B-200293.OM, OCT 16, 1980

B-200293.OM: Oct 16, 1980

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THE EVIDENCE OF RECORD IS SUFFICIENT TO SUPPORT THE CONCLUSION THAT THE WORKERS IN QUESTION WERE UNDERPAID. WE ARE OF THE VIEW THAT THE VIOLATIONS OF THE DAVIS-BACON ACT. WERE NOT OF SUCH A WILLFUL NATURE AS TO WARRANT DEBARMENT. ONLY FOUR WERE UNDERPAID IN VIOLATION OF THE DAVIS-BACON ACT. THESE FOUR WORKERS WERE APPARENTLY TREATED AS APPRENTICE BRICKLAYERS AND PAID THE MASON TENDERS WAGE RATE ($4.70 PER HOUR). SINCE THEY WERE NOT REGISTERED IN AN APPROVED APPRENTICESHIP PROGRAM. THEY SHOULD HAVE BEEN PAID THE BRICKLAYER WAGE RATE OF $7 PER HOUR. IT APPEARS THAT THE UNDERPAYMENT OF THESE WORKERS WAS NOT THE RESULT OF A WILLFUL INTENT TO UNDERPAY THE WORKERS. RATHER THE RESULT OF THE SUBCONTRACTOR'S BELIEF THAT SINCE THEY WERE NOT JOURNEYMEN BRICKLAYERS THEY SHOULD NOT BE PAID AS SUCH.

B-200293.OM, OCT 16, 1980

PRECIS-UNAVAILABLE

ASSOCIATE DIRECTOR, FGMS DIVISION-CLAIMS GROUP:

INDORSEMENT

RETURNED. THE EVIDENCE OF RECORD IS SUFFICIENT TO SUPPORT THE CONCLUSION THAT THE WORKERS IN QUESTION WERE UNDERPAID. IN REGARD TO THE QUESTION OF DEBARMENT, WE ARE OF THE VIEW THAT THE VIOLATIONS OF THE DAVIS-BACON ACT, UNLIKE THE VIOLATIONS UNDER THE CONTRACT WORK HOURS AND SAFETY STANDARDS ACT, WERE NOT OF SUCH A WILLFUL NATURE AS TO WARRANT DEBARMENT. OF THE 100 WORKERS EMPLOYED BY THE SUBCONTRACTOR ON THIS PROJECT, ONLY FOUR WERE UNDERPAID IN VIOLATION OF THE DAVIS-BACON ACT. THESE FOUR WORKERS WERE APPARENTLY TREATED AS APPRENTICE BRICKLAYERS AND PAID THE MASON TENDERS WAGE RATE ($4.70 PER HOUR). HOWEVER, SINCE THEY WERE NOT REGISTERED IN AN APPROVED APPRENTICESHIP PROGRAM, THEY SHOULD HAVE BEEN PAID THE BRICKLAYER WAGE RATE OF $7 PER HOUR. IT APPEARS THAT THE UNDERPAYMENT OF THESE WORKERS WAS NOT THE RESULT OF A WILLFUL INTENT TO UNDERPAY THE WORKERS, BUT RATHER THE RESULT OF THE SUBCONTRACTOR'S BELIEF THAT SINCE THEY WERE NOT JOURNEYMEN BRICKLAYERS THEY SHOULD NOT BE PAID AS SUCH. SEE B-189400 O.M., SEPTEMBER 23, 1977. MOREOVER, THE AMOUNT OF THE DAVIS-BACON ACT UNDERPAYMENTS ($961.40) IS RELATIVELY SMALL WHEN COMPARED TO THE TOTAL AMOUNT OF THE SUBCONTRACT ($440,000). SEE B-178561-O.M., FEBRUARY 14, 1974. NEITHER THE DEPARTMENT OF THE ARMY NOR THE DEPARTMENT OF LABOR HAS RECOMMENDED DEBARMENT UNDER THE DAVIS-BACON ACT. HOWEVER, THE DEPARTMENT OF THE ARMY DID RECOMMEND THAT THE SUBCONTRACTOR BE DEBARRED FOR VIOLATIONS OF THE CONTRACT WORK HOURS AND SAFETY STANDARDS ACT.

THE $78 ON DEPOSIT WITH YOUR OFFICE MAY BE DISBURSED TO THE WORKERS IN QUESTION IN ACCORDANCE WITH ESTABLISHED PROCEDURES.

COMPTROLLER GENERAL

WE ARE FORWARDING THE FILE PERTAINING TO THE APPARENT VIOLATIONS OF THE DAVIS-BACON ACT, 40 U.S.C. 276A, AND THE CONTRACT WORK HOURS AND SAFETY STANDARDS ACT, 40 U.S.C. 327 ET SEQ., BY ANTONE CONSTRUCTION CO., INC., WHICH PERFORMED WORK UNDER DEPARTMENT OF THE ARMY, CONTRACT NO. DACA 21-76 -C-0150 AT FORT STEWART, GEORGIA.

DETAILS OF THE VIOLATIONS AND ADMINISTRATIVE RECOMMENDATIONS CONCERNING DEBARMENT ARE CONTAINED IN THE ATTACHED INVESTIGATIVE REPORT AND DEPARTMENT OF LABOR TRANSMITTAL LETTER.

WE PROPOSE, WITH YOUR APPROVAL, TO DISBURSE THE $78.00 ON DEPOSIT HERE TO THE AGGRIEVED WORKER IN ACCORDANCE WITH ESTABLISHED PROCEDURES. OUR PROPOSAL AND THE MATTER OF WHETHER THE CONTRACTOR'S NAME SHOULD BE PLACED ON THE DEBARRED BIDDERS LIST FOR VIOLATIONS UNDER THE DAVIS-BACON ACT ARE FORWARDED FOR YOUR CONSIDERATION AND INSTRUCTIONS.

FOR FURTHER INFORMATION, PLEASE CONTACT MS. MARCIA BROWN ON EXTENSION 53218.