June 28, 2022

Volume XII, Number 179

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June 27, 2022

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Proposed Law Would Allow For Prevailing Wage Exemptions

On February 6, 2015, Representative Brian W. Stewart (R-Freeport) filed HB 1525 that would amend the Prevailing Wage Act by allowing a waiver of prevailing wage rates for projects of $20,000 or less. You can view the full text of HB 1525 here.

The proposed amendment provides an exemption for projects of $20,000 or less that are stand-alone projects (meaning there is no additional work in on that project in the following 24 months). The public body using the exemption must notify the Department of Labor for each project within 60 days of commencing the project. As part of the notification, the public body is required to provide a description of the project, the number of employees engaged in the project and the total cost of the project without and with the prevailing wage rate standards. A public body's ability to use the waiver is limited by federal law, in that the waiver could not be used to avoid prevailing wage under Davis-Bacon.

The bill also requires the Department of Labor submit an annual report to the Governor and General Assembly detailing the number of projects using the waiver, the number of employees engaged in the projects and the cost of the project with and without the prevailing wage rate standards.

© 2022 Heyl, Royster, Voelker & Allen, P.CNational Law Review, Volume V, Number 42
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About this Author

Of Counsel

Chrissie's practice is focused on government law, representing municipalities and other public entities in a broad range of issues, including administrative and regulatory law, the operation and governance of critical services, infrastructure construction and financing, council procedures, tax increment financing and economic development. Before joining Heyl Royster, Chrissie served as the City Attorney for Canton, Illinois for seven years where she managed all legal aspects of a municipal corporation.

309-676-0400
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