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Business Administration, and the procedures set forth in $ 50201.101(b)(6)(i)C)(2) shall be followed.

(iii) (A) If the contracting officer forwards the case to the Department of Labor for review of eligibility under the Act, award will be held in abeyance until the contracting officer receives a final determination from the Department of Labor, unless the contracting officer finds that award should be made immediately because:

(1) The items to be procured are urgently required; or

(2) Delay of delivery or performance by failure to make the award promptly will result in substantial hardship to the Government.

(B) If the contracting officer decides to proceed with the award, the contracting officer shall give written notice of the decision to proceed to the protester, the Department of Labor and to other concerned parties.

(iv) If an award is made under paragraph (b)(6)(iii) of this section, the contracting officer shall submit to the Department of Labor documentation explaining the need for making an award prior to the receipt of a final determination from the Administrator of the Wage and Hour Division.

(v) A protest received after award, but before final completion of the contract, shall be investigated and processed under the provisions outlined in paragraph (b)(6)(ii) of this section and forwarded to the Department of Labor, and the protestor shall be so notified.

(vi) If the contract has been completed before receipt of the protest, the protester shall be notified that no action will be taken on the protest. [43 FR 22975, May 30, 1978)

$ 50-201.103 Overtime.

(a) Employees engaged in or connected with the manufacture, fabrication, assembling, handling, supervision, or shipment of materials, supplies, articles, or equipment used in the performance of the contract may be employed in excess of 8 hours in any one day or in excess of 40 hours in any one week: Provided, Such persons shall be paid for any hours in excess of such limits the overtime rate of pay which has been set therefor by the Secretary of Labor.

(b) Until otherwise set by the Secretary of Labor the rate of pay for such overtime shall be one and one-half times the basic hourly rate received by the employee. The “basic hourly rate" means an hourly rate equivalent to the rate upon which time-and-one-half overtime compensation may be computed and paid under section 7 of the Fair Labor Standards Act of 1938, as amended. The basic hourly rate may, in no case, be less than the applicable minimum wage.

(c) If in any one week or part thereof an employee is engaged in work covered by the contractor's stipulations, his overtime shall be computed after 8 hours in any one day or after 40 hours in any one week during which no single daily total of employment may be in excess of 8 hours without payment of the overtime rate.

(d) The overtime pay requirements of this section shall be deemed to be complied with in the case of any employee employed as provided in section 7(b) of the Fair Labor Standards Act of 1938, as amended, pursuant to the provisions of paragraph (1) or (2) of that section.

$ 50–201.102 Employees affected.

The stipulations shall be deemed applicable only to employees engaged in or connected with the manufacture, fabrication, assembling, handling, supervision, or shipment of materials,

supplies, articles, or equipment rei quired under the contract, and shall

not be deemed applicable to employees performing only office or custodial work, nor to any employee employed in a bona fide executive, administra

[7 FR 4494, June 16, 1942, as amended at 18 FR 1832, Apr. 2, 1953. Redesignated at 24 FR 10952, Dec. 30, 1959)

$ 50-201.104 Dealer as agent of undis.

closed principal. Whenever a dealer, to whom a contract within the act and regulations in this part has been awarded, causes a manufacturer to deliver directly to the Government the materials, supplies, articles, or equipment required under the contract, such dealer will be deemed the agent of the manufacturer in executing the contract. As the principal of such agent the manufacturer will be deemed to have agreed to the stipulations contained in the contract. (1 FR 2359, Nov. 28, 1936. Redesignated at 24 FR 10952, Dec. 30, 1959)

(b) Whenever a final determination of a breach of stipulations is made, the Secretary of Labor will furnish to the contracting agency a copy of the findings and decision with such recommendations as will assist the contracting agency in determining whether or not the contract should be canceled for such breach.

(Regs. 504, 1 FR 1627, Sept. 19, 1936. Redesignated, 24 FR 10952, Dec. 30, 1959)

$ 50-201.105 Protection against uninten

tional employment of underage minors. An employer shall not be deemed to have knowingly employed an underage minor in the performance of contracts subject to the Act if, during the period of the employment of such minor, the employer has on file an unexpired certificate of age issued and held pursuant to regulations issued by the Secretary of Labor under section 3(1) of the Fair Labor Standards Act of 1938 (29 CFR 1500.121), showing that such minor is at least 16 years of age. [34 FR 6687, Apr. 19, 1969)

50-201.301 Agency regulations.

Each agency which prescribe additional regulations for the Administration of the Walsh-Healey Public Contracts Act and for the implementation of the regulations in this part, shall submit such regulations, directives, and orders to the Administrator of the Wage and Hour Division prior to issuance. Any such regulations may not be enforced prior to approval by the Administrator or prior to 60 days after submission if not disapproved by the Administrator. Currently existing regulations are not affected by this section, except where such regulations are not in conformity with the WalshHealey Public Contracts Act and the Department of Labor regulations. In such cases, agency regulations shall be appropriately revised. (43 FR 22977, May 30, 1978]

$ 50-201.106 Hours worked.

In determining the hours for which an employee is employed, there shall be excluded any time which is excluded by section 3(0) of the Fair Labor Standards Act of 1938, as amended, from the computation of hours worked for purposes of sections 6 and 7 of that act.

(18 FR 1832, Apr. 2, 1953. Redesignated at 24 FR 10952, Dec. 30, 1959]

$ 50-201.501 Records of employment.

Every contractor subject to the provisions of the act and this part shall maintain the following records of employment which shall be available for the inspection and transcription of authorized representatives of the Secretary of Labor:

(a) Name, address, sex, and occupation of each employee covered by the contract stipulations;

(b) Date of birth of each eriployee under 19 years of age; and if the employer has obtained a certificate of age as provided in $ 50-201.105, there shall also be recorded the title and address of the office issuing such certificate, the number of the certificate, if any, the date of its issuance, and the name, address and date of birth of the minor, as the same appears on the certificate

$ 50-201.201 Breach of stipulations.

(a) Whenever the Department of Labor notifies the head of a contracting agency that a contractor is liable for liquidated damages by reason of a breach of stipulations as provided in section 2 of the act, there shall be withheld from any balance due under the contract such amount as may be necessary to satisfy such liability pending final disposition of the case.

of age;

[7 FR 7949, Oct. 7, 1942, as amended at 13 FR 5440, Sept. 17, 1948, 23 FR 2573, Apr. 18, 1958. Redesignated at 24 FR 10952, Dec. 30, 1959)

$ 50-201.502 Record of injuries.

Every person who is or shall become a party to a Government contract which is subject to the provisions of the Walsh-Healey Public Contracts Act and the regulations thereunder, or who is performing or shall perform any part of such contract subject to the provisions of such Act or regulations, shall comply with the recordkeeping requirements of 29 CFR Part 1904.

(36 FR 20676, Oct. 28, 1971)

(c) Wage-and-hour records for each such employee including the rate of wages and the amount paid each pay period, the hours worked each day and each week, and the period during which each such employee wa engaged on a Government contract with the number of such contract. Compliance with this paragraph shall be deemed complete if wage-and-hour records for all employees in the plant are maintained during the period between the award of any Government contract and the date of delivery of the materials, supplies, articles, or equipment: Provided, That where no separate records for employees engaged on Government contracts are maintained, it shall be presumed until affirmative proof is present to the contrary that all employees in the plant, from the date of award of any such contract until the date of delivery of the materials, supplies, articles or equipment, were engaged on such Government contract;

(d) The records required by paragraphs (a), (b), and (c) of this section shall be kept on file for at least 3 years from their last date of entry;

(e) Basic employment and earnings records: All basic time and earning cards or sheets of the employer on which are entered the daily starting and stopping time of individual employees or of separate work forces, or the individual employees' daily, weekly, or pay period amounts of work accomplished (for example, units produced) when those amounts determine in whole or in part the pay period earnings or wages of those employees;

(f) Wage rate tables: All tables or schedules of the employer which provide the piece rates or other rates used in computing straight-time earnings, wages or salary, or overtime excess compensation;

(g) Work time schedules: All schedules or tables of the employer which establish the hours and days of employment of individual employees or of separate work forces;

(h) The records required by paragraphs (e), (f), and (g) of this section shall be kept on file at least 2 years from their last date of entry or their last effective date whichever is later.

$ 50–201.601 Requests for exceptions and

exemptions. (a)(1) Request for the exception or exemption of a contract or class of contracts from the inclusion or application of one or more of those stipulations required by $ 50-201.1 must be made by the head of a contracting agency or department and shall be accompanied with a finding by him setting forth reasons why such inclusion or application will seriously impair the conduct of Government business.

(2) Request for the exception or exemption of a stipulation respecting minimum rates of pay and maximum hours of labor contained in an existing contract must be made jointly by the head of the contracting agency and the contractor and shall be accompanied with a joint finding by them setting forth reasons why such exception or exemption is desired.

(b) All requests for exceptions or exemptions which relate solely to safety and health standards shall be transmitted directly to the Bureau of Labor Standards, WSA, Department of Labor. All other requests for exceptions or exemptions shall be transmitted to the Office of Government Contracts Wage Standards, WSA, of the Department of Labor. [7 FR 4767, June 26, 1942. Redesignated at 24 FR 10952, Dec. 30, 1959 and amended at 36 FR 288, Jan. 8, 1971.)

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$ 50–201.602 Decisions concerning excep

tions and exemptions. Decisions concerning exceptions and exemptions shall be in writing and approved by the Secretary of Labor or officer prescribed by him, originals being filed in the Department of Labor, and certified copies shall be transmitted to the department or agency originating the request, to the Comptroller General, and to the Procurement Division of the Treasury. All such decisions shall be promulgated to all contracting agencies by the Office of Government Contracts Wage Standards, WSA, of the Department of Labor.

[36 FR 288, Jan. 8, 1971)

$ 50-201.603 Full administrative exemp

tions. The following classes of contracts have been exempted from the application of $ 50-201.1 pursuant to the procedure required under section 6 of the act:

(a) Contracts for public utility services including electric light and power, water, steam, and gas;

(b) Contracts for materials, supplies, articles, or equipment no part of which will be manufactured or furnished within the geographic limits of the States of the United States of America, Puerto Rico, the Virgin Islands, or the District of Columbia: In addition, the representations and stipulations required by the act and this part in any contract for materials, supplies, articles, or equipment to be manufactured or furnished in part within and in part outside such geographic limits shall not be applicable to any work performed under the contract outside such geographic limits;

(c) Contracts covering purchases against the account of a defaulting contractor where the stipulations required in this section were not included in the defaulted contract;

(d) Contracts awarded to sales' agents or publisher representatives, for the delivery of newspapers, magazines or periodicals by the publishers thereof.

8 50–201.604 Partial administrative exemp

tions. (a) Contracts with a person who reg. ularly buys and sells coal on his own account in lots of not less than a cargo or railroad carload, or with a person who is authorized by one or more persons engaged in mining coal to negotiate and conclude contracts for the fur. nishing thereof in such lots, are exempt from the requirement of section 1(a) of the act and $ 50-201.1 that such person represent that he is a manufacturer or a regular dealer in coal: Provided, however, That all the following terms and conditions are met:

(1) That such person will notify the persons engaged in mining the coal that the purchaser thereof is the United States and that provisions of the Public Contracts Act are applicable; and

(2) That such person, apart from the liability of the mines, shall be liable for the observance in the mines of all the labor standards provided in section 1 of the act; and

(3) That such person notify the contracting agency that he will accept the contract upon the terms and conditions set forth above.

(b) Commodity exchange contracts entered into by the Commodity Credit Corporation under the Commodity Credit Corporation Charter Act (secs. 4(h), 5(d) and (f), 62 Stat. 1070 and 1072, 15 U.S.C. 714b(h), 7140(d) and (f)), section 416 of the Agricultural Act of 1949 (63 Stat. 1058, 7 U.S.C. 1431), section 103(a)(2) of the Agricultural Act of 1954 (68 Stat. 898, 7 U.S.C. 1743(a)(2), or section 303 of the Agricultural Trade Development and Assistance Act of 1954 (68 Stat. 459, 7 U.S.C. 1692), are exempt from the requirement of section 1(a) of the act and of $ 50-201,1 that the Government contractor represents that he is the manufacturer of or a regular dealer in the materials, supplies, articles or equipment to be manufactured or used in the performance of the contract.

(c) A contractor who operates and maintains a place of business where he regularly engages in the business of an export merchant, and regularly buys from manufacturers and resells exclu

[25 FR 12553, Dec. 8, 1960)

of the contract. For purposes of this exemption, a public utility is defined to be an enterprise engaged in the transmission and sale of electric power and energy and whose rates therefor are regulated under State, local, or Federal laws governing operations of public utility enterprises. (25 FR 12553, Dec. 8, 1960, as amended at 26 FR 9203, Sept. 30, 1961; 27 FR 4556, May 12, 1962; 27 FR 9060, Sept. 12, 1962; 40 FR 57805, Dec. 12, 1975)

$ 50–201.701 Definition of “person.”

Whenever used in the regulations in this part, the word “person" includes one or more individuals, partnerships, associations, corporations, legal representatives, trustees, trustees in bankruptcy, or receivers.

(1 FR 1627, Sept. 19, 1936. Redesignated at 24 FR 10952, Dec. 30, 1959)

sively for export materials, supplies, articles, or equipment of the general character described by the specifications and required under a contract shall be exempt from the requirement of section 1(a) of the act and of paragraph (a) of $ 50-201.1 that the contractor be a regular dealer in the materials, supplies, or equipment to be manufactured or used in the performance of the contract: Provided, however, The following conditions are met:

(1) That the contract is for the purchase of materials, supplies, articles, or equipment for export; (2) (Reserved] (3) That the export merchant will notify the persons engaged in the manufacture of the materials, supplies, articles, or equipment that the purchaser thereof is the United States and that the provisions of the WalshHealey Public Contracts Act are applicable; and

(4) That such export merchant, apart from the liability of the manufacturer, shall be liable for the observance of all the labor standards provided in section 1 of the act; and

(5) That the export merchant shall notify the contracting agency that he will accept the contract upon the terms and conditions set forth above.

(d) Contracts with small business defense production pools approved by the Administrator of the Small Business Administration and contracts with small business research and development pools approved by the Administrator of the Small Business Administration are exempt from the requirement in section 1(a) of the Walsh-Healey Public Contracts Act and § 50-201.1, that the contractor is a manufacturer or regular dealer in the material, supplies, articles or equipment to be manufactured or used in the performance of the contract.

(e) Contracts with a public utility for the procurement of uranium concentrates (U,05), uranium hexafluoride (UF), or enriched uranium are exempt from the requirement of Section 1(a) of the Act and $ 50-201.1 that the contractor be a manufacturer or regular dealer in the materials, supplies, articles, or equipment to be man. ufactured or used in the performance

§ 50-201.1101

Minimum wages. Determinations of prevailing minimum wages or changes therein will be published in the FEDERAL REGISTER, and sent to contracting officers by the Office of Government Contracts Wage Standards, WSA, of the Department of Labor.

(36 FR 288, Jan. 8, 1971)

$ 50-201.1102 Tolerance for apprentices,

student-learners, and handicapped

workers. (a) Apprentices, student-learners. and workers whose earning capacity is impaired by age or physical or mental deficiencies or injuries may be employed at wages lower than the prevailing minimum wages, determined by the Secretary of Labor pursuant to section 1(b) of the Public Contracts Act, in accordance with the same standards and procedures as are prescribed for the employment of apprentices, student-learners, handicapped persons, and handicapped clients of sheltered workshops under section 14 of the Fair Labor Standards Act of 1938, and by the regulations of the Administrator of the Wage and Hour and Public Contracts Division of the Department of Labor issued thereunder (29 CFR Parts 520, 521, 524, 525, and 528).

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