GC rejected your certified payroll: what to do next

A deficiency notice from LCPtracker, PRISM, Elation Systems, eMars, or a GC's Procore submittal is not a rejection from DIR, and the fix is not the same either. Here is what actually happened, and the six steps to get it accepted on both sides.

Last reviewed against the sources it cites

The short answer

Get the deficiency in writing, fix the payroll and not just the form, recheck the Statement of Compliance, and resubmit inside the portal that rejected it. The rejection comes from a reviewer for the awarding body or the prime, not DIR, but if the fix touches your DIR eCPR, file an amendment for the same workweek.

  • DIR's eCPR FAQ says submitting CPRs to other agencies does not put you in compliance with the state unless you submit eCPRs directly to DIR (DIR eCPR FAQ).
  • eMars' own guidance names the recurring causes of a bounced payroll: the wrong labor classification, fringe contributions figured or annualized incorrectly, hours missing or booked to the wrong project, and a Statement of Compliance with missing fields, no signature, or an inaccurate statement (eMars, common certified payroll errors).
  • On the WH-347, boxes 1, 2, 3, and 6 must always be checked, and the Statement of Compliance is signed by the contractor or an agent who supervised payment, subject to the penalties of 18 U.S.C. 1001 (DOL, WH-347 instructions).
  • To edit an eCPR you resubmit for the workweek to be corrected, and DIR's FAQ says the amended eCPR replaces the original payroll submission (DIR eCPR FAQ).
  • Under Labor Code section 1771.4(a)(3), the penalty runs $100 per day in violation, capped at $5,000 per project, starting 14 days after the records were due, and fixing the deficiency does not roll that clock back.

What a rejection actually means

Two different failures both get called a rejection, and mixing them up wastes a week.

A portal or GC review rejection means a labor compliance reviewer for the awarding body, or a document reviewer for the prime, looked at your certified payroll inside LCPtracker, PRISM, Elation Systems, eMars, or a general system like Procore, and sent it back with a deficiency. That reviewer works for the awarding body or the prime, not DIR, and nothing about the rejection reaches the state, because DIR's own FAQ is explicit that submitting to those other systems does not put you in compliance with it (DIR eCPR FAQ).

A DIR eCPR upload error is a different failure: the state's own system refusing your XML file, or accepting it and showing nothing when you click to load it, which DIR treats as a code error to review and resend. See DIR eCPR XML upload errors for that failure, field by field. Work out which one you have before you change anything.

Fix it and resubmit: the six steps

  1. Get the deficiency in writing. Every named platform returns a reviewer comment, not just a red flag. If the GC only said "rejected" by phone, ask for the note first.
  2. Fix the payroll, not just the form. A certified payroll report, WH-347 or eCPR, is a transcription of your payroll. Correct a wage rate, classification, or hours problem in QuickBooks, ADP, Paychex, Gusto, or Sage first, then regenerate the report.
  3. Recheck the Statement of Compliance. A missing signature or an unchecked box bounces an otherwise correct report more often than any other single error. On the WH-347, boxes 1, 2, 3, and 6 must always be checked, signed by the contractor or an agent who supervised payment, subject to the penalties of 18 U.S.C. 1001 (DOL, WH-347 instructions). The eCPR carries the parallel certification that the record is true and correct, under Labor Code section 1776(a)(1).
  4. Resubmit inside the portal that rejected it, using that platform's own resubmission flow, so the reviewer sees a correction, not a duplicate.
  5. If the fix also touches your DIR eCPR, file an amendment for the same workweek. DIR's FAQ says that to edit an eCPR, you resubmit for the workweek to be corrected, and that amended eCPR replaces the original payroll submission (DIR eCPR FAQ).
  6. Watch the calendar, not the status flag. A rejection that drags past your furnishing deadline is still late once it clears. Under Labor Code section 1771.4(a)(3), the penalty runs $100 per day in violation, capped at $5,000 per project, starting 14 days after the records were due, and fixing the deficiency does not roll that clock back. See appealing a certified payroll penalty if one already landed.

eMars: why it keeps bouncing your payroll

eMars is a commercial certified payroll and Davis-Bacon compliance platform some primes and agencies require, separate from both the awarding body's portal and DIR. It runs its own validation before a reviewer looks at anything. eMars' own guidance names the recurring causes: the wrong labor classification, fringe contributions figured or annualized incorrectly, hours missing or booked to the wrong project, and Statements of Compliance with missing fields, no signature, or an inaccurate statement (eMars, common certified payroll errors). None of that touches DIR. A clean pass satisfies whoever requires it; your direct eCPR filing, or your exemption under a legacy Labor Compliance Program, is still separate. See eMars vs WellStanding for the DIR side.

Procore is not a labor compliance platform

Procore is a construction project management system for documents, submittals, RFIs, and schedules. Some GCs have subs upload their certified payroll, the WH-347 or the DIR paperwork, as a Procore submittal purely so the GC keeps a copy on file. Procore carries no certified payroll validation and no connection to the DIR eCPR system, so nothing happening there checks your wage math, flags a bad classification, or files anything with the state. If a GC's only requirement is a Procore upload, ask in writing whether it also satisfies any awarding body compliance program, and keep your direct DIR filing running either way.

The rule

DIR's eCPR FAQ answers the question directly: if you submit certified payroll to a union, the prime, the awarding body, or a labor compliance program, do you still submit to DIR? "Yes. Submitting CPRs to other agencies does not put you in compliance with the state unless you submit eCPRs directly to DIR" (DIR). The portal is the awarding body's side. The eCPR under your own registration is the state's side. On most projects you owe both.

The four exceptions

The same FAQ lists the projects exempt from furnishing certified payroll to the Labor Commissioner: those monitored and enforced by the four legacy Labor Compliance Programs, the California Department of Transportation, the City of Los Angeles, the Los Angeles Unified School District, and the County of Sacramento, plus projects covered by qualifying project labor agreements at the Labor Commissioner's discretion. On those projects the certified payroll goes where the contract says, and the federal WH-347 duty on federally assisted work is untouched.

Who uses what

Awarding bodyPortalDirect DIR eCPR
County of Los AngelesLCPtracker. The County states plainly that certified payrolls are submitted on both the DIR system and LCPtrackerYes, both
City and County of San FranciscoLCPtracker citywide, run by the Office of Labor Standards EnforcementYes, separately
City of San DiegoPRISM Compliance Management, the City's system of recordYes, separately
BARTElation Systems for labor compliance; confirm the current requirement in your contract documentsYes, separately
City of Los AngelesOCPS, the City's own online certified payroll system, required through the Bureau of Contract AdministrationGenerally exempt, legacy LCP
CaltransLCPtracker on designated contracts, the Caltrans File Transfer portal on othersGenerally exempt, legacy LCP
LAUSDThe district's own Certified Payroll Reporting SystemGenerally exempt, legacy LCP
County of SacramentoThe channel named in the County contractGenerally exempt, legacy LCP

The body pages linked above carry the verified source for each portal fact and the current count of registered projects. Bodies not listed here default to the general rule: the portal in your contract for the awarding body, plus the direct DIR eCPR filing.

What the portals actually are

  • LCPtracker is a third party labor compliance platform that awarding bodies license. Your upload there feeds the body's monitoring. It has no path into DIR's system.
  • PRISM Compliance Management is another third party platform, used by the City of San Diego as its system of record.
  • Elation Systems is the platform BART directs contractors to for labor compliance.
  • OCPS is the City of Los Angeles' own online certified payroll system, not a vendor product, and the City requires it rather than LCPtracker.
  • eMars is a commercial certified payroll product some primes and agencies use, covered above.
  • Procore is a general construction document platform, not a labor compliance system, covered above.

The double entry problem, and the way out

A sub on a County of Los Angeles project types the same week into LCPtracker and into DIR. A sub on a San Francisco project does the same with LCPtracker and DIR. Every additional project adds a portal, and every portal has its own format quirks. The way out is one payroll export that feeds every filing. We produce the DIR eCPR and the WH-347 from your export, and at setup we confirm exactly where each project's filings have to go, including the portal side. Nothing goes out without your sign off.

Questions

My certified payroll got rejected inside a portal. Is that the same as DIR rejecting it?
No. A portal rejection, in LCPtracker, PRISM, Elation Systems, eMars, or a Procore submittal, comes from a reviewer working for the awarding body or the prime. DIR's FAQ says submitting to those systems does not put you in compliance with the state, so the two problems need different fixes. A true DIR failure looks like an XML upload that bounces or loads blank, covered in DIR eCPR XML upload errors.
eMars keeps flagging my certified payroll. What is it checking?
Davis-Bacon rules, before a human reviewer sees the report. Its own guidance lists the common flags: wrong labor classification, fringe contributions miscalculated or annualized wrong, hours on the wrong project, and an incomplete Statement of Compliance. Clearing eMars satisfies whoever requires it. It does not touch your direct DIR eCPR filing.
Does uploading my certified payroll to Procore satisfy DIR?
No. Procore is a document and submittal system, not a labor compliance platform, with no certified payroll validation and no link to DIR. An upload there only gives the GC a filed copy. Your direct DIR filing, or your exemption under a legacy Labor Compliance Program, still stands on its own.
I fixed the rejection and resubmitted late. Am I still exposed to a penalty?
Possibly. Under Labor Code section 1771.4(a)(3), the Labor Commissioner can penalize $100 per day in violation, capped at $5,000 per project, and cannot levy it until 14 days after the records were due. A portal deficiency that delayed your fix does not pause that clock.
Our prime uploads our payroll into LCPtracker for us. Does that count as filing with DIR?
No. The prime's upload is the awarding body's monitoring copy. The direct DIR eCPR filing is yours, under your registration, unless the project is under one of the four legacy Labor Compliance Programs.
The project is Caltrans. Do we skip DIR?
Caltrans projects are generally exempt from the direct DIR filing because Caltrans runs a legacy Labor Compliance Program. Certified payroll still goes through the system named in the Caltrans contract, and the federal WH-347 applies on federally assisted work. Confirm the channel in your contract documents.

Sources

Every figure on this page links to its source where it first appears. The full list, in order:

  1. DIR eCPR FAQ dir.ca.gov
  2. eMars, common certified payroll errors emarsinc.com
  3. DOL, WH-347 instructions dol.gov
  4. Labor Code section 1771.4(a)(3) leginfo.legislature.ca.gov
  5. Labor Code section 1776(a)(1) leginfo.legislature.ca.gov
  6. LCPtracker content.pw.lacounty.gov
  7. LCPtracker citywide sf.gov
  8. PRISM Compliance Management sandiego.gov
  9. Elation Systems bart.gov
  10. OCPS ocps.bca.lacity.gov
  11. LCPtracker on designated contracts, the Caltrans File Transfer portal on others dot.ca.gov
  12. Certified Payroll Reporting System facilities.lausd.org

Payroll keeps bouncing? First filing free

Send the payroll export you already run. We turn it into the WH-347 and the DIR eCPR filing, checked by software and verified by a person. Your first weekly filing is free, before you pay us anything. $995 one time setup, then $249 per month flat.

Got it. We reply the same business day. Next: we confirm your payroll system and the project, you send one export, and your first filing comes back for your review before anything is submitted.

First filing free