PWA compliance

Stay ahead of PWA penalties with real-time compliance.

An underpayment is easier to address when you can see it early. DSPTCH shows which workers and pay periods are short, calculates what’s owed, and tracks the correction deadline. Contractors keep their existing payroll system.

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Projects   ›   Sandhill Crossing Solar

Sandhill Crossing Solar

Owned by Demo EPC · Shared with RidgeVolt

Avoidable$325,128.88Backpay and penalties still inside the correction window
Final$270,100.00Past the deadline · cannot be reduced
Potential total exposure$595,228.88If nothing is corrected before the deadlines

Issues

Compliance issues on this project, summarised per contractor job. Open a job to see each issue, its next step and the work that clears it.

Backpay Owed
180 issues
$500,762.96
Apprentice Labor Hour Penalty
6 issues
$74,500.00
Apprentice Participation Penalty
6 issues
$12,500.00
Late Data
3 issues
$0.00
State Underpayment
9 issues
$7,465.92
Issues by contractor · 10 jobs · 204 open issuesOpen issues
ContractorOpen issuesFixable ($)Final ($)
#9343 · Self-Perform Electrical6
5 Backpay Owed1 Apprentice Labor Hour Penalty
$17,109.80incl. $2,409.80 backpay$5,000.002 issues past deadline
#9412 · Demo Subcontractor 1 Electrical (example)5
3 Backpay Owed1 Apprentice Labor Hour Penalty1 Late Data
$8,167.12incl. $1,017.12 backpay$10,000.002 issues past deadline
#9418 · Demo Subcontractor 2 Steel (example)4
2 Backpay Owed1 Apprentice Participation Penalty1 State Underpayment
$10,784.20incl. $784.20 backpay–
#9421 · Ridgeline Electrical (example)53
46 Backpay Owed1 Apprentice Labor Hour Penalty1 Apprentice Participation Penalty5 State Underpayment
$79,920.18incl. $17,320.18 backpay$65,000.0029 issues past deadline
$200M

in pay flowed through DSPTCH

$500K

backpaid to workers

50%

less compliance paperwork

How it works

PWA compliance for your contractors.

DSPTCH puts contractor management on autopilot, automating document collection, reviewing payroll data in real time, and flagging issues before they become fines. Add managed services for hands-on contractor follow-up and payroll collection.

  1. Introduce your PWA project

    Share your project details. We set up your site in DSPTCH and link it to the applicable wage determinations for its county.

  2. We onboard every contractor (including their subs)

    We coordinate onboarding for each contractor and subcontractor, keeping you informed every step of the way.

  3. Contractors upload their payroll. We take it from there

    Contractors upload their existing payroll reports. DSPTCH transforms and processes the data, flags issues, and provides clear next steps.

  4. DSPTCH coordinates the correction

    DSPTCH identifies corrective actions and communicates the deadlines to avoid fines to you and your contractors.

  5. Avoid and withhold fines

    While most fines are proactively prevented, DSPTCH flags any penalties incurred by contractors who fail to correct issues in time, allowing you to withhold the appropriate amounts before they leave the site.

In the product

Less chasing. A clearer view of compliance.

Wage determinations

Stop checking wage rates by hand.

Keep the applicable rates on each job. DSPTCH tracks published changes and shows which workers need attention.

Labor classificationClass codeWage rateFringe rate
ElectricianFederal
0 positions		SUTX2009-144$15.99$0.00
ElectricianRegional
1 position satisfying rate		N/A$45.00$25.00
ELECTRICIAN: Zone 1Federal
1 position satisfying rate		ELEC0265-006$35.00$18.88
LaborerRegional
2 positions satisfying rate		N/A$20.00$9.00
Laborer: Common or GeneralFederal
2 positions satisfying rate		SUNE2001-010$13.30$1.31
Certified payroll

Stop rebuilding certified payroll.

Upload payroll once. Generate WH-347s and export supporting reports from the same data.

Export All Pay Periods
  • WH-347
  • Feature Allocation CSV
  • Fringe and Apprenticeship XLSX
  • IL CTP
Apprenticeship

See a labor-hour shortfall coming.

Track your apprentice share and remaining journeyworker capacity before more hours change the balance.

Illustrative project data
Apprentice labor hoursAbove requirement
17.50%
15% required
Apprentice hours12,600
Journeyworker hours59,400
Journeyworker hours available
12,000hours

Additional hours before falling below 15%, assuming no additional apprentice hours.

Cumulative apprentice labor hours

Labor hour share15% requirement
25%20%15%10%5%0%First hoursMidpointLatest
Job view

Know what’s overdue and who needs to act.

See each job’s exposure, open issues and outstanding tasks together, with the next steps and deadlines.

WorkTimeSafetyActivityPeopleApprenticeshipsAsset TrackerCompaniesOverSiteAtlas
JobsProjects
Projects › Sandhill Crossing Solar › Job #9343

Job #9343 - Self-Perform Electrical

Provided by Demo EPC
Participating in Sandhill Crossing Solar from Demo EPC
Shared with RidgeVolt
Avoidable$17,109.80Backpay and penalties still inside the correction window
Final$10,000.00Past the deadline · cannot be reduced
Potential total exposure$27,109.80If nothing is corrected before the deadlines

Issues

Backpay Owed

3 issues$17,409.80

Apprentice Labor Hour Penalty

1 issue$4,700.00

Apprentice Participation Penalty

0 issues$0.00

Late Data

0 issues$0.00

State Underpayment

0 issues$0.00

Issue typeWorkerNext stepOwed ($)Avoidable ($)Final ($)Remind
Backpay OwedT. Nguyen1 week · 07/26/26Approval Needed$256.44$5,000.00–Review pending
Backpay OwedR. Delgado2 weeks · latest 08/16/26Diagnosis Needed$256.16$5,000.00–
Apprentice Labor Hour Penalty12.6% Apprentice Labor HoursBelow required 15%Diagnosis Needed–$4,700.00–
Backpay OwedM. Okafor2 weeks · latest 06/21/26Diagnosis Needed$1,897.20–$5,000.00
Fixed · 2 cured · $10,000.00 saved · 1 dismissed
Open issues on the rows shown · $22,109.80$2,409.80$14,700.00$5,000.00

Overdue To-dos

Showing 4 to-dos

Outstanding work to clear this job’s issues and other past-due tasks.

To-do titleStatusAssigneePay periodDue dateAssociated penalty
Upload Revised Source FileT. Nguyen, week ending 07/26/26Under ReviewAnyoneJul 20 – Jul 26, 2026Jul 30, 2026$5,449.82At stake
Upload Proof of Backpay PaymentR. Delgado, week ending 08/16/26Action neededAnyoneAug 10 – Aug 16, 2026Aug 20, 2026$5,449.82At stake
Company PWA Details for Job’s RegionAction neededAnyone–Oct 1, 2026–
PWA Job Compliance AttestationAction neededAnyone–Oct 1, 2026–
What the IRA requires

Three pillars. One record of hours behind all of them.

The Inflation Reduction Act ties a 5x credit multiplier to prevailing wage and apprenticeship. Failing either cuts the credit by 80% unless it is cured under 26 CFR 1.45-7 and 1.45-8. DSPTCH tracks each pillar from the same hours.

Pillar 01 · Prevailing wage

Davis-Bacon rates to every laborer and mechanic

Every laborer and mechanic on covered construction, alteration or repair is paid no less than the DOL prevailing wage and fringe for the locality and classification, at every contractor tier.

$5,000per worker per year once the cure window closes
  • Covered credits: IRC sections 30C, 45, 45Q, 45V, 45Y, 45Z, 48, 48C, 48E and 179D
  • Runs through the alteration and repair window: 5 years for ITC, 10 years for PTC
  • Scope follows Davis-Bacon classifications and DOL conformance under 29 CFR 5.5
Pillar 02 · Apprenticeship

Labor hours, daily ratio and participation

Three tests that run independently, every day, for every contractor on covered work. DSPTCH computes all three from the clock-ins and the apprentice's registered program.

$50per deficient labor hour, $500 for intentional disregard
  • Labor hours: 15% of total construction labor hours by qualified apprentices (12.5% for 2023 starts)
  • Daily ratio: the apprentice-to-journeyworker ratio set by the program, tested each day on site
  • Participation: any contractor with 4 or more workers on covered work employs at least one apprentice
Pillar 03 · Cure and records

Correct inside the window, keep audit-ready records

Treasury's correction framework preserves the 5x credit when backpay, interest at section 6621 plus 6 points and the per-worker penalty are paid in time. Records have to hold for the six-year statute of limitations and the 5-year ITC recapture window.

180 dayscure window for prevailing wage failures after IRS final determination
  • 3x backpay and $10,000 per worker if intentional disregard applies
  • Good faith effort exception under 26 CFR 1.45-8(f) needs the 5-business-day denial on file
  • Weekly certified payroll, determinations, daily ratio logs and apprentice registrations, kept per worker

Working across federal and state requirements?

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Pricing

Run the software. Add support where you need it.

One-time setup, a per-user subscription and optional managed services.

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Free wage determination check

Start with your site address.

Book a demo and bring your site address. We’ll help point you to the county’s wage determination details.

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Book a demo to get your free check Bring your site address to the demo.
Common questions

PWA compliance, answered.

The ten questions we hear most on demos. The full field guide and the state program guides are in Resources.

What is PWA compliance?

Meeting the prevailing wage and apprenticeship requirements the Inflation Reduction Act attaches to the clean energy tax credits. Contractors pay federal prevailing wages to every laborer and mechanic, hit the apprenticeship hour and ratio thresholds, and keep audit-ready records. Failure triggers backpay, $5,000 per worker per year cure provision penalties, and puts the credit at risk.

What is a wage determination?

The official list of minimum base wage and fringe rates for each labor classification on a covered project. Federal determinations come from the U.S. Department of Labor and apply to IRA clean energy work; state determinations come from agencies such as California DIR, Oregon BOLI and NYS DOL. Rates change over time, which is why DSPTCH tracks the source and re-rates workers when a modification is published.

Are fringe benefits part of the obligation?

Yes. Each determination publishes a base hourly rate and a fringe rate per classification, and the obligation is the sum. The fringe portion can be met with bona fide benefits (health insurance, retirement contributions, paid leave) or paid as additional cash wages. Mis-tracking fringe is one of the most common sources of underpayments, so DSPTCH shows the cash wage and the fringe credit separately for every worker and week.

How is the IRA cure provision penalty calculated?

For each worker paid below the required prevailing wage, the contractor owes backpay plus interest, plus a $5,000 per worker per year penalty paid to the IRS. Intentional disregard raises that to $10,000 per worker with a 3x multiplier on backpay. The cure window is time-limited, so DSPTCH shows the balance and the deadline for recorded shortfalls and their next correction steps.

What are the apprenticeship requirements?

Three tests. Labor hours: qualified apprentices perform at least 15% of total construction labor hours for projects that began construction in 2024 or later (12.5% for 2023 starts). Daily ratio: the apprentice-to-journeyworker ratio set by the registered program is met every day on site, in every occupation. Participation: any contractor or subcontractor with four or more workers on covered work employs at least one qualified apprentice. DSPTCH computes all three from the clock-ins.

What is a WH-347?

The U.S. Department of Labor's standard certified payroll report. Contractors and subs file it weekly to document each worker's classification, daily hours, gross wages, deductions, fringe and a signed Statement of Compliance. It is required on federal and state prevailing wage work, including IRA projects. DSPTCH generates it from the same hours and payroll in one click, for every contractor, and bulk signs it.

Does prevailing wage apply to O&M and repair work?

Often, yes. The requirement runs through the alteration and repair period after a facility is placed in service: 5 years for ITC-type credits under sections 48 and 48E, 10 years for PTC-type credits under sections 45 and 45Y. Routine inspection and minor servicing are generally excluded; substantive alteration or repair in those windows is covered and requires Davis-Bacon wages.

Who is responsible, the developer or the contractor?

The taxpayer claiming the credit is responsible to the IRS, which is usually the developer, asset owner or tax-equity investor. Every contractor and subcontractor performing covered work at every tier must still meet the requirements. In practice owners flow the obligation down through EPC and subcontract agreements and rely on real-time visibility to confirm it is being met, which is the owner view above.

Does DSPTCH replace our payroll system?

No. DSPTCH sits alongside your existing payroll (ADP, Paychex, QuickBooks, Gusto and 200+ others). It validates what payroll paid against the prevailing wage and apprenticeship requirements, surfaces shortfalls before the pay period closes, and produces the certified payroll. Your payroll keeps running; DSPTCH keeps it compliant.

What is the difference between DSPTCH and an auditor?

DSPTCH helps your team review wage and apprenticeship issues during the project. An auditor can provide a separate review of your records. Use the same hours, payroll and correction evidence to support both workflows.

Do our subcontractors have to switch payroll?

No. They can keep their payroll provider and share the reports they already run. We walk through the data needed for your project during setup.

Can we start after construction is underway?

Yes. Bring the payroll records you already have. We can review the available data, identify gaps and discuss which corrections are still possible.

What if a subcontractor does not respond?

DSPTCH shows the missing records, outstanding issues and next steps. Optional managed services add collection assistance and contractor follow-up.