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CHAPTER 50—PUBLIC CONTRACTS,
DEPARTMENT OF LABOR
Part 50–201 General regulations. 50-202 Minimum wage determinations. 50-203 Rules of practice. 50–204 Safety and health standards for Federal supply contracts. 50–205 Enforcement of safety and health standards by State officers and
employees. 50–210 Statements of general policy and interpretation not directly related to
Note: Other regulations issued by the Department of Labor appear in Titles 20, 29 and 48.
Insertion of stipulations.
tional employment of under
AUTHORITY: The provisions of this part
Except as hereinafter directed, in every contract made and entered into by an executive department, independent establishment, or other agency or instrumentality of the United States, or by the District of Columbia, or by any corporation all the stock of which is beneficially owned by the United States, for the manufacture or furnishing of materials, supplies, articles, and equipment, with respect to which invitations for bids are issued on or after September 28, 1936, the contracting officer shall cause to be inserted or incorporated by reference in such invitation or the specifications and in such contract, the following stipulations:
concerning exceptions and exemptions. Full administrative exemp
tions. Partial administrative exemp
Definition of “person.” 50–201.1101 Minimum wages. 50–201.1102 Tolerance for apprentices, student-learners,
and handicapped workers.
REPRESENTATIONS AND STIPULATIONS PURSUANT (f) Any breach or violation of any of the
TO PUBLIC LAW 846, 74TH CONGRESS foregoing representations and stipulations (a) The contractor is the manufacturer of
shall render the party responsible therefor or a regular dealer in the materials, supplies,
liable to the United States of America for articles, or equipment to be manufactured
liquidated damages, in addition to damages or used in the performance of the contract.
for any other breach of the contract, in the (b) All persons employed by the contrac
sum of $10 per day for each male person tor in the manufacture or furnishing of the
under 16 years of age or each female person
under 18 years of age, or each convict laborer materials, supplies, articles, or equipment used in the performance of the contract will
knowingly employed in the performance of
the contract, and a sum equal to the amount be paid, without subsequent deduction or
of any deductions, rebates, refunds, or unrebate on any account, not less than the minimum wages as determined by the Secre
derpayment of wages due to any employee
engaged in the performance of the contract; tary of Labor to be the prevailing minimum
and, in addition, the agency of the United wages for persons employed on similar work
States entering into the contract shall have or in the particular or similar industries or
the right to cancel same and to make opengroups of industries currently operating in
market purchases or enter into other conthe locality in which the materials, supplies,
tracts for the completion of the original articles, or equipment are to be manufac
contract, charging any additional cost to tured or furnished under the contract.
the original contractor. Any sums of money (C) No person employed by the contractor
due to the United States of America by in the manufacture or furnishing of the ma- reason of any violation of any of the repterials, supplies, articles, or equipment used
resentations and stipulations of the contract in the performance of the contract shall be
as set forth herein may be withheld from permitted to work in excess of 8 hours in any
any amounts due on the contract or may be 1 day or in excess of 40 hours in any 1 week
recovered in a suit brought in the name of unless such person is paid such applicable the United States of America by the Attorney overtime rate as has been set by the Secre
General thereof. All sums withheld or retary of Labor: Provided, however, That the
covered as deductions, rebates, refunds, or provisions of this stipulation shall not apply
underpayments of wages shall be held in a to any employer who shall have entered into
special deposit account and shall be paid, an agreement with his employees pursuant
on order of the Secretary of Labor, directly to the provisions of paragraphs 1 or 2 of sub
to the employees who have been paid less section (b) of section 7 of an act entitled
than minimum rates of pay as set forth in “The Fair Labor Standards Act of 1938'':
such contracts and on whose account such Provided, further, That in the case of such
sums were withheld or recovered: Provided, an employer, during the life of the agree
That no claims by employes for such payment referred to the applicable overtime rate
ments shall be entertained unless made set by the Secretary of Labor shall be paid
within 1 year from the date of actual notice for hours in excess of 12 in any 1 day or in to the contractor of the withholding or reexcess of 56 in any 1 week and if such over
covery of such sums by the United States of time is not paid, the employer shall be re- America. quired to compensate his employees during (g) The contractor shall post a copy of that week at the applicable overtime rate
the stipulations in a prominent and readily set by the Secretary of Labor for hours in
accessible place at the site of the contract excess of 8 in any 1 day or in excess of 40 in
work and shall keep such employment recany 1 week.
ords as are required in the regulations under (d) No male person under 16 years of age the act available for inspection by authorized and no female person under 18 years of age representatives of the Secretary of Labor. and no convict labor will be employed by the (h) The contractor is not a person who is contractor in the manufacture or production ineligible to be awarded Government conor furnishing of any of the materials, sup- tracts by virtue of sanctions imposed purplies, articles, or equipment included in the suant to the provisions of section 3 of the contract.
act. (e) No part of the contract will be per- (i) No part of the contract shall be performed nor will any of the materials, sup- formed and none of the materials, articles, plies, articles, or equipment to be manufac- supplies or equipment manufactured or furtured or furnished under said contract be
nished under the contract shall be manumanufactured or fabricated in any plants, factured or furnished by any person found factories, buildings, or surroundings or under
by the Secretary of Labor to be ineligible working conditions which are unsanitary or
to be awarded Government contracts purhazardous or dangerous to the health and
suant to section 3 of the act. safety of employees engaged in the perform
(J) The foregoing stipulations shall be ance of the contract. Compliance with the
deemed inoperative if this contract is for safety, sanitary, and factory inspection laws of the State in which the work or part
a definite amount not in excess of $10,000. thereof is to be performed shall be prima 17 F.R. 4494, June 16, 1942, as amended at facie evidence of compliance with this 7 F.R. 11086, Dec. 30, 1942, 11 F.R. 6238, June paragraph.
8, 1946, 27 F.R. 306, Jan. 11, 1962, 27 F.R.
4556, May 12, 1962. Redesignated at 24 F.R. (b) A regular dealer is a person who 10952, Dec. 30, 1959]
owns, operates, or maintains a store, $ 50–201.2 Statutory exemptions.
warehouse, or other establishment in
which the materials, supplies, articles, or Inclusion of the stipulations enumer
equipment of the general character deated in $ 50–201.1 is not required in the
scribed by the specifications and required following instances:
under the contract are bought, kept in (a) Where the contracting officer is
stock, and sold to the public in the usual authorized by the express language of a
course of business. statute to purchase “in the open mar
(1) A regular dealer in lumber and ket”, or where a purchase of articles,
timber products, if a wholesale lumber supplies, materials or equipment, either
dealer, may be a person who owns, operin being or virtually so, is made without
ates, or maintains a place of business in advertising for bids under circumstances
which the materials, supplies, articles, bringing such purchase within the ex
or equipment of the general character ception to the General Purchase Stat
described by the specifications and reute, R.S. 3709, that is, where immediate
quired under the contract are bought delivery is required by the public
for the account of such person and sold exigency.
to the public in the usual course of (b) Where the contract relates to per
business: Provided, That at least more ishables, including dairy, livestock, and
than 50 percent of his business is such nursery products ("perishables” covers
purchase and sale of such materials, products subject to decay or spoilage and
supplies, articles, or equipment; And not products canned, salted, smoked, or
provided further, That upon all orders to otherwise preserved);
manufacturers for direct shipment to (c) Where the contract relates to
the United States he agrees to insert a agricultural or farm products processed
notice to the manufacturer to the effect for first sale by the original producers;
that the supplies are purchased for the (d) Where the contract is by the Sec
United States and that the manufacretary of Agriculture for the purchase of
turer is within the terms of $ 50–201.104 agricultural commodities or the products
requiring compliance with the provisions thereof;
of the Public Contracts Act. (e) Where the contract is with a com
(2) A machine tool dealer may be a mon carrier for carriage of freight or
person possessing, through contract or personnel by vessel, airplane, bus, truck,
agreement with a manufacturer, the reexpress, or railway line, where published
sponsibility for selling that manufacturtariff rates are in effect;
er's products, with respect to a specific (f) Where the contract is for the
territory and who is authorized by such furnishing of service by radio, telephone,
manufacturer to offer its products and to telegraph, or cable companies, subject to negotiate and conclude contracts for the the Federal Communications Act of 1934
furnishing thereof: Provided, That upon (48 Stat. 1064 as amended; 47 U.S.C.
all orders to manufacturers for direct Chapter 5).
shipment to the United States he agrees (Regs. 504, 1 F.R. 1626, Sept. 19, 1936, as to insert a notice to the manufacturer to amended at 9 F.R. 8347, July 22, 1944. Re- the effect that the supplies are purchased designated at 24 F.R. 10952, Dec. 30, 1959)
for the United States and that the man$ 50–201.101 Manufacturer or regular
ufacturer is within the terms of dealer.
$ 50–201.104 requiring compliance with A bidder or contractor shall be deemed
the provisions of the Public Contracts
(3) A regular dealer in hay, grain, lation required by section 1(a) of the
feed, or straw may be a person who owns, act and $ 50–201.1(a) if he falls within
operates, or maintains a store, wareone of the following categories:
house, or other place of business in which (a) A manufacturer is a person who
the materials, supplies, articles, owns, operates, or maintains a factory
equipment of the general character deor establishment that produces on the
scribed by the specifications and required premises the materials, supplies, articles,
under the contract are bought for the or equipment required under the con
account of such person and sold to the tract and of the general character de
public in the usual course of business, scribed by the specifications.
and whose principal business is such