B-153383, MAR. 12, 1964

B-153383: Mar 12, 1964

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W. EDWARD LONG: ENCLOSED IS A COPY OF OUR FINDINGS OF TODAY THAT W. THIS NAME WILL BE INCLUDED ON A LIST FOR PUBLICATION MARCH 16. NO GOVERNMENT CONTRACTS WILL BE AWARDED TO HIM OR TO ANY FIRM. OR ASSOCIATION IN WHICH HE HAS INTEREST UNTIL THREE YEARS SHALL HAVE ELAPSED FROM THE DATE OF PUBLICATION. TO WHICH THE UNITED STATES * * * IS A PARTY. 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. 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.'.

B-153383, MAR. 12, 1964

TO MR. W. EDWARD LONG:

ENCLOSED IS A COPY OF OUR FINDINGS OF TODAY THAT W. EDWARD LONG HAS DISREGARDED OBLIGATIONS TO EMPLOYEES WITHIN THE MEANING OF THE DAVIS BACON ACT, 40 U.S.C. 276A, IN THE PERFORMANCE OF TWO GENERAL SERVICES ADMINISTRATION CONTRACTS NUMBERED GS-R3-B-8243 AND GS-R3-B-8244.

PURSUANT TO THE PROVISIONS OF SECTION 3 (A) OF THE ACT, THIS NAME WILL BE INCLUDED ON A LIST FOR PUBLICATION MARCH 16, 1964, AND NO GOVERNMENT CONTRACTS WILL BE AWARDED TO HIM OR TO ANY FIRM, CORPORATION, PARTNERSHIP, OR ASSOCIATION IN WHICH HE HAS INTEREST UNTIL THREE YEARS SHALL HAVE ELAPSED FROM THE DATE OF PUBLICATION.

FINDING

IN THE MATTER OF W. EDWARD LONG, 5706 N STREET, HILLSIDE, MARYLAND.

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 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.'

CONTRACTS GS-R3-B-8243 AND GS-R3-B-8244, IN EXCESS OF $2,000, FOR PROJECTS AT HEALTH, EDUCATION, AND WELFARE'S NORTH BUILDING AND TEMPORARYD BUILDING, WASHINGTON, D.C., WERE ENTERED INTO ON APRIL 25 AND JUNE 21, 1961, RESPECTIVELY, BY THE UNITED STATES (GENERAL SERVICES ADMINISTRATION) WITH W. EDWARD LONG. THE CONTRACT CONTAINED THE STIPULATIONS AND REPRESENTATIONS REQUIRED BY SECTION 1 OF THE ACT.

INVESTIGATION BY THE GENERAL SERVICES ADMINISTRATION OF COMPLIANCE WITH LABOR STANDARDS, INCLUDING PAYMENT TO EMPLOYEES OF PRESCRIBED MINIMUM WAGES, DISCLOSED EVIDENCE INDICATING THAT 15 WORKERS HAD BEEN UNDERPAID A TOTAL OF $1,920.20 IN VIOLATION OF THE DAVIS-BACON ACT AND SUBSTANTIALLY AS DETAILED BY THE SOLICITOR OF LABOR IN A LETTER TO THE CONTRACTOR DATED AUGUST 21, 1963. NONETHELESS, PAYROLL AFFIDAVITS FURNISHED TO THE GOVERNMENT BY MR. LONG, AS OWNER, FALSELY (THROUGH THE EMPLOYMENT OF RATES IN EXCESS OF THOSE ACTUALLY PAID) SHOWED FULL PAYMENT OF REQUIRED WAGES. THE CONTRACTOR DOES NOT APPEAR TO HAVE CONTESTED THE ADMINISTRATIVE DETERMINATION OF UNDERPAYMENTS AND, ON MARCH 17, 1963, PLEADED GUILTY TO A CRIMINAL CHARGE GROWING OUT OF THE FALSIFICATION OF PAYROLLS (UNDER THE PROVISIONS OF 18 U.S.C. 1001) AND WAS PLACED ON A SUSPENDED SENTENCE FOR THREE YEARS. THE WAGE DEFICIENCIES HAVE NOT BEEN ADJUSTED.

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 GENERAL SERVICES ADMINISTRATION AND DEPARTMENT OF LABOR HAVE RECOMMENDED IMPOSITION OF DEBARMENT.

WE THEREFORE FIND THAT W. EDWARD LONG HAS DISREGARDED "OBLIGATIONS TO EMPLOYEES" WITHIN THE MEANING OF THE DAVIS-BACON ACT. ACCORDINGLY, THIS NAME 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 HIM, OR ANY FIRM, CORPORATION, PARTNERSHIP, OR ASSOCIATION IN WHICH HE HAS AN INTEREST UNTIL THREE YEARS HAVE ELAPSED FROM THE DATE OF PUBLICATION OF SUCH LIST.