There are exceptions and exemptions related to prevailing wage and apprenticeship requirements for smaller projects, depending on the jurisdiction and specific circumstances. Here are some key points:
Prevailing Wage Exceptions and Exemptions for Smaller Projects
California Specific Exemptions
- Small Project Exemption: California does not completely exempt small projects from prevailing wages, but contractors working exclusively on projects under certain thresholds may not need to register as public works contractors. However, even in these cases, prevailing wages must still be paid. The thresholds are $25,000 for new construction and $15,000 for maintenance projects.
- Labor Compliance Program (LCP) Exemption: An awarding body with an approved LCP may not require prevailing wages on projects under $25,000 for new construction and $15,000 for other activities like maintenance.
- Federal Government Projects: Only projects entirely funded and managed by the federal government are exempt from state prevailing wage laws.
General Exceptions
- USDOL Certified Apprentices: There are exceptions for USDOL certified apprentices, such as different wage rates based on their level of training.
- National Energy Projects: Under the Inflation Reduction Act, projects below one megawatt and facilities with construction begun before January 29, 2023, are exempt from prevailing wage and apprenticeship requirements for certain tax credits.
Apprenticeship Requirements
- Good Faith Effort Exception: Applies if a taxpayer requests qualified apprentices from a registered program but is unable to fulfill all requests. This exception requires a good faith effort to employ the available apprentices.
- Project Labor Agreements: Projects under certain agreements may avoid penalties for wage and apprenticeship violations if they correct wage issues promptly and meet specific requirements.
Summary
Prevailing wage and apprenticeship requirements have specific exceptions, particularly for small projects in California and certain energy projects at the national level. These exemptions often depend on the source of funding or the specific project details.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/are-there-any-exceptions-to-the-prevailing-wage-and-apprenticeship-requirements-for-smaller-projects/
