Electrical Contracting Term
Statement of compliance
Definition
The signature on each weekly public-works payroll, and what it certifies.
Why It Matters
Prevailing wage is the rate and the certified payroll is the report; this is the part somebody signs. Each weekly payroll goes in with a signed statement certifying that the record is correct and complete, and that each worker was paid not less than the applicable rate for the classification of work performed. It may be filed on the optional federal form or in any other format. The federal rules say plainly that falsifying it may bring civil or criminal prosecution under the false statements and false claims statutes. The sanction that actually removes value is different again. Failure to submit can suspend further payment and is grounds for debarment, which does not shrink a public backlog but ends it. Payrolls are kept for three years after all work on the prime contract finishes, so they should exist for a buyer to read, and their absence is the finding. Ask who signs, and whether that person is staying.