New Mexico's prevailing wage law applies to public works contracts exceeding $60,000 for construction, alteration, demolition, or repair. Contractors must register with the state before bidding on prevailing wage projects. Registration must be renewed annually.
New Mexico has an active prevailing wage law (New Mexico Public Works Minimum Wage Act (NMSA 1978, Sections 13-4-10 to 13-4-17)). Administered by New Mexico Department of Workforce Solutions, Labor Relations Division. Certified payroll is required. Federal Davis-Bacon applies to all federal projects.
Contractors bidding public work in New Mexico answer to the Public Works Minimum Wage Act (NMSA 1978, Sections 13-4-10 to 13-4-17), administered by the Department of Workforce Solutions, Labor Relations Division. Coverage starts on public works contracts exceeding $60,000 for construction, alteration, demolition, or repair. Below that figure the state act does not apply, but at or above it your estimate must be built on the published prevailing rates, which the state derives from local surveys and collective bargaining agreements, not on your internal pay scales.
A distinctive New Mexico requirement affects your ability to bid at all: contractors must register with the state before bidding on prevailing wage projects, and that registration must be renewed annually. Let it lapse and you can be disqualified from bidding, so treat registration as a standing prerequisite, not a per-project task. Certified payroll is required, so price the administrative burden of weekly reporting and accurate trade classification into your overhead. The most expensive mistakes here are classifying mechanics as laborers and missing fringe obligations on the published schedule.
When federal dollars are in the mix, Davis-Bacon applies alongside the state act, and you must pay the higher applicable rate for each classification. Pull both the New Mexico determination and the federal wage decision during the estimate so labor is priced correctly before submission. Non-compliance carries back wages, civil penalties, and debarment from public contracts, and back-wage exposure cannot be recovered through change orders, so lock in the correct rates, fringes, and your active registration status before the bid goes in.
The federal Davis-Bacon Act applies to all federally funded or federally assisted construction contracts over $2,000 in New Mexico. This includes projects funded by federal agencies, FHWA highway projects, HUD housing, and projects receiving federal grants.
Contractors face payment of back wages, debarment from public contracts, and civil penalties. Failure to register may result in disqualification from bidding.