- - Multiple Types Of Construction Versus Incidental Construction
"Multiple Types Of Construction" Versus "Incidental Construction"
All Agency Memorandum No. 131 provides further guidance, particularly on the application of multiple wage determinations for projects that involve more than one type of construction.
- Where a project includes construction items that in themselves would be classified differently with regard to type of construction, multiple classification(a) as to type of construction may be justified if such items are a substantial part of the project.
- The application of wage schedules/determinations for more than one type of construction is appropriate if such items that fall in a separate type of construction will comprise at least 20% of the total project cost and/or cost at least $1 million.
- Generally, if such items that in themselves would be classified as a separate type of construction will be less than 20% of the total project cost and will cost less than $1 million, they are considered incidental to the primary type of construction involved on the project, and a separate wage determination is not applicable, unless there is an established local area practice to the contrary.
- Where multiple wage determinations are incorporated into the bid specifications/ contract it is very important also to provide instructions specifying the contract work to which each wage determination applies. 29 C.F.R. § 1.6(b), reiterated in the FAR at 48 C.F.R. § 22.404-2.
- Such instructions are needed not only when the wage determinations for different types of construction (and/or locations) are in separate "Wage Decisions," but also where wage determinations for various types of construction (and/or counties) have been consolidated into a single "Wage Decision." (This has often been done for administrative convenience in issuing wage determinations.)
- Because of the complexities in the application of multiple schedules, the contracting agency should consult with the WHD Branch of Construction Wage Determinations to resolve any questions.
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