B-133850, NOV. 13, 1957

B-133850, NOV. 13, 1957

TO MR. WILLIAM H. DEASON:

THERE IS ENCLOSED FOR YOUR INFORMATION A COPY OF OUR FINDING OF TODAY THAT THE DEASON FLOORING COMPANY AND WILLIAM H. DEASON, OWNER, HAVE DISREGARDED THEIR OBLIGATIONS TO EMPLOYEES WITHIN THE MEANING OF SECTION 3 (A) OF THE DAVIS-BACON ACT OF AUGUST 30, 1935, 49 STAT. 1011, IN CONNECTION WITH WORK PERFORMED AS A SUBCONTRACTOR UNDER CONTRACT NO. NOY- 94352, ENTERED INTO BETWEEN THE DEPARTMENT OF THE NAVY AND SMITH'S ASSOCIATES.

PURSUANT TO SECTION 3 (A) OF THE ACT, THE NAMES OF THAT FIRM AND PERSON WILL BE INCLUDED ON THE NEXT LIST OF DEBARRED CONTRACTORS COMPILED FOR DISTRIBUTION TO ALL DEPARTMENTS AND AGENCIES OF THE GOVERNMENT, AND NO GOVERNMENT CONTRACT SHALL BE AWARDED TO THEM, OR TO ANY FIRM, CORPORATION, PARTNERSHIP, OR ASSOCIATION IN WHICH THEY HAVE AN INTEREST, UNTIL THREE YEARS SHALL HAVE ELAPSED FROM THE DATE OF PUBLICATION OF THAT LIST.

FINDING

IN THE MATTER OF DEASON FLOORING COMPANY AND WILLIAM H. DEASON, OWNER, UNDER SECTION 3 (A) OF THE ACT OF AUGUST 30, 1935, 40 U.S.C. 276A.

SECTION 1 OF THE DAVIS-BACON ACT OF AUGUST 30, 1935, 49 STAT. 1011, 40 U.S.C. 276A, PROVIDES, IN PART, THAT:

"THE ADVERTISED SPECIFICATIONS FOR EVERY CONTRACT IN EXCESS OF $2,000, TO WHICH THE UNITED STATES * * * IS A PARTY, FOR CONSTRUCTION, ALTERATION, AND/OR REPAIR, INCLUDING PAINTING AND DECORATING, OF PUBLIC BUILDINGS OR PUBLIC WORKS OF THE UNITED STATES * * * AND WHICH REQUIRES OR INVOLVES THE EMPLOYMENT OF MECHANICS AND/OR LABORERS SHALL CONTAIN A PROVISION STATING THE MINIMUM WAGES TO BE PAID VARIOUS CLASSES OF LABORERS AND MECHANICS * * * AND EVERY CONTRACT BASED UPON THESE SPECIFICATIONS SHALL CONTAIN A STIPULATION THAT THE CONTRACTOR OR HIS SUBCONTRACTOR SHALL PAY ALL MECHANICS AND LABORERS EMPLOYED DIRECTLY UPON THE SITE OF THE WORK, UNCONDITIONALLY AND NOT LESS OFTEN THAN ONCE A WEEK, AND WITHOUT SUBSEQUENT DEDUCTION OR REBATE ON ANY ACCOUNT, THE FULL AMOUNTS ACCRUED AT TIME OF PAYMENT, COMPUTED AT WAGE RATES NOT LESS THAN THOSE STATED IN THE ADVERTISED SPECIFICATIONS, REGARDLESS OF ANY CONTRACTUAL RELATIONSHIP WHICH MAY BE ALLEGED TO EXIST BETWEEN THE CONTRACTOR OR SUBCONTRACTOR AND SUCH LABORERS AND MECHANICS * * *.'

SECTION 3 (A) OF THE ACT PROVIDES THAT:

"* * * THE COMPTROLLER GENERAL OF THE UNITED STATES IS FURTHER AUTHORIZED AND IS DIRECTED TO DISTRIBUTE A LIST TO ALL DEPARTMENTS OF THE GOVERNMENT GIVING THE NAMES OF PERSONS OR FIRMS WHOM HE HAS FOUND TO HAVE DISREGARDED THEIR OBLIGATIONS TO EMPLOYEES AND SUBCONTRACTORS. NO CONTRACT SHALL BE AWARDED TO THE PERSONS OR FIRMS APPEARING ON THIS LIST OR TO ANY FIRM, CORPORATION, PARTNERSHIP, OR ASSOCIATION IN WHICH SUCH PERSONS OR FIRMS HAVE AN INTEREST UNTIL THREE YEARS HAVE ELAPSED FROM THE DATE OF PUBLICATION OF THE LIST CONTAINING THE NAMES OF SUCH PERSONS OR FIRMS.'

CONTRACT NO. NOY-94352, IN EXCESS OF $2,000, WAS AWARDED MARCH 2, 1956, TO SMITH'S ASSOCIATES FOR THE REFINISHING OF CERTAIN FLOORS IN 27 BUILDINGS AT THE NAVAL TRAINING CENTER, GREAT LAKES, FARNSWORTH, ILLINOIS. THE CONTRACT AND RELATED SPECIFICATIONS CONTAINED THE PROVISIONS AND STIPULATIONS REQUIRED BY SECTION 1 OF THE ACT. SMITH'S ASSOCIATES ENTERED INTO A SUBCONTRACT WITH WILLIAM H. DEASON, DOING BUSINESS AS DEASON FLOORING COMPANY, COVERING A PART OF THE FLOOR REFINISHING WORK TO BE PERFORMED UNDER THE PRIME CONTRACT.

EVIDENCE FURNISHED BY THE DEPARTMENT OF THE NAVY AND THE DEPARTMENT OF LABOR DISCLOSES THAT TWO OF THE SUBCONTRACTOR'S EMPLOYEES WERE PAID ONLY A PART OF THE EARNED WAGES DUE THEM, AND NO PAYMENT WAS MADE TO TWO OTHER EMPLOYEES FOR THE SERVICES RENDERED DURING THEIR EMPLOYMENT ON THE PROJECT. HOWEVER, THE SUBCONTRACTOR SUBMITTED PAYROLLS ON WHICH HE CERTIFIED THAT THE FULL AMOUNT OF EARNED WAGES SHOWN HAD BEEN PAID IN FULL TO THE RESPECTIVE EMPLOYEES. THE INVESTIGATION FURTHER SHOWS THAT THE SUBCONTRACTOR ACKNOWLEDGED THE CORRECTNESS OF THE HOURS SHOWN TO HAVE BEEN WORKED BY THOSE EMPLOYEES AND AGREED TO COMPENSATE THEM FOR THE UNPAID WAGES. UPON HIS FAILURE TO COMPLY WITH SUCH PROMISE THE PRIME CONTRACTOR ULTIMATELY PAID THE AGGRIEVED EMPLOYEES NET WAGES TOTALING $808.

IN VIEW OF THE ESTABLISHED FACTS IN THIS CASE I HEREBY FIND THAT DEASON FLOORING COMPANY AND WILLIAM H. DEASON, OWNER, HAVE ACTED IN DISREGARD OF THEIR "OBLIGATIONS TO EMPLOYEES" WITHIN THE MEANING OF SECTION 3 (A) OF THE ACT OF AUGUST 30, 1935, SUPRA. ACCORDINGLY, THE NAME OF SUCH COMPANY AND PERSON WILL BE INCLUDED ON THE NEXT LIST OF DEBARRED CONTRACTORS PREPARED FOR DISTRIBUTION TO ALL GOVERNMENT DEPARTMENTS AND AGENCIES, AND NO CONTRACT SHALL BE AWARDED TO THEM, OR TO ANY FIRM, CORPORATION, PARTNERSHIP, OR ASSOCIATION IN WHICH THEY HAVE AN INTEREST UNTIL THREE YEARS SHALL HAVE ELAPSED FROM THE DATE OF PUBLICATION OF SUCH LIST.