36C24818R0665-001.docx

36C24818R0665

1. SOLICITATION NUMBER

2. TYPE OF SOLICITATION

3. DATE ISSUED

PAGE OF PAGES

4. CONTRACT NUMBER

5. REQUISITION/PURCHASE REQUEST NUMBER

6. PROJECT NUMBER

7. ISSUED BY

CODE

8. ADDRESS OFFER TO

a. NAME

b. TELEPHONE NUMBER (Include area code) (NO COLLECT CALLS)

10. THE GOVERNMENT REQUIRES PERFORMANCE OF THE WORK DESCRIBED IN THESE DOCUMENTS (Title, identifying number, date) 12a. THE CONTRACTOR MUST FURNISH ANY REQUIRED PERFORMANCE AND PAYMENT BONDS?

(If "YES," indicate within how many calendar days after award in Item 12B.)

12b. CALENDAR DAYS

13. ADDITIONAL SOLICITATION REQUIREMENTS:

STANDARD FORM 1442 (REV. 8/2014)

STANDARD FORM 1442

Prescribed by GSA-FAR (48 CFR) 52.236-1(d)

SOLICITATION, OFFER,

AND AWARD

(Construction, Alteration, or Repair)

SOLICITATION

SOLICITATION

IMPORTANT - The "offer" section on the reverse must be fully completed by offeror.

9. FOR INFORMATION

CALL:

NOTE: In sealed bid solicitations "offer" and "offeror" mean "bid" and "bidder".

SEALED BID (IFB)

NEGOTIATED (RFP)

11. The Contractor shall begin performance within ____________ calendar days and complete it within calendar days after receiving award, notice to proceed. This performance period is mandatory negotiable. (See _____________________________).

YES

NO

a.

Sealed offers in original and ___________________copies to perform the work required are due at the place specified in Item 8 by _____________ (hour) local time _____________________ (date). If this is a sealed bid solicitation, offers must be publicly opened at that time. Sealed envelopes containing offers shall be marked to show the offeror's name and address, the solicitation number, the date and time offers are due.

b.

An offer guarantee is, is not required.

c.

All offers are subject to the (1) work requirements, and (2) other provisions and clauses incorporated in the solicitation in full text or by reference.

d.

Offers providing less than _______________________ calendar days for Government acceptance after the date offers are due will not be considered and will be rejected.

36C24818R0665 X 07-12-2018 675-18-2-3430-0001 675-16-652 36C248 Department of Veterans Affairs Network Contracting Office 8 (NCO 8) For Orlando VA Medical Center 8875 Hidden River Pkwy Suite 525 Tampa

FL

33637 Department of Veterans Affairs Network Contracting Office 8 (NCO 8) for Orlando VA 8875 Hidden River Pkwy Suite 525 Tampa

FL

33637 Tiffany Garfield 813-631-2818 Project Title: Design Build Correct Water and Access Deficiencies at Viera

Project No: 675-16-652

Project Location: Orlando VA Medical Center, Orlando, FL

Contracting Officer (CO): Tiffany Garfield; email - tiffany.garfield@va.gov

Contracting Officer Representative (COR): Astra Freet; email - astra.freet@va.gov

Description: This is a 2 Phase Design/Build (DB) project which shall Correct Water and Access Deficiencies at Viera, Orlando VA.

Service Disabled Veteran Owned Small Business Program:

The acquisition is Set-Aside under the SDVOSB program. The prospective contractor is cautioned that any proposal submitted to this solicitation must meet the criteria identified by 38 CFR Part 74. Any person, persons or business entity suspected of misrepresenting itself for the purpose of securing a government contract may be criminally investigated and prosecuted for fraud against the United States of America. Parties found misrepresenting their status also risk debarment from government procurements.

Please reference the attached documents for further proposal submission information.

X X 52.211-10 X email 1 copy

12:00 PM

08-10-2018 X

14. NAME AND ADDRESS OF OFFEROR

15. TELEPHONE NUMBER

16. REMITTANCE ADDRESS

CODE

FACILITY CODE

17. The offeror agrees to perform the work required at the prices specified below in strict accordance with the terms of the solicitation, if this offer is accepted by the Government in writing within __________ calendar days after the date offers are due.

AMOUNTS

18. The offeror agrees to furnish any required performance and payment bonds.

19. ACKNOWLEDGMENT OF AMENDMENTS

AMENDMENT

NUMBER

DATE.

20a. NAME AND TITLE OF PERSON AUTHORIZED TO SIGN OFFER 20b. SIGNATURE 20c. OFFER DATE

21. ITEMS ACCEPTED:

22. AMOUNT

23. ACCOUNTING AND APPROPRIATION DATA

24. SUBMIT INVOICES TO ADDRESS SHOWN IN

ITEM

25. OTHER THAN FULL AND OPEN COMPETITION PURSUANT TO

10 U.S.C. 2304(c)( 41 U.S.C. 3304(a) (

26. ADMINISTERED BY

27. PAYMENT WILL BE MADE BY

PHONE:

FAX:

28. NEGOTIATED AGREEMENT

29. AWARD

Your Contractor agrees offer on this solicitation is hereby accepted as to the items listed. This to furnish and deliver all items or perform all work requirements identified award consummates the contract, which consists of (a) the Government on this form and any continuation sheets for the consideration stated in solicitation and your offer, and (b) this contract award. No further cont-this contract. The rights and obligations of the parties to this contract ractual document is necessary.

shall be governed by (a) this contract award, (b) the solicitation, and (c) the clauses, representations, certifications, and specifications incorporated by reference in or attached to this contract.

30a. NAME AND TITLE OF CONTRACTOR OR PERSON AUTHORIZED 31a. NAME OF CONTRACTING OFFICER

TO SIGN

30b. SIGNATURE 30c. DATE 31b. UNITED STATES OF AMERICA 31c. AWARD DATE

BY

OFFER

AWARD

STANDARD FORM 1442 (REV. 8/2014) BACK

(Include ZIP Code) (Include area code) (Include only if different than Item 14.)

(Insert any number equal to or greater than the minimum requirement stated in Item 13d. Failure to insert any number means the offeror accepts the minimum in Item 13d.)

(The offeror acknowledges receipt of amendments to the solicitation -- give number and date of each) (Type or print) (4 copies unless otherwise specified) (Type or print) (Type or print) (Contractor is required to sign this document and return _______ copies to issuing office.)

(Contractor is not required to sign this document.)

(Must be fully completed by offeror) (To be completed by Government)

CONTRACTING OFFICER WILL COMPLETE ITEM 28 OR 29 AS APPLICABLE

Phase 1 - Technical Only - No Pricing Submitted Phase II - Technical and Pricing - $ 36C248 Department of Veterans Affairs Network Contracting Office 8 (NCO 8) For Orlando VA 8875 Hidden River Pkwy Tampa

FL

33637 Department of Veterans Affairs Financial Services Center P.O. Box 149971 Austin

TX

78714-9971

Table of Contents

A.1 GENERAL PROPOSAL INFORMATION

GENERAL PROPOSAL INFORMATION – DESIGN BUILD

NOTE: Contractors shall not submit Phase II proposals until directed to do so by the Contracting Officer

1. Service Disabled Veteran-owned Small Business Verification: This requirement is 100% set aside for verified Service Disabled Veteran Owned Small Business (SDVOSB). The award of this requirement shall not be delayed due to loss of SDVOSB verification. Proposals submitted by non-verified SDVOSB’s will be excluded from evaluation and award consideration.

2. Offer Acceptance Period: Offers providing less than 120 calendar days for Government acceptance after the date offers are due may not be considered and may be rejected.

3. Work Effort: This project is a Design Build Effort: The contractor shall develop project design documentation including drawings, specifications, design analysis, etc. Upon completion of design, and upon acceptance by the Government, construction execution shall commence and be completed in accordance with contract requirements.

4. RFP Issue Date: July 12, 2018

5. Site Visit:

Phase I site visit to be determined (TBD).

The Phase II site visit to be determined (TBD) later in Phase II.

Contact Astra Freet and Tiffany Garfield by email: astra.freet@va.gov and tiffany.garfield@va.gov to confirm your attendance.

6. Requests for Information (RFIs): Due Date: NLT July 27, 2018, 12:00 pm EST. RFI’s should be submitted to the contracting officer’s e-mail address as follows: tiffany.garfield@va.gov. Responses will be provided in a question and answer format. Subject Line of the RFI e-mail should include “RFI #1, 36C24818R0665 and Company Name”.

Note: RFI’s will not be accepted after due date.

7. Proposal Due Date: The size of your file shall not exceed 5 Meg. If you have multiple documents, please submit as separate emails. Subject Line of the Proposal e-mail should include the following subject line: “Phase I (etc.,) – Technical Proposal (etc.,) - 36C24818R0665 – Your Company Name - TAB “X”, Email “X” of “X (if multiple emails are required to meet the file limitation identified). All material shall be in typeface Time New Roman (12 font size), 1.5-line spacing on 8½” x 11” white paper with one (1) inch margins all around. Tables and illustration may use a reduced font style, but not less than 8 point, and may be single-spaced. Each page must identify the submitting offeror in the header or footer and page number. Proposals received after that time will not be considered. Proposals are due as follows:

a. PHASE I Proposal: Due Date: Request for Proposals (RFP) offers for furnishing services identified within the schedule shall be submitted electronically to the Contracting officer (CO) at tiffany.garfield@va.gov not later than August 10, 2018, 12:00 PM EST

b. PHASE II Proposal: Due date will be announced by email to those Offerors invited to participate.

8. Offer Guarantee (Bid Bond): (An offer guarantee is required for offers requested to participate in Phase II only). Per FAR Clause 52.228-1-Bid Guarantee, the amount of the bid guarantee shall be 20 percent of the bid price or $3,000,000, whichever is less. NOTE: A scanned copy of the original is acceptable with the original sent by mail.

9. Magnitude of Construction: Pursuant to FAR 36.204(d) the following is provided: The magnitude of construction is between $500,000 and $1,000,000. This is the estimated range for Design and Construction as defined by Design Build.

10. Proposal Requirements: For Phase 1, only Technical Proposals are required. Offerors shall not submit Phase II proposals unless requested by the Contracting Officer. For Phase II, Technical and Price Proposal are required from offerors who have been asked to submit Phase II proposal.

11. North American Industry Classification (NAICS) code: The applicable NAICS code for this procurement is 238990 (All Other Specialty Trade Contractors). The Small Business size standard is $15 Million.

Wage Determination (WD): For use during Phase II only

A.2 PROPOSAL PREPARATION AND EVALUATION INFORMATION

PROPOSAL PREPARATION AND EVALUATION INFORMATION

I. Two-Phase Design-Build Selection and Evaluation Procedures

1. This part describes the mechanism for evaluating and selecting offers for this two-phase design-build procurement for Project No. 675-16-652, Correct Water and Access Deficiencies at Viera, Orlando, FL.

1. General Procedures

0. This solicitation addresses both the Phase 1 and Phase 2 proposal requirements.

0. The Phase 1 proposals will be evaluated to determine which offerors will be invited to submit Phase 2 technical and cost proposals.

0. A maximum of five (5) most highly rated Phase I proposals will be invited to submit a Phase II proposal.

0. Do not submit pricing with the Phase 1 proposal.

1. PHASE 1- Proposal Preparation Instructions:

1. Technical Proposal Format: Technical Proposal shall address all information requested and will then be evaluated against the stated factors. The following format shall be used:

1. TAB A. General Information

1. Cover Page with Solicitation Number, Project Title

1. Table of Contents

1. Signed offer/Acknowledgement of Amendments (SF1442)

1. Copy of current vetBiz.gov SDVOSB certification

1. DUNS Number

1. Cage Code

1. Tax ID number

1. Principle points of contact, address, phone numbers, etc.

Phase 1 Evaluation Factors and Proposal Requirements:

Factor 1: TECHNICAL APPROACH (Tab B) – (Narrative - 10 pages’ max)

1. In a narrative format, diagrams and/or drawing, describe in detail how the offeror intends to meet or exceed all performance areas stated in the solicitation/statement of work/attachments that are related to Project 675-17-103. Provide technical methods and procedures that reflect a design and construction approach unique to the site and facility. NOTE: Vague, general narratives to include the restatement of the Statement of Work will be rated less favorably.

2. Schedule and minimizing downtime is crucial. Describe a plan to complete the project in a timely manner without causing disruptions to facility during normal business hours. Also describe actions to be taken by the offeror if completion of work is anticipated to fall behind schedule. It is critical to the VA mission that services remain intact with minimal disruption.

3. Describe any technical difficulties that may be encountered in a project of this type. Provide a narrative of preventative measures or solutions to overcome these issues.

Factor 2: TECHNICAL QUALIFICATIONS (Tab C) – (Narrative 10 pages max)

1. Briefly describe the Design Builds Team specialized experience, technical competence and design expertise in renovation of building space involving health care facilities.

2. Briefly describe ability to obtain the necessary resources to perform this project.

3. If there is a Teaming Arrangement, identify the individual firms experience, describe the nature of the association, and clearly identify contractual responsibilities of each firm.

Factor 3: RELEVANT AND RECENT PAST PERFORMANCE (Tab D) (Narrative 10 pages’ max)

1. A minimum of one (1) and a maximum of three (3) past performance projects completed by the Prime Contractor shall be submitted to the Government. Each past performance shall contain ALL the following:

a) Brief project description (to include performance dates)

b) Prime contractor of the project

c) List of subcontractors

c) Relevance to project stated in RFP

d) Initial/Final award amount

e) State any change orders if occurred during the project performance

f) Pictures of completed work

g) Project Contracting Officer Representative or Client

2. The projects shall be recent (completion date to be within 5 years of the solicitation release date), relevant, and be similar to the proposed magnitude and scope of the proposed project.

3. In the case of an Offeror without a record of relevant past performance or for whom information on past performance is not available, the Offeror may not be evaluated favorably or unfavorably on past performance

4. Note: The Evaluation Team may also use information obtained from Past Performance Information Retrieval System PPIRS http://www.ppirs.gov/ as a basis for evaluating this factor.

Factor 4: PROJECT PLANNING/SAFETY (Tab E) - (Narrative 5 pages’ max) excluding EMR

1. Describe your plan for phasing this project

2. Approach to construction safety.

Phase 1 Evaluation and Selection Criteria: Factors 1 thru 4, as described above, will be rated using an adjectival rating system. Each factor response will be reviewed and assigned an adjectival rating. For evaluation purposes, each technical factor is equal in importance.

D. Phase 2 Proposal Preparation and Submission:

OFFERORS ARE NOT TO SUBMIT A PHASE 2 PROPOSAL UNLESS INVITED TO DO SO.

PRICE PROPOSAL

TAB A: General Information:

TAB B: Price Breakdown: The following cost elements shall be addressed:

*** Price breakdown shall be indicative of showing at least 15 percent of the cost of the contract performance incurred for personnel will be spent on the concern's employees or the employees of other eligible service-disabled veteran-owned small business concerns in accordance with VAAR 852.219-10***

TAB C: TECHNICAL PROPOSAL

Factor 1 – Management Approach and Key Personnel – (20 Page Max, excluding organizational chart and SF 330’s) Identify Key Personnel assigned to this project

i. Submit an organizational chart

ii. Include a narrative which describes the relevant experience of:

a. Firm’s Key personnel and experience, to include at least:

· Project Manager

· Field Superintendent

Onsite Design-Construct Management Team: Describe the onsite design-construct management team organization. Describe the plan for managing acquisition, execution, and administration of this project. Response shall be specific to this project.

Quality Control Team: Describe the quality control team organization. Provide the specific description of the tasks and functions of the quality control personnel. Identify where each position will be physically located (e.g., field office, home office, designer's office, etc.). Clearly identify each member's employer. Describe the Project team Quality Assurance program and safety record.

Warranty Support.: Describe the organizations process and procedures to be established for warranty support.

Factor 2 – Technical Solutions - (5 Page Max) Describe the techniques and methods that will be incorporated in the design and construction specific to this project. Methods and techniques shall meet VA guidelines and standards.

Factor 3 – Schedule and Impact to Facility (No page limit) Submit a preliminary (CPM) Critical Path Method schedule for the design and construction satisfying the requirements of this project. The schedule should show the critical paths of installation from beginning to end (design, equipment lead time, mobilization, demolition, installation, finalization etc.). Most importantly, the schedule should show length of downtime required.

Phase 2 Proposal Submission: The Phase 2 proposal should be submitted to the same email address as the Phase I proposal and can be submitted though use of the same format and means.

0. Phase 2 Evaluation and Selection Criteria:

The technical factors consist of the Factors 1 and 3, described above and will be rated using the same adjectival rating system. Each factor response will be reviewed and assigned an adjectival rating. For evaluation purposes, each technical factor is equal in importance.

1. For evaluation purposes, each technical factor is equal in importance.

1. For evaluation purposes, all evaluation factors other than cost or price, when combined, will be considered significantly more important than cost or price.

Phase 2 Evaluation and Award Determination:

0. This is a competitive Phase 2, Request for Proposal (RFP) that represents the best value to the Government conducted under FAR Part 15 101-1, Tradeoff Process.

0. In accordance with FAR 15.101-1, all evaluation factors, other than cost or price, when combined, are significantly more important than cost or price.

0. Thus, award will be made to the firm whose Phase 1 proposal was initially ranked in the top 5 and who now offers a Phase 2 proposal, which based on both its technical and pricing proposals, offers the overall best value to the Government. Should your company be awarded a contract based upon a successful rating received from all evaluation factors to include any teaming arrangements, it is imperative that this team remain intact from initial award as the evaluation was based upon this teaming arrangement. If there is any change after award, you must notify the Contacting Officer and COR with specific reasons.

Each pricing element indicated in TAB B will be evaluated to determine its reasonableness. The Government may use various price analysis techniques and procedures to make a price reasonableness determination. Offerors should assure that their ability to meet or exceed the minimum needs of the Government is adequately described in the offer. The Government intends to evaluate proposals and award a contract without discussions with offerors (except clarifications as described in FAR 15.306(a)). Therefore, the offeror’s initial proposal should contain the offeror’s best terms from a cost or price and technical standpoint. The Government reserves the right to conduct discussions if the Contracting Officer later determines them to be necessary. The Government considers it to be in its best interest to allow consideration of award to other than the lowest priced offeror or other than the highest technically rated offeror.

The Government will evaluate price based on the total price. Total price consists of the basic requirement which may include alternate bid items such as, deductive, or options. Analysis will be performed by one or more of the following techniques to ensure a fair and reasonable price:

1. Comparison of proposed prices received in response to the RFP.

1. Comparison of proposed prices with the IGE.

1. Comparison of proposed prices with available historical information.

1. Comparison of market survey results.

Evaluation Overview: The Government intends to award a contract resulting from this solicitation to the responsible offeror whose offer conforming to the solicitation will be most advantageous to the Government, price and other factors considered. The proposals must conform to the RFP's requirements and judged to represent the Best Value to the Government. The Best Value is the most advantageous offer, price and other factors considered, and consistent with the Government's stated importance of evaluation criteria. This may result in award being made to a high-rated, higher-priced offeror where the Contracting Officer determines that the Technical capability of the higher-priced offeror outweighs the price.

SDVOSB Verification: The Government will review VetBiz (https://www.vip.vetbiz.gov/) to confirm Service Disabled Veteran-owned Small Business (SDVOSB) status verification for the submitted proposals. Evaluations will be performed on proposals submitted by verified SDVOSBs only. Subsequent confirmation of SDVOSB verification status will be performed for the apparent award.

Safety or Environmental Violations and Experience Modification Rate (EMR)

0. All Offerors shall submit the following information pertaining to their past Safety and Environmental record. The information shall contain, at a minimum, a certification that the offeror has no more than three (3) serious, or one (1) repeat or one (1) willful OSHA or any EPA violations(s) in the past three years.

0. All Offerors shall submit information regarding their current Experience Modification Rate (EMR) equal to or less than 1.0. This information shall be obtained from the offeror’s insurance company and be furnished on the insurance carrier’s letterhead.

0. Self-insured contractors or other contractors that cannot provide their EMR rating on insurance letterhead must obtain a rating from the National Council on Compensation Insurance, Inc. (NCCI) by completing/submitting form ERM-6 and providing the rating on letterhead from NCCI. Note: Self-insured contractors or other contractors that cannot provide EMR rating on insurance letterhead from the states or territories of CA, DE, MI, NJ, ND, OH, PA, WA, WY, and PR shall obtain their EMR rating from their state-run worker’s compensation insurance rating bureau.

0. A Determination of Responsibility will be accomplished for the apparent awardee prior to processing the award. If the apparent awardee fails to provide required documentation, then the matter will be referred to the Small Business Administration (SBA) for a certificate of competency or a determination of responsibility by the SBA.

0. This requirement is applicable to all subcontracting tiers, and prospective prime contractors are responsible for determining the responsibility of their prospective subcontractors.

A.3 PRICE OFFER SCHEDULE (PHASE II ONLY)

Price Offer Schedule – To be submitted with PHASE 2 Proposal ONLY

This project shall design/build a walking path to support the VA's Move Program also known as the weight management program. Project will evaluate and design/build the fire hydrant system, the post indicator valves (PIV's) and the fire department connections (FDC) located in various locations around the clinic. Contractor shall also design/build the water main correction, new storm water culverts and replace or repair a fire sprinkler pipe drain line. And install a fountain in each of two ponds on the property.

Completion Time: 344 days from Notice to Proceed

JB

INSTRUCTIONS, CONDITIONS AND OTHER STATEMENTS TO BIDDERS/OFFERORS

2.1 52.216-1 TYPE OF CONTRACT (APR 1984)

The Government contemplates award of a Firm-Fixed-Price contract resulting from this solicitation.

(End of Provision)

2.2 52.222-5 CONSTRUCTION WAGE RATE REQUIREMENTS—SECONDARY SITE OF THE WORK (MAY 2014) (a)(1) The offeror shall notify the Government if the offeror intends to perform work at any secondary site of the work, as defined in paragraph (a)(1)(ii) of the FAR clause at 52.222-6, Construction Wage Rate Requirements, of this solicitation.

(2) If the offeror is unsure if a planned work site satisfies the criteria for a secondary site of the work, the offeror shall request a determination from the Contracting Officer.

(b)(1) If the wage determination provided by the Government for work at the primary site of the work is not applicable to the secondary site of the work, the offeror shall request a wage determination from the Contracting Officer.

(2) The due date for receipt of offers will not be extended as a result of an offeror's request for a wage determination for a secondary site of the work.

(End of Provision)

2.3 52.222-23 NOTICE OF REQUIREMENT FOR AFFIRMATIVE ACTION TO ENSURE EQUAL EMPLOYMENT OPPORTUNITY FOR CONSTRUCTION (FEB 1999)

(a) The offeror's attention is called to the Equal Opportunity clause and the Affirmative Action Compliance Requirements for Construction clause of this solicitation.

(b) The goals for minority and female participation, expressed in percentage terms for the Contractor's aggregate workforce in each trade on all construction work in the covered area, are as follows:

These goals are applicable to all the Contractor's construction work performed in the covered area. If the Contractor performs construction work in a geographical area located outside of the covered area, the Contractor shall apply the goals established for the geographical area where the work is actually performed. Goals are published periodically in the Federal Register in notice form, and these notices may be obtained from any Office of Federal Contract Compliance Programs office.

(c) The Contractor's compliance with Executive Order 11246, as amended, and the regulations in 41 CFR 60-4 shall be based on (1) its implementation of the Equal Opportunity clause, (2) specific affirmative action obligations required by the clause entitled "Affirmative Action Compliance Requirements for Construction," and (3) its efforts to meet the goals. The hours of minority and female employment and training must be substantially uniform throughout the length of the contract, and in each trade. The Contractor shall make a good faith effort to employ minorities and women evenly on each of its projects. The transfer of minority or female employees or trainees from Contractor to Contractor, or from project to project, for the sole purpose of meeting the Contractor's goals shall be a violation of the contract, Executive Order 11246, as amended, and the regulations in 41 CFR 60-4. Compliance with the goals will be measured against the total work hours performed.

(d) The Contractor shall provide written notification to the Deputy Assistant Secretary for Federal Contract Compliance, U.S. Department of Labor, within 10 working days following award of any construction subcontract in excess of $10,000 at any tier for construction work under the contract resulting from this solicitation. The notification shall list the—

(1) Name, address, and telephone number of the subcontractor;

(2) Employer's identification number of the subcontractor;

(3) Estimated dollar amount of the subcontract;

(4) Estimated starting and completion dates of the subcontract; and

(5) Geographical area in which the subcontract is to be performed.

(e) As used in this Notice, and in any contract resulting from this solicitation, the "covered area" is

Brevard County

(End of Provision)

2.4 52.222-41 SERVICE CONTRACT LABOR STANDARDS (MAY 2014)

(a) Definitions. As used in this clause— "Contractor" when this clause is used in any subcontract, shall be deemed to refer to the subcontractor, except in the term "Government Prime Contractor."

"Service employee," means any person engaged in the performance of this contract other than any person employed in a bona fide executive, administrative, or professional capacity, as these terms are defined in Part 541 of Title 29, Code of Federal Regulations, as revised. It includes all such persons regardless of any contractual relationship that may be alleged to exist between a Contractor or subcontractor and such persons.

(b) Applicability. This contract is subject to the following provisions and to all other applicable provisions of 41 U.S.C. chapter 67, Service Contract Labor Standards, and regulations of the Secretary of Labor (29 CFR Part 4). This clause does not apply to contracts or subcontracts administratively exempted by the Secretary of Labor or exempted by 41 U.S.C. 6702, as interpreted in Subpart C of 29 CFR Part 4.

(c) Compensation.

(1) Each service employee employed in the performance of this contract by the Contractor or any subcontractor shall be paid not less than the minimum monetary wages and shall be furnished fringe benefits in accordance with the wages and fringe benefits determined by the Secretary of Labor, or authorized representative, as specified in any wage determination attached to this contract.

(2)(i) If a wage determination is attached to this contract, the Contractor shall classify any class of service employee which is not listed therein and which is to be employed under the contract (i.e., the work to be performed is not performed by any classification listed in the wage determination) so as to provide a reasonable relationship (i.e., appropriate level of skill comparison) between such unlisted classifications and the classifications listed in the wage determination. Such conformed class of employees shall be paid the monetary wages and furnished the fringe benefits as are determined pursuant to the procedures in this paragraph (c).

(ii) This conforming procedure shall be initiated by the Contractor prior to the performance of contract work by the unlisted class of employee. The Contractor shall submit Standard Form (SF) 1444, Request for Authorization of Additional Classification and Rate, to the Contracting Officer no later than 30 days after the unlisted class of employee performs any contract work. The Contracting Officer shall review the proposed classification and rate and promptly submit the completed SF 1444 (which must include information regarding the agreement or disagreement of the employees' authorized representatives or the employees themselves together with the agency recommendation), and all pertinent information to the Wage and Hour Division, Employment Standards Administration, U.S. Department of Labor. The Wage and Hour Division will approve, modify, or disapprove the action or render a final determination in the event of disagreement within 30 days of receipt or will notify the Contracting Officer within 30 days of receipt that additional time is necessary.

(iii) The final determination of the conformance action by the Wage and Hour Division shall be transmitted to the Contracting Officer who shall promptly notify the Contractor of the action taken. Each affected employee shall be furnished by the Contractor with a written copy of such determination or it shall be posted as a part of the wage determination.

(iv)(A) The process of establishing wage and fringe benefit rates that bear a reasonable relationship to those listed in a wage determination cannot be reduced to any single formula. The approach used may vary from wage determination to wage determination depending on the circumstances. Standard wage and salary administration practices which rank various job classifications by pay grade pursuant to point schemes or other job factors may, for example, be relied upon. Guidance may also be obtained from the way different jobs are rated under Federal pay systems (Federal Wage Board Pay System and the General Schedule) or from other wage determinations issued in the same locality. Basic to the establishment of any conformable wage rate(s) is the concept that a pay relationship should be maintained between job classifications based on the skill required and the duties performed.

(B) In the case of a contract modification, an exercise of an option, or extension of an existing contract, or in any other case where a Contractor succeeds a contract under which the classification in question was previously conformed pursuant to paragraph (c) of this clause, a new conformed wage rate and fringe benefits may be assigned to the conformed classification by indexing (i.e., adjusting) the previous conformed rate and fringe benefits by an amount equal to the average (mean) percentage increase (or decrease, where appropriate) between the wages and fringe benefits specified for all classifications to be used on the contract which are listed in the current wage determination, and those specified for the corresponding classifications in the previously applicable wage determination. Where conforming actions are accomplished in accordance with this paragraph prior to the performance of contract work by the unlisted class of employees, the Contractor shall advise the Contracting Officer of the action taken but the other procedures in subdivision (c)(2)(ii) of this clause need not be followed.

(C) No employee engaged in performing work on this contract shall in any event be paid less than the currently applicable minimum wage specified under section (6)(a)(1) of the Fair Labor Standards Act of 1938, as amended.

(v) The wage rate and fringe benefits finally determined under this subparagraph (c)(2) of this clause shall be paid to all employees performing in the classification from the first day on which contract work is performed by them in the classification. Failure to pay the unlisted employees the compensation agreed upon by the interested parties and/or finally determined by the Wage and Hour Division retroactive to the date such class of employees commenced contract work shall be a violation of the Service Contract Labor Standards statute and this contract.

(vi) Upon discovery of failure to comply with subparagraph (c)(2) of this clause, the Wage and Hour Division shall make a final determination of conformed classification, wage rate, and/or fringe benefits which shall be retroactive to the date such class or classes of employees commenced contract work.

(3) Adjustment of Compensation. If the term of this contract is more than 1 year, the minimum monetary wages and fringe benefits required to be paid or furnished thereunder to service employees under this contract shall be subject to adjustment after 1 year and not less often than once every 2 years, under wage determinations issued by the Wage and Hour Division.

(d) Obligation to Furnish Fringe Benefits. The Contractor or subcontractor may discharge the obligation to furnish fringe benefits specified in the attachment or determined under subparagraph (c)(2) of this clause by furnishing equivalent combinations of bona fide fringe benefits, or by making equivalent or differential cash payments, only in accordance with Subpart D of 29 CFR Part 4.

(e) Minimum Wage. In the absence of a minimum wage attachment for this contract, neither the Contractor nor any subcontractor under this contract shall pay any person performing work under this contract (regardless of whether the person is a service employee) less than the minimum wage specified by section 6(a)(1) of the Fair Labor Standards Act of 1938. Nothing in this clause shall relieve the Contractor or any subcontractor of any other obligation under law or contract for payment of a higher wage to any employee.

(f) Successor Contracts. If this contract succeeds a contract subject to the Service Contract Labor Standards statute under which substantially the same services were furnished in the same locality and service employees were paid wages and fringe benefits provided for in a collective bargaining agreement, in the absence of the minimum wage attachment for this contract setting forth such collectively bargained wage rates and fringe benefits, neither the Contractor nor any subcontractor under this contract shall pay any service employee performing any of the contract work (regardless of whether or not such employee was employed under the predecessor contract), less than the wages and fringe benefits provided for in such collective bargaining agreement, to which such employee would have been entitled if employed under the predecessor contract, including accrued wages and fringe benefits and any prospective increases in wages and fringe benefits provided for under such agreement. No Contractor or subcontractor under this contract may be relieved of the foregoing obligation unless the limitations of 29 CFR 4.1b(b) apply or unless the Secretary of Labor or the Secretary's authorized representative finds, after a hearing as provided in 29 CFR 4.10 that the wages and/or fringe benefits provided for in such agreement are substantially at variance with those which prevail for services of a character similar in the locality, or determines, as provided in 29 CFR 4.11, that the collective bargaining agreement applicable to service employees employed under the predecessor contract was not entered into as a result of arm's length negotiations. Where it is found in accordance with the review procedures provided in 29 CFR 4.10 and/or 4.11 and Parts 6 and 8 that some or all of the wages and/or fringe benefits contained in a predecessor Contractor's collective bargaining agreement are substantially at variance with those which prevail for services of a character similar in the locality, and/or that the collective bargaining agreement applicable to service employees employed under the predecessor contract was not entered into as a result of arm's length negotiations, the Department will issue a new or revised wage determination setting forth the applicable wage rates and fringe benefits. Such determination shall be made part of the contract or subcontract, in accordance with the decision of the Administrator, the Administrative Law Judge, or the Administrative Review Board, as the case may be, irrespective of whether such issuance occurs prior to or after the award of a contract or subcontract (53 Comp. Gen. 401 (1973)). In the case of a wage determination issued solely as a result of a finding of substantial variance, such determination shall be effective as of the date of the final administrative decision.

(g) Notification to Employees. The Contractor and any subcontractor under this contract shall notify each service employee commencing work on this contract of the minimum monetary wage and any fringe benefits required to be paid pursuant to this contract, or shall post the wage determination attached to this contract. The poster provided by the Department of Labor (Publication WH 1313) shall be posted in a prominent and accessible place at the worksite. Failure to comply with this requirement is a violation of 41 U.S.C. 6703 and of this contract.

(h) Safe and Sanitary Working Conditions. The Contractor or subcontractor shall not permit any part of the services called for by this contract to be performed in buildings or surroundings or under working conditions provided by or under the control or supervision of the Contractor or subcontractor which are unsanitary, hazardous, or dangerous to the health or safety of the service employees. The Contractor or subcontractor shall comply with the safety and health standards applied under 29 CFR Part 1925.

(i) Records.

(1) The Contractor and each subcontractor performing work subject to the Service Contract Labor Standards statute shall make and maintain for 3 years from the completion of the work, and make them available for inspection and transcription by authorized representatives of the Wage and Hour Division, Employment Standards Administration, a record of the following:

(i) For each employee subject to the Service Contract Labor Standards statute—

(A) Name and address and social security number;

(B) Correct work classification or classifications, rate or rates of monetary wages paid and fringe benefits provided, rate or rates of payments in lieu of fringe benefits, and total daily and weekly compensation;

(C) Daily and weekly hours worked by each employee; and

(D) Any deductions, rebates, or refunds from the total daily or weekly compensation of each employee.

(ii) For those classes of service employees not included in any wage determination attached to this contract, wage rates or fringe benefits determined by the interested parties or by the Administrator or authorized representative under the terms of paragraph (c) of this clause. A copy of the report required by subdivision (c)(2)(ii) of this clause will fulfill this requirement.

(iii) Any list of the predecessor Contractor's employees which had been furnished to the Contractor as prescribed by paragraph (n) of this clause.

(2) The Contractor shall also make available a copy of this contract for inspection or transcription by authorized representatives of the Wage and Hour Division.

(3) Failure to make and maintain or to make available these records for inspection and transcription shall be a violation of the regulations and this contract, and in the case of failure to produce these records, the Contracting Officer, upon direction of the Department of Labor and notification to the Contractor, shall take action to cause suspension of any further payment or advance of funds until the violation ceases.

(4) The Contractor shall permit authorized representatives of the Wage and Hour Division to conduct interviews with employees at the worksite during normal working hours.

(j) Pay Periods. The Contractor shall unconditionally pay to each employee subject to the Service Contract Labor Standards statute all wages due free and clear and without subsequent deduction (except as otherwise provided by law or Regulations, 29 CFR Part 4), rebate, or kickback on any account. These payments shall be made no later than one pay period following the end of the regular pay period in which the wages were earned or accrued. A pay period under this statute may not be of any duration longer than semi-monthly.

(k) Withholding of Payments and Termination of Contract. The Contracting Officer shall withhold or cause to be withheld from the Government Prime Contractor under this or any other Government contract with the Prime Contractor such sums as an appropriate official of the Department of Labor requests or such sums as the Contracting Officer decides may be necessary to pay underpaid employees employed by the Contractor or subcontractor. In the event of failure to pay any employees subject to the Service Contract Labor Standards statute all or part of the wages or fringe benefits due under the Service Contract Labor Standards statute, the Contracting Officer may, after authorization or by direction of the Department of Labor and written notification to the Contractor, take action to cause suspension of any further payment or advance of funds until such violations have ceased. Additionally, any failure to comply with the requirements of this clause may be grounds for termination of the right to proceed with the contract work. In such event, the Government may enter into other contracts or arrangements for completion of the work, charging the Contractor in default with any additional cost.

(l) Subcontracts. The Contractor agrees to insert this clause in all subcontracts subject to the Service Contract Labor Standards statute.

(m) Collective Bargaining Agreements Applicable to Service Employees. If wages to be paid or fringe benefits to be furnished any service employees employed by the Government Prime Contractor or any subcontractor under the contract are provided for in a collective bargaining agreement which is or will be effective during any period in which the contract is being performed, the Government Prime Contractor shall report such fact to the Contracting Officer, together with full information as to the application and accrual of such wages and fringe benefits, including any prospective increases, to service employees engaged in work on the contract, and a copy of the collective bargaining agreement. Such report shall be made upon commencing performance of the contract, in the case of collective bargaining agreements effective at such time, and in the case of such agreements or provisions or amendments thereof effective at a later time during the period of contract performance such agreements shall be reported promptly after negotiation thereof.

(n) Seniority List. Not less than 10 days prior to completion of any contract being performed at a Federal facility where service employees may be retained in the performance of the succeeding contract and subject to a wage determination which contains vacation or other benefit provisions based upon length of service with a Contractor (predecessor) or successor (29 CFR 4.173), the incumbent Prime Contractor shall furnish the Contracting Officer a certified list of the names of all service employees…