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MEMORANDUM
Subject: Applicability of Davis-Bacon Wage Rates to Utility Work Date: April 21, 1986
From: Director, Office of Highway Operations Reply To: HHO-32
To: Mr. M. Eldon Green
Regional Federal Highway Administrator, HRA-10
Portland, Oregon

We acknowledge your March 27, 1986, memorandum informing of the conflict in interpretation over applicability of Davis-Bacon wage rates to utility-let contracts financed with Federal funds. Representatives of the U.S. Department of Labor (DOL) have contended that Davis-Bacon wage rates are applicable on such contracts while Mr. Anders' memorandum of law, dated May 15, 1985, indicated that Davis-Bacon wage rates are not applicable.

Please be advised that the May 15, 1985, memorandum of law is affirmed. Further, it is our position that the Federal Highway Administration (FHWA) is vested with final authority for administration of programs financed under Title 23 assistance.

Issuance of contradictory instructions from Federal agencies is regrettable. Inasmuch as the FHWA has final authority in this matter, future conflict at project level should be avoided by requesting that DOL representatives pursue their complaint through DOL channels.

Original signed by David S. Gendell

Updated: 06/27/2017
Federal Highway Administration | 1200 New Jersey Avenue, SE | Washington, DC 20590 | 202-366-4000