Public Works Small Project Exemption Clarified

The Department of Industrial Relations (DIR) issued the following notice clarifying requirements for small project exemption under the Public Works Contractor Registration program:

  • Contractors who work exclusively on small projects are not required to register as public works contractors or file e-certified payroll reports.
  • However, prevailing wages must still be paid on projects with the small project exemption.
  • Contractors are still required to maintain certified payroll records and provide them to the Labor Commissioner's Office upon request.
  • Small project exemption is applied based on the amount of the entire project, not a contractor's subcontracted amount of the project.
  • Small project exemption applies for all public works projects that do not exceed $25,000 for new construction, alteration, installation, demolition or repair; and $15,000 for maintenance.

Further details on recent changes can be found on DIR's Public Works website.