Welcome to our newsletter! You will find important updates and industry related news, along with upcoming speaking events and educational opportunities. Thank you for your interest in CCMI.


Deborah Wilder
CCMI President 


New Sick Pay Mandated on Direct Davis Bacon Contracts
Before leaving office, President Barack Obama issued Executive Order 13706 requiring that paid sick leave be mandated for all government contracts. The policy went into effect January 1, 2017 and new proposed regulations are now finalized. It does not appear that President Trump will rescind the Executive Order so all contractors/subcontractors should be aware of the requirements:
  • Paid Sick Leave applies to ALL direct federal contracts awarded after January 1, 2017. For our readers that generally means the Davis Bacon Act and the McNamara- O'Hara Service Contract Act.
  • This applies to contracts between a U.S. Agency and the prime contractor. This does NOT apply to any project awarded by a state or local agency which may have federal funding.
  • Workers accrue 1 hour of paid sick leave for every 30 hours worked on a federal contract.
  • There is a maximum cap of 56 hours per year.
  • Unused sick leave can carry-over from year-to-year, but the maximum amount of leave that can be accrued at any one time is 56 hours.
  • Employees do not have to be paid for accrued sick leave when their employment is terminated
  • However, if an employee is rehired within 12 months of layoff, then any accrued leave must be reinstated.
  • Contractors/Subcontractors should be aware that various states also have mandated sick pay requirements so that a company's employment policies should be coordinated to create a consistent policy

Training and Seminars 

September 26, 2017 CSDA Conference - Monterey. Breakout Session 2 pm.  
SB 96 Impact on Public Works Projects

September 29, 2017 What Every Contractor Should Know about Prevailing wages. 9 am - 4 pm. San Diego. Contact ABC of San Diego for registration  www.abcsd.org

October 5, 2017 What Every Contractor Should Know about Prevailing Wages 9 am - 4 pm. Monterey (location and price TBD).

October 25, 2017 What Every Contractor Should Know about Prevailing Wages 9 am - 4 pm Redding, CA.  Contact Shasta Builder's Exchange for registration

November 2, 2017 What Every Contractor Should Know about Prevailing Wages 9 am - 4 p.m. Sacramento, CA. Contact ABC of Northern California for registration www.abcnorcal.org

You asked, we answered!

I am an owner/operator, sole proprietor, or business
owner, and I do not receive payroll checks or pay myself an hourly salary. How do I handle certified payroll reporting for my own work, and how do I determine how much I am being paid for that work?

On Federal Davis Bacon projects, anyone who is an FLSA 541 exempt employee is exempt from prevailing wage requirements. That typically extends to owners and supervisors. A working foreman must be paid prevailing wages.

Some states, such as California, require owners, partners, owner-operators and supervisors who perform actual craft work to be paid prevailing wages and documented on the certified payrolls.  The California Department of Industrial Relations has provided the following guidance in how owners and owner-operators should calculate wages for the purposes of reporting on the certified payrolls.

"Even if you are paid by salary, draw, or contract payments, you still should be able to provide the following information for any work you perform on public works projects: (a) your name, address, and SSN (or FEIN, if you have no SSN); (b) the work classification for your prevailing wage work; (c) the hourly rate for that classification; (d) the number of hours that you performed that work; and (e) the estimated amount paid to you for your labor for that work. To calculate how much you were paid for your own labor, subtract all your other expenses (including materials, pro rata share of business overhead, and payments to other workers or subcontractors) from the gross contract price. 

The net amount should be your labor cost, and it should be equal to or higher than the compensation required for your work classification (determined by multiplying your work hours by the applicable rates) in order to comply with prevailing wage requirements."

CCMI is not just another firm....

We are not merely a "consulting" firm, but rather a team of individuals who understand the needs of the Public Entity and contractors to "get the project done." Our staff includes retired contractors, auditors, attorneys and industry veterans.