B-207454.OM., OCT 20, 1982

B-207454.OM.: Oct 20, 1982

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PRECIS-UNAVAILABLE THE COMPTROLLER GENERAL: WE ARE FORWARDING THE FILE PERTAINING TO THE APPARENT VIOLATIONS OF THE DAVIS-BACON ACT. 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 SUPPORT THE CONCLUSION THAT THE SUBCONTRACTOR. WE DO NOT BELIEVE THAT DEBARMENT IS WARRANTED. THE FACT THAT MOST OF THE UNDERPAYMENTS WERE MINOR.

B-207454.OM., OCT 20, 1982

PRECIS-UNAVAILABLE

THE 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 STA-DRI COMPANY, INC., DALLAS, TEXAS, WHICH PERFORMED WORK UNDER ARMY CORPS OF ENGINEERS CONTRACT NO. DACA 63-77-C-0200 AT FORT POLK, LOUISIANA.

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 $1,143.17 ON DEPOSIT HERE TO THE 20 AGGRIEVED WORKERS 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 MYRON COLBREUNER ON EXTENSION 53218.

INDORSEMENT

ASSOCIATE DIRECTOR-AFMD, CLAIMS GROUP

RETURNED. WHILE THE EVIDENCE OF RECORD IS SUFFICIENT TO SUPPORT THE CONCLUSION THAT THE SUBCONTRACTOR, STA-DRI COMPANY, INC., UNDERPAID THE WORKERS IN QUESTION, WE DO NOT BELIEVE THAT DEBARMENT IS WARRANTED. THE FACT THAT MOST OF THE UNDERPAYMENTS WERE MINOR, I.E., $30 OR LESS, COUPLED WITH THE FACT THAT, ACCORDING TO THE PRIME CONTRACTOR, AND ACKNOWLEDGED BY THE CONTRACTING AGENCY, THE SUBCONTRACTOR WAS PERFORMING MORE THAN A NORMAL CONTRACT WORKLOAD AND WAS PRESSED FOR TIME WITH RESULTANT NEGLIGENT BOOKKEEPING, INDICATES THAT MOST OF THE VIOLATIONS WERE DUE TO CARELESS RECORDKEEPING RATHER THAN ANY WILLFUL INTENT TO VIOLATE THE DAVIS-BACON ACT, 40 U.S.C. SEC. 276A (1976). SEE B-178561-O.M, FEBRUARY 14, 1974. SINCE THERE IS NO EVIDENCE INDICATING THAT THE PRIME CONTRACTOR, ALGERNON BLAIR, INC., WILLFULLY PARTICIPATED IN OR CONTRIBUTED TO THE DISREGARD OF OBLIGATIONS TO THE EMPLOYEES IN QUESTION, DEBARMENT OF THAT FIRM WOULD NOT BE JUSTIFIED. SEE B-205605 O.M., MARCH 16, 1982, AND B-184051-O.M., JUNE 24, 1975. THE DEPARTMENT OF LABOR DID NOT RECOMMEND IMPOSITION OF DEBARMENT SANCTIONS AGAINST EITHER THE SUBCONTRACTOR OR THE CONTRACTOR.

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