Act establishes minimum wage requirements on Federally funded or assisted construction projectsfor various classes of laborers and mechanics on certain contracts


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titleThis information applies to:

All grants and cooperative agreements

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Overview

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The Davis-Bacon Act, as amended, requires that, for Federal contracts over $2,000 where the Federal government or the District of Columbia is a party to the construction, alteration, or repair of public buildings or public works, laborers be paid locally prevailing wages and fringe benefits.[1] Additionally, Congress has added prevailing wage provisions to approximately 60 Federal statutes ("Related Acts") which assist construction projects through financial assistance awards, loans and loan guarantees, and insurance. Collectively, these Federal prevailing wage laws are known as Davis-Bacon and Related Acts, or DBRA.  Issuing a financial assistance award to a recipient who then issues a contract for construction does not make the United States a party to that contract, and as such the Davis-Bacon Act does not directly apply.  For this reason, Congress has had to specifically incorporate Davis-Bacon applicability into other statutes in order to make the law applicable in circumstances where the Federal government assists construction projects through the provision of grants, loans, loan guarantees, and insurance.
For grants and cooperative agreements, Davis-Bacon provisions only applies through "Related Acts", i.e., those that specifically incorporate the requirement in the program's authorizing statute/legislation. For example, the Act (40 U.S.C. §§3141-3148) requires that certain Federal contracts include a provision stating the minimum wages to be paid to various classes of labors and mechanics. In addition to the Davis-Bacon Act, Congress has identified in regulation 59 other Federal statutes that assist construction projects through grants, loans, loan guarantees, and insurance that are also subject to prevailing wage requirements ("Related Acts"). The Secretary of Labor is responsible for coordinating the administration and enforcement of the labor standards provisions of the Davis-Bacon Act and Related Acts. Federal agencies responsible for the administration of these Acts must follow the requirements in the Department of Labor regulations at Title 29 C.F.R. Part 5. Federal agencies would also follow these requirements when responsible for administration of any other statute that specifically incorporates prevailing wage or other labor standards requirements. An example of such a statute is the now expired American Recovery and Reinvestment Act (ARRA) incorporated the requirements of (Public Law 111–5), which made recipients of support under ARRA subject to the Davis-Bacon Actprevailing wage requirements for laborers and mechanics employed in the performance of ARRA-funded projects. See the U.S. Department of Labor's Labor’s website at at http://www.dol.gov/whd/programs/dbra/whatdbra.htm for for more information.

If the program's authorizing legislation does FWS does not incorporate Davis-Bacon requirements, the provision is applicable to all prime construction contracts of more than $2,000 awarded by non-Federal entities. see 2 CFR 200 Appendix II—Contract or related labor standard provisions in FWS financial assistance awards unless required by Federal program legislation. When required, FWS will incorporate into related Notices of Award the applicable provisions from Appendix II to Part 200—Contract Provisions for Non-Federal Entity Contracts Under Federal Awards for more information. However, if the Davis-Bacon Act requirements are not specifically included in the program’s authorizing legislation, then the requirements do not apply.Davis-Bacon and Related Acts (DBRA).

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Frequently Asked Questions

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When should a notice of award include the Davis-Bacon Act provision?

A FWS will incorporate into a notice of award should only include the Davis-Bacon Act provision when the funding program's authorizing legislation specifically incorporates the requirements of the Davis-Bacon Act. See 2 CFR 200 App II (D) for more information.and any other applicable provisions in Appendix II to Part 200—Contract Provisions for Non-Federal Entity Contracts Under Federal Awards when required by Federal program legislation. Such requirements will be applicable as described in the program’s legislation.

Does the Davis-Bacon Act apply to Fish and Wildlife Service financial assistance programs?

Currently, there are no active FWS programs under the DBRAThe Davis-Bacon Act applies only when made applicable in Federal program legislation and as described in that legislation. Currently FWS does not have any financial assistance programs with Davis-Bacon or other labor standards requirements in their program’s establishing or authorizing legislation.

Does a contract under a Federal financial assistance award have to follow the Davis-Bacon Act? 

The applicability of the Davis-Bacon Act is not applicable to any passthrough funds (subawards or contracts) if the initial Federal award is exempt from Davis-Bacon provision requirementsor other labor standards requirements is determined by how those requirements are described in the program’s legislation. In some cases the requirements may apply to all laborers and mechanics employed in the performance of the projects funded under the project, and in other cases they may only apply to laborers and mechanics employed by the financial assistance recipient’s prime contractors or subcontractors. However, if a State has a prevailing wage law in place, there may be a requirement depending on that State’s legislation.Davis-Bacon and Related Acts (DBRA)

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Resources

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Appendix II to

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2 CFR Part 200—Contract Provisions for Non-Federal Entity Contracts Under Federal Awards

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Davis-Bacon Act

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(40 U.S.C. §§3141—3148)  

Title 29 CFR Part 5—Labor Standards Provisions Applicable To Contracts Covering Federally Financed And Assisted Construction

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Davis-Bacon and Related Acts (DBRA)

References

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U.S. Department of

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Labor’s website at http://www.dol.gov/whd/programs/dbra/whatdbra.htm

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References

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