Frequently Asked Questions (FAQs) - Solar Energy Project Requirements - Prevailing Wage - Division of Labor and Industry

1. What is the Prevailing Wage Requirement for Solar Energy Projects?       

Section 7-714 of the Public Utilities Article requires that the developer of a solar energy generating system that has a generating capacity over 1 megawatt ensure that all workers on the project are paid at least the applicable prevailing wage rates for the work performed.

2.  How Are Rates Obtained?      

To obtain rates, a developer should go to the Maryland Department of Labor’s (the Department) prevailing wage portal and navigate to the informational wage rate page available there. The dropdown menu has three fields: (1) “Type of Requestor” (2) “Type of Prevailing Wage” and (3) “Jurisdiction.” For “Type of Requestor” select “Other.” For “Type of Prevailing Wage” the options are “Building Construction” and “Highway Construction.” Select the wage type that best corresponds to the work to be performed under the project. Under “Jurisdiction” select the appropriate county.

If there is a job classification that is not listed on the website, a developer may request additional rates by contacting the Department by email at dldliprevailingwage-dllr@maryland.gov.

3.  What is the Trigger Date for Determining Whether a Project is subject to §7-714?      

A project is subject to the requirements of §7-714 on the date that the developer submits an official interconnection request to a utility using the utility’s interconnection web portal.

4.  What Rates Must Be Paid?     

The law requires that developers ensure that all employees performing covered work are paid in compliance with the existing prevailing rates for such work that are set by the Commissioner. These rates are set annually on December 1 and change each year. Developers should be aware that the rates they are required to pay for covered work may change each December 1, and are not fixed for the term of their contract.

5.  Must a developer submit certified payroll records under the law?

No. The projects covered by §7-714 of the PUA are not subject to the requirements of the Maryland Prevailing Wage Law (State Finance Article, Title 17, subtitle 2). Developers do not have to submit certified payroll records to the Department. The law only directs developers to ensure that employees are paid certain rates for covered work. The law did not bring the described solar projects within the full scope of the Prevailing Wage Law.

6. How will the provisions of the law be enforced?

The law provides for enforcement only under the Maryland Wage Payment and Collection Law, Title 3, Subtitle 5 of the Labor and Employment Article. The obligation to pay the prevailing rates under PUA §7-714 is not enforceable under the provisions of the Prevailing Wage Law.

If an employee believes they have not been paid the wages required by §7-714 of the PUA, the employee may file a complaint with the Wage and Labor Standards enforcement unit at workrights@maryland.gov or call the hotline at 410-767-2357 (410-767-2370 for Spanish) (8:00 a.m. - 4:30 p.m.)

For additional information, contact:
Division of Labor and Industry
Prevailing Wage for State Funded Construction Unit
10946 Golden W Drive Suite 160
Hunt Valley, MD 21031
410-767-2342
e-mail: dldliprevailingwage-labor@maryland.gov
Ayuda en Español: Jose Ruiz, 410-767-2370