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Andrea

52.222-42 ...Equivalent Rates for Federal Hires

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I used the equivalent GS rate with applicable locality adjustments.  It’s the GS grade levels with some assumptions like step 5 or posting the entire step range.  Fringe benefits are available from several sources.  This is an example for DoD  https://comptroller.defense.gov/Portals/45/documents/rates/fy2020/2020_d.pdf.  You can ask your agency budget officer what it is for your agency.

 

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First look at the -42 clause in the existing/previous contract (if any). If the classifications are listed and appear to be correct, you may and only need to update the rate(s) to complete the clause. If there was no previous contract or if it appears that the classifications previously used were not correct use either of the following options: 

 Option 1- if you know what classifications the incumbent contractor is using and those appear to be correct, refer to the SCA Directory of Occupations (5th Ed.) Occupational Index.  This index will show the Federal Grade Equivalents (FGE) for the various labor classifications that the contractor is using.  Since the functional customer would likely use similar classes if Federal employees performed the work, you may use these FGEs along with the classification titles from the SCA Directory. OR

Option 2- ask your Civilian Personnel Office Classification Section to assist you in determining the Federal classification titles and grade levels.

To figure out the hourly wage rate, using the Federal grade level, look up the applicable rate on the appropriate GS (white collar) or FWS (blue collar) rate schedule, as follows (FAR 22.1016😞

WG (wage board non-supervisory)- use Wage Grade Step 2 rate;

 WS/WL/WD/WN (wage board supervisory)- use Wage Grade Step 3 rate;

 GS (‘white-collar’)- General Schedule Step1 hourly rate; 

 NF, AS, or PS- use Non-appropriated Fund (NAF) rate (no steps).
 

I’ve found the Air Force SCA desk guide invaluable for SCA information. Link is below.

https://ww3.safaq.hq.af.mil/Portals/63/documents/AFD-080711-078 (2).doc?ver=2016-08-10-105806-530

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Hopefully the information in the SCA Desktop Guide linked above answers the mail.  Just by way of "gee whiz," the US Air Force Labor Advisors have some training material on the clause entitled, "FAR 52.222-42: An Exercise in Futility, or Helping Develop a Better Estimate?"  The title obviously suggests some skepticism with the clause and whether the Government effort that goes into providing the information is time well spent.  I share that skepticism, but I don't think the intent behind it is to help offerors.  Title 41, United States Code, section 6703(5) provides in relevant part:

Quote

The contract and bid specification shall contain a statement of the rates that would be paid by the Federal agency to each class of service employee if section 5332 or 5341 of title 5 were applicable to them. The Secretary [of Labor] shall give due consideration to these rates in making the wage and fringe benefit determinations specified in this section.

IMHO, add the requirement behind the 'equivalent federal hires' clause to the list of statutory requirements that we can live without.

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Glad you mentioned that Jacques.  I always felt the same way with this.   None of it makes sense.  For example, “The Secretary [of Labor] shall give due consideration to these rates in making the wage and fringe benefit determinations specified in this section.”  So the DoL Secretary waits until the solicitation is issued with corresponding government rates in order to prepare their wage determination that contractors must comply with in performance?

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You are likely right.  But it’s hard to read that into the language.  Much of the wage determination process and SCA activities go way back into ancient times

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