Prevailing wage determinations
Contracting officers must closely monitor and timely incorporate revised prevailing wage determinations into contracts, following specific rules based on acquisition method and timing of receipt.
Overview
FAR 22.1012-1 outlines the procedures for determining when revised prevailing wage determinations must be incorporated into solicitations, contracts, or contract modifications under the Service Contract Labor Standards statute. It clarifies how and when contracting agencies must recognize and apply updated wage determinations, depending on the method of acquisition (sealed bidding or other contractual actions) and the timing of receipt. The section also details the use of the Wage Determinations at SAM.gov website and the e98 process for obtaining wage determinations, and provides guidance for follow-up if a response is delayed.
Key Rules
- Timing of Receipt
- The effective date of a revised wage determination depends on when the contracting agency receives it, either via SAM.gov publication or e98 notification.
- Monitoring for Revisions
- Contracting officers must monitor SAM.gov for updates and use the "Alert Service" to stay informed of changes.
- Sealed Bidding
- Revised wage determinations received less than 10 days before bid opening are not effective if there is insufficient time to incorporate them.
- Other Contractual Actions
- For non-sealed bidding, revisions received after award are not effective if performance starts within 30 days; otherwise, revisions received at least 10 days before work starts must be applied.
- e98 Response Delays
- If no e98 response is received within 10 days, the contracting officer must contact the Wage and Hour Division by phone.
Responsibilities
- Contracting Officers: Must monitor wage determination updates, ensure timely incorporation into contracts, and follow up on delayed e98 responses.
- Contractors: Must comply with the prevailing wage rates included in their contracts.
- Agencies: Must track receipt dates and ensure compliance with timing requirements for wage determination revisions.
Practical Implications
- Ensures contracts reflect current wage standards, protecting workers and maintaining compliance.
- Requires diligent monitoring and timely action by contracting officers.
- Failure to incorporate timely revisions can result in non-compliance or disputes.