Government Contracts

Verus Health Partners can help you navigate the ins and outs of government contract related health care issues. We collaborate with you and your business to ensure your contract requiremnts are met.

What Is the Davis-Bacon Act?

The Davis-Bacon Act of 1931 requires contractors and subcontractors working on federally funded jobs to pay their laborers wages and benefits no less than what others locally pay their workers for similar projects. This is called the “prevailing” wage. Under Davis-Bacon, contractors can pay this wage out as a combination of cash and fringe benefits.

Davis-Bacon generally applies to contracts in excess of $2,000 to which the U.S. government or District of Columbia is a party. It includes construction, alteration or repair of public buildings and public works. It also requires the contractor or subcontractor to display the relevant wage scale prominently at the work site.

Who Earns Davis-Bacon Wages?

he Davis-Bacon Act states that prevailing wages must be paid to “all mechanics and laborers employed on the site of the work,” but it’s important to determine who these employees are and what the site of the work is.
Government Contracts

Essentially, this means any job that manual or physical in nature is covered by the Davis-Bacon Act.  The job site itself also matters.  For example, if a contruction project has items that can be pre fabricated in an off site area that is used by the contractor for other jobs, this time worked would not be impacted by the Davis-Bacon act.  For government contract holders, it is very important to understand these differences to ensure your sub contractors are always getting to correct amount of wages.  Verus Health Partners can help you define proper wages, but health related coverage as well.

From wages to health care coverage, we can help

Government Contracts

Verus Health Partners is the preferred choice on the Space Coast for Government Contract work.  Our team of friendly and knowledgable agents will help ensure your project is successful by evaluating your unique situation and requirements to be met.

"Contact us today for a no obligation consultation about your government contract today. It would be our honor to serve you.
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Keith Giles
President

The McNamara-O'Hara Service Contract Act of 1965

The SCA has serious implications on your government contract project. It covers the manner in which contractors (and subcontractors) must compensate certain service employees. Strict compliance with the SCA is mandatory. Failure to comply with the rules and regulations can result in serious problems during or post performance, including Department of Labor (DoL) investigations. If workers were not compensated properly, it can results in fines and back wages to be paid which can cost thousands of dollars, even after a project is completed. At Verus Health Partners, we strongly encourage contractors to establish an SCA compliance program that prevents these issues from occurring. We can help you ensure you are protected from violations that can be prevented.

Living Wage Ordinances

Contractors and subcontractors who do business with a city or county that has a living wage ordinance must pay their employees at least a certain hourly rate and comply with other provisions of the ordinance.  This also includes offering health benefits, providing leave, maintaining adequate records, and posting notice about living wage provisions.

A living wage ordinance requires employers to pay wages that are above federal or state minimum wage levels.  It is designed to meet to meet basic subsistence needs in a particular geographic area. Only a specific set of workers are covered by living wage ordinances.  Generally speaking those employed by businesses that have a contract with a city or county government or those who receive economic development subsidies.  The thought process behind such ordinances is that local governments should not contract with companies who pay poverty level wages.  It prevents underbidding during the initial contract phase as well.

At Verus Health Partners, we can help you assess your coverage levels to ensure your bid is accurate and profitable.