At a Glance
Quick Answer
Indiana does not have a state prevailing wage law. Federal Davis-Bacon Act still applies to federally funded construction projects over $2,000.
Indiana repealed its Common Construction Wage law in 2015. Only federally funded construction projects are subject to Davis-Bacon prevailing wage requirements.
Context
Prevailing Wage & Bidding in Indiana
Indiana repealed its Common Construction Wage law effective July 1, 2015, eliminating the wage boards that previously set local rates and ending the ability of local governments to require prevailing wages on their projects. For contractors bidding state, county, or municipal work in Indiana today, this means there is no state wage schedule to follow. You price labor at your own market rates, which can make Indiana bids leaner but puts the full burden of accurate labor estimating on your team.
Federally funded construction is the exception that still governs. The federal Davis-Bacon Act applies to any project receiving federal funds that exceeds $2,000, requiring payment of the U.S. Department of Labor wage determination for the relevant county and trade classifications, plus weekly certified payroll submitted to the contracting agency. Because many Indiana projects, particularly highways, transit, and federally assisted housing, draw federal dollars even when administered locally, you must check the funding source before assuming open-market pricing applies.
The practical estimating discipline is straightforward: identify funding early in the bid process, apply Davis-Bacon wage and fringe rates where federal money is present, and add the cost of certified-payroll administration to those line items. On purely state, local, or private Indiana work, price competitively to market. The most common and costly error is bidding a federally assisted job at open-market labor rates, then discovering certified-payroll and prevailing-wage obligations after award, which erodes margin and exposes you to back-wage liability.
Details
Coverage Details
State Status
- Law
- Repealed in 2015
- Agency
- N/A — State law repealed
- Certified Payroll
- Not required at state level
Federal Davis-Bacon Coverage
The federal Davis-Bacon Act applies to all federally funded or federally assisted construction contracts over $2,000 in Indiana. This includes projects funded by federal agencies, FHWA highway projects, HUD housing, and projects receiving federal grants.
Reference
Key Facts
Indiana's Common Construction Wage law repealed effective July 1, 2015
Federal Davis-Bacon Act still applies to federally funded projects over $2,000
The repeal eliminated wage boards that previously set local rates
Local governments can no longer require prevailing wages on their projects
Enforcement
Penalties
Federal Davis-Bacon penalties apply to federally funded projects only.
Resources
Related Tools & Templates
Turn wage rules into bid-ready alerts
Use ConstructionBids.ai to track matching public projects, save bid searches, and move wage-sensitive scopes into your estimating workflow.
FAQ
Questions Contractors Ask
Does Indiana have a prevailing wage law?
No. Indiana does not have a state prevailing wage law. Indiana repealed its Common Construction Wage law in 2015. Only federally funded construction projects are subject to Davis-Bacon prevailing wage requirements.
Does Davis-Bacon apply in Indiana?
Yes. The federal Davis-Bacon Act applies to all federally funded construction projects over $2,000 in Indiana, regardless of state law. Contractors must pay the prevailing wage rate determined by the DOL for the project location.
Is certified payroll required in Indiana?
Indiana does not have a state-level certified payroll requirement. However, certified payroll (WH-347) is still required on any federal Davis-Bacon project in the state.
What are the penalties for prevailing wage violations in Indiana?
Federal Davis-Bacon penalties apply to federally funded projects only.
Did Indiana repeal its prevailing wage law?
Yes. Indiana repealed its Common Construction Wage law effective July 1, 2015. The repeal also eliminated the wage boards that set local rates and removed local governments' authority to require prevailing wages, leaving only federal Davis-Bacon rules on federally funded projects.
Can Indiana local governments still require prevailing wages?
No. The 2015 repeal removed local governments' ability to mandate prevailing wages on their projects, and it dissolved the wage boards that previously set local rates. Local and state public work is now bid at market labor rates unless federal funding triggers Davis-Bacon.
What labor rules apply to federally funded Indiana projects?
The federal Davis-Bacon Act applies to federally funded projects exceeding $2,000. Contractors must pay the U.S. Department of Labor wage determination for the county and trade, pay required fringes, and submit weekly certified payroll to the contracting agency, regardless of Indiana's state repeal.