5.1 The purpose of prevailing wage surveys is to collect information on wage and fringe benefit rates paid to mechanics and laborers working on construction projects of a similar character in a predetermined geographic area and calendar period. The Department attempts to give each contractor equal opportunity to be included in the final data base from which the prevailing rates are derived. The Department shall conduct the survey in accordance with the following steps:
5.1.1 Plan the Survey. The Department shall begin the survey preparation process no later than November of each year. Forms will be printed and supplies (envelopes, postage, etc.) will be ordered in preparation for the survey mailing. In addition, The Department will set up the external electronic production for submittal of survey information. The Department will request from the Division of Unemployment Insurance a computer printout (with two sets of address labels) of the names and addresses of all employers in the following North American Industry Classification System (NAICS) Codes, who reported workers during the calendar year in which the request is made:
| * | 236116 New Multifamily Housing Construction (except For-Sale Builders) |
| * | 236118 Residential Remodelers |
| * | 236220 Commercial and Institutional Building Construction |
| * | 236210 Industrial Building Construction |
| * | 236220 Commercial and Institutional Building Construction |
| * | 237310 Highway, Street, and Bridge Construction |
| * | 237990 Other Heavy and Civil Engineering Construction |
| * | 237110 Water and Sewer Line and Related Structures Construction |
| * | 237120 Oil and Gas Pipeline and Related Structures Construction |
| * | 237130 Power and Communication Line and Related Structures Construction |
| * | 236210 Industrial Building Construction |
| * | 237110 Water and Sewer Line and Related Structures Construction |
| * | 237120 Oil and Gas Pipeline and Related Structures Construction |
| * | 237130 Power and Communication Line and Related Structures Construction |
| * | 237990 Other Heavy and Civil Engineering Construction |
| * | 238910 Site Preparation Contractors |
| * | 238210 Electrical Contractors and Other Wiring Installation Contractors |
| * | 238220 Plumbing, Heating, and Air-Conditioning Contractors |
| * | 238910 Site Preparation Contractors |
| * | 238320 Painting and Wall Covering Contractors |
| * | 238210 Electrical Contractors and Other Wiring Installation Contractors |
| * | 238140 Masonry Contractors |
| * | 238310 Drywall and Insulation Contractors |
| * | 238340 Tile and Terrazzo Contractors |
| * | 238130 Framing Contractors |
| * | 238350 Finish Carpentry Contractors |
| * | 238330 Flooring Contractors |
| * | 238160 Roofing Contractors |
| * | 238170 Siding Contractors |
| * | 238390 Other Building Finishing Contractors |
| * | 238110 Poured Concrete Foundation and Structure Contractors |
| * | 238140 Masonry Contractors |
| * | 238990 All Other Specialty Trade Contractors |
| * | 238120 Structural Steel and Precast Concrete Contractors |
| * | 238190 Other Foundation, Structure, and Building Exterior Contractors |
| * | 238150 Glass and Glazing Contractors |
| * | 238910 Site Preparation Contractors |
| * | 238220 Plumbing, Heating, and Air-Conditioning Contractors |
| * | 238290 Other Building Equipment Contractors |
| * | 238150 Glass and Glazing Contractors |
| * | 238190 Other Foundation, Structure, and Building Exterior Contractors |
| * | 238290 Other Building Equipment Contractors |
| * | 561790 Other Services to Buildings and Dwellings |
| * | 562910 Remediation Services |
The Department will begin to assemble the survey packets in mid-December of each year in preparation for the early January mailing.
5.1.2 Conduct the Survey. On or before January 7th of each-year, survey forms will be mailed to every employer identified by the Division of Unemployment Insurance as having employed workers in the NAICS Codes listed above during the calendar year preceding the collection of data. Completed survey forms and electronic submission of survey data must be received by the Department or postmarked no later than February 8 of the survey year in order to be used in determining prevailing rates for that year. All other forms not complying with this deadline shall not be included. In the event that February 8th falls on a Saturday, Sunday, or legal holiday, the deadline for submitting survey forms shall be the next Department business day following the February 8th deadline.
By January 10th of each year, the Department shall notify the Delaware Contractor's Association, the Building Trades Council of Delaware, the Associated Builders and Contractors, the Delaware State AFL-CIO, the Secretary of the Department of Administrative Services, the Secretary of the Department of Transportation and the Roofing Contractors Association that the annual survey is being conducted. The notification shall contain a copy of the list of employers to whom survey forms were mailed and shall invite the addressees to submit the names and addresses of any employers whose names do not appear on the list. The notification shall also contain blank survey forms for the organizations' use.
The Department shall also notify the Local Unions whose collective bargaining wage rate has prevailed to submit their collective bargaining wage rate on forms provided by the Department and a copy of their current collective bargaining wage sheet to be entered as the prevailing wage rate for the survey which is being conducted.
As of January 1, 2016, the Delaware Department of Labor, Division of Industrial Affairs shall establish the prevailing wage for each respective craft or class of laborers and mechanics at the same rates established in collective bargaining agreements between labor organizations and their employers, or when collective bargaining agreement rates do not prevail, that govern work of a similar nature and similar crafts or classes of laborers and mechanics for the county where the public works contract will be performed if that particular labor organization's collective bargaining rate prevailed and they participated in the survey, for that particular trade or craft in that particular county for 4 consecutive years. When collective bargaining rates do not apply, the prevailing wage shall be the highest rate of the 4 years. If the agreed rate of pay is designated to be the craft's collective bargaining agreement, the annual rate adjustment will be determined by the collective bargaining agreement rate for each craft and county, each year.
When collective bargaining rates do not prevail, the annual rate adjustment shall be the Consumer Price Index-Construction. If the prevailing wage cannot be reasonably and fairly determined in any locality because no such agreements exists or the collective bargaining rate has not prevailed for 4 consecutive years the Department shall use the prevailing wage as established by the Department's annual prevailing wage survey.
For each respective craft or class of laborers or mechanics, the craft or class whose collectively bargained wages as of January 1, 2015, for that particular labor organization's collective bargaining rate prevailed for that particular trade or craft in that particular county is the prevailing wage rate and whose rate has prevailed for 4 of the last 5 years, or will prevail in the future for 4 consecutive years, shall have their collective bargaining agreement adopted as the prevailing wage rate negotiated by industry standards between workers and employers and the raise be determined by the collective bargaining agreement rate as of September 1 for that craft, county, and year.
5.1.3 Conduct Follow-Up. On or before February 1st of each year, the Department shall mail a second notice to all employers who failed to respond to the first request for data. A second copy of the Department's master mailing list (indicating the employers who responded) shall be sent to the organizations listed in the preceding paragraph so that they can encourage the voluntary participation of their members.
5.1.4 Clarify and Analyze Data. The data clarification process is to begin immediately upon receipt of survey responses. Each survey response is reviewed to determine completeness, appropriateness, and accuracy of data.
5.1.5 Code and Record Data. Received by Mail survey responses are to be coded as follows:
"A" Survey response is usable (i.e., it is timely, complete, appropriate, and accurate)
"B" Employer reports no employees during survey period
"C" Survey response is incomplete
"D" Survey response is not applicable
"E" Survey request not deliverable at address used/Respondent not identified on survey form/ Information is not usable
5.1.6 Electronic Data Electronic data will be reviewed daily and be accepted or denied based upon the same criteria listed in subsection 5.1.5.
Data from usable responses are to be recorded weekly electronically in a summary ledger which contains a breakdown of each classification of worker for each type of construction for each county. Survey responses coded "A" shall be filed by county and type of construction. Survey responses coded "B", "D". and "E" shall be kept in files separate from the usable responses.
Respondents who submit code "C" survey responses (incomplete) shall be contacted by telephone by the Department. The Department will give the respondent an opportunity to supply the missing information. Failure to submit the missing information prior to the publication of the Prevailing Wage determination (see Section 6.3) will result in a disqualification of the survey response (to the extent that it is not usable).
The master mailing list shall be coded weekly to show the identity of survey participants as well as the number and types of responses.
All survey responses and documents are to be retained by the Department for a period of three years.
5.1.7 Determine Adequacy of Data. At the conclusion of the survey period, the Department will review the survey ledger to determine the adequacy of data in each classification in each type of construction in each county. Data will be considered adequate if the worker classification contains the wages of ten or more employees. Classification data not meeting the above criteria will be added to the previous year's survey data for the same classification. If the data still do not reflect the wages paid to at least ten workers, the data will be considered inadequate.
5.1.8 Compute Prevailing Wage Rates. The Department will enter usable data (from the summary ledgers) in the computer. If a majority (i.e., more than 50% of the workers reported in a particular category are paid at the same rate, that rate shall be the prevailing wage rate for the classification. For example:
Laborers / New Castle county / Building Construction
Workers Rate of Pay (including benefits)
50 @ $17.25 = Majority
39 @ 16.75
10 @ 17.55
99
The prevailing wage rate $17.25
In the absence of a majority, the computer will determine the average (mean) of the wages-paid, weighted by the numbers of workers paid at each rate. For example:
Laborers/New Castle County/Building Construction
Workers Rate of Pay (including benefits)
25 @ $15.50 = $387.50
25 @ 17.25 = 431.25
39 @ 16.75 = 653.25
10 @ 17.55 = 175.50
99 $1,647.50
$1,647.50 ÷ 99 workers = $16.64 prevailing rate
5.1.9 Determine Wage Rates for Classes of Workers For Which Inadequate Data Are Received. The Department is required by law to determine wages to be paid to all classes of workers employed on public projects. For that reason, the Department must have a means by which it can determine rates for which no data or inadequate data were received. If no data are received for a given classification, or if inadequate data are received (i.e., fewer than 10 workers reported in a given classification), the previous year's prevailing rates shall be reissued.