Prevailing Wage Contract Thresholds Per State

Prevailing wage  laws are laws that require state contracted workers to be paid the same wages customarily paid to those in the private sector. 32 states have prevailing wage laws currently intact and four states have increased their contract values since 2006. One state, Wisconsin, has actually lowered its contract value since 2006. Every state has different thresholds that determine when their laws go into effect. There are 18 states, mostly in the South or Midwest, that don’t have prevailing wage laws. Nine of them because they’ve repealed their laws and eight of them that simply never had any such law. However, remember that the Davis Bacon Act applies to ALL states.

Check out the states Wage and Hour Division Here

States with prevailing wage contract thresholds generally apply their laws when the project’s contract value meets or exceeds a pre determined threshold amount. When projects fall below the threshold, they’re not required to pay the prevailing wage. Connecticut’s threshold for new construction is high at $400,000 and only Maryland’s is higher. Connecticut’s threshold for remodeling is $100,000. Indiana, Kentucky, Maryland and Vermont’s remodeling thresholds are higher but identical to their new construction thresholds. There are nine states that generally apply prevailing wage laws to all their public projects. They are: Illinois, Massachusetts, Michigan, Missouri, Nebraska, New York, Texas, Washington and West Virginia.

of the 18 non prevailing wage states, eight of them have never enacted any such law and nine of them have repealed their laws during the majority of the 1980s (1979-1988). New Hampshire is the only Northeastern state without a prevailing wage law. They repealed theirs in 1985. This was due to the prevailing rates skyrocketing the price of a school’s project and causing contractors to not bid on another project. Florida was the first state ever to repeal its prevailing wage law in 1979.

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