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(3) the remedial actions to be taken by the subcontractor in order to receive payment of the amounts withheld.

(h) A prime contractor may not request payment from the agency of any amount withheld or retained in accordance with subsection (d) of this section until such time as the prime contractor has determined and certified to the agency that the subcontractor is entitled to the payment of such amount.

(i) A dispute between a contractor and subcontractor relating to the amount or entitlement of a subcontractor to a payment or a late payment interest penalty under a clause included in the subcontract pursuant to subsection (b) or (c) of this section does not constitute a dispute to which the United States is a party. The United States may not be interpleaded in any judicial or administrative proceeding involving such a dispute.

(j) Except as provided in subsection (i) of this section, this section shall not limit or impair any contractual, administrative or judicial remedies otherwise available to a contractor or a subcontractor in the event of a dispute involving late payment or nonpayment by a prime contractor or deficient subcontract performance or nonperformance by a subcontractor.

(k) A contractor's obligation to pay an interest penalty to a subcontractor pursuant to the clauses included in a subcontract under subsection (b) or (c) of this section may not be construed to be an obligation of the United States for such interest penalty. A contract modification may not be made for the purpose of providing reimbursement of such interest penalty. A cost reimbursement claim may not include any amount for reimbursement of such interest penalty. [$ 3906. Repealed.] $3907. Relationship to other laws

(a) A claim for an interest penalty not paid under this chapter may be filed under section 6 of the Contract Disputes Act of 1978 (41 U.S.C. 605).

(b)(1) An interest penalty under this chapter does not continue to accrue

(A) after a claim for a penalty is filed under the Contract Disputes Act of 1978 (41 U.S.C. 601 et seq.); or

(B) for more than one year. (2) Paragraph (1) of this subsection does not prevent an interest penalty from accruing under section 12 of the Contract Disputes Act of 1978 (41 U.S.C. 611) after a penalty stops accruing under this chapter. A penalty accruing under section 12 may accrue on an unpaid contract payment and on the unpaid penalty under this chapter.

(c) Except as provided in section 3904 of this title, this chapter does not require an interest penalty on a payment that is not made because of a dispute between the head of an agency and a business concern over the amount of payment or compliance with the con-tract. A claim related to the dispute, and interest payable for the period during which the dispute is being resolved, is subject to the Contract Disputes Act of 1978 (41 U.S.C. 601 et seq.).

SELECTED PROVISIONS OF TITLE 40, UNITED STATES CODE-PUBLIC BUILDINGS, PROPERTY, AND WORKS

SELECTED PROVISIONS OF TITLE 40—PUBLIC

BUILDINGS, PROPERTY, AND WORKS

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SUBCHAPTER III—BONDS 3131. Bonds of contractors of public buildings or works. 3132. Alternatives to payment bonds provided by Federal Acquisition Regulation. 3133. Rights of persons furnishing labor or material. 3134. Waivers for certain contracts.

SUBCHAPTER IV_WAGE RATE REQUIREMENTS 3141. Definitions. 3142. Rate of wages for laborers and mechanics. 3143. Termination of work on failure to pay agreed wages. 3144. Authority of Comptroller General to pay wages and list contractors violating

contracts. 3145. Regulations governing contractors and subcontractors. 3146. Effect on other federal laws. 3147. Suspension of this subchapter during a national emergency. 3148. Application of this subchapter to certain contracts.

SUBCHAPTER V—VOLUNTEER SERVICES 3161. Purpose. 3162. Waiver for individuals who perform volunteer services.

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SUBCHAPTER III—BONDS $3131. Bonds of contractors of public buildings or works 1

(a) DEFINITION.-In this subchapter, the term “contractor” means a person awarded a contract described in subsection (b).

1 Sections 3131 and 3133 were contained in the Act of August 24, 1935, known as the “Miller Act”, before being revised, codified, and reenacted without substantive change as such sections by Public Law 107-217.

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