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1. Prevailing wage requirements apply to public works projects with a contract value of at least:

California prevailing wage law applies to public works contracts of $1,000 or more. There is no exemption for small public works projects.

2. Who determines the prevailing wage rates that must be paid on a California public works project?

The Director of the Department of Industrial Relations (DIR) determines prevailing wage rates by craft, classification, and locality. Contractors must pay the rate in effect when the work is performed.

3. Before a contractor may bid on or be awarded a public works contract, the contractor must be registered with:

In addition to holding a CSLB license, a contractor must register annually with the DIR before bidding on or being awarded a public works contract.

4. On a public works project, contractors must submit certified payroll records to:

Contractors on public works must keep accurate certified payroll records and furnish them to the Labor Commissioner, generally through the DIR's online electronic system.

5. The prevailing wage that must be paid on a public works project consists of:

The prevailing wage is made up of a basic hourly rate plus employer payments for fringe benefits such as health care, pension, and training. The total package must meet the DIR determination.

6. On a public works contract that exceeds $25,000, the prime contractor must furnish:

Because subcontractors and suppliers cannot place a lien on public property, the prime contractor on a public works contract over $25,000 must provide a payment bond guaranteeing they are paid.

7. An unpaid subcontractor on a public works project can compel the public agency to withhold project funds by serving:

Since public property cannot be liened, an unpaid claimant on a public works project serves a stop payment notice on the public agency, which must then withhold enough project funds to cover the claim.

8. On most public works projects, contractors are required to:

Public works contractors must request apprentices from a state-approved apprenticeship program and employ them on the project, supporting the training of the next generation of skilled workers.

9. If a contractor pays less than the required prevailing wage on a public works project, the contractor may face:

A contractor who underpays prevailing wage is liable for the wage shortfall plus penalties assessed by the Labor Commissioner, and may be barred (debarred) from bidding on future public works.

10. A contractor on a public works project must post the applicable prevailing wage determination:

The contractor must post the prevailing wage determination at a conspicuous place at the job site so workers can see the rates that apply to their craft.

11. Which project is generally considered 'public works' subject to prevailing wage?

A public works project is construction, alteration, demolition, or repair work paid for in whole or in part out of public funds. Prevailing wage and related rules attach because public money is involved.

12. On a public works project, the bond that guarantees the project will be completed according to the contract is the:

A performance bond guarantees the project will be finished according to the contract. It is separate from the payment bond, which guarantees that workers and suppliers are paid.

13. A contractor's registration with the DIR to perform public works must be:

DIR public works registration is an annual registration with an annual fee. A contractor must keep it current to remain eligible to bid on and perform public works.

14. On a covered public works project, prevailing wage must be paid to:

Prevailing wage must be paid to all workers employed on the public works project — by the prime contractor and by every subcontractor — regardless of union membership.

15. On public works, the standard apprentice-to-journeyman ratio a contractor must meet is at least:

Public works contractors must employ apprentices at a ratio of not less than one hour of apprentice work for every five hours of journeyman work, using apprentices from a state-approved program.

16. On a public works project, a worker who works more than 8 hours in a single day must generally be paid:

Labor Code §1815 requires that work performed on public works in excess of 8 hours per day be compensated at not less than 1.5 times the basic hourly prevailing rate. Daily overtime applies even if the weekly total is under 40 hours.

17. Under Labor Code §1813, what penalty applies to a contractor for each worker for each day that worker is required to work more than the legal maximum hours without proper overtime pay on a public works project?

Labor Code §1813 sets a forfeiture of $25 for each worker for each calendar day during which that worker is required or permitted to work more than the legal maximum hours without the required overtime pay. This penalty is in addition to paying the overtime owed.

18. Why can an unpaid subcontractor NOT record a mechanics' lien against a completed public school building?

A mechanics' lien works by allowing a forced sale of the property to satisfy the debt. Because public property is held for public use and cannot be sold off to pay a private claim, liens cannot attach to it — which is why the law instead provides payment bonds and stop payment notices on public works.

19. A contractor bidding on a city public works contract is asked to submit a bid bond. The primary purpose of a bid bond is to:

A bid bond protects the public agency by guaranteeing that, if the contractor is the successful low bidder, it will sign the contract and furnish the required performance and payment bonds. If the bidder backs out, the bond covers the extra cost of awarding to the next bidder.

20. In addition to penalties and back wages, a contractor who willfully violates prevailing wage law on public works may be subject to debarment, which means the contractor:

Debarment is a period — typically up to three years — during which a contractor (and its responsible officers) is prohibited from bidding on or being awarded any public works contract. It is a separate consequence from monetary penalties and back-wage liability.

21. When a member of the public requests a contractor's certified payroll records from a public works project, the records that are released to the public must have which information redacted?

Labor Code §1776 requires certified payroll to be available for inspection, but copies provided to the public must have personal identifying information — such as each worker's name, address, and social security number — redacted to protect worker privacy.

22. A general contractor on a public works job pays a laborer the basic hourly rate in cash but provides NO health, pension, or training contributions. To comply with the prevailing wage determination, the contractor must:

Under Labor Code §1773.1, the prevailing wage is the basic hourly rate plus employer payments for fringe benefits. If the employer makes no qualifying fringe-benefit contributions, the dollar value of those benefits must be paid to the worker as additional cash wages so the total package meets the determination.

23. Which type of insurance coverage is a contractor required to carry for its employees on a California public works project, just as on private jobs?

Any contractor with employees in California must carry workers' compensation insurance, and this requirement applies fully to public works. A public agency cannot award the contract to a contractor that lacks valid workers' compensation coverage.

24. A contractor on a public works project knowingly fails to employ apprentices in the required ratio. The most likely consequence is:

Violating the apprenticeship requirements of Labor Code §1777.5 exposes the contractor to civil penalties under §1777.7, and a knowing violation can also make the contractor ineligible to bid on or be awarded public works contracts for a period of time.

25. On a public works project, a subcontractor who has stopped work serves a stop payment notice on the public entity. The notice must generally be served:

Stop payment notices on public works are time-limited. A claimant must serve the notice within the statutory window tied to completion or cessation of the work (a notice of completion or acceptance triggers a shorter deadline); serving late means the public entity is not obligated to withhold funds.

26. The payment bond required on a public works contract over $25,000 must be issued by:

The payment bond on public works must be furnished by an admitted surety insurer — a surety company licensed and authorized to transact surety business in California. This ensures the bond is backed by a financially responsible, regulated guarantor.

27. Which prevailing wage determination applies to the workers on a public works project?

Under Labor Code §1773 and the DIR's determinations, workers must be paid the prevailing wage rate in effect for their craft and locality at the time the work is performed. Determinations are issued by craft and geographic area and can change over the life of a project.