B-144661, MAR. 1, 1961

B-144661, MAR. 1, 1961

TO MR. RAYMOND E. FEOLE:

ATTACHED IS A COPY OF OUR FINDING OF TODAY THAT LUCILLE M. ROYLE, RAYMOND E. FEOLE, TOWER CONSTRUCTION COMPANY, TOWER CONSTRUCTION AND ENGINEERING SERVICE, INC., TOWER CONSTRUCTION AND ENGINEERING COMPANY, AND AERIAL TOWER CONSTRUCTION COMPANY HAVE DISREGARDED OBLIGATIONS TO EMPLOYEES WITHIN THE MEANING OF THE DAVIS-BACON ACT, 40 U.S.C. 276A, IN THE PERFORMANCE OF CONTRACT NOY-92645 FOR RELOCATION OF RADAR TOWER NO. 25 LOCATED AT THE FLEET TRAINING CENTER, U.S. NAVAL STATION, NEWPORT, RHODE ISLAND.

PURSUANT TO THE PROVISIONS OF SECTION 3 (A) OF THE ACT, THESE NAMES WILL BE INCLUDED ON A LIST FOR PUBLICATION MARCH 1, 1961, AND NO GOVERNMENT CONTRACT WILL 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 SUCH DATE.

FINDING

IN THE MATTER OF LUCILLE M. ROYLE, RAYMOND E. FEOLE, TOWER CONSTRUCTION COMPANY, TOWER CONSTRUCTION AND ENGINEERING SERVICE, INC., TOWER CONSTRUCTION AND ENGINEERING COMPANY, AND AERIAL TOWER CONSTRUCTION COMPANY, SEE KONK, MASSACHUSETTS, AND PROVIDENCE, RHODE ISLAND.

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, OR 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 PROVIDED 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 NOY-92645, IN EXCESS OF $2,000, FOR RELOCATION OF RADAR TOWER NO. 25 AT THE FLEET TRAINING CENTER, U.S. NAVAL STATION, NEWPORT, RHODE ISLAND, WAS ENTERED INTO APRIL 30, 1956, BY THE UNITED STATES (DEPARTMENT OF THE NAVY) WITH LUCILLE M. ROYLE DOING BUSINESS AS THE TOWER CONSTRUCTION COMPANY, SEE KONK, MASSACHUSETTS. THE CONTRACT CONTAINED THE STIPULATIONS AND REPRESENTATIONS REQUIRED BY SECTION 1.

INVESTIGATION BY THE FIRST NAVAL DISTRICT AND THE FEDERAL BUREAU OF INVESTIGATION OF COMPLIANCE WITH LABOR STANDARDS, INCLUDING PAYMENT TO EMPLOYEES OF PRESCRIBED MINIMUM WAGES, DISCLOSED EVIDENCE INDICATING THAT FIFTEEN (15) WORKERS HAD BEEN UNDERPAID, IN THE TOTAL SUM OF $2,413.64, SUBSTANTIALLY AS DETAILED BY THE ACTING SOLICITOR OF LABOR IN A LETTER TO THE CONTRACTOR DATED FEBRUARY 15, 1960. NONETHELESS, PAYROLL AFFIDAVITS FURNISHED TO THE GOVERNMENT BY LUCILLE M. ROYLE, AS OWNER, AND BY RAYMOND E. FEOLE, AS MANAGER, FALSELY SHOWED FULL PAYMENT OF REQUIRED WAGES. LUCILLE M. ROYLE HAS ESTABLISHED THAT SHE ACTED AS A NOMINAL PARTY ONLY AND THAT THE ACTUAL PARTY IN INTEREST WAS RAYMOND E. FEOLE, WHO ALSO WAS SHOWN TO HAVE CONDUCTED BUSINESS AS TOWER ENGINEERING SERVICE, INC., TOWER CONSTRUCTION AND ENGINEERING COMPANY, AND AERIAL TOWER CONSTRUCTION COMPANY.

IT IS CLEAR, PARTICULARLY IN THE LIGHT OF THE FALSE PAYROLLS, THAT GOOD FAITH WAS NOT SHOWN IN COMPLYING WITH THE ACT AND CONTRACTUAL PROVISIONS. ONLY THROUGH INVESTIGATION AND DETECTION OF THE MISLEADING INFORMATION FURNISHED IN PAYROLL REPORTS WAS IT POSSIBLE FOR THE GOVERNMENT TO ADOPT MEASURES PROTECTING THE EMPLOYEES INVOLVED AND ENSURING COMPLIANCE. THE DEPARTMENT OF THE NAVY AND THE DEPARTMENT OF LABOR HAVE RECOMMENDED IMPOSITION OF DEBARMENT.

WE THEREFORE FIND THAT LUCILLE M. ROYLE, RAYMOND E. FEOLE, TOWER CONSTRUCTION COMPANY, TOWER CONSTRUCTION AND ENGINEERING SERVICE, INC., TOWER CONSTRUCTION AND ENGINEERING COMPANY, AND AERIAL TOWER CONSTRUCTION COMPANY, HAVE DISREGARDED "OBLIGATIONS TO EMPLOYEES" WITHIN THE MEANING OF THE DAVIS-BACON ACT. ACCORDINGLY, THEIR NAMES WILL BE INCLUDED ON A LIST FOR DISTRIBUTION TO ALL AGENCIES OF THE GOVERNMENT AND, PURSUANT TO THE STATUTORY DIRECTION, NO CONTRACT SHALL BE AWARDED TO THEM, OR TO ANY FIRM, CORPORATION, PARTNERSHIP, OR ASSOCIATION IN WHICH THEY HAVE AN INTEREST UNTIL THREE YEARS HAVE ELAPSED FROM THE DATE OF PUBLICATION OF SUCH LIST.