Box 8, Folder 20, Document 7

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U.S. DEPARTMENT OF HOUSING ANDO URBAN DEVELOPMENT
MODEL CITIES ADMINISTRATION

LABOR STANDARDS PROVISIONS

i. OPPORTUNITIES FOR RESIDENTS

In all work made possible or resulting from this Contract, af firmative
action will be taken to ensure that residents of the model neighborhood are2
are given maximun opportunity for training and employment and thet business
concerns located in or owned in substantial part by residents of the model
neighborhood are to the greatest extent feasible, awarded contracts.

2. EQUAL OPPORTUNITY

A. During the performance of this Contract, the Contractor agrees as
follows: ,

(1) The Contractor will not discriminate against any employee or
applicant for employment because of race, color, religion, sex, cr national
origin. The Contract bao take affirrative action to ensure thet spplicants

- are employed, and that employees are treated during employment
regard to their race, Sclok, pelipicn, “séx, or national origin.
shall include, tut not be limited to the following: -=ployment
demotion, or tr fer; recruitment or recruitment advertising;
termination; ‘ of pay or other forms of compsnsation; and s
training, including apvrenticeshiy. The Contractor agrees to bo
spicuous places, available to Sais Loy ees and applicants ror employment,
notices to be vrovided setting forth the provisions of this nondiscrimination
clause. :

(2) The Contractor will, in all solicitations or advertisements for
employees placed by or on behalf of the Contractor, state that 211 qualii

applicants will receive consideration for employment without regard to rac
color, religion, sex or national origin.

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(3) The Contractor will send to each labor union or representative of
workers with which he has a collective bargaining egreement or cther contract
or understanding, a notice to be vrovided advising the said labcr union or
workers' representatives of the Contractor's commitments under this section,
and shall post copies of the notice in conspicuous places available to
employees and applicants for employment.

(4) The Contractor will comply with all provisions of Executive Order
11246 of September 24, 1965, and of the rules, regulations, and relevant
orders of the Secretary of Labor.

(5) The Contractor will furnish all information and reports

Executive Order 11246 of September 24, 1965, and by rules, regu
orders of the Secretary of Labor, or pursuant thereto, and wil

HUD-7051 (2-69)




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- Supplementary General. | Conditions, the term "Contra
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to his books, records, and accounts by HUD and the Secretary of Labor for
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purposes of investigation to ascertain compliance with such rules, regula-

tions, and orders.

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(6) In the event of the Contractor's noncompliance
crimination clauses of this Contract or with any of the
tions, or orders, this Contract may be canceled, termin
in whole or in part and the Contractor may be declared in
further Government contracts or federally assisted construction
in accordance with procedures authorized in Executi ve Order. 1124
24, 1965, and such other sanctions may be imposed and remedies invox
provided in Executive Order 11246 of September 24, 1965, or by rule,
tion or order of the Secretary of Labor, or as otherwise vrovided by

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(7) The Contractor will include the portion of the senten
preceding paragraph (1) and the provisions of g

and paragraph B below in every subcontract or

by rules, regulations, or orders of the Secretary o
section 204 of Executive Order 11246 of September 2
provisions will be binding upon each subcontractor or
will take such action with respect to any subcont
may direct as a means of enforcing such provision
noncompliance: Provided, however, That in the ev
volved in, or is threatened with, Litigation with
as a result of such direction by HUD, the Contractor msy
States to enter into such litigation to protect the inter
States.



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B. Non-Segregated Facilities. The Contracto
maintain or provide for his employees any sesr
establishments, and that he does not vermit hi





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services at any location, under his control, whe
maintained. The Contractor covenants that ne wi
his employees: any segregated facilities at any of
he will not permit his employees to perform their
under his control, where segregated facilities er
paragraph the term "segregated facilities” me
restrooms and washrooms, restaurants and othe
rooms and other storage or dressing areas, rark
recreation or entertainment areas, transportation,
vided for employees which are segregated by exclicit dai
segregated on the basis of race, creed, color, or nation
habit, local custom, or otherwise.

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3. SPECIAL-USE OF TERM

Notwithstanding Section 100 of the Grant Azr

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Agency' as defined in the Grant Agreement and an cey'as defined in un

Supplementary General Conditions.

HUD-7051 (2-69)
a

h. DAVIS-BACON ACT

(1) Minimum wages. (i) All mechanics and laborers employed or woris.
upon the site of the work will be paid unconditionally and not less often -
once a week, and without subsequent deduction or rebate on any 2ccount ise
such aon. deductions as are permitted by regulations issued by the Se
of Labor under the Copeland Act (29 CFR Part 3)), the full amcunts due «4
of payment computed at wage rates not less than those contained in the w
determination decision of the Secretary of Labor which is attached herets
made a part hereof, regardless of any contractual relationsniv which may t.
alleged to exist between the Contractor and such laborers and mechanics: 2:
the wage determination decision shall be vested by the Contraztor at the s:-
of the work in a prominent place where it can be easily seen by the worner:.
For the purpose of this clause, contribucicns made or costs reasonably 4in7
pated under section l(b)(2) of the Devis-Zs220n Act on behalf of labore
mechanics are considered wages paid to,.such laborers or mechanic
the provisions of 29 CFR 5.5(a)(i)(iv). 4Aiso'for the purposes o
regular contributions made or costs incurred for more than 4 wee
plans, funds, or programs, but covering Zen varticular weexly ve
to be constructively made or incurred during such weekly period.



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(ii) “The Contracting Officsr shell
mechanics which is not listed in the
employed under the Contract, shall
to the wage determination, and 2 re
the Federal agency to the Secretary o
parties cannot agree on the prover ciass

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that any class of laborers
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particular class of laborers and mechanics
by the recommendation of the Contracting Offic
Secretary for final determination.,

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(iii) The Contracting Officer shell rea
prescribed in the Contract for a class of lai
benefit which is not expressed as an hourly wage rate and the contractor
obligated to pay a cash equivalent of such 2 fringe benefit, an hourly cs...
equivalent thereof to be established. In the event the interested partie:
agree upon a cash equivalent of the fringe benefit, the question, accomrsr.
the recommendation of the Contracting Crficer, shall be referred to the

of Labor for determination.





(iv) If the Contractor does not make payments to a trustee or other ~
person, he may consider as part of the weges of any laborer cr mechanic 7:
amount of any costs reasonably anticicsted in croviding benerits under +
or program of a typos expressiy listed in the wage determination decisicn
the Secretary of Labor which is a part of this Contract: Previded, nowr':
the Secretary of Labor has found, woon tha written request oF the Contra.
that the applicable standards of the Devis-Bacon Act have been met. The
Secretary of Labor may require the Contractor to set aside in @ separet=
account assets for the meeting of obligations under the plan or program.

HUD-7051 (2-69)




(2) Withholding. HUD may withhold or cause to be withheld from the
Contractor so much of the accrued payments or advances as may be considered
necessary to pay laborers and mechanics employed by the Contractor or any
subcontractor on the work the full amount of wages required by the Contract.

In the event of failure to pay any laborer or mechanic employed or working on
the site of the work, HUD may, after written notice to the Contractor, take
such action as may be necessary to cause the suspension of any further payment,
advance, or guarantee of funds until such violations RENE ceased.

(3) Payrolls and basic records. (i) Payrolls and basic records relating
thereto will be maintained during the course of the work and vreserved for a
period of three years thereafter for all laborers and mechanics working at the
site of the work. Such records will contain the name and address of each such
employee, his correct classification, rates of pay (including rates of contribu-
tions or costs anticipated of the types described in section 1{b)(2) of the
Davis-Bacon Act), daily and weekly number of hours worked, deducticns made and
actual wages paid. Whenever the Secretary of Labor has Pound under 29 CFR
5.5(a)(1)(iv) that the wages of any laborer or mechanic include the amount of
any costs reasonably anticirated in providing benefits under a vlan or program
described in section 1(b)(2)(3) of the Davis-Bacon Act, the Contractor shall
maintain records which show that the commitment to provide such benefits is
_enforceable, that the plan or program is financially responsible, and that the
plan or program has been communicated in writing to the laborers or mechanics
affected, and records which show the costs anticipated or the actual cost
incurred in providing such benefits.



(ii) The Contractor will submit weekly a copy of all payrolls to the City
if the City is a party to the Contract, but if the City is not such a party the
Contractor will submit the vayrolls to the Azency for transmission to the City,
for transmission to HUD. The covy shall be accompanied by a statement signed
by the employer or his agent indicating that the payrolls ere correct and com-
plete, that the wage rates contained thersin are not less than those determined
by the Secretary of Labor and that the classifications set forth Tor each laborer
or mechanic conform with the work he performed. A submission of 2 “Weekl
Statement of Compliance’ which is required under this Contract and the Copeland
regulations of the Secretary of Labor (29 CFR, Part 3) and the filing with the
initial payroll or any subsequent vayroll of a copy of any findings by the
Secretary of Labor under 29 CFR 5.5(a)(1)(iv) shall satisfy this requirement.

The prime Contractor shall be responsible for the submission of copies of ray-
rolls for all subcontractors. The Contractor will make the records reauired
under the labor standards clauses of the Contract available for inspection by
authorized representatives of HUD, the City for the Agency/ and the Derartment of
Labor, and will permit such ROPES yeu ar ae to interview employees during worx-

' ing nous on the job.

(4) Apprentices. Apvrentices will be permitted to work’as such only when
they are registered, individually, under a bona fide apprenticeshiv oregram
registered with a State apprenticeship agency which is recognized by the Bureau

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HUD-7051 (2-69)




of Anprenticeship and Training, United States Department cf Labor; or, if

no such recognized agency exists in a State, under a program registered with
the Bureau of Apprenticeship and Training, United States Department of Labor.
The allowable ratio of apprentices to journeymen in any craft classifica
shall not be greater than the ratio permitted to the Contractor as to hi
entire work force under the registered program. Any employee listed on
payroll at an apprentice wage rate, who is not registered as above, shall be
paid the wage rate determined by the Secretary of Labor for the classifica-
tion of work he actually performed. The Contractor or subcontractor will be
required to furnish to the Contracting Officer written evidence of the
registration of his program and apprentices as well as of the appropriate
ratios and wage rates, for the area of construction prior to using any
apprentices on the contract work.

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(5) Compliance with Coveland Regulations (29 ¢
Contractor shall comply with the Copeland SeEGIE IOS
Secretary of Labor which are herein incorporated by re

(6) Subcontracts. The Contractor will insert
clauses contained in 29 CFR 5.5(a)(1) through (5) and
clauses as HUD may by approvriate instructions require
requiring the subcontractors to include these cleuses
contracts which they may enter into, together with ea
insertion in any further subcontracts that may in turn

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(7) Contract termination; debarment. A breach of clauses
(6) may be grounds for termination of the contract, and for debar:
vided in 29 CFR 5.6.

De CONTRACT WORK HOURS STANDARDS ACT

(1) Overtime reauirements. No Contractor or subcontractor contracting
for any part of the contract work which may require or involve the employment
of laborers or. mechanics shall require or permit any leborer or mechanic
any workweek in which he is emoloyed on such work to work in excess of
hours in any calendar day or in excess of forty hours in such worxween unless
such laborer or mechanic receives compensation at a rate not less than one
and one-half times his basic rate of pay for all hours worxed in ex
eight hours in any calendar day or in excess of forty noves
as the case may be.



(2) Violation: liability for unvaid wages: licui
event of any violation of the clause set forth in subr
tractor and any subcontractor responsible therefor shall
affected employee for his unpaid wages. In addition, sucn
contractor shall be liable to the United States (3



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HUD-~7051 (2-69)














or to such territory), for liquidated damages. Such liquidated damazes shall
be computed with respect to each individual laborer or mechanic exployed in
violation of the clause set forth in subparagraph (1) in the sum of $10 for
each calendar day on which such employee was required or permitted to work in
excess of eight hours or in excess of the standard workweek of forty hours
without payment of the overtime wages required by the clause set forth in sub-
paragraph (1).

(3) Withholding for unvaid wages and licuidated dams es. oe may with-
hold or cause to be withheld, from any moneys payadle on account of work per-
formed by the Contractor or subcontractor, such sums as may adintstrey nig
be determined to be necessary to satisfy any liabilities of such Contractor or

subcontractor for unpaid wages and liquidated damages as provided in the claus=
set forth in subparagraph (2).

(4) Subcontracts. The Contractor shall insert in any subcontracts the
clauses set forth in subparagraphs (1), (2), and (3) of this varesracn and alse
@ clause requiring the subcontractors to include these clauses in any lower
tier subcontracts which they may enter into, together with 2 claus2 requiring
this insertion in any further subcontracts that may in turn be mads.



HUD-7051 (2-69)

236133-1




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