June 9, 2025
The Colorado Quality Apprenticeship Training Act of 2019 (the "Act") requires any contractor that receives a public project contract worth $500,000 or more from a Colorado government agency (along with all subcontractors on the project) to pay workers prevailing wages weekly and comply with prevailing wage enforcement requirements.
The Act establishes additional requirements for public projects that receive $1 million or more in state funding and do not involve federal funds. For these projects, the general contractor must submit documentation to the contracting agency when hiring any mechanical, electrical, or plumbing (MEP) subcontractor. This documentation must list the subcontractors, outline their scope of work, and certify that each participates in a U.S. Department of Labor registered apprenticeship program.
All contractors working on eligible projects are required to adhere to the following compliance guidelines:
(1) Pay, at a minimum, the appropriate prevailing wage to all construction workers and apprentices involved in the project on a weekly basis. For guidance on proper wage determinations, contractors are required to use the appropriate wage determinations issued by the DOL in accordance with the Davis-Bacon Act based on the trade, occupation, and geographical location for the work.
(2) Every contractor and subcontractor is required to submit accurate certified payroll reports to the awarding authority on a monthly basis. These reports must include all relevant payroll details, such as the name and address of any entities receiving fringe benefit payments.
(3) A poster listing the applicable prevailing wage determinations for each job classification on the project must be clearly displayed in a location accessible to all workers.
(4) All contractors and subcontractors must keep a daily on-site log of every employee working on the project. This log must include each worker’s name, main job title, and employer. The log must remain accessible on-site at all times for inspection by the contracting government agency.
(5) All contractors and subcontractors must ensure they are paying the correct apprenticeship contribution rate for each trade employed on the project. Contribution rates must align with the applicable 2025 rates published by the state. For current rates, refer to the Colorado Apprenticeship Contribution Rates spreadsheet linked in the Useful Resources section below. The apprenticeship contribution will be subtracted from the total prevailing wage package to prevent the contractor or subcontractor from paying it twice.
The following exceptions will exempt projects from the compliance guidelines:
(1) Projects with contracts that include federal funding.
(2) Department of Transportation (DOT) projects, as these are subject to the federal Davis-Bacon Act, which requires workers on public projects to be paid prevailing wages regardless of the project’s funding source.
The Colorado Department of Labor (CDLE) is responsible for enforcing the compliance standards listed above. They have the authority to investigate complaints and conduct site visits.
If a contractor or subcontractor fails to pay the required prevailing wages, public funds specified in the contract will be withheld until all outstanding payments are made in full.
In addition, the penalty structure for non-compliance is as follows:
1) Willful Violation Penalty:
• This penalty is assessed to any employer who willfully violated Colorado's prevailing wage laws.
• $5,000 fine for the first offense, $10,000 for the second, and $25,000 for third and/or subsequent offenses
2) Failure to Pay Prevailing Wages Penalty:
• Employers must pay owed wages plus double the underpaid amount as damages, with interest.
3) Debarment Penalty:
• Contractors with three or more willful violations during a five-year period may be banned from bidding on any public contract for up to three years.
Before any penalties are enforced, the contracting agency will notify the contractor of the violation and allow a fifteen-day period to resolve the issue. However, this cure period does not apply to violations classified as “willful.”
• Colorado Apprenticeship Contribution Rates
• Full Senate Bill 19-196 Text (i.e., Colorado Quality Apprenticeship Training Act of 2019)
