FAQ

General Prevailing Wage

• If a project has both federal and state funding, which requirements apply? +

  The stricter of the two requirements will apply on projects with both funding.

• If an employee is in their probationary period and not currently eligible for fringe benefit plans (health insurance, dental insurance, 401k, etc.), can the employer claim fringe credit for the employee? +

  If an employee is not currently eligible for fringe benefit plans, an employer cannot claim credit for fringe benefit plans that they are not contributing to. The employer can pay cash in lieu of fringes or pay a base hourly rate that is at/above prevailing wage.

• What are the benefits of utilizing prevailing wage oversight and training? +

  Even at a basic federal level, prevailing wage can quickly become tricky to navigate given its broad application. Many states have additional prevailing wage requirements that can make things even more complicated and may even seem to conflict with federal requirements at first glance. This is where understanding prevailing wage requirements and implementing oversight for such can be incredibly beneficial for project owners, especially if they are new to navigating publicly funded projects. Alliant is here to help provide guidance and consultation for such. Subject Matter Experts stay up to date on research, changes, and everything prevailing wage in order to build and offer the most current training and consultation to clients and their contractors so that they may feel better prepared to manage projects subject to their applicable requirements. Continuing support is available from Alliant’s oversight teams who work diligently in cooperation with clients and contractors to ensure they are aware of what requirements apply to their projects and what is needed from them in order to meet them. They help take the guess work out of things so that project owners and contractors can make their own, better-informed decisions, without spending the significant time required to do the research themselves, and more time doing what they do best in managing their own work and getting their projects done.

• What if we have a dedicated compliance team and not in need of full oversight services but just need to be pointed in the right direction? +

  We offer customized personalized trainings as well as As-needed services to help guide your team through project requirements, should full oversight not be what your team needs.

• What is a valid form of proof of payment? +

  A valid form of proof of payment is considered to be a canceled check (front and back), direct deposit journal/summary, or bank statement verifying electronic transfer.

• What is the difference between itemized wage statements and cancelled checks or other forms of proof of payment (direct deposit journal summary, bank statement, etc.)? +

  An itemized wage statement is a listing of gross and net wages, deductions, hourly rates and hours worked for the designated pay period. It is also referred to as a pay stub. A cancelled check is a check that has been processed and paid by the bank to the employee. This can serve as proof the that net amount listed on the itemized wage statement was paid to the employee, which also verifies the rate listed on payroll. Direct deposit journal summaries can serve as proof of payment for employees that are paid in this manner.

• Why are site visits important, or what are site visits for? +

  Site visits for a project will help verify factual information about the work site ensuring laws and regulations are in accordance to the project specifics. For the employee it helps verify the type of work in according to their classification and verify wage determination/ classification. For the contractor it will assist in verification of the information submitted to ensure everything matches and is correctly submitted.

• Why do itemized wage statements need to be accompanied by proof of payment? +

  When an itemized wage statement is requested the goal is to confirm that the certified payroll report is accurate and paid to the employee for work performed. An acceptable proof of payment would be a copy of a cancelled check (showing both sides of the check), or a direct deposit statement that includes the last four of the account holders account number.

• Why is collecting a few check stubs necessary for verifying prevailing wage? +

  When reviewing certified payroll reporting forms for accuracy, there are often times where the amounts list on the payroll may not have been directly entered from the actual check stubs provided to the employees. Collecting a few check stubs throughout the life of the project is a great way to verify the numbers on the CPR uploaded are in fact accurate. Prevailing wage may not be verified until proof of payment is received to cross-reference.