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Can an employer recover extra compensation if a prevailing wage rate determination was issued after a contract was awarded or negotiated?

April 26, 2017compensation contract determination employer extra issued rate recover Wage

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Can an employer recover extra compensation if a prevailing wage rate determination was issued after a contract was awarded or negotiated?

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Yes. A state agency or local governmental unit is required to either terminate the contract and resolicit bids using the prevailing wage rate determination or reimburse the affected employer for any valid increased costs through a change order or other appropriate procurement procedure.