B-200889.OM, DEC 16, 1980

B-200889.OM: Dec 16, 1980

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PRECIS-UNAVAILABLE COMPTROLLER GENERAL: WE ARE FORWARDING THE FILE PERTAINING TO THE APPARENT VIOLATIONS OF THE DAVIS-BACON ACT. C. DETAILS OF THE VIOLATIONS AND ADMINISTRATIVE RECOMMENDATIONS CONCERNING DEBARMENT ARE CONTAINED IN THE ATTACHED INVESTIGATIVE REPORT AND DEPARTMENT OF LABOR TRANSMITTAL LETTER. 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. WHILE THE EVIDENCE OF RECORD IS SUFFICIENT TO ESTABLISH THE FACT THAT THE WORKERS WERE UNDERPAID. WE DO NOT BELIEVE THAT UNDER THE CIRCUMSTANCES OF THE PRESENT CASE DEBARMENT IS WARRANTED.

B-200889.OM, DEC 16, 1980

PRECIS-UNAVAILABLE

COMPTROLLER GENERAL:

WE ARE FORWARDING THE FILE PERTAINING TO THE APPARENT VIOLATIONS OF THE DAVIS-BACON ACT, 40 U.S.C. 276A, BY DEE CEE ROOFING COMPANY, INC. WHICH PERFORMED WORK UNDER DEPARTMENT OF NAVY, CONTRACT NO. N62477-78-C 4027 AT NAVAL RESEARCH LABORATORY, WASHINGTON, D. C.

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 $482.45 OF THE FUNDS ON DEPOSIT HERE TO THE 11 AGRIEVED WORKERS AND RETURN THE BALANCE TO THE PRIME CONTRACTOR 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.

INDORSEMENT

ASSOCIATE DIRECTOR, AFMD-CLAIMS GROUP

RETURNED. WHILE THE EVIDENCE OF RECORD IS SUFFICIENT TO ESTABLISH THE FACT THAT THE WORKERS WERE UNDERPAID, WE DO NOT BELIEVE THAT UNDER THE CIRCUMSTANCES OF THE PRESENT CASE DEBARMENT IS WARRANTED. FIRST OF ALL, WE NOTE THAT, WHILE THE SUM TOTAL OF THE UNDERPAYMENTS IS $482.45, THE MOST THAT ANY OF THE 11 WORKERS WAS UNDERPAID WAS $64.29 AND THIS WAS OVER FOUR PAY PERIODS. ONE WORKER WAS ONLY UNDERPAID $10.40. WE ALSO NOTE THAT THERE IS NO EVIDENCE THAT THE PAYROLLS WERE FALSIFIED TO SIMULATE COMPLIANCE WITH THE DAVIS-BACON ACT. ALMOST ALL OF THE EMPLOYEES WORKED IN MORE THAN ONE CLASSIFICATION, I.E., LABORER AND ROOFER, AND THE UNDERPAYMENTS ARE IN GOOD MEASURE DUE TO A DISPUTE BETWEEN THE CONTRACTING AGENCY AND THE CONTRACTOR CONCERNING THE NUMBER OF HOURS WORKED IN EACH CLASSIFICATION. THUS, IT IS OUR VIEW THAT THE EVIDENCE TAKEN AS A WHOLE DOES NOT ESTABLISH A WILLFUL INTENT ON THE PART OF THE CONTRACTOR TO UNDERPAY ITS WORKERS SO AS TO WARRANT DEBARMENT. SEE B-194243-O.M., APRIL 13, 1979, AND B-191999-O.M., JULY 7, 1978. NEITHER THE DEPARTMENT OF THE NAVY NOR THE DEPARTMENT OF LABOR HAS RECOMMENDED DEBARMENT.

THE FUNDS ON DEPOSIT WITH YOUR OFFICE SHOULD BE DISBURSED TO THE AGGRIEVED EMPLOYEES IN ACCORDANCE WITH ESTABLISHED PROCEDURES.