B-171391(3), FEB 26, 1971

B-171391(3): Feb 26, 1971

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CONTRACTS - DEBARRED BIDDER ADVISING THAT SANCTIONS WILL NOT BE IMPOSED UPON DYNAMIC ENTERPRISES. IT WILL THEREFORE BE ELIGIBLE TO PERFORM JANITORIAL SERVICES AT KENNEDY SPACE CENTER AS A SUBCONTRACTOR OF BOEING COMPANY. AWARD IS BEING WITHHELD PENDING DECISION BY OUR OFFICE ON TWO PROTESTS IN THE MATTER. YOUR INTEREST IN THE PROCUREMENT IS AS A POSSIBLE SUBCONTRACTOR TO BOEING FOR THE PERFORMANCE OF THE JANITORIAL SERVICES AT KSC. WHICH YOU ARE CURRENTLY PERFORMING UNDER A SUBCONTRACT WITH TRANS WORLD AIRLINES. YOU ARE THEREFORE CONCERNED WITH THE EFFECT OF THE ACTION WHICH MAY BE TAKEN AGAINST DYNAMIC PURSUANT TO SECTION 5(A) OF THE ACT. YOU REQUEST THAT OUR OFFICE INVESTIGATE THE MATTER AND TAKE WHATEVER ACTION IS WARRANTED.

B-171391(3), FEB 26, 1971

CONTRACTS - DEBARRED BIDDER ADVISING THAT SANCTIONS WILL NOT BE IMPOSED UPON DYNAMIC ENTERPRISES, INC., FOR VIOLATIONS OF THE SERVICE CONTRACT ACT OF 1965, 41 U.S.C. 35, ET SEQ., AND IT WILL THEREFORE BE ELIGIBLE TO PERFORM JANITORIAL SERVICES AT KENNEDY SPACE CENTER AS A SUBCONTRACTOR OF BOEING COMPANY.

TO AIRCRAFT SERVICE INTERNATIONAL, INC.:

WE REFER TO YOUR LETTER OF JANUARY 15, 1971, RELATIVE TO A PROPOSED PROCUREMENT BY THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION (NASA) OF INSTALLATION SUPPORT SERVICES AT KENNEDY SPACE CENTER (KSC) UNDER REQUEST FOR PROPOSALS (RFP) NO. 2-370-0. NASA HAS ANNOUNCED ITS INTENTION TO NEGOTIATE A CONTRACT WITH THE BOEING COMPANY (BOEING), BUT AWARD IS BEING WITHHELD PENDING DECISION BY OUR OFFICE ON TWO PROTESTS IN THE MATTER.

YOUR INTEREST IN THE PROCUREMENT IS AS A POSSIBLE SUBCONTRACTOR TO BOEING FOR THE PERFORMANCE OF THE JANITORIAL SERVICES AT KSC, WHICH YOU ARE CURRENTLY PERFORMING UNDER A SUBCONTRACT WITH TRANS WORLD AIRLINES, INCORPORATED, WHOSE PRIME CONTRACT EXPIRES ON MARCH 31, 1971. IN THIS CONNECTION, YOU STATE THAT DYNAMIC ENTERPRISES, INC. (DYNAMIC), WHO PERFORMS JANITORIAL SERVICES AS SUBCONTRACTOR TO BOEING, HAS BEEN CHARGED BY THE UNITED STATES DEPARTMENT OF LABOR WITH SEVERAL VIOLATIONS OF THE SERVICE CONTRACT ACT OF 1965, 41 U.S.C. 351, ET SEQ., AND YOU ARE THEREFORE CONCERNED WITH THE EFFECT OF THE ACTION WHICH MAY BE TAKEN AGAINST DYNAMIC PURSUANT TO SECTION 5(A) OF THE ACT; I.E., POSSIBLE LISTING OF DYNAMIC BY THE COMPTROLLER GENERAL AS A FIRM TO WHOM NO GOVERNMENT CONTRACTS MAY BE AWARDED FOR A PERIOD OF THREE YEARS. ACCORDINGLY, YOU REQUEST THAT OUR OFFICE INVESTIGATE THE MATTER AND TAKE WHATEVER ACTION IS WARRANTED.

IN A DECISION ISSUED JANUARY 25, 1971, THE ADMINISTRATOR, WAGE AND HOUR AND PUBLIC CONTRACTS DIVISIONS, DEPARTMENT OF LABOR, ACTING PURSUANT TO AN APPEAL BY DYNAMIC FROM AN ADVERSE DECISION OF THE DEPARTMENT'S HEARING EXAMINER (SEE 29 C.F.R. 6.11), RECOMMENDED THAT THE SECRETARY OF LABOR TAKE AFFIRMATIVE ACTION TO RELIEVE DYNAMIC FROM THE INELIGIBLE LIST PROVISIONS OF SECTION 5(A) OF THE ACT. IN LIGHT OF SUCH ACTION, IT WOULD NOT APPEAR THAT THE DEBARMENT SANCTIONS PROVIDED BY THE ACT WILL BE IMPOSED AGAINST DYNAMIC.