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SB667 • 2026

Public service company; prevailing wage rate, apprenticeship requirements, penalties.

<p class=ldtitle>A BILL to amend the Code of Virginia by adding in Chapter 3 of Title 40.1 an article numbered 1.2, consisting of sections numbered 40.1-28.13, 40.1-28.14, and 40.1-28.15, relating to prevailing wage rate; apprenticeship requirements; RPS-eligible source work; penalties.</p>

Energy Labor
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Rouse
Last action
2026-02-12
Official status
Failed
Effective date
Not listed

Plain English Breakdown

The bill does not specify how penalties will be enforced beyond requiring payments to the Commissioner of Labor and Industry.

Prevailing Wage and Apprenticeship Requirements for Public Service Companies

This law sets rules for public service companies to pay workers a certain wage rate and use apprentices when building or repairing renewable energy sources.

What This Bill Does

  • Requires public service companies, their contractors, and subcontractors to ensure payment at the prevailing wage rate set by the Department of Labor and Industry for any mechanic, laborer, or worker employed on RPS-eligible source work.
  • Requiring that 15% of total labor hours be performed by a qualified apprentice if an RPS-eligible project involves four or more individuals.
  • Imposes penalties on public service companies that do not follow these rules, including fines based on the number of affected employees or unpaid hours.

Who It Names or Affects

  • Public service companies and their contractors.
  • Workers on renewable energy projects.

Terms To Know

Prevailing wage rate
The standard pay rate for workers in a specific job or area, as determined by the government.
Qualified apprentice
A worker who is part of an approved training program and employed by a public service company or third-party developer.
RPS-eligible source
Renewable energy projects that qualify under the state's renewable portfolio standards with more than one megawatt of generation capacity.

Limits and Unknowns

  • The bill applies only to contracts entered into, amended, or modified after July 1, 2026.
  • It is unclear what happens if a company cannot find enough apprentices for their project.

Bill History

  1. 2026-02-12 Commerce and Labor

    Stricken at request of Patron in Commerce and Labor (14-Y 0-N)

  2. 2026-02-02 Senate

    Fiscal Impact Statement from Department of Planning and Budget (SB667)

  3. 2026-01-14 Senate

    Prefiled and ordered printed; Offered 01-14-2026 26100703D

  4. 2026-01-14 Commerce and Labor

    Referred to Committee on Commerce and Labor

Official Summary Text

Prevailing wage rate; apprenticeship requirements; RPS-eligible source work; penalties.
Requires each public service company, including its contractors and subcontractors, or third-party developer to ensure payment at the prevailing wage rate set by the Department of Labor and Industry for any mechanic, laborer, or worker employed, retained, or otherwise hired to perform construction, maintenance, or repair work for certain electricity generating sources. The bill requires each public service company to (i) ensure that 15 percent of the total labor hours of such work is performed by a qualified apprentice and (ii) employ at least one qualified apprentice if four or more individuals are employed to perform such work. Under the bill, a public service company that fails to meet the requirements of its provisions is required to make penalty payments to the Commissioner of Labor and Industry.

Current Bill Text

Read the full stored bill text
A BILL to amend the Code of Virginia by adding in Chapter 3 of Title 40.1 an article numbered 1.2, consisting of sections numbered
40.1-28.13
,
40.1-28.14
, and
40.1-28.15
, relating to prevailing wage rate; apprenticeship requirements; RPS-eligible source work; penalties.

Be it enacted by the General Assembly of Virginia:

1. That the Code of Virginia is amended by adding in Chapter 3 of Title 40.1 an article numbered 1.2, consisting of sections numbered
40.1-28.13
,
40.1-28.14
, and
40.1-28.15
, as follows:

Article 1.2.

Prevailing Wage for
RPS-Eli
gi
ble Source Work
.

§
40.1-28.13
.
Definitions.

As used in this article
, unless the context requires a different meaning
:

"Prevailing wage rate" means the rate, amount, or level of wages, salaries, benefits, and other remuneration prevailing for the corresponding class of mechanics, laborers, or workers employed for the same work in the same trade or occupation in the locality where the facility or immovable property that is the subject of
RPS-eligible source
work is located, as determined by the Commissioner on the basis of applicable prevailing wage rate determinations made by the U.S. Secretary of Labor under the provisions of the Davis-Bacon Act, 40 U.S.C. § 276 et seq., as amended.

"Public service company" means the same as that term is defined in §
56-1
,
except that "public service company" includes its contractors and subcontractors and does not include any communications service provider, as defined in §
58.1-647
.

"Qualified apprentice" means an individual who is employed by a public service company or third-party developer and who is participating in a registered apprenticeship program, pursuant to Article 3 (§
2.2-2043
et seq.) of Chapter 20.2 of Title 2.2.

"RPS-eligible source" means a renewable energy
portfolio
standard eligible source as described in subsection C of §
56-585.5
with
more than
one megawatt of generation capacity
.

"RPS-eligible source
work
" means
construction, alteration, or repair of
an RPS-eligible source
.

§
40.1-28.14
. Prevailing wage rate for RPS-eligible source work
; penalties
.

A.
Each public service company
or third-party developer
, when procuring services, letting contracts, or overseeing or administering contracts for construction, alteration, or repair of an RPS-eligible source, shall ensure that its bid specifications or other contracts applicable to construction, alteration, or repair of such RPS-eligible source require bidders, offerors, contractors, and subcontractors to pay wages, salaries, benefits, and other remuneration to any mechanic, laborer, or worker employed, retained, or otherwise hired to perform services in connection with the contract at the prevailing wage rate established pursuant to §
2.2-4321.3
. Each contract for construction, alteration, or repair of an RPS-eligible source with
more than
one megawatt of generating capacity by a public service company
or third-party developer
shall contain a provision requiring that the remuneration to any individual performing the work of any mechanic, laborer, or worker on the work contracted to be done shall be at a rate equal to the prevailing wage rate as established by §
2.2-4321.3
.

B.
In addition to
liability for the nonpayment of wages provided in §
40.1-29
, a
public service company
or third-party developer
that fails to comply with the requirements of this
section
shall be required to make a payment to the Commissioner of Labor and Industry of $5,000
for each
employee who
was
paid wages at a rate less than the prevailing wage rate. However, if the Commissioner of Labor and Industry determines that a public service company's
or third-party developer's
failure to comply with the requirements of this section is due to intentional disregard of the provisions of this act, the public service company
or third-party developer
shall be required to make a payment to the Commissioner of Labor and Industry of $10,000
for each
employee who
was
paid wages at a rate less than the prevailing wage rate.

§
40.1-28.15
. Apprenticeship requirements
; penalties
.

A. Each public service company
or third-party developer
engaged in the construction, alteration, or repair of RPS-eligible sources on or after January 1, 202
7
, shall ensure that 15 percent of the total labor hours of the construction, alteration, or repair work, including such work performed by any contractor or subcontractor, is performed by
a
qualified apprentice.

B. Each public service company
or third-party developer
that employs four or more individuals to perform construction, alteration, or repair work with respect to an RPS-eligible source shall employ at least one qualified apprentice to perform such work.

C.
The requirements of this section shall be deemed satisfied if a public service company
or third-party developer
has requested
a
qualified apprentice from a registered apprenticeship program and (i) such request is denied, provided such denial is not the result of a refusal by the public service company
or third-party developer
or its contractor or subcontractor to comply with the established standards or requirements of the registered apprenticeship program or (ii) the registered apprenticeship program fails to respond to such request within five business days of receiving such request.

D.
A public service company
or third-party developer
that fails to meet the requirements of this section shall make a payment to the Commissioner of Labor and Industry of $50
for each
labor
hour
in

which the requirements of this section were not met. However, if the Commissioner of Labor and Industry determines that a public service company's
or third-party developer's
failure to comply with the requirements of this section is due to intentional disregard of the provisions of this act, the public service company
or third-party developer
shall be required to make a payment to the Commissioner of Labor and Industry of $500
for each
labor hour
in
which the requirements of this section were not met.

2. That the provisions of this act shall apply to RPS-eligible source work, as defined in §
40.1-28.13
of the Code of Virginia, as created by this act, by a public service company or third-party developer that is performed under a contract that is entered into, amended, or modified on or after July 1, 2026.