curement from Federal Prison Industries, Inc. These purchases shall be made in the manner prescribed in the regulations in this part.

§ 51-1.3 Responsibilities of the Committee on Purchases of Blind-Made Products.

It is the responsibility of the Committee on Purchases of Blind-Made Products (hereinafter referred to as "the Committee") to determine which commodities are suitable for sale under the program, the fair market price thereof (including revisions as appropriate from time to time), and the applicable purchase procedures, and to make rules and regulations regarding specifications, delivery, authorization of a central nonprofit-making agency to facilitate distribution of orders among workshops, and such other relevant matters as shall be necessary to carry out the purposes of the Act of June 25, 1938.

§ 51-1.4 Schedules of Blind-Made Prod

ucts.

(a) The Committee will issue to ordering offices through the Federal Supply Service, General Services Administration, a Schedule of Blind-Made Products, listing commodities which must be procured from NIB or workshops. The Schedule will include the item description, specification identification, price, and other pertinent information.

(b) The Committee will issue to ordering offices, through National Industries for the Blind, schedules of blind-made products for Department of Defense Resale Outlets. These schedules will list the commodities which must be procured from NIB or workshops, and will include item description, price, and other pertinent information. § 51-1.5

Responsibilities of National Industries for the Blind.

(a) National Industries for the Blind is designated as the agency to facilitate the equitable distribution of Government orders among the workshops and is delegated the responsibility to assist the Committee to assure that these regulations and the intent of the WagnerO'Day Act are carried out.

(b) NIB shall undertake the following functions and responsibilities:

(1) Issuance of allocations and clearances as provided in §§ 51-1.8 and 51-1.9.

(2) Inspection, on a continuing basis, of the workshops to determine that they

operate in accordance with the requirements of the statute and the regulations in this part.

(3) Maintenance of records of all participating workshops and such necessary data as will enable NIB to allocate orders equitably.

(4) Submission to the Committee of a comprehensive annual report for each fiscal year concerning all of its operations, including financial statements, significant accomplishments and developments, a compilation of the annual reports received from the workshops, and such other details as NIB considers appropriate or the Committee may request.

(5) Entering into contracts with the Federal Government for the furnishing to Federal ordering offices of commodities made by workshops, which commodities shall be purchased by NIB from such workshops.

§ 51-1.6 Qualification and responsibilities of workshops.

(a) In order to qualify for participation in the program as a workshop, an organization shall submit an application to NIB indicating compliance with § 51-1.1(b). It shall submit with this application information regarding work force (designating those that are blind), plant facilities and equipment, administrative management, and financial support available to and in use by the agency. There should be included a list of the commodities proposed to be furnished for sale to the Government together with a certification as provided in paragraph (d) of this section. If a corporate body, it shall include copies of its articles of incorporation and bylaws; if an instrumentality of a State, it shall submit copies of State laws and related documents showing its authority and permitted activities.

(b) Within 60 days after receipt of an application for participation in the Wagner-O'Day Act Program, NIB shall inspect the facilities of the organization and make recommendation to the Committee regarding the requested participation. If the Committee approves, NIB will include the organization among workshops qualified to receive allocation or orders. If NIB considers it desirable, such organization may be permitted to participate in receiving Government orders pending approval by the Committee. Such participation may not exceed a period of 6 months without Committee approval.

(c) Workshops shall:

(1) Furnish commodities in strict accordance with the allocation and Government order.

(2) Maintain records of wages paid, hours of employment, and sales, as well as a file of certificates of vision of blind workers, copies of which shall be furnished to NIB.

(3) Make available pertinent books and records of the agency for inspection at any reasonable time to representatives of the Committee or NIB.

(4) Submit to NIB by September 1 an annual report for the preceding fiscal year. This report shall include data on blind workers, wages and wage supplements, hours of employment, sales, whether the workshop requires a sheltered workshop certificate from the U.S. Department of Labor and special minimum rates authorized where such certificate is held, and such other relevant information as may be required by the Committee or NIB.

(d) A workshop shall not be qualified to furnish a commodity for sale to the Government until NIB has ascertained that the workshop has adequate manufacturing capability. § 51-1.7

Price determination.

(a) In determining the fair market price of a commodity the Committee will consider recommendations from ordering offices and from workshops. Recommendations from workshops shall be subImitted to the Committee through NIB, which shall indicate its concurrence or alternate recommendation in all instances of price determination or change. Price recommendations may be subsequently submitted by the Committee to a Government agency for analysis. Where the analyzing agency does not concur with the recommendations, the Committee Chairman will appoint a subcommittee of three members of the Committee to consider the matter and recommend a fair market price to the Committee.

(b) Unless otherwise provided by the Committee in the notice of price change, prices in effect on the date of allocation by NIB will apply to the purchase involved. However, in no event may a change in price become effective before 15 days after the change is made by the Committee.

§ 51-1.8 Purchase procedure.

(a) Where a commodity is identified in the Schedule of Blind-Made Products as being available from Defense Supply Agency supply centers or from General Services Administration supply depots, it shall be obtained in accordance with the requisitioning procedures of the supplying agency.

(b) Where an item is not identified in the Schedule of Blind-Made Products as available from Government supply centers or depots, the ordering office shall submit its requirements to NIB, stating the commodity description, stock number, quantity, and place and time of delivery, and request that an allocation be made. NIB shall make allocations promptly and equitably, furnish copies to the ordering office and to the workshop receiving the allocation, and direct the ordering office whether to forward the order to NIB or the workshops. An allocation is a preliminary document and is not a Government order for the commodities described.

(c) Upon receipt of an allocation, the ordering office shall promptly furnish a suitable order to NIB or the workshop, as directed by NIB. Where this cannot be done promptly the ordering office shall so advise NIB and the workshop. A Government order should allow lead time sufficient for purchase of raw materials, production and delivery. Where it does not, NIB or the workshop, depending on which agency received the order, may request an extension of the delivery date which should be granted if feasible. Where it is not feasible, the ordering office shall notify NIB or the workshop, as appropriate, and request NIB to reallocate or to issue a purchase exception for purchase from a commercial source. (See § 51-1.9.) A copy of each order issued to a workshop shall be sent to NIB.

(d) Blind-made commodities may be ordered without requesting an allocation for each order provided prior arrangements have been made with NIB for sending orders for specified items to designated workshops. Copies of such orders shall be submitted to NIB by the ordering office.

(e) Requests for allocation shall be submitted to National Industries for the Blind, 50 West 44th Street, New York, N.Y. 10036.

(f) If an ordering office desires packing, packaging, or marking of products other than as provided in the Schedule

of Blind-Made Products, the difference in cost thereof, if any, shall be to the account of the ordering office.

§ 51-1.9 Purchase exceptions.

An ordering office may purchase from a commercial source commodities listed in the Schedule of Blind-Made Products in any of the following circumstances:

(a) Military necessity requires delivery within 2 weeks and NIB cannot give assurance of positive availability.

(b) When the normal source of supply is DoD or GSA and the regulations of that agency permit commercial purchase.

(c) Commodities which are procured for use outside the continental United States.

(d) When NIB has notified the ordering office that commodities listed in the request for allocation cannot be furnished within the period specified. In such cases purchase action must be taken within 15 days of receipt of notice from NIB or as may be further extended by NIB.

be otherwise furnished, but they must be supplied promptly. Failure by an ordering office to furnish bills of lading promptly may result in an excusable cause for delay in delivery.

(b) Blind-made commodities sold to Department of Defense Resale Outlets will be delivered to destination. Those destined for overseas, including Alaska and Hawaii, shall be delivered to designated depots at ports of embarkation. § 51-1.11 Adjustment and cancellation of orders.

Where NIB or a workshop fails to comply with the terms of a Government order, the ordering office shall make every effort to negotiate an adjustment before taking action to cancel the order. Where a Government order is canceled for failure to comply with its terms, NIB shall be notified, and if practicable, requested to reallocate the order.

§ 51-1.12 Violations.

Any alleged violation of these regulations shall be investigated by NIB, which shall notify the workshop concerned and afford it an opportunity to submit a statement of facts and evidence. NIB shall report its findings to the Committee, together with its recommendations, including a recommendation as to whether allocations to the workshop concerned should be suspended for a period of time. In reviewing the case, the Committee may request the submission of additional evidence or may hold a hearing on the matter. Pending a decision by the Committee, NIB may temporarily suspend allocations to the workshop concerned.

III, and IV of Executive Order 11246 for the promotion and insuring of equal opportunity for all persons, without regard to race, creed, color, or national origin, employed or seeking employment with Government contractors or with contractors performing under federally assisted construction contracts. The regulations in this part apply to all contracting agencies of the Government and to contractors and subcontractors who perform under Government contracts, to the extent set forth in this part. The regulations in this part also apply to all agencies of the Government administering programs involving Federal financial assistance which may include a construction contract, and to all contractors and subcontractors performing under construction contracts which are related to any such programs. The procedures set forth in the regulations in this part govern all disputes relative to a contractor's compliance with his obligations under the equal opportunity clause regardless of whether or not his contract contains a "Disputes" clause. Failure of a contractor or applicant to comply with any provision of the regulations in this part shall be grounds for the imposition of any or all of the sanctions authorized by the order. The regulations in this part do not apply to any action taken to effect compliance with respect to employment practices subject to Title VI of the Civil Rights Act of 1964. The rights and remedies of the Government hereunder are not exclusive and do not affect rights and remedies provided elsewhere by law, regulation, or contract; neither do the regulations limit the exercise by the Secretary or Government agencies of powers not herein specifically set forth, but granted to them by the order. § 60-1.2 Administrative responsibility.

Under the general direction of the Secretary, the Director has been delegated authority and assigned responsibility for carrying out the responsibilities assigned to the Secretary under the order, except the power to issue rules and regulations of a general nature. All correspondence regarding the order should be directed to the Director, Office of Federal Contract Compliance, U.S. Department of Labor, 14th and Constitution Avenue NW., Washington, D.C. 20210. § 60-1.3

Definitions.

(a) The term "administering agency" means any department, agency and es

tablishment in the Executive Branch of the Government, including any wholly owned Government corporation, which administers a program involving federally assisted construction contracts.

(b) The term "agency" means any contracting or any administering agency of the Government.

(c) The term "applicant" means an applicant for Federal assistance involving a construction contract, or other participant in a program involving a construction contract as determined by regulation of an administering agency. The term also includes such persons after they become recipients of such Federal assistance.

(d) The term "Compliance Agency" means the agency designated by the Director on a geographical industry or other basis to conduct compliance reviews and to undertake such other responsibilities in connection with the administration of the order as the Director may determine to be appropriate. In the absence of such a designation, the Compliance Agency will be determined as follows:

(1) In the case of a prime contractor not involved in construction work, the Compliance Agency will be the agency whose contracts with the prime contractor have the largest aggregate dollar value;

(2) In the case of a subcontractor not involved in construction work, the Compliance Agency will be the Compliance Agency of the prime contractor with which the subcontractor has the largest aggregate value of subcontracts or purchase orders for the performance of work under contracts;

(3) In the case of a prime contractor or subcontractor involved in construction work, the Compliance Agency for each construction project will be the agency providing the largest dollar value for the construction project; and

(4) In the case of a contractor who is both a prime contractor and subcontractor, the Compliance Agency will be determined as if such contractor is a prime contractor only.

(e) The term "construction work" means the construction, rehabilitation, alteration, conversion, extension, demolition or repair of buildings, highways, or other changes or improvements to real property, including facilities providing utility services. The term also includes the supervision, inspection, and other