Pursuant to Title VI of the Federal Clean Water Act, 33 U.S.C. § 1381 et seq., the Department makes loans available to municipalities and counties for wastewater treatment facilities. The money that is in the Fund and available for loans includes a State appropriation of approximately 20 percent to match the federal contribution. See, e.g., 67 Del. Laws c. 285 § 38(a). The loan from the Fund is expended by the municipality or county by contracting with a builder to construct some part of a wastewater treatment facility. Your threshold inquiry deals with whether that contract between the municipality and the contractor requires the payment of the prevailing wage rates.
The Prevailing Wage Law, 29 Del. C. § 6912 provides that:
(a) The specification for every contract or aggregate of contracts relating to a public works project in excess of $100,000 for new construction (including painting and decorating) or $15,000 for alteration, repairs, renovation, rehabilitation, demolition or reconstruction (including painting and decorating of building or works) to which the State or any subdivision thereof is a party and for which the State appropriated any part of the funds and which requires or involves the employment of mechanics and/or laborers shall contain a provision stating the minimum wage to be paid various classes of laborers and mechanics....
Subsection (a) of § 6912 requires the prevailing wage to be paid as part of the contract specifications if the contract concerns a public works project in excess of $100,000, the State or any subdivision is a party, the State appropriated any part of the