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NY-Sun Prevailing Wage Compliance

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About NY-Sun

The NY-Sun Program, administered by NYSERDA, is New York State’s statewide initiative to expand solar energy adoption and move the state toward a clean-energy future. NY-Sun provides incentives to encourage commercial, industrial, and community solar development across the state. The program aims to make solar more accessible, accelerate project development, and ensure high-quality installation standards.

For projects 1 MW AC and larger, NY-Sun now incorporates strict prevailing wage requirements, making labor compliance a core component of receiving and retaining program incentives.

Prevailing Wage Requirements

Under Section 1.4.8.3 of the NY-Sun Program Manual, covered projects must:

  • Pay New York State Prevailing Wage or enter a Project Labor Agreement (PLA)
  • Apply the requirement to all on-site construction labor, including subcontractors
  • Submit quarterly prevailing wage certifications prepared by an independent NYS-licensed CPA throughout construction
  • Maintain complete records for NYSERDA review or potential audit

Failure to comply with these requirements can result in loss of NY-Sun incentives and potential suspension from the program.

How FAZ Forensics can help

FAZ Forensics is an independent New York State-licensed CPA firm specializing in:

  • Prevailing Wage CPA Certifications (required by NY-Sun)
  • Verification of wage rates, fringe benefits, job classifications, and subcontractor compliance
  • Pre-construction compliance reviews
  • Ongoing payroll monitoring and audit support

We help ensure contractors and subcontractors meet NY-Sun requirements, protect your project’s eligibility, and reduce the risk of incentive loss.

Work With a CPA Team Focused on Compliance

If your NY-Sun project requires prevailing wage certification, or you want assurance that your wage and payroll practices meet program standards, FAZ Forensics is here to help.

Let’s support your project from construction through commercial operation.

Sources: 

https://www.nyserda.ny.gov/All-Programs/NY-Sun/Contractors/Resources-for-Contractors

https://dol.ny.gov/bureau-public-work-and-prevailing-wage-enforcement

Construction Contract

Construction Contracts and Disputes: How Forensic Accountants Can Help

Construction projects often start with optimism but can quickly unravel into disputes. Cost overruns, delays, and change orders frequently trigger financial conflict, and the construction contract becomes the main battleground. Moreover, the sale or purchase of these contracts can also be prone to such financial disputes. In these situations, attorneys, owners, and contractors turn to us, the forensic accountants; or at least we hope they do, because we can help. By analyzing financial data, quantifying damages, and linking costs to contract terms, we provide the clarity needed to resolve disputes efficiently.

Common Sources of Disputes

Disagreements in construction often arise from:

  • Change Orders: Disputed costs or poorly documented variations in the reported work in progress (WIP).
  • Cost Overruns: Rising labor and material expenses exceeding budget. This can include overruns due to macroeconomic factors such as supply chain turbulence, tariffs, or labor market changes.
  • Payment Conflicts: Unpaid invoices, retainage, or lien filings.
  • Joint Venture Disputes: Conflicts over cost allocations and profit-sharing.
  • Asset Purchase Agreement (APA) Disputes: Conflicts between sellers and buyers of construction contracts over profit-sharing conditions and the underlying profit margin variations, as well as claims over outstanding receivables and payables.

Each dispute blends contract interpretation with financial complexity which makes independent accounting expertise necessary.

The Forensic Accountant’s Role in Disputes

We bring order and clarity to messy and complex financial records. With experience in residential and non-residential building construction, as well as heavy and civil engineering construction, our role often includes:

  • Reconstructing Project Costs: Reviewing billing records, payment applications, and cost allocations.
  • Quantifying Damages: Calculating extended overhead, lost profits, or extra costs from scope changes.
  • Spotting Red Flags: Identifying inflated or duplicate charges.
  • Supporting Legal Teams: Preparing defensible analyses and, when needed, serving as expert witnesses.

The result is a clear financial story that supports stronger legal arguments and more reliable outcomes.

Adding Value in Litigation and Arbitration

We add value by:

  • Delivering independent, fact-based analysis.
  • Helping attorneys build or challenge claims with reliable financial insight.
  • Translating complex data into clear exhibits and reports for courts, arbitrators, and mediators.
  • Providing objective numbers that can facilitate settlements and reduce litigation costs.
Conclusion

When construction projects go wrong, financial disputes can escalate quickly. We help cut through the confusion by reconstructing costs, reviewing supporting documentation, quantifying damages, and presenting objective analysis.

Prevailing Wage and Local Spend Compliance Review

FAZ was engaged to provide forensic consulting services on a multibillion-dollar renewable energy construction project in New York that was subject to strict prevailing wage requirements and state mandated reporting obligations. Our role focused on assisting the prime contractor and its subcontractors with prevailing wage compliance reviews and the preparation of local labor and material spend reports for submission to project stakeholders.

We worked closely with the contractor’s payroll and compliance teams to review certified payroll records against New York State prevailing wage determinations, confirm proper classification of workers, and evaluate documentation of local sourcing. Given the size and complexity of the project, with multiple tiers of subcontractors and vendors, ensuring accuracy and consistency across reporting was critical.

In instances where our review identified apparent underpayments or discrepancies, we facilitated communication between the contractors and New York State Department of Labor district offices. By proactively engaging with regulators, we helped achieve efficient and reasonable resolutions, minimizing disruption to the project while protecting workers’ rights and ensuring compliance.

Our efforts resulted in streamlined compliance processes, audit ready reporting, and strengthened relationships between the contractors, regulators, and project stakeholders. Through this engagement, FAZ demonstrated its expertise in navigating the complex intersection of prevailing wage law, large scale project management, and regulatory oversight.

wage laws

We Can Help You Stay Up-To-Date with NY’s Prevailing Wage Laws

wage laws

At FAZ Forensics, we support construction firms across New York’s energy sector in meeting the strict requirements of prevailing wage compliance under Article 8’s Labor Law § 220. Whether your project is funded by NYSERDA or tied to a local infrastructure upgrade, we help you stay aligned with state regulations—minimizing legal exposure and safeguarding your reputation.

How We Help

Our team conducts independent prevailing wage audits designed to identify potential risks and ensure full compliance with New York State labor standards. We work with both general contractors and subcontractors to review certified payroll records, evaluate worker classifications, and verify that wages and supplemental benefits meet or exceed published rates for each trade and county.

We understand that prevailing wage laws are complex and frequently changing. That’s why we stay up to date on Department of Labor requirements and bring forensic-level attention to detail to every engagement. Whether you’re undergoing a routine internal review or facing an external audit, we’re here to help you respond with transparency and confidence.

Key Areas We Address Include:

  • Certified Payroll Review: Ensuring your documentation supports compliance.
  • Trade Classification Analysis: Verifying workers are properly classified, as misclassification is one of the more common ways contractors violate prevailing wage laws.
  • Wage Rate Comparisons: Confirming actual pay meets or exceeds state-mandated rates, including a review of prevailing supplemental (fringe) benefits.
  • Restitution Pay Calculations: Quantifying underpayments and assisting with corrective action when discrepancies are identified.
  • Subcontractor Oversight: Assessing subcontractor compliance to limit prime contractor or project owner risk.
  • Audit Support: Assisting during agency reviews or investigations.

Our services not only reduce the risk of wage violations and debarment but also foster a culture of integrity and compliance across New York’s most important renewable energy and infrastructure projects.

Let’s Talk Compliance

If you’re managing a New York energy construction project and want peace of mind around prevailing wage compliance, contact FAZ Forensics today. We’re ready to provide expert insights, clear reporting, and reliable support tailored to your project’s needs.

Sources

https://www.nysenate.gov/legislation/laws/LAB/220
https://apps.labor.ny.gov/wpp/publicViewPWChanges.do?method=showIt&utm_source=chatgpt.com

Payroll Audit

Explaining Prevailing Wage Payroll Audits and Why You Should Care

Payroll Audit

In the construction industry, particularly on publicly funded projects, prevailing wage laws ensure that workers are paid according to regional standards. A prevailing wage payroll audit is a formal review conducted to verify that a contractor has complied with these wage requirements. These audits are more than just paperwork as they help protect workers, ensure contractors follow through on their obligations, and make sure public funds are being used the right way.

A prevailing wage payroll audit typically involves examining certified payroll reports, timesheets, job classifications, fringe benefit contributions, and supporting documentation. The goal is to determine whether the wages paid match what is required under federal, state, or local prevailing wage regulations. According to the U.S. Department of Labor, these standards are established through the Davis-Bacon and Related Acts, which apply to contractors and subcontractors performing on federally funded or assisted contracts over $2,000 for the construction, alteration, or repair of public buildings or public works.

When performed by a forensic accounting firm, these audits offer an additional layer of assurance. Independent verification from a licensed professional carries weight with public agencies, prime contractors, and labor unions. It also gives contractors peace of mind that they are meeting their obligations and protecting themselves from potential penalties. Moreover, prevailing wage audits conducted by forensic accounting firms can serve as a critical tool for contract compliance and defense during Department of Labor investigations.

FAZ Forensics has conducted several prevailing wage audits on behalf of contract owners to verify compliance with wage laws. In our reviews, we have been the primary communicators with contractors and typically perform randomized sampling procedures and detailed reconciliations to confirm whether reported wage rates meet or exceed required thresholds. We have also served as a liaison between contractors and the Department of Labor when questions or issues have arisen, helping to clarify documentation and resolve concerns efficiently.

Such proactive audits not only help contractors avoid costly penalties and reputational damage but also serve as a defensible record in the event of a government audit or litigation. Ensuring transparency and accuracy in certified payroll submissions strengthens credibility with regulators and positions contractors/contract owners as trustworthy stewards of public funds.

Read Our Reviews

FAZ Forensics is rated 4.95 out of 5.0 stars based on 21 review(s).

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FAZ Forensics did a full review and evaluation of my business and I was very happy with the level of detail and expertise.

- Chris Schmidt

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Christian has, along with his good nature and thoughtful regard, been exceedingly helpful with sorting out the complexities of our case. We could not be more pleased with our exchange. Thomas and Hema Easley

- Thomas Easley

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Christian was patient and easy to understand. clear, concise and thorough. he spoke “plain” English and was respectful. he did not “rush” and he responded to every question i had, in a timely manner. no matter how “dumb” it may have seemed. for example, i received some paperwork by mail and i did not understand it. i emailed him about it and he cleared it up that day. thats great customer service!

- Joong Park

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Really good, very knowledgeable and communicated with us every step of the way.

- Haartz Corporation/Tom Daigneault

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FAZ has a great team doing terrific work for our clients.

- Jim Towne

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Exceptional work produced.

- Matt Smith

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Thanks!

- Arrow Bank

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FAZ was very professional, knowledgeable and very fair priced. The work performed was prompt, accurate and reliable. I would absolutely hire them again if in need for additional accounting work.

- Arrow Financial Corporation

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Excellent to work with. Professional and personable.

- Cambridge Central School District

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Awesome team! They were a pleasure to work with. I would definitely recommend.

- Cambridge Central School District

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FAZ was extremely thorough and professional in doing our business valuation. We are very pleased with the results

- Anne Choppy

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Steve and GeNet were great at the valuation we needed. Very satisfied. Thanks,Vince and Anne

- Vincent M. Choppy

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Perfect

- Zalazar anelardo

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Gen'et and Paul were extremely responsive to our needs. They listened and responded to any concerns that we had. I would highly recommend them for any forensic engagement needs.

- Jennifer Mulligan

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Thank-you for asking. Our experience was excellent. The people at FAZ showed a depth of knowledge and experience that was very helpful with the undertaking before us. Well done.

- Guy Tombs

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The CPAs and staff at FAZ are truly amazing. They explain their process very well and always answered my questions right away. I highly recommend them for all your forensic accounting and evaluation services.

- Ashley Hart

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Excellent and responsible.

- Peter Lee

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Steve Ferraro did an excellent job and worked tirelessly as our expert forensic accountant witness. Based on Steve's hard work, the jury awarded every penny that Steve showed our client to be entitled to and completely rejected the conclusions of the opposing side's expert.

- Dave Paliotti

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Great firm!

- John Harwick

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The people at FAZ are amazing. They are true professionals. The staff is knowledgeable & kind. You feel like you matter. Anytime I have questions they take the time to go through everything in detail so I completely understand everything. I would definitely recommend FAZ.

- Dan Dagostino