The prevailing wage and apprenticeship (PW&A) requirements for projects seeking Inflation Reduction Act (IRA) credits are powerful. If compliant with PW&A, the base credit is increased five times.

The requirement is not as simple as Davis-Bacon and Related Acts prevailing wage provisions. Receiving the enhanced credit requires ongoing and prompt cure of noncompliance, payment of penalties and substantial record keeping. Manual record keeping on Excel spreadsheets will not be enough. Learn more about our prevailing wage and apprenticeship compliance management solution.

  • Baker Tilly has developed a solution for managing compliance with IRA PW&A requirements.
  • Our compliance portal ingests data from a trusted cloud-based prevailing wage and workforce compliance management solution.
  • We leverage this data to evaluate compliance, manage noncompliance cures and provide transparency on project performance relative to the requirement.

The solution

  • Provide interpretation of IRA guidance
  • Provide apprenticeship request template and supplemental wage requests
  • Identify local registered apprenticeship programs
  • Deliver program training to contractors and subcontractors
  • Custom tools for the client and program to monitor PW&A compliance
  • Notify clients when trending towards noncompliance
  • Generate a final deliverable for tax credit filing

The portal

  • Vendors submit weekly payroll data into our new PW&A compliance portal
  • Vendors certify prevailing wage is paid and generate a certified payroll
  • “Certified payroll” ensures compliance with prevailing wage, immediately
  • Apprenticeship and penalty evaluated by Baker Tilly, against certified payroll, daily

Portal resources

  • Documentation of compliance for audit file
  • Governance of good faith effort
  • Calculation of apprentice wage
  • Cataloging expected penalties
  • Governance of wage determinations