APPENDIX 3 - WAGE REQUIREMENTS.pdf

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Water Treatment Plant PLC & HMI Upgrade
Solicitation number
S-KA0010-00016645
Issued by
Oregon

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This appendix outlines wage requirements for the City of Ashland's Water Treatment Plant PLC & HMI Upgrade project (RFP 2026-06), a progressive design build procurement in Oregon. The document establishes prevailing wage standards and living wage requirements that all contractors and subcontractors must comply with when performing work on this public improvement project. The appendix incorporates the Oregon Bureau of Labor and Industries (BOLI) prevailing wage rates and includes detailed specifications regarding work hour limitations, payment requirements, and bonding obligations for all parties involved in the project delivery.

Contractors must pay workers the applicable prevailing wage rate for their trade or occupation as defined by the Oregon Commissioner of the Bureau of Labor and Industries, with rates effective at the time specifications are first advertised. When a project is subject to both Oregon prevailing wage laws and the federal Davis-Bacon Act, the higher of the two rates applies. Additionally, the City of Ashland's Living Wage ordinance requires payment of $19.44 per hour (effective June 30, 2025, adjusted annually) for all employees working on service contracts exceeding $27,163 or more, as well as for employees of contractors receiving City financial assistance over that threshold. The living wage requirement does not apply to the first 1,040 hours worked by temporary and part-time employees in any calendar year. All contractors and subcontractors must obtain public works bonds filed with the Construction Contractors Board before commencing work, unless exempt under Oregon Revised Statutes, and must comply with overtime provisions requiring time-and-a-half pay for hours exceeding established daily and weekly thresholds.

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Progressive Design Build Procurement City of Ashland

RFP 2026-06 Water Treatment Plant PLC & HMI Upgrade Appendix 3

APPENDIX 3 CURRENT WAGE REQUIREMENTS FOR PUBLIC IMPROVEMENT CONTRACTS

RFP 2026-06

APPENDIX 3(A) - BOLI WAGE RATES INFORMATION

Bureau of Labor and Industries Chapter 839

Division 25

PREVAILING WAGE RATES ON PUBLIC WORKS

839-025-0020 Public Works Contracts and Contract Specifications; Required Conditions

(1) For purposes of this rule:

(a) "Construction Manager/General Contractor contract" (or "CM/GC contract") means a contract that typically results in a general contractor/construction manager initially undertaking various pre-construction tasks that may include, but are not limited to: design phase development, constructability reviews, value engineering, scheduling, and cost estimating, and in which a guaranteed maximum price for completion of construction-type work is typically established by amendment of the initial contract, after the pre-construction tasks are complete or substantially complete. "CM/GC" refers to the general contractor/construction manager under this form of contract. Following the design phase, the CM/GC may then act as a General Contractor and begin the subcontracting process. The CM/GC typically coordinates and manages the construction process, provides contractor expertise, and acts as a member of the project team.

(b) "Construction specifications" include the detailed description of physical characteristics of the improvement, design details, technical descriptions of the method and manner of doing the work, quantities or qualities of any materials required to be furnished, descriptions of dimensions, required units of measurement, composition or manufacturer, and descriptions of any quality, performance, or acceptance requirements.

(2) Every public works contract must contain the following:

(a) A condition or clause that, if the contractor fails, neglects, or refuses to make prompt payment of any claim for labor or services furnished to the contractor or a subcontractor by any person, or the assignee of the person, in connection with the public works contract as such claim becomes due, the proper officer or officers of the public agency may pay such claim and charge the amount of the payment against funds due or to become due the contractor by reason of the contract (Reference: ORS 279C.515);

(b) A condition that no person will be employed for more than 10 hours in any one day, or 40 hours in any one week except in cases of necessity, emergency, or where the public policy absolutely requires it, Water Treatment Plant PLC & HMI Upgrade Appendix 3(A) https://secure.sos.state.or.us/oard/displayChapterRules.action?selectedChapter=24 https://secure.sos.state.or.us/oard/displayChapterRules.action?selectedChapter=24 https://secure.sos.state.or.us/oard/displayDivisionRules.action?selectedDivision=3850 https://secure.sos.state.or.us/oard/displayDivisionRules.action?selectedDivision=3850 and in such cases the person so employed must be paid at least time and one-half the regular rate of pay for all time worked:

(A) For all overtime in excess of eight hours a day or 40 hours in any one week when the work week is five consecutive days, Monday through Friday; or

(B) For all overtime in excess of 10 hours a day or 40 hours in any one week when the work week if four consecutive days, Monday through Friday; and

(C) For all work performed on Saturday and on any legal holiday specified in ORS 279C.540 (Reference: ORS 279C.520(1));

(c) A condition that an employer must give notice to employees who work on a public works contract in writing, either at the time of hire or before commencement of work on the contract, or by posting a notice in a location frequented by employees, of the number of hours per day and days per week that the employees may be required to work (Reference: ORS 279C.520(2)); and

(d) A condition that the contractor must promptly, as due, make payment to any person, co-partnership, association or corporation, furnishing medical, surgical and hospital care or other needed care and attention, incident to sickness or injury, to employees of such contractor, of all sums which the contractor agrees to pay for such services and all moneys and sums which the contractor collected or deducted from the wages of the contractor's employees pursuant to any law, contract or agreement for the purpose of providing or paying for such service (Reference: ORS 279C.530).

(3) Every public works contract that a public agency awards must contain a condition or clause that requires the contractor to:

(a) Have a public works bond filed with the Construction Contractors Board before starting work on the project, unless the contractor is exempt under ORS 279C.836(4), (7), (8) or (9).

(b) Require, in every subcontract, that the subcontractor have a public works bond filed with the Construction Contractors Board before starting work on the project, unless the subcontractor is exempt under ORS 279C.836(4), (7), (8) or (9).

(4) Every subcontract that a contractor or subcontractor awards in connection with a public works contract between a contractor and a public agency must require any subcontractor to have a public works bond filed with the Construction Contractors Board before starting work on the public works projects, unless the subcontractor is exempt under ORS 279C.836 (4), (7), (8), or (9).

(5)(a) Every public works contract and subcontract must provide that each worker the contractor, subcontractor or other person who is a party to the contract uses in performing all or part of the contract, must be paid not less than the applicable prevailing rate of wage for each trade or occupation as defined by the Commissioner of the Bureau of Labor and Industries in the applicable publication entitled Definitions of Covered Occupations for Public Works Contracts in Oregon.

RFP 2026-06 Water Treatment Plant PLC & HMI Upgrade Appendix 3(A)

(b) If a public works project is subject to both ORS 279C.800 to ORS 279C.870 and to the Davis-Bacon Act (40 U.S.C. 3141 et seq.), every public works contract and subcontract must provide that the worker whom the contractor, subcontractor or other person who is a party to the contract uses in performing all or part of the contract, must be paid not less than the higher of the applicable state prevailing rate of wage for each trade or occupation as defined by the Commissioner of the Bureau of Labor and Industries in the applicable publication entitled Definitions of Covered Occupations for Public Works Contracts in Oregon or federal prevailing rate of wage.

(6)(a) The specifications for every public works contract must contain a provision that states the existing state prevailing rate of wage and, if applicable, the federal prevailing rate of wage required under the Davis-Bacon Act (40 U.S.C. 3141 et seq.).

(b) Except as provided in subsection (d) of this section and sections (8) and (9) of this rule, the existing state prevailing rate of wage and the applicable publication entitled Definitions of Covered Occupations for Public Works Contracts in Oregon are those in effect at the time the initial specifications were first advertised for bid solicitations.

(c) If a public agency is required under subsection (a) of this section or section (8) of this rule to include the state and federal prevailing rates of wage in the specifications for a contract for public works, the public agency shall also include in the specifications the requirement that the contractor pay the higher of the applicable state or federal prevailing rate of wage to all workers on the public works project.

(d) Pursuant to ORS 279C.838(4) and notwithstanding ORS 279C.830(1), if the contract is subject to both ORS 279C.800 to 279C.870 and the Davis Bacon Act (40 U.S.C. 3141 et seq.), the public agency may provide in the specifications for the contract a single date to be used to establish the “existing state prevailing rate of wage,” the applicable publication entitled Definitions of Covered Occupations for Public Works Contracts in Oregon, and the “applicable federal prevailing rate of wage” that is consistent with the federal requirements under 29 CFR 1.6.

(e) The specifications for a contract for public works must provide that the contractor and every subcontractor must have a public works bond filed with the Construction Contractors Board before starting work on the project, unless the contractor or subcontractor is exempt under ORS 279C.836(4), (7), (8) or (9).

(7)(a) The provisions described in sections (5) and (6), and sections (8) and (9) if applicable, must be included in all specifications for each contract awarded on the project, regardless of the price of any individual contract, so long as the combined price of all contracts awarded on the project is $50,000 or more (Reference: ORS 279C.830).

(b) A statement incorporating the applicable state prevailing wage rate publication and any amendments thereto into the specifications by reference will satisfy these requirements. Except as provided in subsection (c), such reference must include the title of the applicable wage rates publication or determination and the date of the publication or determination as well as the date of any applicable amendments.

(c) When the prevailing wage rates are available electronically or are accessible on the Internet, the rates may be incorporated into the specifications by referring to the electronically accessible or Internet-accessible rates and by providing adequate information about how to access the rates. Such reference must include the title of the applicable wage rates publication or determination and the date of the publication or determination as well as the date of any applicable amendments. The reference requirements of this subsection will be satisfied if such reference includes Uniform Resource Locator (URL) information for a webpage or webpages showing the title of each applicable wage rates publication or determination and the date of each publication or determination as well as the date of any applicable amendments.

(8)(a) When a public agency is a party to a CM/GC contract, the CM/GC contract becomes a public works contract either when the contract first constitutes a binding and enforceable obligation on the part of the CM/GC to perform or arrange for the performance of construction, reconstruction, major renovation or painting of an improvement that is a public works or when the CM/GC contract enters the construction phase, whichever occurs first.

(b) For example, the CM/GC will have a binding and enforceable obligation to perform or arrange for the performance of construction, reconstruction, major renovation or painting of an improvement after the public agency and CM/GC commit to the guaranteed maximum price.

(c) For purposes of this rule, the CM/GC contract enters the construction phase when the agency first authorizes the performance of early construction, reconstruction, major renovation or painting work directly related to the improvement project.

(d) The publication entitled Definitions of Covered Occupations for Public Works Contracts in Oregon and the prevailing wage rate in effect at the time the CM/GC contract becomes a public works contract shall apply and the applicable prevailing wage rates must be included with the construction specifications for the CM/GC contract.

(9) A public works project described in ORS 279C.800(6)(a)(B), (C), (D), or (E) that is not a CM/GC contract subject to section (8) of this rule, and for which no public agency awards a contract to a contractor for the project, is subject to the publication entitled Definitions of Covered Occupations for Public Works Contracts in Oregon and the existing state prevailing rate of wage or, if applicable, the federal prevailing rate of wage required under the Davis-Bacon Act that are in effect at the time a public agency enters into an agreement with a private entity for the project. (Note: The effective date of the applicable federal prevailing rate of wage may be different under federal law.) After that time, the specifications for any contract for the public works shall include the applicable prevailing rate of wage.

(10) If a project is a public works of the type described in ORS 279C.800(6)(a)(B), (C), (D), or (E), and no public agency awards a contract to a contractor for the project, a public agency will be deemed to have complied with the provisions of ORS 279C.830 if the public agency requires compliance with the provisions of section (7) of this rule in any agreement entered into by the public agency committing to provide funds for the project, to occupy or use the completed project, or authorizing the construction or installation of a solar radiation device.

(11) Public agencies may obtain, without cost, a copy of the existing state prevailing rate of wages for use in preparing the contract specifications by contacting the Prevailing Wage Rate Unit or any office of the bureau.

Statutory/Other Authority: ORS 651.060(4) & ORS 279C.808 Statutes/Other Implemented: OL Ch. 334 (2017) & ORS 279C.800-.870

— END OF APPENDIX 4(A) —

RFP 2026-06 Appendix 3(A)Water Treatment Plant PLC & HMI Upgrade

$19.44 per hour, effective June 30, 2025.

The Living Wage is adjusted annually every June 30 by the Consumer Price Index.

City of Ashland

LIVING

WAGE

For all hours worked under a service contract between their employer and the City of Ashland if the contract exceeds $27,163 or more.

For all hours worked in a month, if the employee spends 50% or more of the employee's time in that month working on a project or portion of the business of their employer, if the employer has ten or more employees, and has received financial assistance for the project or business from the City of Ashland over $27,163.

If their employer is the City of Ashland, including the Parks and Recreation Department.

In calculating the living wage, employers may add the value of health care, retirement, 401K, and IRS eligible cafeteria plans (including childcare) benefits to the employee's amount of wages.

Note: For temporary and part-time employees, the Living Wage does not apply to the first 1040 hours worked in any calendar year. For more details, please see Ashland Municipal Code Section 3.12.020.

Call the Ashland City Manager's office at 541-488-6002 or write to the City Manager, City Hall, 20 East Main Street, Ashland, OR 97520, or visit the City's website at www.ashland.or.us.

Notice to Employers: This notice must be posted in areas where it can be seen by all employees.

City of Ashland, Oregon

ALL employers described below must comply with City of Ashland laws regulating payment of a living wage.

For additional information:

Employees must be paid a living wage:

APPENDIX 3(B) - CITY OF ASHLAND LIVING WAGE 2025

RFP 2026-06 Appendix 3(B)Water Treatment Plant PLC & HMI Upgrade http://www.ashland.or.us/

APPENDIX 4. CURRENT WAGE REQUIREMENTS FOR PUBLIC IMPROVEMENT CONTRACTS
BOLI Prevailing Wage Rates
2021 City of Ashland Living Wage Notice

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