Appendix H to Part 151
14:3.0.1.3.22.4.3.12.71 : Appendix H
Appendix H to Part 151
There is set forth below the contract provision required by the
regulations of the Secretary of Labor in part 5 of title 29 of the
Code of Federal Regulations. Section 151.49(a) requires sponsors to
insert this provision in full in each construction contract.
provision required by the regulations of the secretary of labor
A. Minimum wages. (1) All mechanics and laborers employed
or working upon the site of the work will be paid unconditionally
and not less often than once a week, and without subsequent
deduction or rebate on any account (except such payroll deductions
as are permitted by regulations issued by the Secretary of Labor
under the Copeland Act [29 CFR part 3]), the full amounts due at
time of payment computed at wage rates not less than those
contained in the wage determination decision(s) of the Secretary of
Labor which is (are) attached hereto and made a part hereof,
regardless of any contractual relationship which may be alleged to
exist between the contractor and such laborers and mechanics; and
the wage determination decision(s) shall be posted by the
contractor at the site of the work in a prominent place where it
(they) can be easily seen by the workers. For the purpose of this
paragraph, contributions made or costs reasonably anticipated under
section 1(b)(2) of the Davis-Bacon Act on behalf of laborers or
mechanics are considered wages paid to such laborers or mechanics,
subject to the provisions of subparagraph (4) below. Also for the
purpose of this paragraph, regular contributions made or costs
incurred for more than a weekly period under plans, funds, or
programs, but covering the particular weekly period, are deemed to
be constructively made or incurred during such weekly period (29
CFR 5.5(a)(1)(i)).
(2) Any class of laborers or mechanics which is not listed in
the wage determination(s) and which is to be employed under the
contract, shall be classified or reclassified comformably to the
wage determination(s), and a report of the action taken shall be
sent by the [insert sponsor's name] to the FAA for approval and
transmittal to the Secretary of Labor. In the event that the
interested parties cannot agree on the proper classification or
reclassification of a particular class of laborers and mechanics to
be used, the question accompanied by the recommendation of the FAA
shall be referred to the Secretary of Labor for final determination
(29 CFR 5.5(a)(1)(ii)).
(3) Whenever the minimum wage rate prescribed in the contract
for a class of laborers or mechanics includes a fringe benefit
which is not expressed as an hourly wage rate and the contractor is
obligated to pay a cash equivalent of such a fringe benefit, an
hourly cash equivalent thereof shall be established. In the event
the interested parties cannot agree upon a cash equivalent of the
fringe benefit, the question, accompanied by the recommendation of
the FAA shall be referred to the Secretary of Labor for
determination (29 CFR 5.5(a)(1)(iii)).
(4) If the contractor does not make payments to a trustee or
other third person, he may consider as part of the wages of any
laborer or mechanic the amount of any costs reasonably anticipated
in providing benefits under a plan or program of a type expressly
listed in the wage determination decision of the Secretary of Labor
which is a part of this contract: Provided, however, The
Secretary of Labor has found, upon the written request of the
contractor, that the applicable standards of the Davis-Bacon Act
have been met. The Secretary of Labor may require the contractor to
set aside in a separate account assets for the meeting of
obligations under the plan or program.
B. Withholding: FAA from sponsor. Pursuant to the terms
of the grant agreement between the United States and [insert
sponsor's name], relating to Federal-aid Airport Project No. __,
and part 151 of the Federal Aviation Regulations (14 CFR part 151),
the FAA may withhold or cause to be withheld from the [insert
sponsor's name] so much of the accrued payments or advances as may
be considered necessary to pay laborers and mechanics employed by
the contractor or any subcontractor on the work the full amount of
wages required by this contract. In the event of failure to pay any
laborer or mechanic employed or working on the site of the work all
or part of the wages required by this contract, the FAA may, after
written notice to the [insert sponsor's name], take such action as
may be necessary to cause the suspension of any further payment or
advance of funds until such violations have ceased (29 CFR
5.5(a)(2)).
C. Payrolls and basic records. (1) Payrolls and basic
records relating thereto will be maintained during the course of
the work and preserved for a period of three years thereafter for
all laborers and mechanics working at the site of the work. Such
records will contain the name and address of each such employee,
his correct classification, rates of pay (including rates of
contributions or costs anticipated of the types described in
section 1(b)(2) of the Davis-Bacon Act), daily and weekly number of
hours worked, deductions made and actual wages paid. Whenever the
Secretary of Labor has found, under 29 CFR 5.5(a)(1)(iv) (see
subparagraph (4) of subparagraph (A) above), that the wages of any
laborer or mechanic include the amount of any costs reasonably
anticipated in providing benefits under a plan or program described
in section 1(b)(2)(B) of the Davis-Bacon Act, the contractor shall
maintain records which show that the commitment to provide such
benefits is enforceable, that the plan or program is financially
responsible, and that the plan or program has been communicated in
writing to the laborers or mechanics affected, and records which
show the costs anticipated or the actual cost incurred in providing
such benefits (29 CFR 5.5(a)(3)(i)).
(2) The contractor will submit weekly a copy of all payrolls to
the [insert sponsor's name] for transmission to the FAA, as
required by § 151.53(a). The copy shall be accompanied by a
statement signed by the employer or his agent indicating that the
payrolls are correct and complete, that the wage rates contained
therein are not less than those determined by the Secretary of
Labor and that the classifications set forth for each laborer or
mechanic conform with the work he performed. A submission of a
“Weekly Statement of Compliance” which is required under this
contract and the Copeland regulations of the Secretary of Labor (29
CFR part 3) and the filing with the initial payroll or any
subsequent payroll of a copy of any findings by the Secretary of
Labor, under 29 CFR 5.5(a)(1)(iv) (see subparagraph (4) of
paragraph (A) above), shall satisfy this requirement. The prime
contractor shall be responsible for the submission of copies of
payrolls of all subcontractors. The contractor will make the
records required under the labor standards clauses of the contract
available for inspection by authorized representatives of the FAA
and the Department of Labor, and will permit such representatives
to interview employees during working hours on the job (29 CFR
5.5(a)(3)(ii)).
D. Apprentices. Apprentices will be permitted to work as
such only when they are registered, individually, under a bona fide
apprenticeship program registered with a State apprenticeship
agency which is recognized by the Bureau of Apprenticeship and
Training, United States Department of Labor; or, if no such
recognized agency exists in a State, under a program registered
with the Bureau of Apprenticeship and Training, United States
Department of Labor. The allowable ratio of apprentices to
journeymen in any craft classification shall not be greater than
the ratio permitted to the contractor as to his entire work force
under the registered program. Any employee listed on a payroll at
an apprentice wage rate, who is not registered as above, shall be
paid the wage rate determined by the Secretary of Labor for the
classification of work he actually performed. The contractor or
subcontractor will be required to furnish to the [insert sponsor's
name] written evidence of the registration of his program and
apprentices as well as of the appropriate ratios and wage rates,
for the area of construction prior to using any apprentices on the
contract work (29 CFR 5.5(a)(4)).
E. Compliance with Copeland Regulations. The contractor
shall comply with the Copeland Regulations (29 CFR part 3) of the
Secretary of Labor which are herein incorporated by reference (29
CFR 5.5(a)(5)).
F. Overtime requirements. No contractor or subcontractor
contracting for any part of the contract work which may require or
involve the employment of laborers or mechanics shall require or
permit any laborer or mechanic in any workweek in which he is
employed on such work to work in excess of eight hours in any
calendar day or in excess of forty hours in such workweek unless
such laborer or mechanic received compensation at a rate not less
than one and one-half times his basic rate of pay for all hours
worked in excess of eight hours in any calendar day or in excess of
forty hours in such workweek, as the case may be (29 CFR
5.5(c)(1)).
G. Violations; liability for unpaid wages; liquidated
damages. In the event of any violation of paragraph F of this
provision, the contractor and any subcontractor responsible
therefore shall be liable to any affected employee for his unpaid
wages. In addition, such contractor and subcontractor shall be
liable to the United States for liquidated damages. Such liquidated
damages shall be computed, with respect to each individual laborer
or mechanic employed in violation of said paragraph F of this
provision, in the sum of $10 for each calendar day on which such
employee was required or permitted to work in excess of eight hours
or in excess of the standard workweek of forty hours without
payment of the overtime wages required by said paragraph F of this
provision (29 CFR 5.5 (c)(2)).
H. Withholding for unpaid wages and liquidated damages, and
priority of payment (1) The FAA may withhold or cause to be
withheld, from any moneys payable on account of work performed by
the contractor or subcontractor, such sums as may administratively
be determined to be necessary to satisfy any liabilities of such
contractor or subcontractor for unpaid wages and liquidated damages
as provided in paragraph G of this provision (29 CFR
5.5(c)(3)).
(2) In the event of failure or refusal of the contractor or any
subcontractor to comply with overtime pay requirements of the
Contract Work Hours Standards Act, if the funds withheld by the FAA
for the violations are not sufficient to pay fully both the unpaid
wages due laborers and mechanics and the liquidated damages due the
United States, the available funds shall be used first to
compensate the laborers and mechanics for the wages to which they
are entitled (or an equitable portion thereof when the funds are
not adequate for this purpose); and the balance, if any, shall be
used for the payment of liquidated damages (29 CFR 5.14
(d)(2)).
I. Subcontracts. The contractor will insert in each of
his subcontracts the clauses contained in paragraphs A through H
and J of this provision, and also a clause requiring the
subcontractors to include these provisions in any lower tier
subcontracts which they may enter into, together with a clause
requiring this insertion in any further subcontracts that may in
turn be made (29 CFR 5.5(a)(6), 5.5(c)(4)).
J. Contract termination; debarment. A breach of
paragraphs A through I of this provision may be grounds for
termination of the contract. A breach of paragraphs A through E and
I may also be grounds for debarment as provided in 29 CFR 5.6 of
the regulations of the Secretary of Labor (29 CFR 5.5(a)(8)).
[Doc. No. 6387, 29 FR 18002, Dec. 18, 1964, as amended by Amdt.
151-9, 30 FR 14197, Nov. 11, 1965; Amdt. 151-38, 35 FR 5112, Mar.
26, 1970]