david whittle on
Friday, January 26, 2001 - 10:42 am:
If the GSA is leasing real property and a new building is
being built strictly for Gov. use does the Davis-Bacon Act
apply, is the Lessor required to pay the prevailing DB wage
carol elliott on
Friday, January 26, 2001 - 12:14 pm:
If the building is being built for a Government purpose the
Davis Bacon Act will probably apply.
Some of the cases you might review are: "In the Matter of Crown
Point Indiana Outpatient Clinic", WAB Case No. 86-33 (June 26,
1987); "Building and Construction Trades Dept. V. Turnage",
Civil Action No. 87-2827 (D.D.C 1987); and "In the Military
Housing, Ft. Drum", WAB Case No. 85-16 (August 23, 1985). I
don't have a web site for these cases, but I'm sure your legal
office can locate them for you.
Based on these cases and my own experience, title of the
property is a factor but not the only factor in determining
whether DBA applies. In the cases sited above, the Government
was not taking title. The Government was leasing the property.
It was determined that DBA applied because the purpose of the
construction was to meet a Government need, the Government
provided detail specifications or approved the construction
specs, and the lease terms were such that the Government paid
for the construction over time.
On the flip side I have successfully argued that construction
work being performed on a federally owned facility was not
covered under DBA. The rationale was that the property was
leased to a private entity, the government neither required nor
approved the construction specs, and the government was not
reimbursing the Lessor for the construction costs.
This can be a difficult issue and without looking at all the
facts of your project it's hard to give a definite answer. When
I ran into this issue, I looked at the legal and contract
requirements, made a decision and moved on. Little did I know
the political hornet's nest I had walked into. In addition to
coordinating this with your legal office, I suggest you brief
your management on the issues to make sure they understand your
rationale and that you have their full support.