Thursday, September 24, 2009

Can a Contractor File an "Affidavit of Wages Paid" for a Subcontractor?

The Washington State Department of Labor and Industries has published a "prevailing wage policy memorandum" addressing the limited circumstances in which a contractor on a public works project may file an "Affidavit of Wages Paid" for one of their subcontractors.

L&I has outlined three circumstances in which this may occur:
  1. The subcontractor has gone out of business
  2. The subcontractor has file for bankruptcy and will not continue in business
  3. The subcontractor refuses to file the form
The policy memorandum goes on to describe documentation required to prove that one of the circumstances above has occurred.

Contractors filing on behalf of a subcontractor must also follow specific instructions in completing the Affidavit of Wages Paid, which must be filed manually as opposed to using L&I's online system.


Presumably, although not stated in L&I's policy memorandum, the same procedure would apply if a contractor failed to file the Affidavit of Wages Paid, and the public agency required the contractor's bonding company to file the Affidavit on behalf of the contractor.


L&I's policy memorandum on filing an Afffidavit form "on behalf of" a subcontractor is posted on L&I's website, and may be accessed by clicking the following link:
http://www.lni.wa.gov/TradesLicensing/PrevWage/files/Policies/FOBOPolicy.pdf

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