Md. Code Regs. 21.11.11.03

Current through Register Vol. 51, No. 18, September 6, 2024

Section 21.11.11.03 - Compilation of Wage Rate Determination

A. The Commissioner shall conduct ongoing surveys to obtain and compile wage rate information.

B. The Commissioner shall encourage contractors, contractors' associations, labor organizations, public officials, and other interested parties to submit voluntarily data detailing wage rates paid to workers on various types of construction in all localities. The following apply:

(1) Rates are determined for various types of construction, such as buildings, bridges, dams, highways, tunnels, sewers, powerlines, railways, airport buildings and runways, wharves, levees, canals, dredging, landing clearing, and excavating;

(2) A submission shall state the:

(a) Locality;

(b) Wage rate or rates paid to a particular trade or craft in that locality; and

(c) Type of construction for which the rate or rates are paid.

C. The following information shall be considered in making a wage rate determination:

(1) Payrolls and certified statements setting forth wage rates paid on other projects, and including the:

(a) Names and addresses of the contractors and subcontractors;

(b) Nature of the project;

(c) Dates, location, and approximate cost of the project;

(d) Number of workers employed in each classification on the project; and

(e) Wage rates and fringe benefits paid to the workers in each classification;

(2) Signed collective bargaining agreements that include, upon request by the Commissioner, a certificate from the parties describing the agreement's scope and application; and

(3) Public construction wage rates previously determined by federal and local officials pursuant to prevailing wage legislation.

D. Fringe Benefits.

(1) For the purposes of prevailing wage determinations, wage rates include bona fide fringe benefits when the payment of fringe benefits is a prevailing practice in the particular locality.

(2) To determine whether payment of fringe benefits is a prevailing practice in the particular locality, the Commissioner shall consider:

(a) The wage rate paid to 50 percent or more of the employees in a given construction classification in the locality used to determine the basic hourly rate;

(b) If fewer than 50 percent are paid at the same rate, the wage rate paid to 40 percent or more of the employees in a given construction classification in the locality used to determine the basic hourly rate, or if fewer than 40 percent are paid at the same wage rate, the weighted average rate for employees in a given construction classification in the locality used to determine the basic hourly rate;

(c) The subject matter of signed collective bargaining agreements, if any.

E. Scope of Consideration.

(1) When a determination is made pursuant to State Finance and Procurement Article, § 17-208(a)(1), Annotated Code of Maryland:

(a) Only information concerning projects currently under construction or completed within 6 months before the date of the request for the determination shall be considered.

(b) Only payrolls for labor used within 12 months before the date of the request for the determination shall be considered.

(c) If there was no construction of a similar character in the locality for the year preceding the date of the request for determination, wage rates applicable to the nearest established locality shall be considered.

(2) When a determination is made pursuant to State Finance and Procurement Article, § 17-209, Annotated Code of Maryland, the Commissioner shall consider:

(a) Only information concerning projects currently under construction or completed within 6 months before the date of the 60 days notice given before making the determination;

(b) Only payrolls for labor used within 12 months before the date of the 60 days notice given before making the determination;

(c) If there was no construction of a similar character in the locality for the year preceding the date of the 60 days notice given before making the determination, wage rates applicable to the nearest established locality.

F. Supplemental Information.

(1) If sufficient data is not available to make a determination for those trades and crafts required for the proposed project, a field survey may be conducted in the locality of the proposed project in order to obtain sufficient information upon which to make a wage rate determination.

(2) If a field survey is impracticable and available information is inadequate, the Commissioner may hold a hearing to obtain information and data upon which to make a wage rate determination for proposed project.

G. Supplemental Wage Rate Determination.

(1) If a wage rate is not issued for a particular classification or subclassification of workers in a trade or craft, the contractor and subcontractor shall submit, before beginning work, a written statement to the Commissioner listing:

(a) The proposed rate of pay and at least three recent jobs of the submitting contractor or subcontractor in the locality of the proposed public work on which the workers in the particular classification or subclassification were paid the proposed rate of pay or less; or

(b) If there is not a substantial number of workers engaged in construction of a similar character in the locality, the Commissioner may consider relevant wage data from at least three recent jobs of the submitting contractor or subcontractor in the nearest established locality.

(2) The wage data and proposed rate of pay are subject to the approval of the Commissioner.

H. Validity of Wage Rate Determinations.

(1) A wage determination initially issued under State Finance and Procurement Article, § 17-208(a)(1), Annotated Code of Maryland, for a particular public work in a given locality is effective for 1 year from the date of the determination.

(2) If a wage determination will expire before the call for contract bids is issued, the contracting public body shall request a new wage determination not less than 60 days before the call for bids.

(3) The Commissioner shall correct any wage determination included in a contract if the wage determination contains clerical errors.

Md. Code Regs. 21.11.11.03

Regulations .03 adopted effective October 17, 1988 (15:21 Md. R. 2469)
Regulation .03E amended effective January 23, 1989 (16:1 Md. R. 72)