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GSA Schedule 70 & Wage Determinations

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Having difficulty finding a citation either way indicating whether Wage Determinations are required in orders issued under GSA Schedule 70. Do the Schedule rates not already include consideration to the various wages to be paid? I don't undeerstand how I would ever adjust the rates as new Determinations are issued because I would not have any cost detail from which to assess an increase.

Any help appreciated.

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Having difficulty finding a citation either way indicating whether Wage Determinations are required in orders issued under GSA Schedule 70. Do the Schedule rates not already include consideration to the various wages to be paid? I don't undeerstand how I would ever adjust the rates as new Determinations are issued because I would not have any cost detail from which to assess an increase.

Any help appreciated.

I believe Refresh 23 or so inserted 52.222-51. I'm not a schedule holder, so I can't tell you if a mass mod came out.

New WDs do not result in higher rates under the schedule contract when that contract is based on a commercial price list.

The inability of vendors to support the Wage Determinations, and especially H&W, which is not commonly paid in the temp staffing industry, has caused TAPS to largely move to a cost buildup approach.

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Refresh 23 for the IT has the following clause on page 74:

52.222-52 EXEMPTION FROM APPLICATION OF THE SERVICE

CONTRACT ACT TO CONTRACTS FOR CERTAIN

SERVICES--CERTIFICATION (NOV 2007)

(a) The offeror shall check the following certification:

CERTIFICATION

The offeror ______ does ______ does not certify that--

(1) The services under the contract are offered and sold regularly to non-Governmental

customers, and are provided by the offeror (or subcontractor in the case of an exempt subcontract)

to the general public in substantial quantities in the course of normal business operations;

(2) The contract services are furnished at prices that are, or are based on, established catalog or

market prices. An "established catalog price" is a price included in a catalog, price list, schedule,

or other form that is regularly maintained by the manufacturer or the offeror, is either published

or otherwise available for inspection by customers, and states prices at which sales currently, or

were last, made to a significant number of buyers constituting the general public. An "established

market price" is a current price, established in the usual course of ordinary and usual trade

between buyers and sellers free to bargain, which can be substantiated from sources independent

of the manufacturer or offeror;

(3) Each service employee who will perform the services under the contract will spend only a

small portion of his or her time (a monthly average of less than 20 percent of the available hours

on an annualized basis, or less than 20 percent of available hours during the contract period if the

contract period is less than a month) servicing the Government contract; and

(4) The offeror uses the same compensation (wage and fringe benefits) plan for all service

employees performing work under the contract as the offeror uses for these employees and for

equivalent employees servicing commercial customers.

b Certification by the offeror as to its compliance with respect to the contract also constitutes its

certification as to compliance by its subcontractor if it subcontracts out the exempt services. If the

offeror certifies to the conditions in paragraph (a) of this provision, and the Contracting Officer

determines in accordance with FAR 22.1003-4(d)(3) that the Service Contract Act--

(1) Will not apply to this offeror, then the Service Contract Act of 1965 clause in this solicitation

will not be included in any resultant contract to this offeror; or

(2) Will apply to this offeror, then the clause at FAR 52.222-53, Exemption from Application of

the Service Contract Act to Contracts for Certain Services--Requirements, in this solicitation will

not be included in any resultant contract awarded to this offer, and the offeror may be provided an

opportunity to submit a new offer on that basis.

c) If the offeror does not certify to the conditions in paragraph (a) of this provision--

(1) The clause of this solicitation at 52.222-53, Exemption from Application of the Service

Contract Act to Contracts for Certain Services--Requirements, will not be included in any

resultant contract to this offeror; and

(2) The offeror shall notify the Contracting Officer as soon as possible if the Contracting Officer

did not attach a Service Contract Act wage determination to the solicitation.

(d) The Contracting Officer may not make an award to the offeror, if the offeror fails to execute the

certification in paragraph (a) of this provision or to contact the Contracting Officer as required in

paragraph © of this provision.

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I am a new member and relatively new to govt contracting so please excuse if the answer is obvious.

Similar to the inquiry below, I am trying to determine if wage determinations apply to BPAs under an IT 70 schedule contract where the Service Contracts Act is a mandatory flow-down but the CO has not put the contract holder on notice regarding the applicable WDs. My ultimate goal is to determine what I need to flow down to my subs who will perform some of this commercial item service labor as 100% of their job description (so that the FAR 52.22.52 20% exemption would appear inapplicable.)

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If an employee files a complaint with the Department of Labor and claims that they are not being paid at Wage Determination rates, DOL won't care what the CO did or did not do if they (DOL) decides the work is of a nature that meets WD standards. In previous life had a Schedule 70 contract providing various help desk/network services to Govt client. Included in the contract were 2 admin type positions which the company had classified as non-exempt employees because work was under Schedule 70. Situation arose where one employee wound up working extra hours to cover for the other - company paid person straight time IAW extended work week authorization, Person complained to DOL that they should have received time and a half. DOL determined nature of duties fit under wage determination labor category and company wound up paying overtime, increasing base rate (was just under WD standard) and paying back pay.

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My subs ... will perform some of this commercial item service labor as 100% of their job description (so that the FAR 52.22.52 20% exemption would appear inapplicable.)

Have you looked at 52.222-51?

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Have you looked at 52.222-51?

Yes, in fact I started my analysis with the 22.1003-3 and -4 exemptions. The scope of work at issue here is arguably 22.1003-5( m) work, data collection, processing services (commercial item services) that are priced under our IT 70 schedule.

What I have taken away from this conversation is that we need to flow down the SCA and the sub should perform its due diligence regarding applicable wage determinations that might apply.

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