Prevailing Wages

When are prevailing wages triggered?  Are state prevailing wages required for projects funded from federal funds?  Does a public agency have a monitoring obligation to ensure that prevailing wages are paid?  These are the types of questions clients grapple with when considering the implications of state prevailing wage and federal Davis-Bacon laws on their activities.


Goldfarb & Lipman has extensive experience and a long history of analyzing these issues.  We assist our clients in understanding how various forms of governmental financing may or may not require compliance with state prevailing wage and federal Davis Bacon requirements for a particular project.  For example, we advise clients on the effect of prevailing wages on: tax credit and bond financing for affordable housing developments; public agency sale or lease of land at less than fair market value to private for-profit and nonprofit developers; government development fee credits and waivers; and the provision of public infrastructure that benefits private development.


With regard to federal Davis-Bacon law, we have advised numerous housing authorities and other public agencies and private developer clients about the applicability and effect of federal prevailing wage law, and its interaction with state prevailing wage law.  In addition, we have worked closely with HUD’s labor relations office to resolve compliance issues raised by the failure of a contractor or subcontractor to pay Davis-Bacon prevailing wages when required.