Washington, DC - May 17, 2022 CEA submitted to the Department of Labor public comments on a Notice of Proposed Rulemaking (NPRM) on Updating Davis-Bacon and Related Acts (RIN 1235-AA40), which contains the most sweeping revisions to the rules governing Davis-Bacon Act enforcement since the Reagan Administration last reformed the rules in 1982. The rule, which applies to federal construction contracts of more than $2,000, is designed to ensure that Davis-Bacon rates reflect actual local wages paid to workers in their local communities.

The CEA’s comments enthusiastically supports many of the revisions included in the Proposed DBA Rule, including:

1. Definition of “Prevailing Wage” - returning to the 30-percent rule is consistent with the legislative text and the DOL’s longstanding interpretation of “prevailing wage.”

2. Definition and scope of project reforms - modernized definitions will clarify applicability of the Davis-Bacon Act.

3. Federal Project Data - using Federal Project Data will be helpful in calculating “prevailing wage”

4. Use and effectiveness of wage determinations - incorporating most-recent wage determinations into any contract ensures that the text and purpose of the Davis-Bacon Act is effectuated.

5. Periodic adjustments to non-collectively bargained prevailing wage rates - proposed rule would ensure that non-collectively bargained rates are regularly updated

6. “Flow-down” requirements and responsibility for compliance - the mandatory "flow-down” requirement effectuates the text and purpose of the Davis-Bacon Act

7. Debarment - the proposed DBA rule clarifies the debarment standards and procedures.

8. Misclassifying construction workers as independent contractors - the proposed DBA rule makes clear that an employment relationship is not required

9. Enhanced recordkeeping requirements - recordkeeping amendments reinforce the Davis-Bacon Act’s requirements

10. Anti-retaliation - anti-retaliation

11. Requiring Federal Agencies to report planned construction - requiring Federal Agencies to report planned construction allows the DOL to plan for appropriate wage determinations

12. Post-Award determinations - it is appropriate to adopt the correct or omitted wage determinations via supplemental agreement or change order

13. Definition of “area” for project spanning multiple counties

14. Adoption of State/Local prevailing wage determinations for Federal prevailing wage

15. “Contract,” “Contractor,” “Prime Contractor,” “Subcontractor,” and “Trainee” Definitions

16. Apprentices - must adhere to the apprentice wage rate and ratio standards of the locality in which the project is situated

17. Publication of general wage determinations and procedures for requesting project wage determinations

18. Scope of geographic consideration in making wage determinations - eliminating the antiquated distinctions are necessary to ensure that the text and purpose of the Davis-Bacon Act are effectuated

19. Frequently conformed rates

20. Payment of back wages

21. Annualized fringe benefits

22. “Operation of law” provision

23. Withholding and cross-withholding

In conclusion, CEA encourages the DOL to quickly implement the changes to the Davis-Bacon Act outliend above before the large infrastructure projects are largely released.